Maintaining Oil Production from Marginal Fields A Review of the Department of Energy's Reservoir Class Program (1996) / Chapter Skim
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APPENDIX B: INTERIM LETTER REPORT OF THE PANEL
APPENDIX B: INTERIM LETTER REPORT OF THE PANEL
Pages 53-70
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From page 53... ...
B Interim Letter Report of the Pane!
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Spiller: The National Research Council formed the Parcel on the Review of the Oil Recovery goal? Demonstraiion Program of the Department of Energy to respond to your request to assess the effectiveness of the Reservoir Class Field Demonstration Programi and to recommend improvements.
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; net imports (i.e., imports minus exports) of crude oil averaged 6.92 million bpd (Energy Information Administration, Monthly Energy Review, January 1995)
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and international operations, the production of oil from mature fields in the lower 48 states and the continental shelf of the United States would shift to smaller companies and independent producers, which generally lack the internal technical expertise and capital resources to undertake technically or economically risky projects. The objective of the Field Demonstration Program is to encourage the application of new technologies and more effective use of existing technologies to prolong production in marginal fields and to encourage the adoption of these technologies by the small companies, independent producers, and major companies that will comprise the domestic energy industry of the future.
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From page 57... ...
Both groups of projects include a reservoir characterization element and an emphasis on technology transfer. PROGRAM COMPONENTS Reservoir Class Organization of the Field Demonstration Program on the basis of reservoir class is based on observations that oil recovery responses of reservoirs are closely related to their geologic origins.
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By demonstrating a wide variety of new and existing technologies, the Field Demonstration Program seeks to develop the technical and economic experience necessary to encourage adoption of these technologies by independent operators, small companies, and major companies. Without the economic boost and risk sharing provided by program funding, DOE believes that, under current and projected oil prices, demonstration of these technologies is unlikely to occur in a time frame that can substantially reduce the rate of abandonment of fields containing significant amounts of recoverable oil.
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From page 59... ...
A key technical component in most of the projects examined by the committee is reservoir characterization, that is, determination of the shape, size, internal structure, and other physical and chemical properties of the reservoir using invasive and noninvasive techniques. The projects examined by the panel employed a wide range of conventional and advanced technologies to characterize reservoirs.
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This process utilizes air injection near the top of a water-invaded oil column. This injection causes combustion of a small amount of the oil in the reservoir, thereby producing flue gases and steam to mobilize the residual oil, which is recovered by gravity drainage.
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However, the economics of CO2 flooding are poor for many fields. DOE-supported projects in the Welch and South Cowden Fields show promise for prolonging production using more effective CO2 flooding technologies.
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See ~~~ ~~ If B~ n ^~e ~ ~~- ~~ ~ ~ie~ ~~ at, BEG, 1=, 16 a. i3 ^ play is a sea of oil Ed gas accu~l~lons ~~ share similar g~loglc, g~gr~blc am temporal In, ~- same Em, Id pawns u~- ~~s~, ~ b>mc~on Am.
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FINDINGS AND FUTURE WORK Based on information reviewed to date, it is the judgment of the panel that the DOE Field Demonstration Program is proving effective in demonstrating the application of new and existing technologies to prolong the lives of marginal fields. However, it is too early to determine whether this program will be ultimately successful in reducing the rate of abandonment of marginal wells or slowing the decline of domestic oil production.
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length of the contracting process, (3) reservoir class as the organizing precept for the program, and (4)
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From page 65... ...
Department of Energy: Overview of the Reservoir Class Oil Recovery Program Page 12 Noel Tyler, Bureau of Economic Geology, The University of Texas at Austin: History of the Reservoir Class Program and the Definition of Classes Mark Holtz and Lee McRae, Bureau of Economic Geology, The University of Texas at Austin: Revitalizing Mature Oil Plays in Frio Reservoirs of South Texas Scott Hickman, Hickman and Associates; Archie Taylor, OXY USA; and Jim Justice, Advanced Research Technology: Application of Reservoir Characterization and Advanced Technology to Improve Recovery and Economics in Lower-Quality ShallowShelf San Andres Reservoirs Charles Mankin, Oklahoma Geological Survey: Identification and Evaluation of FluvialDominated Deltaic Reservoirs Larry Hallenbeck and Don Wier, Phillips Petroleum Company: Design and Implementation on a CO2 Flood Utilizing Advanced Reservoir Characterization and Horizontal Injection Wells in a Shallow-Shelf Carbonate Approaching Waterpood Depletion—Class II Sami Bou-Mikael, Texaco E&P: Post Waterflood CO2 Miscible Flood in Light Oil FluvialDominated Deltaic Reservoirs Travis Gillham, Ed Turek, and Reza Fassihi, Amoco Production Company: West Hackberry Tertiary Project
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air. Ruing W
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Corporation 7 North Blowhorn Creek Field, Hughes Eastern Corporation 1 Black Warrior Basin (Alabama) at Green River Formation, Lomax Exploration Company 1 Uinta Basin (Utah)
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18 Williston Basin Carbonates Laguna Petroleum Company 2 Luff Exploration Company 19 Crystal Field, Dundee Michigan Technological 2 Reservoir (Michigan) University 20t Welch Field, San Andres Oxy USA, Inc.
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Williston Basin Carbonates (Luff Exploration Company) Foster and South Cowden Fields (Laguna Petroleum Company)
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