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EOR: A core topic

Marginal Fields feld allowance, says Simon O’Toole, “When you look at it, and look at the

Industry and government head of exploration, licensing, and geographies technologies might apply bodies think there is still a development at DECC. The brown- to, there are a few technologies that strong future in the UK North feld allowance has also encouraged come to the fore,” says Walker. These investment in facilities to extend feld were miscible hydrocarbon food,

Sea, but they are not life and unlock otherwise stranded miscible CO , surfactant with polymer, 2 complacent about the felds, with 15 projects totaling about polymer, and low salinity.

challenges the basin faces. £3billion of Capex either agreed or “Low-salinity (water injection) lends soon to be agreed. itself to early adoption; chemical EOR

Projects involving technology, such would come a bit later because it is

By Elaine Maslin as enhancing oil recovery (EOR) and less easy to implement; and miscible fter more than 40 years of increasing production effciency, are gas would be later too,” he said. “But production from the North Sea, not as well promoted. in the North Sea there are examples of with declining output and an “We have kicked off, in PILOT, a all these technologies at work.”

A ever-more complex and costly operat- project to see if industry as a whole BP, a leading proponent of low-salin- ing environment, it would be easy can up its game in production eff- ity EOR technology, is planning the to view the basin with a “glass half ciency,” O’Toole said at the SPE frst offshore, full-feld deployment of empty” attitude. London annual conference in May. its LoSal EOR technology on the West

Industry and authorities are taking “We are trying to get engineers to of Shetland Clair Ridge development. the opposite view. Investment is high, work on existing felds to increase pro- This will be a secondary waterfood, driven by a number of mega-projects duction effciency. It is a real problem expected in 2016. BP may try it next in and sustained high oil prices. To offshore at the moment. We are losing the Gulf of Mexico, for Mad Dog Phase ensure the longer term health of the a great deal of production simply 2. Shell and Statoil have also been basin, increasing focus is falling on the through unplanned stoppages and looking at low-salinity water in other prize that could be had from eking-out unplanned maintenance.” areas of the world. the mostly smaller pockets of remain- The group identifed North Sea

Another effort to prolong feld life ing resources and increasing produc- cluster areas deemed optimal for EOR, and increase production is a PILOT tion from mature felds. around Taqa Bratani’s northern North project to encourage EOR technolo-

A number of fscal and technologi- Sea assets, near BP’s central North Sea gies. The UKCS has produced just over cal initiatives are underway on the UK assets, and around Nexen’s facilities in 41billion boe. The recovery rate aver-

Continental Shelf (UKCS). The role of the Moray Firth. The research so far, ages 40% and is on track to reach 46%, independent oil companies in stimu- despite being “a bit coarse,”showed says ConocoPhillips’ Ian Walker, who lating regional exploration activity and the prize could be 6 billion bbl, says recently fnished a secondment to DECC. how players evolve from explorers to “With a global average of 30%, it Walker, a signifcant sum when the developers and producers will be dis- could be easy to say it is expensive estimated remaining recoverable cussed at the Offshore Europe confer- to go further in the offshore environ- resource has been put at 10-20 billion ence in Aberdeen this September. ment with high well costs,” he says. bbl.

The UK Department of Energy and “We have done a good job using water Industry workshops have been held

Climate Change (DECC) is leading a food; it went in when it was required. with 12 operators, and Walker sees “an

PILOT group that has been looking at But at the same time, it is asked ‘Why appetite” for low-salinity technology. the lack of funding for development are we leaving so much behind?’ There However, there are still uncertain- activities accessible to smaller players, is more that can be done in EOR.” ties and a need to share information, as banks remain unwilling to lend. An EOR work group screened North provide guidelines, and encourage

New tax allowances were introduced Sea felds to see which technologies cooperation. last year, aimed at improving the com- could be applied most effectively. “It is low cost and there is scope for merciality of small felds, ultra heavy The group looked at miscible hydro- standardization and scope for shared oil, shallow-water gas felds and brown carbon food, nitrogen and fue gas, projects,” he says. “But there is also feld investment. This mitigated a tax miscible CO , surfactant with polymer, nervousness.” 2 increase on oil and gas producers made polymer, in situ combustion, steam EOR chemistry isn’t fully understood by the UK Treasury in 2011. drive, bright water (“strong gel”), low- and mixed core results may unnerve

Most new felds approved since salinity water, and colloid dispersal gel investors. 2012 have benefted from the small (CDG, weak gel). The work group is developing

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