bluuebunny/crossref_metadata_2025_split huggingface dataset:
Economic Cycles and the Valuation of Oil and Gas Properties
Authors: Miller Richard J. 
Published: December 2007

Abstract
During the period of the 1980's and 1990's the oil business endured or, at times, benefitted from several economic cycles which brought about extreme fluctuation in the prices for oil and gas, changes in interest rates from as low as 3% to over 20%, substantial declines in domestic U.S. production and continually increasing regulation of the physical and economic aspects of the industry worldwide. This paper will examine the effects of the cycles in prices, interest rates, regulation and other economic factors on the process and component of the valuation of oil properties for sale/acquisition, taxes and litigation and other purposes. The paper will draw on information developed as part of recent analysis work as well as published studies and SPE papers from the past 30 years. Specific areas of study and discussion will include the effects of various methods to identify and account for risk and the influence of interest rates on discount rates.
Advanced Optimization Methodology in the Oil and Gas Industry: The Theory of Scatter Search Techniques with Simple Examples
Authors: April J. , Glover F. , Kelly J. , Laguna M. , Erdogan M. , Mudford B. , Stegemeier D. 
Published: December 2007

Abstract
A primary purpose of senior management is to make decisions around capital allocation that will improve the performance of the corporation. Portfolio analysis tools are designed to aid senior management in the development and analysis of portfolio strategies, by giving them the capability to assess the impact on the corporation of various investment decisions. To date most of the commercial portfolio optimization packages have been relatively inflexible and are often not able to answer the key questions asked by senior management. In this paper we will present new techniques that increase the flexibility of optimization tools and deepen the types of portfolio analysis that can be carried out. A new optimization engine, which contains state-of-the-art optimization functionality, allows users to simultaneously address financial return goals, catastrophic loss avoidance, and performance probability. These innovations enable users to confidently design effective plans for achieving financial goals, by employing accurate analysis based on real data. Traditional analysis and prediction methods are based on mean variance analysis, which is known to be faulty. The new techniques take a more sophisticated and strategic direction. State-of-the-art technology integrates optimization and simulation techniques into a global system that guides a series of evaluations to reveal truly optimal investment scenarios. Specifically, the new optimization techniques use an evolutionary approach called scatter search, reinforced by the adaptive memory strategies of tabu search. The software integrates state-of-the-art metaheuristic procedures, including Tabu Search, Neural Networks, and Scatter Search, into a single composite method. We will give some examples that highlight the importance and flexibility of the techniques applied to E&P portfolios.
Portfolio Optimization Techniques for the Energy Industry
Authors: Lessard Rodney W. 
Published: December 2007

Abstract
Energy companies typically face asset investment decisions which must satisfy a number of constraints in the form of annual corporate goals and complex asset dependencies. The aim of portfolio optimization is to select a portfolio, which maximizes/minimizes one or more value or risk measures, and satisfies these constraints.
In many cases, these problems can be readily expressed in the form of a set of linear equations, such that, global optimum values can be determined through the method of Linear Programming. As the complexity of corporate goals increase, non-linearities are often introduced, which require more advanced optimization techniques. In this paper we will describe a linear model for solving many optimization problems. In the case of non-linear problems we will describe the utilization of Genetic Programming as an efficient search algorithm to seek global optimum values. Finally, we will combine the two methods into a strategy for solving complex optimization problems, utilizing hybrid techniques that combine both linear and non-linear methods.
Integrated Prospect Portfolio Management for 3D Seismic Volumes Combining Geologic, Engineering, and Economic Risk
Authors: Garcia Javier , Holtz Mark H. , John A. , Jackson Katherine G. 
Published: December 2007

Abstract
This paper describes a practical methodology that links probabilistic play analysis, volumetric calculations, and economical evaluation to portfolio optimization using information from a 3-D seismic cube. In order that geologic chance of success might be calculated using a new probabilistic risking scale, a description of the geological framework is presented both in terms of play characteristics and the dependence on setting between geologic risk factors.
Probabilistic volumetric evaluation and expected monetary value were calculated for each of the targets in a 3-D seismic prospect portfolio by assigning probability distributions to geological, engineering, and economical characteristics. Monte Carlo simulation was also applied so that uncertainty could be modeled for probabilistic input values. Finally, an efficient frontier analysis was generated by building optimal portfolios having various degrees of risk.
Efficient portfolios are built by applying linear programming as an optimization tool. The balance between value and risk is considered for an optimal working interest to be obtained that fits investor constraints and risk attitude instead of a netpresent-value ranking being used. This trade-off maximizes value and minimizes risk for the entire portfolio.
Prospect risk is modeled as chance of loss, or semi-standard deviation, and value is defined as the mean expected monetary value derived from probabilistic economical evaluation.
A new geologic probabilistic risking scale was developed that adds standardization to the Monte Carlo simulation of geologic probability of success. This scale improves on previous methods by taking into account the uncertainty in judgment, as well as the quantity and quality of available information.
The methodology presented in this paper combines optimal portfolio management with probabilistic risk-analysis methodology, thus helping to guide management in evaluating a portfolio of exploration prospects, not just according to their value, but also by their inherent risk. This practical analysis is simple to apply using economical tools such as spreadsheets and Monte Carlo simulation software.
Decision Mapping - A Practical Decision Analysis Approach to Appraisal & Development Strategy Evaluations
Authors: Coopersmith E. M. , Cunningham P. C. , Pena C. A. 
Published: December 2007

Abstract
The time between discovery and development of a petroleum asset is wrought with many decisions, all with an aim to reach first oil with minimum expenditure, and maximum value. Not surprisingly, sorting through all the decisions and uncertainties is a daunting task for asset teams worldwide and lends itself to the use of a systematic approach. The focus on this phase is obvious. The majority of investment in a petroleum asset is in the appraisal and development phases, where the potential for value degradation due to lengthy, unfocused evaluation or sub-optimization of the project is great.
Key to accomplishing the goal of maximizing discovered asset value is the development of an appropriate appraisal and delineation strategy – ideally, geared toward gathering information, which adds value by optimizing development strategy selection. This requires a clear understanding of the development decisions ahead, and the existing uncertainties in the field, making the selection of development strategy difficult. Only with a clear understanding of the direct linkages between appraisal and development strategy, can teams set up their evaluations correctly. This requires a practical process and tools to identify and understand those interrelationships.
This paper proposes a practical methodology to frame (set up) appraisal and development strategy evaluations, and provides an illustrative example utilizing the approach. The methodology combines classic decision analysis with a new team-based, efficiency tool, referred to as "Decision Mapping". Decision Mapping is a simple framing tool, which helps multi-discipline teams identify the development decisions facing them, the key choices "in play" for each of those decisions, the interrelationship between those choices and the key uncertainties driving their value.
The Decision Map focuses teams on "why they cannot make each development decision today". This in turn helps them identify the inter-related decisions and key uncertainties, around which appraisal needs to focus. As appraisal and flexibility decisions are both "Valuing Information" decisions, the proposed approach also incorporates previously described methodologies to frame and value information-gathering decisions 1 and expands them to address related project sanction decisions. One of which, valuing appraisal well placement, will be addressed specifically.
Benefits of Using Deliquescing Desiccants for Gas Dehydration
Authors: Acor Lori G. , Mirdadian David 
Published: December 2007

Abstract
Historically deliquescing desiccants had limited applications due to poor desiccant quality, integrity, equipment design problems, operational difficulty, and limited drying ability. Advances in formulation, material blending, tableting, and equipment design have expanded the application range of deliquescing desiccants. Desiccants are now used to dry sales gas, fuel gas, sour gas, "peak" gas, and for hydrate control. The operational simplicity of deliquescing desiccants offer many advantages over traditional drying methods such as triethylene glycol, including: no VOC or BTEX emissions, no ground contamination, no fire hazard, low capital expense, and low maintenance. Used for hydrate control in gathering systems, desiccants offer an inexpensive method to dry gas to meet pipeline dew point specifications. Desiccants have advantages for drying sour gas both for hydrate control and pipeline sales. Vessels can be over-sized to extend service interval to only several times per year, reducing employee exposure to hydrogen sulfide. Desiccant drying of fuel gas yields increased revenues by using suction gas, not sales gas for compressor fuel. Desiccant dehydration is well suited for remote, unmanned locations, where operators can schedule maintenance and service weekly or even monthly. This reduces total operating costs and labor requirements.
The Application of High Power Sound Waves for Wellbore Cleaning
Authors: Champion Brian , van der Bas Fred , Nitters Gerrit 
Published: December 2007

Abstract
This paper presents the results of a wide-ranging investigation into the application of high power sound waves for the removal of plugging material from the wellbore and near wellbore region. The paper describes the process of generating high power sound waves using a high voltage electrical discharge and also summarizes the results of the laboratory and test well trials conducted on both simulated plugging materials and also on mud cake. The paper also references progress on the development of a prototype wireline conveyed wellbore cleaning system. The results of the investigation concluded that high power sound waves represent a viable wellbore cleaning technology with the potential to be applied effectively in the removal of various forms of wellbore plugging material. Since this process can be applied selectively and in a controlled manner in the wellbore, without environmental impact and using standard wireline deployment techniques, it offers considerable benefits over some of the existing solutions.
Use of Microfluidic Devices to Investigate Formation Damage
Authors: Zeilinger S. , McNeil R. I. , Belkin A. , Brasseur M. , Rosoff M. , Gentalen E. , Tripathi A. , Spaid M. 
Published: December 2007

Abstract
Developments in recent years allow chemical experiments that have traditionally been performed in the laboratory to be carried out on small chip-type instruments. This miniaturization of flow and chemical reactions in microchannels is called microfluidics. Only small quantities (i.e. microlitres) of reagent are necessary to perform these tests fast, reliably and cost effectively.
This paper outlines the basics of microfluidics, describing what it is and how it works as a tool for chemical analysis applied to drilling- and production chemistry. The focus is for applications as a measurement tool for the concentrations of ions, scaling ions and scale inhibitors. Results of measurements of chloride concentrations, zinc content, total ion content and calcium concentrations and scaling are discussed. The advantage of a microfluidic test of scaling is discussed using a field example, where unexpected reactions between unspent acids and completion brine were observed in the well and also in microfluidic devices.
The Role of Underbalanced Technology in the Completion Process
Authors: Cade Randall 
Published: December 2007

Abstract
Underbalanced technology is typically understood as a drilling technique, not a completion technique. Yet in many fields where underbalanced (UB) technology is applied, the completion aspect can have considerably greater economic impact - after all, the completion is the crucial link between the reservoir and hydrocarbon flow throughout the life of the well.
The advent of new technology and techniques have allowed UB to be applied to completions in both hard rock environments and in wells requiring support from screens or liners. Successful UB-completed wells have been documented in heavy oil, light oil and gas environments, and in horizontal and vertical wells. In every environment, understanding and controlling pressures and fluids are the keys to success.
This paper discusses the elements of the completion process that are unique to underbalanced operations and then examines five field case histories that highlight the role of UB.
Perforating in Overbalance - Is It Really Sinful?
Authors: Chang F. F. , Kageson-Loe N. M. , Walton I. C. , Mathisen A. M. , Svanes G. S. 
Published: December 2007

Abstract
Drilling and completing long horizontal wells in the North Sea oil fields are extremely costly. When perforating these long horizontal sections (&gt;1000 m) deployment of the perforation guns on drill pipe has been regarded as the safest and most cost efficient method. The well is then kept in overbalance until the completion is installed.
In order to maintain well control during the perforation operation a kill fluid with fluid loss control capability to seal off against the formation is required. However, perforating with the kill fluid in the wellbore presents a great challenge in minimizing formation damage. Therefore, optimizing the perforating design and properly choosing the completion fluids are crucial tasks to ensure good well productivity. A thorough laboratory-testing program has been performed to reevaluate perforating strategy and completion fluids selection for several fields in the North Sea. The fluid systems investigated include oil-based mud, low solid oil based mud, and kill pills formulated from formates and bromide brines.
The laboratory results have shown that if the perforating is properly designed and executed, formation damage can be reduced to a minimum even during overbalance perforating. In this work the major damage appears to be from the kill fluids. When using a water based kill pill, the reduction in relative permeability appears to be an important damage mechanism. Therefore the productivity is influenced strongly by the fluid loss control capability. In contrast, the filtrate invasion from the oil-based mud does not alter relative permeability, therefore the productivity impairment for these tests is less pronounced.
Furthermore, zinc and steel cased charges have been used to investigate their compatibility with kill fluids and their impact on formation damage. These studies have shown that interaction between zinc and CaBr2 based kill pill can cause failure of fluid loss control and excessive invasion of filtrate leading to reduced productivity.
This paper presents some of the results of the testing program.
Controlling Proppant Flowback in High-Temperature, High-Production Wells
Authors: Nguyen Philip D. , Weaver Jimmie D. 
Published: December 2007

Abstract
Curable resins have been used to coat onto proppant for controlling proppant flowback after hydraulic fracturing treatments as well as in screenless, frac-pack completions. As more wells are drilled into deeper reservoirs, severe conditions including high temperatures and high production flow rates impose more constraint requirements on the use of curable resin systems. This paper presents the results of an extensive study, including both laboratory and field testing, of a new liquid resin coating system that is particularly useful in controlling proppant flowback in high-temperature, high-flow rate wells. Additives included in the liquid resin system can eliminate fracturing fluid interference and permit good consolidation properties to be achieved without any formation closure stress.
Results of this work demonstrate the difficulty in designing fracturing treatments such that the curing of resin does not occur too fast relative to fracture treatment time and the time for formation closure to achieve good consolidation, but fast enough to prevent flowback upon fluid recovery operations. The useful window for resin-coated proppants has been greatly expanded by the incorporation of simple chemical additives into the resin that react with fracturing fluids, rendering them noninterfering to the consolidation process. These additives permit resin-coated proppant to achieve good consolidation properties without closure stress.
This study provides new answers as to why resin precoated proppant (RCP) consolidations sometimes fail in the field. Operators can use the information presented to help them select the appropriate curable resin systems for their applications where consolidations are expected to withstand production conditions of high temperatures, high flow rates, and stress loading.
A Holistic Review of the Water Injection Process
Authors: Palsson B. , Davies D. R. , Todd A. C. , Somerville J. M. 
Published: December 2007

Abstract
Water injection is an essential part of many modern oilfield development plans. The high costs and often tight economic margins associated with offshore developments require that the chosen waterflood design not only provides an optimum sweep efficiency and reservoir pressure support, to maximise the oil production revenue, but also carries an acceptable level of risk in terms of the project costs and technical uncertainties. The objective of this paper is to show how an optimisation process can be used to maximise the value of the injection water. This paper describes a holistic approach for an economic evaluation of the water injection process, integrating the key technical and economical elements.
A six–stage process to evaluate the "Value of Injection Water" is presented. For illustrative purposes, this process is applied to show how a holistic technical–economic evaluation of the water injection operational option for a North Sea field case can be carried out. The study concludes that the injection of a mixture of produced and aquifer water is the preferred source for injection water when applying a matrix injection process into a high quality formation. However, this introduction of the produced water increases significantly the uncertainty in the eventual economic outcome.
This process for developing an integrated technical and economic comparison of the options available is a tool by which the operator can decide on a decision on future water injection strategy. It can also assign a quantitative value to each volume of injection water - providing a quantitative framework for making day-to-day operational decisions..
SQUEEZE Modelling: Treatment Design and Case Histories
Authors: Mackay E. J. , Jordan M. M. 
Published: December 2007

Abstract
Modelling of scale inhibitor squeeze treatments is routinely performed to assist with chemical selection and to optimise treatment design, many examples having been presented in the literature previously. However, the modelling techniques are not always used to best effect, due to lack of experience, time or a methodical procedure for calculating sensitivities.
This paper presents a systematic approach to the use of squeeze models that makes use of laboratory data and field experience to assess, simply and effectively, the options for treatment design. Examples are presented that demonstrate the use of such models in aiding the selection of an appropriate inhibitor and the design of the first treatments as part of an integrated scale management philosophy. Very good accuracy in modelling the core flood is usually achieved. While the match between the model prediction and the first squeeze treatment is typically less accurate, history matching of the model parameters based on the first treatment is shown, by means of examples from two North Sea fields, to enable accurate predictions of numerous subsequent treatments in the same formation. The ability to accurately model treatments means that squeeze performance can be predicted with a high degree of confidence, and thus the treatment design may be optimised. This ability to accurately predicted treatment life is critical as wells mature, and the focus on cost per barrel of treated fluid becomes more critical. The most sensitive parameters are shown to be inhibitor type, inhibitor volume and overflush volume, and the paper discusses how they should be optimised to achieve the desired protection while striking a balance with chemical cost and deferred oil production.
A Stochastic Model for Deep Bed Filtration and Well Impairment
Authors: Bedrikovetsky P. , Santos A. , Siqueira A. , Souza A. L. , Shecaira F. 
Published: December 2007

Abstract
Injectivity decline during sea/produced water flooding is a wide spread phenomenon in offshore waterflood projects. The injectivity decreases due to solid and liquid particles that are present in the injected water. Capture of particles by porous rock results in permeability damage.
In this work, a new pore level model for deep bed filtration of water with particles in porous media is developed. The model accounts for particles and pore size distribution, as well as size exclusion mechanism (a particle is captured by a smaller size pore). The system of equations derived consists of the continuity particle number equations and of the kinetics of particle entrapment and pore plugging. The particle velocity reduction and the particle accessibility, due to restriction for particles to move via large pores only, are incorporated in the model.
An analytical solution of the pore level stochastic system is obtained for a medium with small pore size variation. It allows derivation of the averaged concentration equations which differs from the traditional ones.
Finally, the modification of the classical deep bed filtration model that accounts for velocity reduction and particle accessibility effects is proposed.
30 Years of Predicting Injectivity after Barkman & Davidson: Where are we today?
Authors: Hofsaess T. , Kleinitz W. 
Published: December 2007

Abstract
The reinjection of produced water is an important prerequisite for maintaining pressure and for flooding reservoirs. Thirty years ago Barkman and Davidson introduced the first compre-hensive theory for predicting the behaviour of injection wells. This theory was employed and tested for many years in actual injection projects at 'Preussag-Energie', including the develop-ment of a special-purpose instrument. In the present article, a survey of operational experience is given, and necessary ex-tensions of the model are delineated. Furthermore, the article highlights some important aspects which should be considered in laboratory investigations.