SPE Dallas - Monthly Meetings

Invitation for the SPE Production Study Group participation

We are looking for people who will be willing to present case studies, best practices, technology updates, lessons learned, etc. on the following major topics for the Dallas SPE study group.

· Gas well deliquification/de-watering techniques

· Hydraulic fracturing and horizontal well modeling

· Completion design and optimization

· Revitalizing mature field production

· HS & E related to production

· Production monitoring and surveillance

· Gathering system design/optimization for gas and oil production

· Enhanced recovery techniques

· Other

If you have a topic, not listed above, please forward it to the study group team (Syed.Hamid@Halliburton.com; Deborah.Hempel-Medina@ihs.com; Mofazzal.Bhuiyan@ihs.com). Your active participation in this endeavor will help members gain insight into the engineering practices and eventually build a strong knowledge-based SPE.

Cost: $ 15.00 with a reservation or $20.00 (non members and at the door) – Lunch will be provided

Reservations: (without using the credit card option i.e. pay at the door) –Contact Sylvia Haun at 972-418-3794 or via email at sylvia.haun@Halliburton.com

Please remember to bring your computer generated receipt to show that you have paid by credit card.

The group's primary focus will be the challenges and opportunities associated with the hydrocarbon production in the local region. The study group will meet for about 2 hours which will include a working lunch. The meeting will start with a presentation by the speaker which will be followed by discussions leading to sharing of best practices and identification of key areas for further R&D. For additional details, please contact Syed Hamid at 972-418-3813 or syed.hamid@halliburton.com

Computational Fluid Dynamics (CFD) is being widely used in the oil & gas industry for equipment and processes design, remedial work or retrofitting purposes. Advantages of the CFD technology include lower costs than physical model tests, speed and the ability to simulate real scale and operating conditions.

In this talk, a brief description of how CFD works and it’s capabilities will be presented, as well as a series of applications/examples will be described in detail, including downhole equipment, completions, surface equipment, offshore design, and flow assurance.

Franz Zdravistch is the Technical Account Manager for the oil & gas industry segment at ANSYS Inc. He holds a Ph.D. in Mechanical Engineering from the University of New South Wales, Sydney, Australia. Franz has over 18 years experience in CFD, and 10 years support, consulting and management experience with ANSYS software in the oil & gas, mineral, process, power generation and defense industries. His areas of expertise include multiphase flows, rotating equipment and multi-physics. Previously, Franz worked for several years in the petroleum industry as geophysical logging engineer.

December 2008 - There will NOT be a meeting in December for the Study Group.

Cost: $ 15.00 with a reservation or $20.00 (non members and at the door) – Lunch will be provided

Reservations: (without using the credit card option i.e. pay at the door) –Contact Sylvia Haun at 972-418-3794 or via email at sylvia.haun@Halliburton.com

Please remember to bring your computer generated receipt to show that you have paid by credit card.

Applied Seismic Research’s seismic stimulation tool generates high energy elastic waves at the reservoir datum for the purpose of enhancing oil recovery and improving oil production. The waves have power on the order of 2 million watts, propagate as far as one mile in all directions, and dislodge/mobilize oil in their path. Producing wells in the stimulated area, on average, increase oil cut and oil production by 10 to 20 percent. Recently, the Texas Railroad Commission officially certified ASR’s technology as an EOR process, giving operators a 50% reduction in Severance tax on total production for a period of 10 years. This certification is the first given to a new process in over 3 decades. ASR will present case studies in carbonates, sandstones, and diatomite.

Bill Wooden is a founder and Vice President of Applied Seismic Research (ASR). His background is reservoir engineering and technology commercialization. He attended the University of Oklahoma where he received undergraduate degrees in science and engineering.

Cost: $15.00 with a reservation or $20.00 (non members and at the door) - Lunch will be provided

Location: Ellison Miles Institute, Brookhaven College (Mexia Room # H126) Map

Topic: Using whole-rock elemental data for chemostratigraphic correlation, improved geosteering, and enhanced formation evaluation

Reservations: (without using the credit card option i.e. pay at the door) -Contact Sylvia Haun at 972-418-3794 or via email at sylvia.haun@Halliburton.com

The elemental composition of sedimentary rocks is a rich and powerful data set that is only now being exploited to full advantage in the oil and gas industry. Historically, this type of data has not been widely used; even advanced laboratory measurement techniques have long turnaround times and few geologists or organic geochemists are trained to interpret elemental data. While wireline geochemical tools have done well in pioneering the application of elemental data for formation evaluation since the late 1980s, they are inherently limited by the small number of elements they can measure, and by their inability to operate in the LWD environment, especially in horizontal wells.

With the introduction of portable Laser-Induced Breakdown Spectroscopy (LIBS) technology in 2001, it became possible to greatly expand the utility of elemental data for drilling and formation evaluation. The LIBS spectrometer is a compact, robust surface instrument that can rapidly measure the elemental composition of cuttings at wellsite, allowing near real-time data generation to aid in drilling decisions. Innovative processing of LIBS optical spectra allow the acquisition of 15-25 elemental values in clean sandstones, carbonates, and evaporites, and up to 42 elements in shales and shaley lithologies. Cuttings-based elemental measurements also provide a significant advantage over LWD and wireline tools in HT/HP wells, as the LIBS spectrometer is unaffected by hostile downhole conditions.

Whole-rock elemental data has three primary uses in exploration and production programs:

Chemostratigraphic correlation. Laboratory-based studies can generate data for up to 55 elements that allows the detailed geochemical fingerprinting of stratigraphic units for high-resolution correlations. It also provides a wealth of geological information on provenance, weathering, paleosol development, depositional redox conditions; diagenesis, and reservoir quality – all important inputs to better constrain conventional sequence stratigraphic models.

Improved wellbore positioning and geosteering (Chemosteering®). The results from laboratory chemostratigraphy studies can be immediately used to custom-calibrate LIBS instruments to recognize a zonation from cuttings analysis while drilling. This provides better informed decisions for picking casing points, coring points, TD, and most importantly, for improved positioning of horizontal wells.

Enhanced formation evaluation. Elemental data can be used to model mineralogy, lithology, TOC, immobile hydrocarbons, reservoir quality, and other rock attributes if properly calibrated to core and log data. LIBS instruments can provide this data at wellsite while drilling.

LIBS technology has been successfully employed for a variety of wellbore positioning applications on 70 wells in nine countries, in siliciclastic and carbonate reservoirs.

Still, the most effective application of element-based techniques may be in gas shale plays. This is due to the diverse mineral assemblages that compose shales, particularly clays and silt-size heavy minerals, as well as some biogenic components such as phosphates. Clays readily incorporate a variety of trace elements into their crystal structure, or adsorb them onto their surfaces. Shale geochemistry therefore contains a tremendous amount of information, which allows chemostratigraphy and element-based formation evaluation to be used to even greater advantage.

Mike Dix is a Global Product Champion for Halliburton’s elemental geochemistry and wellsite chemostratigraphy services. He has 27 years of professional experience since receiving his B.S. in Geology from the University of Dayton. After working for Core Laboratories, University of Houston, and Westport Technology Center, Mike joined Halliburton - Sperry Drilling Services in 2002 to develop LIBS technology for wellsite and oversee its commercialization for Halliburton’s new geochemical services initiative. Mike’s background is firmly grounded in the rocks: petrology, geochemistry, sedimentology, and structural geology. His goals for Halliburton’s geochemistry services are to construct practical chemostratigraphic zonations for hydrocarbon-producing basins worldwide, and to develop element-based techniques for the rapid determination of mineralogy, reservoir quality, and geomechanical properties. Mike is presently leading an R&D effort to develop these applications for gas shales.

Cost: $15.00 with a reservation or $20.00 (non members and at the door) - Lunch will be provided

Location: Ellison Miles Institute, Brookhaven College (Mexia Room # H126) Map

Speaker: Alexander Chamorro – Principal Fluid Flow Engineer for Invensys Process Systems

Reservations: (without using the credit card option i.e. pay at the door) -Contact Sylvia Haun at 972-418-3794 or via email at sylvia.haun@Halliburton.com

***Please remember to bring your computer generated receipt to show that you have paid by credit card***

This topic will address the maximum economical amount of gas that could be injected into oil producers to get the maximum liquid flow rate. This is especially important when the gas availability is limited. To accomplish this, proper objective functions, constraints, and decision variables must be supplied.

For a single well on gas lift, the increased back-pressure from the injection gas affects other wells that share a common flowline. If any of the other wells are also on gas lift, this in turn contributes to the overall increase in back pressure. A single-well gas lift analysis performed in isolation will over-predict production.

The actual optimal injection rate will be influenced by the interacting wells, and will be lower than that predicted by single-well analysis. An additional optimization problem relates to the availability of injection gas. Due to existing installed compressor capacity, the gas available for injection is inadequate to meet the needs of all the wells in the field. This limitation becomes more severe with time, as the field depletes, and more and more wells require increasing amounts of injection gas. The associated allocation problem is to determine the amount of gas to allocate to each of the wells under gas lift in order to maximize the total production rate from the field.

Alexander Chamorro has 8 years experience in the oil field, and currently is a Principal Fluid Flow Engineer for Invensys Process Systems. In this position, Mr. Chamorro is involved with customer projects, secondary technical support and some code development of upstream fluid flow software. Mr. Chamorro received a Master of Science in Petroleum and Natural Gas Engineering from West Virginia University. Mr. Chamorro also received a Bachelor’s Degree in Petroleum Engineering from the Universidad nacional de Colombia.

Cost: $15.00 with a reservation or $20.00 (non members and at the door) - Lunch will be served.

Location: Ellison Miles Institute, Brookhaven College (Mexia Room # H126) Map

Speaker: John Warren – Vice President of Operations and Business Development Wavefront Energy and Environmental Services USA Inc.

Topic: “POWERWAVE – INJECTION TECHNOLOGY” - For Secondary Recovery Waterfloods and CO2 Floods

Reservations: (without using the credit card option i.e. pay at the door) -Contact Sylvia Haun at 972-418-3794 or via email at sylvia.haun@Halliburton.com

***Please remember to bring your computer generated receipt to show that you have paid by credit card***

In the oil industry, any progress in technologies designed to enhance production is most commonly based on empirical discoveries, and only later followed by attempts to develop a consistent physical theory to explain, analyze and predict field behavior. However, in 1997, a group of scientists and engineers sought to change that mindset. Through a series of laboratory tests utilizing a rigorous theory, this group developed a new fluid flow enhancement technology known as the PowerwaveTM Process. Powerwave is an injection technology wherein, with each impulse, a volume of liquid is introduced through a casing or tubing and is forced at high accelerations by downhole devices into the reservoir. The injected fluid then increases the porosity, pressure, permeability, saturation and homogenization of an ever-increasing coherent volume of the porous media through porosity dilation (expansion of the pore throat).

Powerwave is modeled after the effects of earthquakes on the pores in rocks to stimulate the flow of oil. The technology allows oil producers to tap into mature oil fields in addition to wells that are not producing as well as they should. As early as the 1950s, earthquakes were observed to affect fluid levels in oil wells. Increases leading to enhanced flow were often reported. It was also observed that water/oil ratios changed during an earthquake swarm – sequences of nearby earthquakes striking in a short period of time with no single earthquake serving as the main shock. Wells with initially large water/oil ratios were observed to have lower post-earthquake swarm water/oil ratios and vice versa in wells with initially low water/oil ratios. As a rule, beneficial effects decreased over time following a seismic event.

Earthquakes and explosions are also known to affect underground fluid flow. Large well level fluctuations occurred in the Canadian and American Prairies from 24 to 36 hours after the 1964 Alaska earthquake, long after seismic waves had passed. These effects have been reported for different depths and reservoir conditions and led to the concept of seismic excitation for flow enhancement in the oil industry.

To increase oil recovery, many field attempts in the United States, Russia and China (among others) have been made to induce and couple seismic waves as a method for secondary oil recovery during traditional oilfield waterflooding – a method of secondary recovery in which water is injected into the reservoir formation to displace residual oil. In theory, vibratory forces are thought to promote the movement of oil by diminishing capillary forces – in other words, changes in permeability, viscosity and capillary entry pressure – thereby reducing adhesion between the rock and fluids. This causes trapped oil to be liberated and flow with the CO2 or waterflood.

Implementation of Powerwave Technology in Injection Wells has resulted in no less than an immediate 40% injectivity index increase and as high as 9 Fold.

John Warren heads Wavefront’s U.S. operations with more than 18 years of industry experience that includes product line management, research and development management and business development leadership. Prior to his current position with Wavefront, Warren held several technical, sales and managerial positions in multiple locations around the world, including positions in West Africa and Norway. His work and experience earned him the coveted Harts Award in 2004. Warren received a bachelor of science in mechanical engineering from Colorado State University and is recognized as one of the industry’s foremost experts in conformance applications.

Cost: $15.00 with a reservation or $20.00 (non members and at the door) - Lunch will be served

Location: Ellison Miles Institute, Brookhaven College (Mexia Room # H126) Map

Reservations: (without using the credit card option i.e. pay at the door) -Contact Sylvia Haun at 972-418-3794 or via email at sylvia.haun@Halliburton.com

***Please remember to bring your computer generated receipt to show that you have paid by credit card***

Presentation Abstract

Subject: The Need for Lower Cost Subsea Well Intervention
High oil prices have led to significant oil discoveries in deep water, >3,000 ft, with reservoir depths of over 25,000 ft TVD. The percentage of available oil that can be produced without either reservoir pressure maintenance or artificial lift will be relatively small. The two artificial lift systems available are gas lift and pumping. Gas lift benefits may be limited by subsea system architecture. The short operating life of downhole pump systems and the high cost of subsea well intervention severely limit the economic benefit that might be gained from a downhole pump system. If we can reduce the cost of downhole intervention in subsea wells, we can recover millions of barrels of oil that would not be economic otherwise. Some concepts to minimize the subsea well intervention costs will be presented.

Speaker

Speaker: Gary Ring
Gary Ring is an Engineering Advisor for Blade Energy Partners in Frisco, Texas. He has a BSME from UT Arlington, an MBA from the University of Dallas and over 38 years of professional experience in a broad range of engineering work. Twenty-two years of this time was spent at Mobil E&P Research. Gary has worked on design projects ranging from downhole logging tools to concepts for offshore structures made of composite materials. One of his recent projects was to study artificial lift for deep water for the DeepStar group.

Cost: $15.00 with a reservation or $20.00 (non members and at the door) - Lunch will be served

Location: Ellison Miles Institute, Brookhaven College (Mexia Room # H126) Map

Topic: The latest on the “Surface Controlled Sub-Surface Safety Valves”

Reservations: (without using the credit card option i.e. pay at the door) -Contact Sylvia Haun at 972-418-3794 or via email at sylvia.haun@Halliburton.com

***Please remember to bring your computer generated receipt to show that you have paid by credit card***

Marcus Garrett is a 1972 engineering graduate from Oklahoma State University. He worked seven years for Dowell, Div. Dow Chemical in Permian Basin and Gulf Coast areas. Moving to Tulsa in 1980, he spent 19 years as a drilling and production engineer for three different O & G companies working in Mid Continent and Michigan area, and the last 8 years for Baker Oil Tools in their Broken Arrow Manufacturing Plant where they manufacture, design and market Safety Valves world wide.

The presentation will discuss the function, operation and design of Surface-Controlled Sub-Surface Safety Valves. In particular, it will address the deepwater applications and the associated challenges for the actuation of SSSV’s.

Cost: $15.00 with a reservation or $20.00 (non members and at the door) - Lunch will be served

Reservations: (without using the credit card option i.e. pay at the door) -Contact Sylvia Haun at 972-418-3794 or via email at sylvia.haun@Halliburton.com

***Please remember to bring your computer generated receipt to show that you have paid by credit card***

Gary Patterson has worked as an Operations Engineer for Denbury Resources since 2005. His assignments include the Brookhaven CO2 and Little Creek CO2 Units in Southwest Mississippi.

Gary received his B.S. in Petroleum Engineering from Texas A&M University in 1984. He has worked for several independent oil and gas operators in Dallas, including Hunt Energy and Deminex U.S. Oil Company.

Gary has been active in the Dallas Section of the Society of Petroleum Engineers (SPE) since 1984. He served as Chairman of the Dallas Section along with many committee positions. Gary is a Registered Professional Engineer in Texas and Mississippi. He was honored in February 2007 by the Texas Society of Professional Engineers. The 2006 Outstanding Petroleum Engineer Award recognized his service to the Dallas Section of SPE.

This discussion of CO2 conformance begins with a working definition of the word "conformance". An overview of Denbury's Mississippi operations is then followed by four specific examples of Radioactive Tracer Surveys. Conclusions are drawn and future expectations are revealed.

Cost: $15.00 with an online reservation or $20.00 at the door - Lunch will be served

Location: Ellison Miles Institute, Brookhaven College (Mexia Room # H129) Map

Reservations: (without using the credit card option i.e. pay at the door) -Contact Sylvia Haun at 972-418-3794 or via email at sylvia.haun@Halliburton.com

***Please remember to bring your computer generated receipt to show that you have paid by credit card***

Slickwater (a.k.a. linear gel or hybrid) frac designs have been a major factor in the development of today’s unconventional gas reservoirs such as shale plays and CBM. However, most in our industry have “cut their teeth” in more conventional, cross-linked fluid fracturing. This presentation will focus on the major issues that must be considered when designing a slickwater frac, such as fracture complexity, proppant transport, and fracture conductivity. The intent is to provide a platform for thought-provoking discussion.

After completing his BS in Petroleum Engineering at the University of Missouri-Rolla, Terry Palisch worked as a petroleum engineer for 10 years with ARCO in Alaska and for four years with ARCO in Algeria, North Africa. During a portion of his tenure in Alaska, Terry supervised the $10,000,000 (annual) fracture stimulation program at ARCO’s Kuparuk River Field. In 2004 Terry joined CARBO Ceramics as a Sr. Staff Petroleum Engineer after teaching high school Algebra & Statistics for four years in Wylie, TX. His current work primarily focuses upon helping clients improve fracture designs by accurately predicting production under realistic conditions. He has authored several technical papers.

Cost: $15.00 with reservation and $18.00 (non members and at the door) Lunch will be served

Topic: "Production Logging and Multi-Rate Pressure Testing of Multi-layer Reservoirs"

Reservations: (without using the credit card option i.e. pay at the door) –Contact Sylvia Haun at 972-418-3794 or via email at sylvia.haun@Halliburton.com

Please remember to bring your computer generated receipt to show that you have paid by credit card.

The group’s primary focus will be the challenges and opportunities associated with the hydrocarbon production in the local region. The study group will meet for about 2 hours which will include a working lunch. The meeting will start with a presentation by the speaker which will be followed by discussions leading to sharing of best practices and identification of key areas for further R&D. For additional details, please contact Syed Hamid at 972-418-3813 or syed.hamid@halliburton.com .

Dr. Mehdi Azari is a Senior Technical Advisor for reservoir engineering in Wireline and Perforating product line with Halliburton. He holds a BS degree in Chemical Engineering from Abadan Institute of Technology, MS and PhD degrees in Petroleum Engineering from University of Southern California, and is a registered Professional Engineer. He has served in various Committees of SPE. He was nominated for the five Best Mechanical Engineering Award of ASME at the OTC in Houston, May 5, 2004 and received the E & P Hart’s Meritorious Award for Engineering Innovation at the OTC Conference and Exhibition, May 2, 2005. He has authored over 75 publications and holds 11 US and international patents.

Proper characterization of multi-layer reservoirs has significant effects on asset management. Production schedules from different wells and further infill drilling in a field depend on the effectiveness of reservoir description. In multi-layer reservoirs, at high flowrates, the high permeability layers produce at higher flowrates than the low permeability layers, and thus, they get depleted at a faster rate. At low flowrates or when the well is shut-in, fluids from the low permeability layers invade the high permeability depleted layers.

Multi-rate production logging and well testing surveys are valuable methods to estimate pressures, permeabilities, and skin factor of individual layers. This approach allows reservoir characterization without requiring zonal isolation. The results of multi-rate multi-zone production logging and testing combined with saturation trends provide valuable data for reservoir modeling. Another benefit of the step-rate production testing is the evaluation of layer contribution to the total production and diagnosis of problem wells such as excessive water production or leaking tubulars.

The combined pressure transient testing and the multi-rate multi-zone production logging of several of the wells tested in offshore Gulf of Mexico will be presented to illustrate the monitoring technique.

Cost: $15.00 with reservation and $18.00 (non members and at the door) Lunch will be served

Reservations: (without using the credit card option i.e. pay at the door) –Contact Sylvia Haun at 972-418-3794 or via email at sylvia.haun@Halliburton.com

Please remember to bring your computer generated receipt to show that you have paid by credit card.

Since 2004, Mr. Mofazzal Bhuiyan has been working as a senior petroleum engineer in the Energy Division of IHS Inc., located in Dallas, TX. He is responsible for the engineering support of applications that covers system (Nodal) analysis, ESP design, steady state network simulation and material balance. He also conducts training courses for these applications. These courses include the theory of well system analysis, description of the two phase fluid flow correlations, reservoir inflow performance relationships for vertical and horizontal wellbore, fluid properties determination, applicability of different PVT correlations.

Mr. Bhuiyan has an MS in Petroleum and Natural Gas Engineering from the West Virginia University, and a Bachelor of Science degree in Chemical Engineering from the Bangladesh University of Engineering. & Technology.

Reservations: (without using the credit card option....ie pay at the door) –Contact Sylvia Haun at 972-418-3794 or via email at sylvia.haun@Halliburton.com

This workshop will deliver a tutorial on the use of RedBook and eRedBook which provides data and methods for the various basic cementing-related calculations routinely performed by practicing field engineers in the oil patch. It will go in-depth over each section of the RedBook and discuss in detail what calculations can be made specific to that section. The tie-in to API documents for pipe and cements will also be discussed. Bring your calculator or laptop!

The course content will be tailored to some extent to suit the needs of the participants based on input gathered at the beginning of the course.

Halliburton

John received a B.Sc. Biology from Central State University in 1981. John has been the Manager of Training for Western Hemisphere since December of 2006. Prior to that he was Learning Center Manager for Halliburton at the Duncan Learning Center since April 2004. Previous to that John was a Senior Technical Instructor for Production Enhancement.

John started his career in at Halliburton in Oklahoma City in 1979 as a shop helper. He then moved to Cement Equipment Operator and Cementer. John later became a procedure analyst, technical advisor, which took him to Pampa, TX. From there, John was promoted to Technical Supervisor, Account Leader and Technical Advisor. John has held positions as Service Leader, Technical Training Specialist, Technical Instructor and HRD Manager. John co-authored many Halliburton training manuals and has instructed cementing and stimulation courses both nationally and internationally.