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com

The Production Technology Function in Senergy

2013

Bridging the Disciplines

Formation Damage
Well Engineering Production Technology Formation Integrity

Well Construction and Management

Reservoir Engineering

Production Technology Personnel Global

Offices in UAE, UK, Malaysia and Australia Large range of expertise

What can we do?

4
1 = Reservoir 2 = Near Wellbore / Lower Completion 3 = Conduit (tubing, tree, choke) 4 = Facilities

3
2

The component sections.. or, the whole picture!

Production Technology

Brownfield production optimisation

Artificial lift optimisation, integrated asset modelling etc

Production enhancement Well Integrity Well completions and workover design and planning Integrated field development Formation Damage Specialised products (WellscopeTM, Coupled Geomechanics / Reservoir Modelling)

Brownfield Optimisation

Integrated Asset Modelling

600+ well IAM built and calibrated from scratch Middle East onshore Addressed well testing and field data gathering practices Lift gas utilisation
Integrate production from 3 fields in North Sea flowing into hub Assess and optimise future hub production opportunities with current platform constraints Identify key platform modification to add value to hub Assess production back-out caused by new or 3rd party tieback

High Level Workflow IAM Modelling

Unclear Data validation Field map Pipeline Elevations & lengths Separator (GOSP) Pressures Well Test Pipelines OK Wells Populate model (Gap) IGLs & SRPs Check Well Type NFs & GLs Correlation Uncertainty (Input Data Issues?) Representative Workflow

Data gathering (Client)

Pipeline Calibration (Selection process for flow line correlation)

Yes

No

Model as sources

Model via Prosper

Choose Beggs and Brill.

Choose correlation With lowest estimated Friction correction

IGLs & SRPs Use WT Data for Current rates

Define Productivity

NFs & GLs Import IPRs From Prosper Integrate (Attach Wells & Pipes)

Apply correlation for the pipeline

Generate Lift Curves for wells

Solve Network

Tank Battery Example

Remote A

Tank Batte ry

Local WM-02

Brownfield Optimisation
SRP optimisation (India) IAM work in Trinidad, Egypt, India and Ukraine, advising on improvement potential to existing models Large scale field optimisation (offshore Middle East)
Water shut off ESP optimisation Well integrity Integrated asset modelling

Application of balanced coning technologies (onshore Middle East) using dual ESP systems to reduce water coning
Candidate selection Artificial lift and completion design Economics and risk evaluation

Brownfield Optimisation Integrated Subsurface and Production Technology project in Latin America
Review scope for bypassed hydrocarbons Stimulation review Artificial lift optimisation (ESP, SRP, PCP) Workover opportunities Idle well re-activation

1000+ multi-well re-activation project, W. Siberia Water shut off reviews (Middle East and FSU)
Production log re-interpretation Chemical and mechanical water shut off technique reviews Selective stimulation

Brownfield Optimisation
Major acid and propped fracturing design and implementation (FSU) DST planning and implementation, various N. Sea and Middle East Water Shut-off Techniques (FSU and Middle East) Well Completions and Workover Design and Planning various clients N. Sea Gas storage completions (Irish Sea initial planning) Dump Flood concept study (North Sea)

Water Management Holistic Approach

Brownfield Optimisation Water Management

A comprehensive system / strategy should be in place that integrates the following and should be audited
Produced Water Management
Downhole corrosion inhibition Scale Inhibition Hydrate Prediction and Prevention Re-Injection and Disposal

Water Control / Shutoff

Diagnosis Water Control Methods Treatment Selection

Water Injection Management

Well Design and Completion Injection Water Quality Requirements Injection Water Treatment Seawater Treatment Seawater/Surface Water Injection Produced Water Reinjection Monitoring and Control

Brownfield Optimisation Water Injection Management

Well Design and Completion
Injectivity Performance Horizontal Wells Fracturing (propagation and containment, modelling) Tubulars (material selection)

Injection Water Quality Requirements

Solid Content (filtration, matrix injection) Rock Compatibility (clays, cement/matrix) Formation Water Compatibility Other Scales (injection facilities, injection near-wellbore area) Corrosion (oxygen corrosion, sulphate-reducing bacteria, etc.)

Injection Water Treatments

Filtration (Strainers/coarse filtration, secondary separation, tertiary separation) Scale control (pH adjustment, ion removal, scale inhibitors) Corrosion Control (corrosion inhibitors, deaeration, oxygen scavengers) Biological Fouling (chlorination, biocides, etc.)

Brownfield Optimisation Water Injection Management

Seawater/Surface Water Injection
Seawater Injection Filtration Scale Treatment De-aeration Microbial Control Surface/Aquifer Water Injection

Produced Water Reinjection

Filtration Oil Separation Scale Treatment Microbial Control

Monitoring and Control

Water Quality Monitoring Monitoring for Process Control Injection Monitoring (Hall Plots, downhole gauges, fibber optic, interference test, integrity monitoring: annulus monitoring, noise logging, electromagnetic thickness survey, calliper logging, oxygen activation logging, etc.)

Well Integrity How do Senergy deliver well integrity assurance?

Resource pool of engineers in a range of disciplines & specialities Competence system for Senergy personnel Well verification process Senergy Standards
Tried and tested Available if gaps exist in operator system

In house procedures for management of the well life cycle Checklists to cover each aspect of the well life cycle External specialist partners as required

Well Integrity - Example

TAQA took over Shell Northern North Sea assets Senergy supplied engineering and operating personnel and procedures for an agreed interim period (several years) Developed and implemented full well integrity strategy for multiple platform and subsea assets
Full time dedicated well integrity team

Well Integrity
Well Integrity Elements that Everybody Needs to Have
Equipment Procurement changes in purpose throughout the wells life Degradation Procedures, Policies & Standards Broad range of activities & disciplines Handover procedures & knowledge People Available resources with correct skills Change in ownership through wells life Maintaining sufficient competence

Well Construction Phase

Well Life Cycle
1. Design
Robust data verification and engineering design of the well

A. EQUIPMENT
Equipment and material standards applicable to well types, fluid types, service type and duration.

B. PROCESSES & PROCEDURES

Design Verification/Examination Well Delivery Process Peer assist, Peer review Contingency & relief well planning Certification and inspection requirements Well Delivery Process Operational standards Performance measures Contractor selection & quality Procurement processes standards Handover process Operating parameter review process

C. PEOPLE
Well engineering competence assessment Subsurface engagement and competence

2. Construct
Effective implementation of the well design

Inspection, testing & certification requirements for installed equipment. Identification of drilling Safety Critical Elements and their performance standards. Performance standards set and verified for installed equipment.

Drilling operations competence assessment Management of human behaviours Operational drills and audits 3rd party competence Awareness of design and operational issues Multidisciplinary skills Drilling & Production mutual understanding

3. Commission
Functionality, operating limits and responsibilities

4. Operate
Control & operation in accordance with designed parameters

Data gathering, monitoring and control systems functionality

Systems for operating within set parameters and responding to avoid deviations. Monitoring, testing & reporting process Maintenance process Management of priorities and backlog Management of degraded SCEs

Operator competence assessment

5. Maintain
System to test, report and repair well envelope

Availability of appropriate spare parts. Condition monitoring capability

Well equipment competence assessment

6. Modify
Management of changes in subsurface or surface conditions or operational mode

Continued suitability of equipment within new operating environment according to standards of the day

Management of change process Linked well design and production process

Awareness of and adherence to change processes

7. Suspend
Monitoring & forward planning

Effective life span of suspension tools and equipment

Process to verify, monitor and periodically reassess. Establish forward plan for suspended wells Design Verification/Examination Application of standards

Well engineering competence assessment Subsurface engagement and competence

8. Abandon
Long-term safety & environmental security

Minimum standards according to reservoir and well type

Well engineering competence assessment

Production Phase
Well Life Cycle
1. Design
Robust data verification and engineering design of the well

A. EQUIPMENT
Equipment and material standards applicable to well types, fluid types, service type and duration.

B. PROCESSES & PROCEDURES

Design Verification/Examination Well Delivery Process Peer assist, Peer review Contingency & relief well planning Certification and inspection requirements Well Delivery Process Operational standards Performance measures Contractor selection & quality Procurement processes standards Handover process Operating parameter review process

C. PEOPLE
Well engineering competence assessment Subsurface engagement and competence

2. Construct
Effective implementation of the well design

Inspection, testing & certification requirements for installed equipment. Identification of drilling Safety Critical Elements and their performance standards. Performance standards set and verified for installed equipment.

Drilling operations competence assessment Management of human behaviours Operational drills and audits 3rd party competence Awareness of design and operational issues Multidisciplinary skills Drilling & Production mutual understanding

3. Commission
Functionality, operating limits and responsibilities

4. Operate
Control & operation in accordance with designed parameters

Data gathering, monitoring and control systems functionality

Systems for operating within set parameters and responding to avoid deviations. Monitoring, testing & reporting process Maintenance process Management of priorities and backlog Management of degraded SCEs

Operator competence assessment

5. Maintain
System to test, report and repair well envelope

Availability of appropriate spare parts. Condition monitoring capability

Well equipment competence assessment

6. Modify
Management of changes in subsurface or surface conditions or operational mode

Continued suitability of equipment within new operating environment according to standards of the day

Management of change process Linked well design and production process

Awareness of and adherence to change processes

7. Suspend
Monitoring & forward planning

Effective life span of suspension tools and equipment

Process to verify, monitor and periodically reassess. Establish forward plan for suspended wells Design Verification/Examination Application of standards

Well engineering competence assessment Subsurface engagement and competence

8. Abandon
Long-term safety & environmental security

Minimum standards according to reservoir and well type

Well engineering competence assessment

Well Integrity Management System Example of Well Integrity Management System

Well Integrity - How and When?

This type of matrix approach suggested is not difficult to generate or apply, but needs:
management commitment systematic thinking a base of standards and procedures a competent, controlled, systematic and pragmatic approach to dispensation and risk assessment focused application

Formation Damage
Formation Damage can be defined as any reduction in near wellbore permeability which is the result of any stuff we do .such as drilling, completion, production, injection, attempted stimulation or any other well intervention

What is the impact of damage?

Shell has estimated that at oil price of less than $20 / barrel the cost of damage on Shell operated assets was $1 billion / year. Shell, at that time, was producing roughly 3.3 % of total world production. A $35 / barrel and global perspective means current best estimate for cost of damage due to deferred production and dealing with damage is $50,000,000,000 / year At current $100+ prices ..!!!

Filtrate Retention Gas Reservoir

Retained mud filtrate losses

Before test

After test

Fluid has been retained in the micropores between the chlorite platelets
(Photographs courtesy of Corex UK Ltd)

When does damage occur? Drilling Completion Attempted Stimulation Production Well Intervention Injection

Formation Damage Dedicated Senergy Formation Damage team

Headed by Michael Byrne (SPE distinguished lecturer)

Multiple studies worldwide Also coupled closely with WellscopeTM / CFD approach

Production Enhancement
Carbonate stimulation offshore Oman / UAE

Post fracturing assessment FSU

Multiwell Acid and Proppant fracturing campaign FSU
Design Planning Vendor Audit and Procurement Programming Supervision

Formation damage reviews - multiple Stimulation review Argentina

Stimulation reviews Middle East, Norway

Shale hydrocarbon fracturing review Eastern Europe

Specialist Products
Not routine bread and butter PT Can perform specialist reviews standalone or as part of larger study Current Key offerings WellscopeTM Coupled Flow / Geomechanical modelling
Also capability in screening and implementation of cuttings re-injection programmes

What is Wellscope? Modelling process Modern computational power Using computational fluid dynamics Wells and near wellbore Fully connected grid system Fundamental physical properties
Reservoir Fluids Well geometry

Wellscope provides
More accurate prediction of productivity benefit of different completion strategies Has been used for over two years to evaluate:
Naturally fractured reservoirs CT drilling
UBD, MPD

Sand control options Fluid selection for drilling and completion Remedial stimulation of old wells Open hole versus cased & perforated Hydraulic fracturing Multi-layered reservoirs Horizontal wells Formation damage Gas, oil & water wells

What is CFD?

The science of predicting fluid flow, heat & mass transfer, chemical reactions and related phenomena by solving numerically the set of governing mathematical equations

Domain is discretised into a finite set of control volumes (cells)

General conservation transport equations for mass, momentum, energy are solved for each cell Partial differential equations are discretised into a system of algebraic equations All algebraic equations are solved numerically to render the solution field

WellscopeTM Computational flow dynamics

Improved Inflow Prediction

Improved incorporation of damage effects measured from core studies Accurate modelling of novel perforation techniques on multi layered reservoirs Improved fracturing performance prediction

Within Completion
Effect of inflow control devices on sand screens, coupled with varying formation damage along horizontal interval to accurately model inflow profile, also to avoid hot spots on sand screens Effect of inflow control devices on horizontal injector coupled with effect of near wellbore thermally induced fractures, on balancing injection profile

Working CFD Representation

Trajectory with vertical cross-section Gridding and Meshing for the vertical cross-section

Output Parameters

Schematic Representation

k3 k1 k2 Matrix with heterogeneities Inflow k4 k5

Formation Damage Mud Cake Annular gap screens 1 Well

2 Outflow

CFD Simulation Results

Pressure Distribution contours Velocity Distribution contours

Pressure difference: X%

Fully Coupled Reservoir/Geomechanical Simulation

Injector
Pressure evolution during injection

Coupled Geomechanical / Reservoir Simulation Applied to Water Injection

Temperature evolution during injection

Fracture evolution during injection Effective Stress

Coupled Reservoir/Geomechanical Simulation Modelling of CO2 injection (sequestration)

As part of Senergy Carbon Capture team Phase behaviour modelling Well integrity
Completions Annular isolation (CBL, PLT etc)

Formation integrity (eg cap rock integrity, fault reactivation etc)

Studies for clients on fields in: European continental shelf Middle East

Specialist Products

Heavy Oil (Middle East)

Thermal coupled simulation of steam injection / heavy oil

Produced Water Re-injection (Far East)

Injection of water with unwanted elements
Ensure no breakthrough to other formations or recycling to production wells Modelling of thermal fracturing geometry critical

Subsea field development (North Sea)

Used to define requirement, or not, for intelligent completion on water injector

Coupled Reservoir/Geomechanical Simulation Cuttings Re-injection

Collation and review of subsurface geology, formation description and logging analysis information Impact of waste physical characteristics on disposal efficiency & slurry rheology QC Selection of disposal injection zone & disposal well(s)
safe containment of waste, well location, disposal fracture size, completion integrity

Injection strategy Variations on injection hydraulic requirements

pressure increments from the first batch to the estimated last batch

Disposal capacity determination

Can use coupled geomechanical / reservoir simulation if required

Operational procedures and monitoring programmes, plus interface and supervision of service providers

Well Completions and Workovers

Dump Flood concept study (North Sea)

Well Completions and Testing

Artificial lift design and selection (onshore Indonesia, offshore UK)

Intelligent completions design (offshore UK)

DST design and execution (multiple clients, including offshore UAE and Oman) Specialist (HPHT) tubular stress analyses (UK, Africa, Australia)

Well Completions and Testing Workover and completion reviews

Completion design Offshore Oman, Offshore UAE, Onshore Indonesia Cyclic steam injection review FSU Hybrid DST/completions (eg offshore UK) ESP workovers subsea and platform (offshore UK)

Completion / Testing Facilitation Can facilitate sessions for CWOPs HAZOP (completions and/or well testing) Risk register sessions Completion and/or testing close out workshops

Integrated Field Studies Examples

Subsea Field Developments (natural flow and artificially lifted) performed in conjunction with Well Engineering and Subsurface Teams (e.g. Ithaca, Petrofac, Venture, Chrysaor, Gaz de France)
Artificial lift selection Complex ESP system tendering and design Completions Basis of Design and Programming Well test (DST) design, programming and execution

Heavy Oil Field Development and Basis of Design done in conjunction with Well Engineering and Subsurface Teams (FSU)
Including steam injection Hot ESP completions

CO2 Sequestration (European Continental Shelf)

Performance modelling Discovering limitations of existing software packages Completions systems applicability

Why Senergy Production Technology?

Expertise and experience
Worldwide expertise with wide range of experience

Synergy within Senergy

We work with Subsurface Teams, Formation Integrity Team and Well Engineers Multidiscipline project specific teams formed routinely to address specific client studies

Practical and pragmatic answers

Used to working with minimal data

Specialist products provides additional niche

Senergy Interfaces
Sub-surface Engineering Geology Geophysics Petrophysics Reservoir Engineering Well Engineering Planning and Execution Well Construction Dedicated Drilling Performance Optimisation Team Industry Leading Formation Integrity Team Geomechanics Sand Management Stimulation