State-of-the-Art Summary


Highlighting Optimization of Mature Assets
by Dwight Rychel and Lance Cole, Petroleum Technology Transfer Council

Mature wells—what are we to do with them? They've been there a long time, maybe so long that people look right past them as they look for the next prize. Fortunately for those with patience and ingenuity that are willing to "smartly" work hard, there is still lots of cash in "them thar hills." Hart's recent Brownfields: Optimizing Mature Assets (BOMA) Conference (Sept. 19–20, 2005 in Denver) was all about intelligently working those hills to wrestle more of the buried oil and gas treasure from them. Capturing insights from this conference for this article naturally led PTTC to point people toward information/insights from other sources.

In addressing conference attendees, Bill Pike with Hart E&P noted two key points: (1) oil and natural gas dominate the primary energy production today, and will continue to do so in the foreseeable future, and (2) the oil and gas supplied from new fields will decrease from 50–60 % in 1960 and 15–18 % today to 7–10 % ten years in the future, making it very important to optimize the mature field production. There will be many wells to optimize—at the start of 2004 in the U.S., there were about 393,000 marginal oil wells and 260,000 marginal gas wells, according to a recent study performed by DOE's National Energy Technology Laboratory (SPE 98014). These wells produce 28% of oil production and 11% of gas production. Moving forward to 2025, this contribution will increase to 32% of oil and 17% of gas. The number of marginal oil wells will decline while the number of marginal gas wells will increase significantly, with much of that growth occurring in the Rocky Mountain region.

Industry presentations during the conference had a strong focus on natural gas production and related technologies. There are often several required in combination that will remove/cause less damage or solve operational problems. There is some natural spin-off appropriate for marginal oil wells. Some key insights from different presenters include:

  • There must be a proactive, integrated approach to production enhancement. This approach identifies opportunities as opposed to reacting to problems, high grades those opportunities and applies the solution in groups. It is project-based and focuses on cost effective applications proportional to the asset value and projected upside. (Mark Brinsden, Expro Group)
  • To augment the resources of local asset teams for dealing with mature fields, Chevron has created two new technology work teams—Formation Productivity and Production Engineering. Further, they will form small teams of production engineering experts to go "on location" to work with the asset teams to analyze and remediate production and injection problems. Expertise within these teams includes, among others: lift optimization, wellbore nodal analysis, screening inactive wells for sand and water cut improvement, and stimulation expertise. (Brian Llewelyn, Chevron Energy Technology Company).
  • As he discussed gas well liquid loading issues, George King with BP stressed that mature field optimization must be much more than an "office" exercise, reinforcing the "on location" concept that Chevron employs. The people "on the ground," the field records, and visual inspection/observation all provide essential clues that are relevant.

Water Management
Gas Wells. With maturing gas wells, liquid loading can be a dominant problem. George King with BP noted how critical it is for operators to:

  • Analyze well behavior and detect liquid loading,
  • Understand water sources and identify the source of the problem,
  • Calculate the critical velocity to remove liquids, and
  • Among the several technologies available for liquid loading, choose one that matches the problem (i.e., screening criteria). Note that in this realm there may not be one "best" technology—several may work and there is a certain amount of "try it and see" when deliquifying gas wells.

Both King and John Misselbrook (BJ Services) discussed the technology choices available today, along with their advantages and disadvantages. James Lea at Texas Tech University also has recognized expertise. Readers are referred to an article published in SPE's Journal of Petroleum Technology (April 2004, p. 30+), which PTTC summarized in a past newsletter available online at www.pttc.org/news/2qtr2004/
v10n2p4.htm
. Beyond general insights, Lea's article lists 23 references, many of which are SPE papers presenting field results.

Those wanting to learn more should consider participating in the Annual Gas Well Deliquification Conference organized by the Artificial Lift Research and Development Council (www.alrdc.
com
) and Texas Tech's Southwest Petroleum Short Course which is held each spring in Denver. Some field results presented in the 2005 Conference are summarized in PTTC's Tech Connections column in the April 2005 issue of The American Oil & Gas Reporter (www.
pttc.org/columns/aogrcoapr05.htm
). These typify what one can expect by attending the conference.

Through the years PTTC has published several relevant case studies in its Petroleum Technology Digest in World Oil (www.pttc.org/
case_studies/case_studies.htm
), covering an automated soapstick launcher (Sept. 2002), capillary strings (Feb 2003) and a 2-piece flow-through plunger (Aug 2003). PTTC also devoted the State-of-the-Art article in Network News in spring 2003 (www.pttc.org/news/
1qtr2003/v9n1p7.htm
) to gas well deliquification issues.

John Misselbrook with BJ Services described one of their new technologies, the AquaLift jet pump. Using concentric installed coiled tubing, it creates three conduits: one for gas production, one for liquid production and one for pump power. The pump is on the surface, so there are no moving parts at the bottom of the well, which increases its reliability. It is a good alternative where the pressure is depleted but has good produceability, particularly intermediate depth gas wells making a moderate amount of water. An example was presented of an 8,000 ft. well producing 200 Mcf and 40 Bbls of water per day through 2 3/8-in. tubing. If the well is choked by 25%, it loads up and dies. The result of installing a velocity string is compared with the AquaLift option. With only 13 hp, the jet pump delivers the 40 Bbl/day of water and dry gas to the surface while the 1 3/4-in. velocity string works but only until a modest reduction in bottomhole pressure occurs.

Oil Wells. Excessive water production is not just a "gas well" problem. Some time ago PTTC devoted resources to capturing "common sense" knowledge about managing water production into a concise handbook available through its website (www.pttc.org/
pwm/produced_water.htm
). Production chemicals are another of those "every day" operational things that it behooves operators to devote some attention to. BJ Chemical Services spent some time during the conference discussing the current economics of chemical remedial services in tubulars, near wellbore and reservoir and discussed specific treatments for the problems cited.


Network News
7


PTTC

3rd Quarter 2005