ENHANCING RESERVOIR MANAGEMENT IN THE APPALACHIAN BASIN BY IDENTIFYING TECHNICAL BARRIER AND PREFERRED PRACTICES

The Preferred Upstream Management Practices (PUMP) project, a two-year study sponsored by the United States Department of Energy (USDOE), had three primary objectives: (1) the identification of problems, problematic issues, potential solutions and preferred practices related to oil production; (2) the creation of an Appalachian Regional Council to oversee and continue this investigation beyond the end of the project; and (3) the dissemination of investigative results to the widest possible audience, primarily by means of an interactive website. Investigation and identification of oil production problems and preferred management practices began with a Problem Identification Workshop in January of 2002. Three general issues were selected by participants for discussion: Data Management; Reservoir Engineering; and Drilling Practices. At the same meeting, the concept of the creation of an oversight organization to evaluate and disseminated preferred management practices (PMP's) after the end of the project was put forth and volunteers were solicited. In-depth interviews were arranged with oil producers to gain more insight into problems and potential solutions. Project members encountered considerable reticence on the part of interviewees when it came to revealing company-specific production problems or company-specific solutions. This was the case even though interviewees were assured that all responses would be held in confidence. Nevertheless, the following production issues were identified and ranked in order of decreasing importance: Water production including brine disposal; Management of production and business data; Oil field power costs; Paraffin accumulation; Production practices including cementing. An number of secondary issues were also noted: Problems associated with Enhanced Oil Recovery (EOR) and Waterflooding; Reservoir characterization; Employee availability, training, and safety; and Sale and Purchase problems. One item was mentioned both in interviews and in the Workshop, as, perhaps, the key issue related to oil production in the Appalachian region - the price of a barrel of oil. Project members sought solutions to production problems from a number of sources. In general, the Petroleum Technology Transfer Council (PTTC) website, both regional and national, proved to be a fertile source of information. Technical issues included water production, paraffin accumulation, production practices, EOR and waterflooding were addressed in a number of SPE papers. Articles on reservoir characterization were found in both the AAPG Bulletin and in SPE papers. Project members extracted topical and keyword information from pertinent articles and websites and combined them in a database that was placed on the PUMP website. Because of difficulties finding potential members with the qualifications, interests, and flexibility of schedule to allow a long-term commitment, it was decided to implement the PMP Regional Council as a subcommittee of the Producer Advisory Group (PAG) sponsored by Appalachian Region PTTC. The advantages of this decision are that the PAG is in already in existence as a volunteer group interested in problem identification and implementation of solutions and that PAG members are unpaid, so no outside funds will be required to sustain the group. The PUMP website became active in October of 2002. The site is designed to evolve; as new information becomes available, it can be readily added to the site or the site can be modified to accommodate it. The site is interactive allowing users to search within the PUMP site, within the Appalachian Region PTTC site, or within the whole internet through the input of user-supplied key words for information on oil production problems and solutions. Since its inception in the Fall of 2002, the PUMP site has experienced a growing number of users of increasingly diverse nature and from an increasing geographic area. This indicates that the site is reaching its target audience in the Appalachian region and beyond. Following up on a commitment to technology transfer, a total of eight focused-technology workshops were sponsored by the Appalachian Region PTTC center at the request of the PUMP project. Five Welltender Operations and Safety seminars were held in Kentucky, West Virginia, Ohio, and Pennsylvania. A two-day Applied Reservoir Characterization seminar and a one-day course on Paraffin, Asphaltene, and Scale problems were held in Pennsylvania. A one-day workshop on Produced Water was held in OH. In addition to workshops and the PUMP website, the project also generated several topical reports available to the public through the website and through USDOE.

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