Telnite developed water-based muds with extremely high-lubricity using polypropylene glycol(PPG). These mud systems provide optimum safety when drilling high deviated and horizontal wells. Also, these systems are environmentally safe because they do not utilize oil. These mud systems were successfully used in the actual drilling of three horizontal wells and one extended-reach well. In each well, the high-lubricity of the muds resulted in good hole stability and effective reduction of both torque and drag. Development and actual field trials of high-lubricity muds using PPG are described in this paper.
In October 1992, production sharing contract for Block 15-2, offshore Vietnam wasconcluded between Mitsubishi Oil Co., Ltd. and Vietnam Oil and Gas Corporation (Petrovietnam), and the license was assigned to Japan Vietnam Petroleum Co., Ltd. (JVPC) for the implementationof exploration and development. Block 15-2 locates in Mekong Basin, which has a granitebasement overlaid mainly with thick Tertiary clastics and includes Back Ho field, the largest oilfield in Vietnam producing since 1986. Based on the geological and geophysical studies, first exploration well was drilled in RangDong prospect and confirmed the significant oil flow over 14, 000 bbl/day from the granitebasement and Lower Miocene sandstone reservoirs in June and July 1994. After appraisal wellsdrilling, “Commercial Discovery Declaration” was made in June 1996. Target reservoir is the granitic basement fractured reservoir, with very unique features mainlydeveloped by tectonic. Detection of the fracture distribution in the basement and evaluation of itsstatic and dynamic properties were not so easy, but could be accomplished to a considerableextent. Meanwhile there still exist lots of uncertainty in quantitative evaluation of the fracture.Due to such uncertainty, the northern part of the field was decided to develop as first phasedevelopment, prior to entering into fullfield development. Being high pour point about 30°C, produced oil is separated to liquid and associated gas onWellhead Platform, and the separated fluid is then transported to a tanker converted FPSO(floating, process, storage and offloading system) for exporting oil to shuttle tanker, instead of toonshore via pipeline. 18 months after commencement of the fabrication of production facilities, first oil productionwas achieved on August 30, 1998, with six predrilled production wells. As of December 1999, totalnine production wells are on stream. JVPC is planning to conduct further appraisal works in theremaining southern part of the Rang Dong field for future development.
Japan National Oil Corporation (JNOC) and Nippon Steel Corporation (NSC) developed a material selection software program, called J-Tube Mate, to select corrosion-resistant alloys for tubular goods based on assessment of corrosion resistance and total cost of materials. We confirmed the reliability of this program by comparing the calculated data with the available field data. This program can be used as a tool to do screening study of the cost-effective well design in corrosive environment (i. e. carbon dioxide and hydrogen sulfide).
Some hedge techniques against a risk in changing oil prices were explained in this lecture. Swap, option and collar were introduced. They were simple but very effective to hedge the risk for up-stream oil companies. Also, some consequent issues when applying these hedge techniques were discussed. Finally a total risk management system was proposed to reduce any kinds of risk and to establish company's strategy.
To quantify and visualize oil field uncertainties, a PC-based valuation tool has been implemented. The tool logic is a combined Monte Carlo simulation and scenario tree analysis model. It aims to incorporate all the identified key risks to analyze. Uncertainties of discrete nature will be modeled as branches of a scenario tree, while other uncertainties of continuous nature will be handled within Monte Carlo simulations and connected to end nodes of the tree. To valuate an asset for acquisition, the tool can visualize its value as differences between company cash flow model with that asset and without. Improvement of its user interface and the logic is in progress.
The “crisis” has very broad meaning in general, such as aneconomic crisis, or earthquake or typhoon in natural calamity, abduction or war, or blowout, fatalities or oil spill in E&P in the oil industry, etc. However, if we limit the meaning of the word as “an emergency situation” which will be experienced on board an offshore drilling rig, the crisis (emergency) management system can be considered integral to the HS&E management system as a hazard management system. From this viewpoint, this paper provides a brief outline the element of both a “Shell style” Health, Safety and Environment (HS&E) Management System and a hazard management system. With respect to the hazard management system, the comparison between Shell style system and one required in North Sea UK sector shows us a consistency of the both systems in spite of the difference in the procedure of hazards evaluation.