RAISING EXPECTATIONSQUANTITATIVE UNCONVENTIONAL RESERVOIR

CHARACTERIZATION ENABLED BY BREAKTHROUGH SEISMIC TECHNOLOGY

Presented by J. Quigley (Schlumberger)

In recent years thin, tight reservoirsboth sand and carbonatehave represented two
important types of hydrocarbon exploration and development targets in Jurassic strata in
central, northwest, and northeast areas of the Sichuan Basin. Most production from these
onshore areas has been closely associated with numerous small faults, fracture corridors,
and micro-cracks in thin carbonate layers; and in high-porosity zones in tight, thin sand
bodies. With reserve estimates for the Sichuan Basin most likely higher than current
estimates, demand for increased production from the area has made it imperative to perform
reservoir characterization with the highest possible accuracy.

This presentation discusses a case study in which seismic characterization of Sichuan thin,
tight sand reservoirs was dramatically improved through use of a state-of-the-art, high-
density, full- azimuth, point-receiver land seismic survey, calibrated with well log data. The
method used involved a comprehensive data-processing sequence utilizing algorithms
developed for the high- density, full-azimuth applications. Quantitative reservoir
characterization was achieved by well log data correction, rock physics analysis,
simultaneous amplitude-versus-offset (AVO) inversion and lithology identification.
Specifically, we have been able to successfully delineate the geometry of the hydrocarbon
bearing sand channels. Quantitative multiscale fracture characterization was also achieved
by simultaneous azimuthal AVO (AVOaz) inversion and seismic post-stack ant-tracking. The
resultant dataset has provided a radically different view of the subsurface reservoir that was
previously unseen and will enable future drilling decisions.



HOW TO IMPLEMENT A SUBSURFACE INTERPRETATION SYSTEM WHILST MINIMISING
BUSINESS IMPACT
Presented by D. Hodgson (Woodside)

Making the decision to move from an ageing subsurface interpretation platform to a modern
platform with additional benefits is a relatively easy decision to make. Moving from the old to
the new however is not straightforward and is something E&P companies will typically
undertake once every 10-20 years. Changing the software applications is just one element of
change needed to successfully complete the move. Other factors such as corporate
capability, operating processes and supporting technology are key ingredients. Moving the
mountain of corporate data is not a simple cut and paste exercise.

How do you make such a transition without major disruption to Exploration and Development
activities and allow users to deliver on work commitments. This presentation will highlight the
key ingredients needed to make a successful transition to Petrel and Studio applications with
a particular focus on Geoscience and best practices in data management.





RESERVOIR CHARACTERIZATION DEEP WATER WELLS (20112013)
Presented by T. Martinez (Pemex)

New challenges in Deep Water Reservoirs are facing in PEMEX Activo de Exploracin
Aguas Profundas Norte (AEAPN) with the need to incorporate new oil reserves that
contribute to the production that Mexico requires. In order to accomplish this goal an
accurate Reservoir Characterization is need it for reserve certification, a large amount of
information such as logs and cores from new Wells, 3D high-resolution seismic, 3D EM data,
making cutting edge technological solutions necessary.

Inside Perdido fold belt area are the first successful wells for AEAPN and the first oil
producers on Depth Water environment in all Mexico. The Structural and Stratigraphic
complexity encounter on these fields required a Characterization Model able to reproduce
thin layers geological behavior in order to be representative by 3D model in an accurate
way, challenging the number of cells necessary modeling the fast variation of petrophysical
properties on vertical direction.

Create 3D models with enough level of detail considering that areas to be modeled are
around 1000 km bring new challenges to handle the number of cells necessary modeling
the New Reservoirs, making necessary the combination of Technology in software and
software as well as advance geological knowledge.

PEMEX Need to incorporate New Reserves bring an opportunity for Characterization group
to innovate the way that 3D Reservoir Models are build it, using the same Technology
across the life of the well, starting the characterization preparation phase together with
well drilling surveillance and updating this model as new data arrives from well, reducing
the amount of time need it to deliver a reserve certification when well is finished, the
successful way to achieve this it with the precise combination between Technology and
People knowledge, that will be described on this Document.



INTEGRATED PLAY AND PROSPECT ASSESSMENT IN EXPLORATION
Presented by A. Acevedo (Schlumberger)

The most critical decisions in exploration aim to answer three questions: which acreage to
acquire, which prospect to drill first, and where to drill the first well on each prospect.
Traditionally, the answers are based on geological interpretation, risk assessment, and economic
evaluation of exploration projects. However, often these assessments are performed by different
teams and by using disconnected technology. The latter leads to issues with time efficiency and
more critically, may lead to decisions taken out of context. We introduce an integrated play to
prospect risking approach. This empowers you to perform full geological evaluations linked to
maps, interpretations, and the risked economic models, while remaining spatially referenced.



MITIGATING GEOMECHANICAL RISKS IN YOUR ASSETS
Presented by A. R. Herrera (Schlumberger)

Many reservoirs in the world can experience geomechanical issues. These can affect the
reservoir drive mechanism, create damaging stresses on wells, and potentially breach the cap
rock of the reservoir. This demonstration will show how a combination of the Petrel and Techlog
platforms, and the Eclipse and Visage simulators are used to address and mitigate these risks
through the use of mechanical earth models coupled to reservoir simulators. It will be shown that
reservoir performance can be more realistically evaluated, the risks to long-term well
survivability identified, and a drainage strategy created to reduce the strain on the cap rockall
during the field-development phase.



A 4D GEOMECHANICS SOLUTION APPROACH TO NATURAL FRACTURE PREDICTION IN
OPERATION
Presented by Xavier Legrand (PETRONAS)

Since the Seventies, Exploration and Production challenges in Sundaland regularly lead to
improved understanding of its tectonic setting. According to land-based geologists this region
was previously considered as tectonically stable and did not exhibit any evidence of far-field
deformation. Currently, the Malay basin located East offshore of the Malay Peninsula is known to
have undergone a succession of major tectonic events. The basin originated in the Late
Cretaceous and was developed through structural changes consistent with a polyphase
extrusion model and displacements in which India has successively pushed Sundaland
(Tapponnier et al., 1986). Initially, the extrusion imparted sinistral transtensional wrenching on the
axial basement fault along the basin length. In post Mid-Miocene, wrench slip reversal produced
transpression, accompanied by a positive structural inversion. At present day, this complex
tectonics confers to the basin a singular fracture model through time.

A natural fracture prediction (NFP) study is used to depict the fracture model associated with the
tectonic calendar. An innovative geomechanically-based methodology describes the different
steps to reduce uncertainty in the natural fracture zone assessment both in estimating (i) the
paleo-geometry of the structures from a 2D & 3D geomechanics-based reconstruction (Maerten
and Maerten, 2006) and (ii) the paleo-tectonic stresses, recovered by a fracture clustering based
on Andersons theory of faulting (Anderson, 1942), and used in the geomechanical simulations
from the inversion technology (Maerten, 2010). As a consequence, the understanding of the
reservoir characterization was greatly improved.

References

Anderson, E. M. [1942] The dynamics of faulting and dyke formation: with applications to Britain. Nature,
149, 651-652.

Maerten, F. [2010] Geomechanics to solve geological structure issues: forward, inverse and restoration
modeling: Ph.D. thesis, page 450, University of Montpellier II, Montpellier, France.

Maerten, L. and Maerten, F. [2006] Chronologic modelling of faulted and fractured reservoirs
using geomechanically based restoration: Technique and industry applications. AAPG Bulletin, 90, 1201-
1226.

Tapponnier, P., Peltzer, G. and Armijo, R. [1986] On the mechanics of the collision between India and
Asia. From Coward, M. P. & Ries, A. C. (eds), 1986, Collision Tectonics. Geological Society Special
Publication, 19, 115-157.



PRODUCTION AND INJECTION MONITORING AND
SURVEILLANCE MYSIP
Presented by O. Agudelo
(Ecopetrol)


The Casabe Technology Alliance between Ecopetrol and Schlumberger started its
operation in 2004 in Casabe field. The field came originally into production several
decades ago and by 2004 was producing close to 5,000 BOPD.
The alliance went into a re-development of the field with an aggressive strategy to
increase Oil production through selective water injection for secondary recovery. The
re-development considered a significant increase of producing and selective injector
wells, something that poses a challenge in terms of injection and production data
handling, engineering worklfows for better decision making.
Casabe Alliance decided to implement an integrated operation decisional system for
supporting key production and operational business processes bringing to end-users the
right information at the right time for better decision. The scope includes not only
automation of some business processes along with the underlying system but also the
business change management activities for managing the change.

This project consists in adjusting operational processes, in providing different
component to implement as:

1. Component 1: Data Management

Data consolidation and creation of only one and unique data
source of information for CASABEs asset historical production.

2. Component 2: to-be Production business processes and mapping of information
flows.

Analyze and document the current injection / production process,
which allow identify improvements related to data management




3. Component 3: Production information and engineering workflows Management

Expert Automatic System Intelligent workflows based on
pattern recognition.

Data visualization and alarms generation.

Link operational Data Base with the other applications

Ensure data quality for the follow up and
analysis. The key benefits for the Casabe Alliance are:
Decision making process Improvement that should impact OPEX
(reduction) and Production (increase)

Protect the historical data: Accessibility, tracking , integration of in a timely
manner
Surveillances focus in production and Injection wells (manifolds)

Effective water flooding control

Timely decision from current and reliable information

Data transfer to internal and external applications with limited human manipulation



MODELLING AND OPTIMISATION OF GAS STORAGE AND PRODUCTION SYSTEMS
Dr Bishop Falope (PetroFlow)

Gas production, storage and injection facilities are an economical way to sell gas when price
is right and store when prices are unfavourable. Operating a gas production and injection
system combines the challenges normally associated with wet gas production i.e. hydrate and
liquid management, with the need to be able to switch from production to injection modes to
at short notice. In order to simplify the complexity associated with operating such facilities,
operators adopt simply and easy to follow procedures. This however comes at the expense of
optimal operation due to the adoption of very conservative criteria.

This paper presents the use of OLGA for simulating the operation of a production-injection
facility using compositional tracking. The model was constructed to allow production and
injection to be modelled with a single model and was benchmarked against transient
operating data provided by the client. The remarkable representation of the facilitys operation
by the model led to its use for significantly simplifying the operating procedures and allowing
decisions to be made more easily and cost effectively. The model was further used as a virtual
temperature sensor taking the place of a damaged sensor.

The results of this analysis show how the full benefit of simulation can be realised for
operations support, asset performance optimisation and cost saving.



PETROLEUM PROSPECTIVITY OF PAKISTAN WITH SPECIAL REFERENCE TO EXPLOITATION
OF UNCONVENTIONAL HYDROCARBON RESOURCES AND ITS CURRENT STATUS
Presented by Moin R. Khan (Pakistan Petroleum Limited)

The presentation will give an overview of Pakistans existing E&P scenario vis--vis its vast
sedimentary basins and the huge conventional and unconventional hydrocarbon potential these
basins offer.

The global energy scenario has been evolving with declining production in the face of rising
demand for both oil and gas. As a result, reserves replacement ratios are going down and
currently stand at less than 50 percent. This means that the current global trend in energy supply
and demand is patently unsustainable. In addition, the gradually rising gap between demand and
supply of oil is filled mostly by gas and, more recently, unconventional energy resources. At the
projected growth rate, the world will need to find new reserves, ensuring additional production to
the tune of 42 MMboepd by 2035 on account of depleting reserves from large fields, both new and
old, and future growth requirements.


Pakistans Exploration and Production scenario is not very different despite the fact that energy
consumption in the country has grown at an average rate of over 5 percent per year during the
last 15 years, which is one-third of the world average. As such, the country is struggling to meet
growing energy demand in the face of fast-depleting oil and gas reserves, high oil prices and
escalating capital costs.

Since 2006 2007, energy supply has been unable to fulfill demand. And as new reserves have
not been discovered at the desired rate, the gap is continually rising. So far, 56 Tcf of gas and
about a billion barrels of oil have been discovered in 242 oil and gas fields through 780 exploration
wells with a success ratio of 1: 3.3 wells, which is very high compared to world standards.

The trend for Pakistans oil and gas discoveries called the creaming curve indicates that size of
discoveries is progressively decreasing despite an increase in success ratios resulting in a large
number of discoveries. However, this creaming curve represents only that part of the country
where exploration activities have been focused. Drilling of 780 Exploration wells in a sedimentary
area of over 800,000 Sq. Km is too little by any standard.
This makes it imperative to accelerate the exploration efforts for both conventional and
unconventional resources to meet present and future energy supply challenges. This is to say
that exploration for unconventional hydrocarbon reserves, which is an integral part of the energy
mix in North America, a game changer in that region, and on which very little concrete work has
been done in Pakistan, deserves special attention.



As such, increased focus is required on unconventional reserves such as tight and shale gas to
meet present and future energy supply challenges. This is to say that exploration for
unconventional hydrocarbon reserves, which is an integral part of the energy mix in North
America, a game changer in that region, and on which very little concrete work has been done in
Pakistan, deserves special attention. Quite developed in North America, this is an emerging play
type in the rest of the world and holds great promise for Pakistan too. The North American model
can be replicated in Pakistan if an operational synergy and the economies of scale is created.


If 56 Tcf and one billion barrels of conventional gas and oil reserves respectively have been
discovered, there has got to be organic rich shales (known to be of Early Cretaceous and
Paleocene age) that have generated at least 10 times that much gas/oil, 50% of which would have
been retained by these rocks. Based on conservative estimates, unconventional reserves of Tight
and Shale gas in the country stand at about 100 Tcf. Similarly there are known tight gas reserves
of 38 Tcf that needs immediate exploiting, while the potential reserves estimates are close to 100
Tcf. Shale gas is expected to be associated with Shale Oil. This is clearly not the kind of statistics
that we can afford to overlook any longer if we are to ensure the countrys future energy needs.
To this end, it is imperative for geoscientists, petroleum engineers, service providers and policy
makers to strategize together and chalk out the roadmap for a way forward.



ROCK PHYSICS & SEISMIC INVERSION TO CHARACTERIZE A TIGHT GAS SAND
Presented by Jorge I. Adrian (PetroSA)

A reservoir is exposed to a great number of analyses in all stages of its active life (exploration-
appraisal-development-enhanced recovery) in order to optimize the asset value and to reduce
the uncertainly of geological and production factors. Seismic data has come to rule an essential
role in this process. However, seismic has a limitation: It represents an interface property,
instead of a rock property, so in principle the seismic data is inverted into a volume of elastic
properties such as Acoustic Impedance, VP/VS, etc. The remaining challenge is to understand
the elastic response to changes in petrophysical properties (porosity, lithology, hydrocarbon
saturation, etc.). In order to address this dilemma, rock physics modelling has been undertaken.

The broad objective of this presentation is to show a methodology to characterize in PETREL a
tight Gas Sand reservoir based on 2-main steps:

(a) To perform in situ and perturbational log derived rock physics forward modelling to
understand the effect of varying fluid fill, porosity, clay content and thickness; and study
the AVO attribute responses to help determine which, if any, AVO attributes or cross plot
products may be useful to discriminate between pay vs wet targets or lower and higher
porosity, etc.

(b) To invert seismic reflection data into quantitative elastic-properties (Pre-stack inversion)
to sufficiently differentiate geological features with similar P-impedance signatures. This
method uses multiple angle seismic partial stacks and their associated wavelets as input
to generate P-impedance, S-impedance and density as outputs.

The study area is situated off-shore South Africa, in water depths of less than 200 m. The target
reservoir is the Early Valanginian gas bearing sandstones in the Upper Shallow Marine unit.



OVERVIEW OF THE CHALLENGES TO EXPLORATION POSED BY DEEPWATER SHALLOW HAZARDS AND
SALT IN THE ATLANTIC BASIN
Presented by J. Dribus (Schlumberger)

At the end of the Permian Period over 250 million years ago, the supercontinent of Pangea began to be rifted into
the smaller continents we are familiar with today forming the Gulf of Mexico and then the greater Atlantic Ocean
basin. This talk reviews the geologic evolution of the Atlantic basin and the filling of parts of the basin margins by
layered evaporate complexes in Brazil and across the conjugate margin in Angola, and massive halite deposits
within the Gulf of Mexico.

This talk also reviews several of the key exploration challenges posed by shallow hazards in the deepwater
operating environments, and discusses additional drilling hazards created by massive salt and layered
evaporates, including possible problems drilling into, through, and out of salt (such as cap rock, inclusions,
rubble zones, and feeders).



WELL PLANNING AND RELIEF WELL SIMULATION
Presented by S. Forsyth (Schlumberger)

Designing wells in the Petrel E&P software platform has changed, with new trajectory algorithms,
a user-friendly design interface, and driller-friendly spreadsheets. Trajectory uncertainties
associated with surveying equipment have also been implemented, taking well design to the next
level.

Relief well simulation focuses on the new screening facility available in the Petrel platform for
relief wells, using the pumping, trajectory, construction, and mud parameters to perform a
dynamic multiphase simulation to assess the outcome of the well kill operation, before the
original well is even drilled.



IMPACT OF SUBSURFACE AND SURFACE MODELING FORECASTING PRODUCTION
Presented by D. L. Clements (Schlumberger)

The cost of deepwater wells reduces the number of appraisal wells drilled. Therefore, when
developing a deepwater field, the information collected in the reservoir may be limited. This
demonstration will examine how the uncertainty in the reservoir will impact the field.



ADVANCES IN STRUCTURAL INTERPRETATION
Presented by G. Van Der Hoff (Schlumberger)

Structural interpretation of the subsurface is a fundamental process in the E&P lifecycle, as
accurate interpretation of geological structures are the building blocks for velocity modeling,
property modeling, assessment, and risk analysis of hydrocarbon volumetrics. In complex
geological regimes, making a fast and confident structural interpretation is a significant
challenge.

In this presentation we will demonstrate how advanced structural interpretation in the 2014
release of the Petrel E&P software platform redefines conventional structural interpretation
workflows by efficiently combining manual and automatic interpretation approaches,
complimented with comprehensive QC tools to easily correct wrong interpretation in a user
environment that delivers a step change in productivity.

Most importantly, tectonic and depositional relationships can be incorporated through interactive
seismic reconstruction based on geomechanical principles, followed by modeling-while-
interpreting, which provides a powerful tool for fast and accurate interpretation. This reduces
interpretation uncertainty and delivers a confident, validated structural framework of the
subsurface that can be used directly in subsequent workflows such as property and fracture
modeling, as well as volumetric workflows.



DEVELOPING ASSETS: AN INSIGHT INTO HIGH-RESOLUTION MODELING
Presented by J. Quijano (Schlumberger)

The industry is developing many complex fields, which require a large amount of capital
investment and often do not perform as expected or are delivered behind schedule. Today, there
is a greater understanding of the structure, geology, and fluids. This presentation will show how
the INTERSECT high-resolution reservoir simulator uses this greater understanding to provide
more accurate forecasts of recoverable reserves, production forecasts, and fluid breakthrough,
which form the essential cornerstone to developing complex fields.



UNCERTAINTY TO ECONOMICS: INTEGRATING DYNAMIC SIMULATION AND ECONOMIC
MODELLING TO MAKE BETTER DECISIONS
Presented by Russell Julier (BG Group)

A Petrel RE to PEEP plug-in has been developed by BG Group in partnership with
Schlumberger to allow project cost, subsurface and economic uncertainties to be considered
in a single integrated environment.

The presentation will demonstrate an end-to-end Uncertainty to Economics workflow that
integrates Schlumbergers Petrel RE and Eclipse products with the Schlumberger Meraks
PEEP product. Discuss why BG Group developed the workflow and supporting plug-in and the
advantages the workflow brings to the assessment of uncertainty and decision making.

The widespread implementation of multi-realisation geological and reservoir simulation
software has transformed the subsurface workflows used of many operators. The ability to
incorporate uncertainty and multiple alternate subsurface realisations has allowed a better
understanding of the resource risk profiles associated with new opportunities to be
developed. This is particularly important during the appraisal and pre-sanction development
phases where the ability to create value is at its greatest.

However, much information is lost when relatively few discrete cases from the full resource
distribution are taken forward for detailed economic analysis allowing only a partial view of a
project NPV risk profile to be created and preventing the economic impact of many
uncertainties to be fully considered.

The incorporation of an economic model within an automated workflow potentially offers a
significant improvement in both quantity and quality of information available to decision
makers by allowing the many more realisations to be evaluated economically and the full risk
NPV risk profile to be described.

This integration is achieved by the near concurrent running of multiple realisation Petrel RE
static and dynamic models together with the PEEP economic model to calculate economic
KPIs using the Plug-in.

Subsurface, Project (Cost) and Commercial (Price) uncertainties can be considered within a
single environment to provide multiple discrete NPV values for sensitivity, decision tree
analysis and Monte Carlo analysis.

The automated use of existing PEEP economic models via the Petrel RE-PEEP plug-in thus
offers increased efficiency, better understanding and improved decision making.



HOW TO BUILD A DATA MANAGEMENT PROGRAMME
Presented by Fabio Feneri (Eni)

It is well known that the maintenance of quality information leads to a higher probability of
finding hydrocarbon reserves and a reduced cycle time. As part of our on-going cycle of
continuous improvement eni recently commissioned Schlumberger to assess the overall
management of corporate data across the global exploration function. This assessment
detailed processes and workflows in the headquarters, in selected affiliates and in the way
those entities interact.

Following on from the recommendation made by Schlumberger in the assessment eni are now
on course to re-engineering several of our global processes with a view to providing an
overall increase in efficiency and of improving information quality world-wide.



STUDIO CUSTOMIZATION, IMPLEMENTATION AND CHALLENGES
Presented by D. Aziz (Petronas)

In 2010, PETRONAS has defined Petrel as their foundation platform for G&G and RE community.
This is to ensure the flow of information will be on the same platform, from seismic to reservoir.
The amount of information and knowledge that travels through the eco-systems are enormous.
The needs to streamline data management workflows and capturing knowledge - has to be done
via Studio.

PETRONAS started to access Studio back in late 2012 and the deployment started 6-months later.
Studio has to be designed to suit the three main PETRONAS E&P business units Explorations,
Development & Regulator. The deployment involves development of process to streamline data
workflows, managing users and data.

This paper will illustrate the journey that PETRONAS undertake to adopt Studio in its organization,
as well as, highlighting some of the challenges facing the team.



OUR G2 E4 UNCONVENTIONAL FIELD DEVELOPMENT METHOD
Presented by Steve Geetan (EP Energy Corporation)

In todays fast cycle Unconventional field development, the drilling and completion design steps
are mostly done independent of a 3D geological model or a deformable 3D geomechanical model.
Dynamic reservoir simulation is commonly done using models not informed by a well constrained
geologic model and when done are mostly single well simulations due to the computational cost
in simulating a multi-well fracture volume. Moreover when available, the geomodels are normally
built after the drilling and completion of the important pilot phases of an unconventional
development. These disconnect among the key disciplines causes a disruptive learning cycle
which can easily erode value.

The G2 E4 workflow starts with a geologic property model and a discrete fracture network (DFN)
using seismic and or well centric data (image logs, core, and specialized gas logs such as
helium). These results then feed the 3D Mechanical Earth Model (MEM) where the DFN features
are used to perturb the wellbore scale stress field. Using observations from the drilling
experience, the completions hydraulic fracture treatment pressures and the effects of producing
the reservoir over time we can calibrate the model through many feedback loops improving its
reliability even when initially built with measurements that have high uncertainty. This is achieved
by fast numerical simulation allowing many calibrating experiments to be performed when
selecting the geomechanical parameters.

The resulting 3D MEM allows us to build multi-well models providing significant insights into well
interference, order of fracturing wells and stage spacing by numerical simulation of the evolving
stress field. This method provides a strong link between the geoscientists and engineers allowing
all observations to be integrated, bridging the gap among these disciplines and improving chance
of success.



ASSET OPTIMIZATION SOLUTIONS TO ENHANCE RATES, RECOVERY, AND EFFICIENCIES
Presented by Kirk Pitts (Schlumberger)

In field development planning, the best industry practice is an integrated asset approach. The
same best practice applies in the production phase, in which the aim is to maximize value
extraction. This is done through asset optimization, which means simply doing better tomorrow
than is being done today. This involves making decisions to improve field performance in a live
operating environment, in which software is connected to the field to better understand the
surface/subsurface.

However, asset optimization is more than just technology: it is the ability to see online
information, to understand the state of the field, and to use software systems to analyze and make
the right decisions to improve recovery and hit target ratesefficiently. This presentation will
cover the asset optimization offering from Schlumberger. It will expand on how our multifaceted
approach integrates technology, information, people, processes, and organization to maximize
asset production performance with a balanced view across the entire hydrocarbon pathway.



BUILDING GEOLOGICAL MODELS IN EXTENSIONAL AND COMPRESSIONAL SETTINGS
Presented by C. Chahine (Schlumberger)

The simplest structural and stratigraphic traps have mostly all been found. Today, E&P
companies are increasingly exploring for and producing hydrocarbons in more and more complex
geological environments. To reduce risk and maximize return, new techniques are needed to
produce a reliable representation of the subsurface that can be integrated from interpretation to
simulation.

The main challenges in this complex area are often related to the numbers of faults and the
relation between them, as well as handling complex reverse faulting or thrust. Associated to any
of these cases, the variation of thickness of the geological formation and the handling of multi-z
formation are also challenging and often not handled very well with the conventional modeling
methods. In these areas, understanding the relationship between the faults, formation, and the
associated timing is critical. It is clear that to be able to do this efficiently, having separate
workflows for interpretation and geological model construction is not an optimal approach and
leads to inaccuracy and repetition.

Today, the volume based modeling approach within the Petrel E&P software platform helps to
tackle each of these structural and stratigraphic challenges, while simultaneously integrating the
interpretation and model-building process. This presentation details complex examples from
extensional and compressional provinces, showing how they have been handled in the Petrel
platform from the interpretation to the gridding.



SEISMIC DEPTH IMAGING COLLABORATION BETWEEN STATOIL AND WESTERNGECO
Presented by Mike Cogan (Statoil)

Successful seismic imaging is critical to Statoils exploration success in many basins, particularly
the Gulf of Mexico, Angola, and Brazil where there is considerable geologic complexity. While all
exploration work requires seismic data for interpretation and sometimes, lithology and fluids
prediction, in the most complex geology, seismic images are even more important. It is therefore
particularly frustrating that the seismic image tends to break down exactly where it is most
needed. Examples from the Gulf of Mexico abound where a prospects trap geometry is highly
uncertain because overlying salt formations refract, mode convert, and scatter seismic energy,
leaving, noisy, washed-out images.

A decade of advances in seismic acquisition (wide and full azimuth marine data, broadband) and
seismic imaging technologies (true 3D demultiple, reverse time migration depth imaging, full
waveform inversion, anisotropic velocity model building) have made an impact on our
understanding of the subsurface. There are many examples of the compounding effects of these
new technologies, but with better data, exploration has progressed to deeper targets and more
complex geology, where the improvement from the latest technology is often localized, with many
important areas still poorly imaged. In the Gulf of Mexico, the recent increase in activity in deep
water Paleogene targets is a good example.

How will the current set of challenges be solved? Some progress is being made by
understanding the problems and making better assumptions. Rock physics information and basin
models are being used successfully to constrain velocity model building efforts. In some areas,
subsurface understanding comes from incremental improvements in seismic images achieved by
iteratively testing plausible scenarios (geologic models). Seismic imaging workflows that
incorporate geologic constraints and multiple forms of non-seismic data can help drive us
towards the best image. Seismic imaging algorithms and the high performance computers they
run on have to be both accurate and efficient to produce images from models in hours instead of
days.

Statoil and WesternGeco are collaborating to solve complex imaging challenges in Statoils
Houston Seismic Imaging and Processing center. This presentation will provide a look back on
two years of the Omega/Petrel Imaging solution in Houston, what both companies have learned,
and new directions for the future.



INTEGRATED APPROACH TO PETROLEUM SYSTEMS MODELING IN UNCONVENTIONAL
PLAYS
Presented by A. Madhoo (Schlumberger)


In recent years, as North America has led the way to full, large-scale commercial production of
unconventional oil and gas, the exploration industry has benefitted from high well counts and
generally, dense networks of onshore subsurface data. Europe, on the other hand, has a low
existing well count for conventional resources and notable socio-political and infrastructure
challenges, such as high-population densities. Success, therefore, relies on using all existing
data and drilling a reduced number of exploration wells.


An integrated 3D geological and petroleum systems model of the onshore Netherlands is
presented, which includes critical spatial information such as geographical terrains and surface
constraints. Results from this approach clearly demonstrate areas of higher prospectivity, and,
importantly, their associated uncertainty. This allows E&P companies to select areas that have
the best chance of success.



CONCEPTUAL TO DETAIL ENGINEERING OF THE PRODUCTION SYSTEM
Presented by W. Oliveira (Schlumberger)

Subsea capital expenditure is forecast to double over the next five years, in line with the
development of more complex subsea fields in deep water. This presentation will address how
Schlumberger software enables engineers to assure flow from pore to process through the
conceptual and detailed design, using steady-state and dynamic simulationaddressing
challenges such as lift requirements, thermal management, and operability, and thus providing
the best return on the capital investment.



HOW TO LEVERAGE YOUR INVESTMENT IN PEEP TO DO DECISION ANALYSIS AND
PROBABILISTIC ECONOMICS
Presented by Bernardo Gurfinkel (Hess Corporation)

At Hess Corporation, we have been using Merak Peep with FML (Fiscal Model Library) as our
core economic engine since 2007. One year after the implementation, we developed our first
Merak Peep extension called The Budget Tool that optimized the workflow for the capture of
project level production, capital expenditure, reserve migration, and economic data for all our
Production and Developments assets.

Since then, the need for economic services has grown dramatically within Hess: we now self-
certify reserves, the number of wells to be evaluated has increased in tandem with our
unconventional portfolio, and senior management now requires more probabilistic based analysis.

In order to meet this growing demand the company implemented the Hess Economic Suite (HES)
in 2011. HES was built over 4 basic pillars:

1. A "cloud" based platform that reduces calculation and response time by running, when possible,
economic cases in parallel.

2. Merak Peep as our global economic engine.

3. An App framework that lets us implement new workflows faster.

4. A Plug and Play philosophy to leverage 3rd party software.

This presentation explains how Hess has leveraged HES and its Peep investment to do decision
analysis and probabilistic economics. It describes the different workflows being used and what
challenges still remains.



3D ELECTRICAL RESISTIVITY DATA PROCESSING IN PETREL BY IERP
Presented by O. Tokareva (CJSC Irkutsk Electroprospecting Company)

Methods other than seismic are becoming ever more actual in petroleum exploration, among them
advanced electromagnetic survey. Being complementary to seismics, the advanced electromagnetic
survey can identify subsurface structure and its parameters in depth range from a few meters to
kilometers and reduce well placement risks by constraining reservoir locations and fluid type.

CJSC Irkutsk Electroprospecting Company (IERP) is the only Russian service company to offer joint
processing of resistivity and seismic data in Petrel, which opens new capabilities in reservoir
characterization. Converting geoelectrical parameters to the universal SGY format with a specially
designed technique allows integrating resistivity data into geological modeling in Petrel. Geoelectric
patterns have implications for lithology, reservoir zones and their saturations, and presence of
igneous rocks and faults. Either 2D or 3D resistivity data can be used at different exploration phases.
With 3D data, cubes of geoelectrical and seismic attributes can be created.

The partners and clients of IERP are the leading operators and service companies around the world,
such as PETRONAS, PrizePetroleum, Gazprom, Gazpromneft, Novatek, Surgutneftegaz, Irkutsk Oil
Company, Institute of Petroleum Geology & Geophysics and SNIIGGiMS Institute (Novosibirsk), and
others.

The efficiency of IERP technologies have been proven in extreme weather and climate conditions in
Northern Russia, India, Saudi Arabia and Southeast Asia. The experience of using Petrel for 3D
resistivity data processing is illustrated with examples from East Siberia (Russia), Borneo (Malaysia),
and Sumatra (Indonesia).Resistivity survey was successful in resolving structural and oil-gas
exploration tasks in various geological conditions. Comprehensive analysis of Vendian clastic
reservoirs based on resistivity and structural patterns has improved prediction quality for East
Siberian prospects. Resistivity data can be the only source of structure information in the cases
when seismic data quality is low.



CHEMICAL EOR SIMULATION USING ECLIPSE
Presented by Mehdi Izadi (Tiorco)

Short overview of Chemical Enhanced Oil Recovery (CEOR) technologies including; Surfactant,
Polymer, Thermally active polymer (Bright Water) will be presented. Main key laboratory data
required for modeling each technology and how Eclipse was used in utilizing laboratory data, and
model these technologies will be addressed. The presentation would also include core-flood
history matching using eclipse and a how the laboratory model can be scaled up to full field scale
simulation. This paper describes the workflow to evaluate technical simulation methodologies of
thermally active polymer technology for proper pilot project designs. The main challenges for
predictability of such models, besides the modeling approaches depend on how the
heterogeneity is incorporated to the model, dose model capture ILT/PLT data and how the
channel and thief zone is incorporated into the model.



CORPORATE DATAFLOW: A CASE STUDY OF WOODSIDES SYSTEM DESIGN FOR
TECHLOG
Presented by J. Crosby (Woodside Energy Ltd, Australia)

Over the last two years, Woodside (an Australian Oil and Gas Exploration and Production
company) has completed its evaluation, design, migration, roll out and optimisation of the
Techlog Interactive Suite as a replacement for a competitors product. This case study
examines some of the challenges faced along the way, and examines the chosen system
design, particularly focussing on the implementation of Techlog Projects as a primary
reference store for petrophysical interpretation in lieu of a more conventional, yet 3
rd
party
database.

In migrating to Techlog, Woodside moved from having a reference and working database
pairing for each project area, or basin, to having a single reference and multiple user projects
for each basin we do not currently connect Techlog projects with a database solution such
as Recall or OpenSpirit. We also moved from having multiple users in the one working
database (along with all associated pros and cons) into having one project per user.
Subsequently there has been significant effort required to optimise dataflows (the system by
which data moves between projects and users) to facilitate ease and speed of access whilst
maintaining data integrity. As Schlumberger harmonises its trinity of solutions under the
Studio umbrella, dataflows are about to receive a lot of attention. Woodside hopes that the
vision for Techlog Studio is one that will also benefit Techlog deployment in a corporate
environment defined by users who simultaneously consider a wealth of wellbore data for
ongoing field appraisal rather than catering primarily for production line operations where
data is imported, processed and subsequently exported.

This presentation will look in finer detail at: the implementation and development of
Woodsides Techlog solution; the challenges weve overcome deploying Techlog and
managing data over our network; the introduction, implementation and limitations of the
Techlog Synchronization tool and Reference Repository for our dataflows; and the preparation
and planning being done for the future introduction of Studio for Techlog, and its perceived
impact on the Woodside Techlog solution design.



THE DEPLOYMENT OF STUDIO IN AN ASSET TEAM; DATA MANAGEMENT IS THE
KEY TO SUCCESS
Presented by Dr Claire Andrews (Apache)

Studio is presented by Schlumberger as the solution to working in Petrel with in a high
well count area and to increase collaboration within an asset team as well as being a
core component to future links between other software such as OFM & Avocet.

The Case Study presented here is the deployment of Studio within an asset team actively
drilling in North America to facilitate collaboration and efficient handling of data. During
the course of the deployment many key lessons were learned regarding the necessity of
data manipulation to preserve & create a matching GUID environment to enable the
migration in to Studio. The changes in workflow & understanding of the data has become
key to a successful deployment & has generated much discussion with Schlumberger on
functionality required in the Studio DB environment. The project was successfully
completed with minimum disruption to daily activities of the team with the second step
commencing for end user training and the changes required in the workflow to use
Studio. The further enhancement to the speed of Interpretation & Engineering workflows
that connections with production systems and corporate data stores will allow is
considered a key advantage of Studio & much anticipated.



NEW GENERATION ISOTHERMS DATASET FOR UNCONVENTIONAL RESERVE ESTIMATION
Presented by M. D. Campos (Schlumberger)


Organic-rich shales and coals contain hydrocarbon fluids that are under strong influence of their
pore walls due to the nanometric level pore-size distribution. At this scale, pore walls affect fluid
phase transitions and its physicochemical properties, which in turn have an impact on current
volumetric methods for calculating oil and gas reserve estimation in a typical unconventional
field.

Isotherm tables currently used in the oil industry refer to the equation derived by Langmuir. Such
isotherm represents fluid properties in which wall effects are not considered and single
adsorption layers are assumed for any porous media. Hence, it fails to accurately represent the
fluid properties and volumetrics for calculating the reserves of organic-rich shales and coal
reservoirs.

New generation isotherm tables are therefore needed to take into account the added complexity
in volumetric calculation for shale gas and shale oil estimation.

This presentation describes the methodology for which the new generation isotherm dataset has
been created by utilizing molecular dynamics simulation results.

Use of the new isotherm will give an accurate result for volumes of gas in any shale type
reservoir. The process of history matching will be reduced greatly as the results are more
representative to field rates. A faster decision to report the volume of gas to partners,
governmental bodies can be achieved thus creating confidence in the result.



MODELLING COMPLEX STRUCTURESVOLUME BASED MODELLING OPENS NEW
PERSPECTIVES
Presented by Thierry Modiano (Total E&P Nigeria)

Dealing with complex structures, industry has been for a long time waiting for robust techniques
allowing obtaining precise structural models and reservoir grids while respecting the complexity
of fault and horizon patterns. Building a geologically consistent representation of horizons when
the fault network presents complex truncation has been a challenge for a long time, especially
when horizons are represented by sparse data.

The new Volume Based Modeling (VBM) approach introduced in Petrel version 2013.2 is a global
approach. Fault and horizon data are used to build an implicit function representing the
geological time. This function is defined everywhere in the volume of interest. Horizons are
simply iso-values of the implicit function.

VBM was used on a complex deep water field offshore Nigeria. In previous models, the structural
complexity of the field obliged to split the model in three stratigraphic reservoir units and to
proceed to many fault simplifications to remove internal truncations. Even with the
simplifications, the process of grid building using the classical pillar gridding method was very
long and many compromises were done to get an acceptable grid without distorting too much the
fault geometry.

With VBM, the whole model without very few simplifications was successfully built in a very
limited time, using the tops and bottom horizons of the three reservoir levels. A structural grid (full
stairstep) was derived from this structural model.

A second structural model was built by adding internal horizons picked as tops and bases of
sedimentary bodies. A second structural grid was built using this model. The objective of this
detailed model was to get a structurally consistent representation of all sedimentary units. The
zone property was then resampled in the first grid to obtain a discrete region property.



QUANTITATIVE INTERPRETATION IN THE PETREL PLATFORM
Presented by M. Volcan (Schlumberger)

In many cases, inversion or AVO studies to predict reservoir parameters are carried out on data
that has lost its context from the processing center. The analysis usually requires the use of
multiple software packages to complete a full analysis. In this presentation, we will see how
advantageous it is to perform data conditioning, inversion, and AVO workflows in one platform
the Petrel platform to achieve an accurate subsurface characterization.

Technology to perform the inversion simultaneously allows the direct generation of the three rock
propertiesAI, Vp/Vs and Densitywhich can help interpret the presence of fluids. This
workflow highlights the practical aspects of quantitative interpretation in order to assist with
prospect validation and reservoir characterization.

The Petrel platform is used to condition the data, and prestack is then used to evaluate and
create deterministic and stochastic inversion results.

The ability to combine rock physics models with seismic is achieved by modeling the AVO
response in our well to predict pore fluids in the seismic. The methodology to estimate lithology
by using the acoustic impedance contrast is also showcased.



STRATEGIC TO OPERATIONAL INTEGRATED PLANNING
Presented by Rick Lobrecht (Schlumberger)

Portfolio management is an important aspect of oil and gas business planning to support the
efficient allocation of capital and other scarce resources. As oil and gas becomes more difficult
and expensive to find and extract, petroleum companies are looking to portfolio management for
competitive advantage. However, traditional portfolio management has sometimes missed the
opportunity to consider the operational reality at the asset team or regional level. Each
investment must be consistently evaluated for its ability to contribute to the corporate strategy,
while maximizing the usage of available resources.

This talk will show how integrating strategic and operational planning provides benefits when
used at every stage in the asset development life cycle (from exploration through to production
and abandonment) as well as at different levels in the corporation (asset teams through business
units to corporate planning) to drive efficient business planning. It will focus on what the critical
business issues are, how to model the corporate long-term direction through measurable goals
and key performance indicators, and what key objectives companies pursue when allocating and
budgeting capital.

The presentation will highlight specific examples of ways in which portfolio management can
resolve operational issues, such as rig-scheduling optimization, facility constraints, and asset
performance monitoring, while maintaining the golden thread connection to the long-term
strategy.

This integrated approach to portfolio management will allow corporate and asset planners to
balance long term strategic goals with operational constraints from the business unit down to the
asset team. It results in a more balanced and diversified portfolioan achievable planand
drives better decisions in the capital allocation process.



MODERNIZING OIL & GAS SOFTWARE: HOW INTEL AND SCHLUMBERGER INCREASED
PIPESIM PERFORMANCE 10X
Presented by Joseph Curley (Intel)

By working together to parallelize Schlumbergers PIPESIM Steady-State Multiphase Flow
Simulator, Intel and Schlumberger enable oil and gas companies to explore many more pipeline
production operation scenarios by capitalizing on the latest multi-core processing architectures
to run simulations faster, with greater accuracy, and explore more design alternatives.



ASSESSING THE IMPACT OF EOR IN YOUR RESERVOIR
Presented by Omer Gurpinar (Schlumberger)

This is the most exciting time for EOR in recent memory. At last, almost everyone is talking about
increasing recovery factors, and IOR/EOR is being considered a natural component of reservoir
management. Furthermore, many traditional philosophies are being openly challenged. EOR planning is
happening as part of field development plans. Proven technologies are being adapted in new, smart ways
and new technologies are constantly evolving from research to commercial applications, making
successful EOR projects more likely.

These new directions are the result of a variety of factors. Most fields, including the giant ones, are
maturing, and producing liquid hydrocarbons is getting tougher in all kind of reservoir types (conventional
and unconventional alike). Leaving about 65% of the in-place reserves left unrecovered has been
challenged.

There have been developments on many fronts (i.e., advanced reservoir characterization, multiphase flow
physics, smart well and intelligent completions, advancements in recovery research, monitoring and
control technologies, new EOR chemicals, new EOR pilot concepts, and new observation-well concepts).
The collective impact of these is going to make new EOR projects more successful than before.

Increasing recovery factors has been considered as a fully integrated multidomain activity (from pore
space to separator, and everything in between). Severe production decline in tight-light (unconventional
oil reservoirs) reservoirs is also making the industry think about recovery challenges.

EOR has been brought into field development planning in most recent offshore oil developments, and the
integrator media, reservoir modeling, is now ready to tackle the recovery challenge.

Broadening the scope of recovery challenge to all domains will make realizations of new reserves more
likely, but this change will bring additional challenges. Modeling for EOR is no longer limited to
investigation of mobilizing the trapped oil, but incorporation of all scales, from pore-scale (sometimes
molecule scale) to reservoir scale, including the performance of exotic EOR pilots with monitoring sensors
and controls.

Geomechanics, which came to our industry first for the drilling domain, will have to be part of EOR
modeling in reservoir scale. Additionally, new EOR schemessuch as loSAL, hybrid applications (VAPEX),
and new conformance ideas including foams and nanoparticleswill push us to better understand the
recovery thermodynamics, physics, and multiphase flow in porous media.

Evolution in recovery phenomena will guide us to set the right granularity in reservoir and fluid
characterization, which will in turn enhance the capabilities of reservoir models. If we continually push the
science, an opportunity to double recovery factors exists.



A ROADMAP TO ASSET OPTIMIZATION: THE PRODUCTION DATA MANAGEMENT
PLATFORM
Presented by T. Tran (Bien Dong Petroleum Operating Company)

Bien Dong POC operates the Hai Thach and Moc Tinh gas/condensate fields located offshore
Vietnam and exports the produced gas to the Nam Con Son Pipeline. Bien Dong POC has decided
upon the Schlumberger Information Solutions (SIS) Avocet Platform technology that
encompasses functionality designed to collect, manage and compute production data in high and
low frequency, produce meaningful reports supporting the analysis and enhancement of the
operational activity. With this data converted into information Bien Dong POC can safely operate
the current and future oil and gas assets, accurately report to authorities and stakeholders,
perform asset surveillance, diagnosis and ultimately optimize production amid operational
constraints.

In order to obtain the most of this solution, the Avocet Platform project was implemented before
the first commercial gas, allowing them to be readily prepared for first gas, enjoy the benefits of
tracking all the production and operation parameters since day one for operational purposes and
also enabling the ability to understand better the reservoir dynamics at very early stage of the
production.

As Avocet provides foundation layer for managing the production for the two fields, and is helping
today to improve the timely decision making process through the use of accurate, and validated
data; this effect is impacting positively by allowing Bien Dong POC to adjust production rates to
deliver contractual terms of demanded production in a matter of few hours.

The goal of this paper is to highlight the advantages and benefits that can be drawn from the
utilization of the Avocet Platform Solution as key foundation block today and how it fits in the
Roadmap to Asset Optimization in the future for Bien Dong POC.



THE USE OF A VOLUME BASED MODEL WORKFLOW TO RESOLVE THE COMPLEX
ARCHITECTURE OF A FIELD ON THE NORTH WEST SHELF, AUSTRALIA
Presented by A. Kaiko (Woodside)

Until recently the complex fault architecture of the North Rankin Field was not able to be
modelled, using standard pillar gridding techniques, without significantly over simplifying the
faulting pattern of the field. In order to better understand the dynamic performance of the
field it is important that the complex fault architectures be captured. The use of the Structural
Framework workflow with the release of the Volume Based Modelling (VBM) algorithm and
Stair Step Gridding, has enabled the complex architecture of the North Rankin Field to be
modelled and a more representative grid generated. This grid is now able to be used in the
dynamic realm to help provide a better understanding of the potential aquifer influx, pressure
baffling and production history of the field.

The fault styles within the North Rankin Field include top truncation, multiple stacked
antithetic and crossing faults. From a range of varying data inputs, the use of VBM is able to
generate horizons honouring the complex fault architecture and stratigraphic trends even in
areas of little well control. The seismic inputs for the model consist of the complex fault set
and three key highly detailed input horizons to give the overall framework. A secondary set of
four more sparsely interpreted horizons were also used to provided further infill to the model.
Well tops and occasional seismic infill picks in complex areas provide the final input to
complete the complex framework build. A stair step grid is then generated which was
populated with the various properties to be used for dynamic assessment of the field
performance.

The use of the VBM workflow and a tiered seismic interpretation approach allows a new level
of structural complexity to be modelled, while minimizing the seismic interpretation required.



TECHNIQUES FOR EXPLORATION AND EVALUATION OF TURBIDITES
Presented by A. Acevedo (Schlumberger)

Over the last decade, there have been several discoveries of very significant oil accumulations in
deepwater reservoirs. With advances in research and the availability of high-resolution seismic
data, their variability and complexity have been well documented. For hydrocarbon exploitation
purposes, however, the industry has been lacking an integrated approach to interpret these
reservoirs using multiple domains and data efficiently. This presentation describes a series of
innovative and interrelated techniques to improve the understanding of these types of reservoir at
three scales: basin, sequence, and reservoir. The combination of multiple disciplines (such as
geophysics, stratigraphic forward modeling, and geostatistics) at these three levels leads to a
more realistic representation of these plays.



CREATING ADVANTAGE THROUGH EXTENSIBILITY WITH THE OCEAN FRAMEWORK
Presented by Ahmed Aqrawi (Schlumberger)

The Ocean software development framework gives you the freedom to create advantage. By
building or integrating specialized applications and workflows inside the Schlumberger software
platforms, you can leverage your own proprietary technology and ideas, and immediately put
innovation into the hands of geoscientists. These capabilities can be developed internally or by
working with Ocean partners to rapidly incorporate new science into your workflows.

In this presentation, discover how you can make use of best-in-class technology without the
disadvantages and inconvenience of multiple fragmented software solutions. Extend your
Schlumberger technologies with the unique Ocean framework and choose tools that meet your
needs from Schlumberger and third parties via the Ocean store.



FLAIR, ISOTOPE, ACC: THE ROLE OF THE SURFACE CONTINUOUS FORMATION EVALUATION
Presented by Isaac Easow (Schlumberger)

In the last few years, advanced surface technology has gained fast popularity among several oil
companies as trusted and valuable tools for formation evaluation. The quasi real-time availability
makes these technologies suitable for quantitative and repeatable rock and fluid evaluation prior
to subsurface logging or downhole fluid sampling runs.

FLAIR fluid logging and analysis in real time, Real-Time Isotope logging and ACC (Advanced
Cutting Characterization) services represent a unique and complete formation evaluation portfolio
in the mudlogging market. The FLAIR service continuously analyzes hydrocarbons extracted from
drilling mud returns at surface, providing C1C5 composition analogous to the downhole reservoir
fluid. The increased number of data available for analysis and the need to integrate all of them in
a unique platform has led GSS to choose the Techlog wellbore software platform. The powerful
functionalities of this software meet perfectly the requirements for an advanced formation
evaluation analysis.

This presentation focuses on a US shale gas play, where elemental composition of the cuttings
showed great potential for chemo-steering and production allocation.



COST-EFFICIENT SOLUTIONS FOR SIMULATING INTEGRATED RESERVOIR MODELS AND
PRODUCTION NETWORKS USING INTERSECT AND A FAST NETWORK SOLVER
Presented by C. Casciano (Eni)

It is a well-known fact that, in many cases, predicting and optimizing field production involves the
simulation of different reservoirs sharing a common production network. Various solution have
been proposed, ranging from a combination of simple Network and Reservoir Coupling options in
black-oil simulators like ECLIPSE 100 to more elaborate solutions where a controller application
drives reservoir models and a fully-fledged network simulator/optimizer. If the latter option is
more accurate, the former solution is often much more efficient and gives similar results.

In this presentation we describe, within the INTERSECT simulation framework, a pre-commercial
but effective work-flow aimed at integrating independent reservoir models and a common
production Network.

In this solution, INTERSECT Field Manager integrates in an iteratively lagged manner a fast
network solver, where pressure drops along flow lines are computed using VFP tables, with
INTERSECT models simulating fluid flow from reservoir to well-head.

The methodology is first described and then highlighted by means of some key real field
applications. Advantages with respect to more elaborate solutions are also discussed.



ASSET OPTIMIZATION AND RESERVOIR/PETROLEUM ENGINEERING DATA MANAGEMENT
Presented by E. Kabadayi (ConocoPhillips)

The ultimate goal for this project was to set up a foundational data access for
reservoir/production engineers to run variety of engineering, analytical and visualization
applications. Building a gas lift management system to monitor and optimize the Greater Ekofisk
assets as well as building alarm systems and other engineering applications and workflow
optimizations were planned as later phases of the initial project. Ekofisk is one of the biggest and
oldest assets in Norwegian continental shelf having some 200 wells, waterflooded, and majority
of wells are gaslifted. To add to the complexity of the asset, some of the wells are 40 year old and
not much of instrumentation while some others are fairly advanced and highly instrumented. As a
known challenge for this type of brown fields there are many data sources, sometimes several
places to look for the same data. The aim was to generate a single system intelligence based on
the Avocet platform including all the engineering data types built across multiple data sources,
automatically pulling in data with the right frequency, QCing it, and connecting to BI or
engineering analysis tools. The commercial data sources are PI (daily/hourly operational data
such as pressure, temperature, and flowrate readings), EC (daily/monthly allocated volumes),
WellView (static well data such as completion details), and OpenWorks (static well ID and
location data). The custom-built data sources are a couple of Oracle/MS Access based
databases containing reservoir parameters, well tests, ion tracers, etc.

This system is now connected to engineering analysis tools such as OFM, business intelligence
tools such as Spotfire and the Petrel to perform reservoir engineering workflows. The next step is
to build optimization workflows on the top of the system and at the moment CoP Norway is
evaluating options in this regard.



DYNAMIC FLOW MODELINGCRITICAL TOOLS IN RISK MANAGEMENT FOR WELL
CONTROL
Presented by Fred Ng (Wild Well Control, Inc.)

Recent events have heightened awareness from industry and governmental authorities regarding
well control issues and consequences. Management of these risks involves development of
mitigation and contingency options for identified risks. This paper discusses the critical role of
dynamic flow modeling in developing such options, as well as the important differences resulting
from application of advanced technologies in recent years. These include multiphase modeling
to address well plan and kick tolerance evaluation for mitigation options, as well as relief well
planning and simulation of blowouts and dynamic kill for contingency planning. Advanced
applications, such as those involved in SIS well control software, allow complete and accurate
modeling of the physical effects, which are typically not feasible with the oversimplified models
used by others. Case histories will be presented to illustrate these effects, which include mud
compressibility, gas solubility in oil based fluids, PVT effects of multiphase influx, migration of gas
in the wellbore, temperature effects, unloading of the well in developing a blowout, and mud / gas
swapping in the wellbore. Discussions will also include changes needed to meet new
developments in drilling operations.



THE HYDROCARBON PATHWAYINTEGRATED DRILLING SOLUTIONS
Presented by Stuart Jardine (Schlumberger)

Drilling is an integral part and a key component of the hydrocarbon pathway. Meeting the
objective of your well is a critical activity in each of the lifecycle stages and with increasing well
complexity, getting it right the first time has never been more important.

This presentation covers key workflows throughout the drilling lifecycle, from planning through
engineering, execution, and evaluation of the completed drilling program. The drilling workflows
highlight well planning in a geological context, workflow integration, and unique technologies for
todays high-value complex wells.

Well trajectory design is implemented using efficient iterations between the geologist and drilling
engineer. The initial design is optimized for the drilling pressure window and includes a review of
the potential wellbore stability issues that may lead to drilling problems. With the well trajectory
finalized and the safe operating window calculated, we use dynamic hydraulic models
including dynamic temperature calculationsto ensure that the bottomhole pressures in the well
can be maintained within this window. The focus on well control highlights a new solution to
simplify relief well and blowout contingency planning utilizing advanced multiphase hydraulics
simulation capabilities.

Real-time data services, combined with drilling performance analysis capabilities, complete the
drilling lifecycle. All relevant well information is immediately available to feed into the plan and
offset analysis for the next well to be drilled.



FRACTURE INTERPRETATION AND MODELING
Presented by J. Klinger (Schlumberger)

Having a confident understanding of the fracture orientation, distribution, and characteristics is
crucial in a general context where 80% of the worlds largest hydrocarbon bearing fields are
fractured reservoirs. The methodology proposed here will combine a deterministic
geomechanical inversion through a boundary element method engine (BEM), with the reservoirs
structural interpretation (cf. fault framework) and estimate the locally perturbed paleostress-field
in order to describe the natural fractures generated by a given tectonic event. Calibration to the
fractures interpreted at the wellbore will ensure we have reached the global minimum of the
inversion step.

Subsequently, information of the present-day stress field within the reservoir (obtained via similar
inversion workflow using break-out information to calibrate against, or other means) will be used
in order to compute a fracture reactivation potential property. Such information can be highly
valuable for well, completion, and stimulation planning protocols.



MAKING KNOWLEDGE WORK IN THE WELLBORESTUDIO FOR TECHLOG
Presented by P. Dineen (Schlumberger)

With the pace of change in our industry todayand the increasing effort on exploring,
developing, and producing challenging reservoirs in both conventional and unconventional
environmentsthere is significant focus on user and team productivity in an E&P organizations
quest for optimization of workflows across the lifecycle of the asset.

The Studio E&P knowledge environment addresses these challenges by delivering a new level of
collaboration across multiple assets and multiple domains to support your teams along the
hydrocarbon pathway. The Studio environment focuses on empowering end users, both
petrotechnical users and data managers, with a powerful platform for collaboration with utilities,
tools, and workflows that enable them to access, review, capture and share critical knowledge
and insight as part of their technical analysis and decisions, all delivered as part of the
Schlumberger platforms, as well as a dedicated Studio Manager to proactively oversee and
administer the Studio environment.

This presentation will share the advances made around the Techlog platform and integration into
the Studio ecosystem for collaboration and knowledge management.

We will review the core workflows delivered with Techlog 2014 and Studio 2014 that deliver a
step change in the collaboration between Techlog users and across the asset with the Petrel
platform, enabling your teams to increase productivity and collaboration to improve insight and
decisions in the dynamic environment they are working in.



A SAFE HARBOR FOR DATA IN THE OCEAN ENVIRONMENT
Presented by J. Whelan (ExxonMobil)

The management of data is a fundamental component of ExxonMobils system of management
controls. In 2003 ExxonMobil began deploying Petrel as a generalist geoscience interpretation
tool. Though the benefits of integration were clear, it soon became apparent that without a
database, it would be difficult to deploy Petrel as an enterprise solution, while adhering to our
Data Management Principles. Projects replicated, data was duplicated, disk usage grew and data
integrity became questionable. Identity management also became an issue making collaboration
difficult. This talk will discuss our journey down the road to Petrel Studio Knowledge and will
cover both the challenges and benefits achieved through early implementation of the Petrel
Database.



DETERMINATION OF PERFORMANCE PARAMETERS OF A PROSPECTED GAS STORAGE
RESERVOIR UNDER UNCERTAINTY
Presented by Alexander Gubik (RAG)

Reservoir management workflows are increasingly built on reservoir simulation support for
optimizing production schemes and estimating the impact of subsurface uncertainties on field
development scenarios. Reservoir simulation models are calibrated to geological data and
accurate reproduction of historical production data. These are defined as a prerequisite for
reliable production and performance forecasts. The solution space for a history match is in
some cases very big and a deterministic approach represents only one possible solution, not
accounting for any uncertainty. In this work we describe a workflow design for the
determination of turnover and cushion gas volume of a prospected gas storage reservoir
under uncertainty. The following challenges are addressed; define and reduce uncertainty in
calculated working gas volume and cushion gas requirements, improve understanding and
control over operating economics, optimize operating efficiency to maintain competitive
advantage. The following solutions are chosen and combined in an efficient workflow design:

Generation of hundreds of alternative realizations of the original geological model, using the
Petrel platform
Selection of detailed models generated in the ECLIPSE simulator and comparison to
production history, giving 100 well-matched alternatives
Uncertainty quantification using MEPO software and optimization of key performance
indicators like working gas volume, cushion gas volume and storage well performance.

Presented results are based on multiple-realization workflows. Deployment strategies and
efficient use of HPC resources are briefly discussed for uncertainty quantification and
optimization workflows.



SHALLOW GAS EFFECTS ON SEISMIC AND CORRECTION METHODS
Presented by Rizal Bakar (Petronas)

In peninsula Malaysia, shallow gas effect is commonly observed due to the gas attenuate the
acoustic energy, areas with high gas content will be deflected downward or called pull downs
effect cause by reduction of speed of acoustic.

In the past, most of the correction was done manually by estimating the pull down effect base on
geological understanding of the area; however the uncertainty of this method was very high as is
not fully supported by the data of that area, hence affecting the hydrocarbon volumetric
uncertainties.

Since this is a common issue, it is essential for Petronas to establish the standards workflow with
the objective is to have a standard guideline for shallow gas seismic correction to affected fields.
To ascertain the workflow, a lot of data gathering and analysis has been done to really
understand the issue and the volumetric uncertainty from the pull down effect. Data involved in
this study are seismic data such as PSTM, PSDM and 2D OBC , Velocity data such as VRMS and
staking velocity , Well data such as Sonic log, Density log, VSP, Check shot and previous
interpreted horizons in time and depth.

Table below is the summary of the workflow established using Petrel Software involves data
preparation followed by Interpretation and analysis before doing the shallow correction and
domain conversion from time to depth.





The challenges of shallow seismic correction is the appropriate and sufficient data availability
and if necessary may require new seismic processing or even need to re-acquire new seismic
data as long as if it is supported by the economic justification.



PERSPECTIVES ON THE PETROTECHNICAL CLOUD
Presented by Vasu Guruswarmy (Schlumberger)

Now more than ever, the winds of change in the world of information technology are felt in the
world of upstream exploration and production. The looming presence of the cloud is raising many
questions: What might be its value to my organization? How can I practically apply the cloud to
the challenges faced by my organization?

To make sense of the cloud, we are encouraged by enterprise and consumer IT providers to view
the landscape along four axes: cloud, big data, devices, and social. To understand the
implications and opportunities for our industry of this change, we must add to this list of
megatrends. We must include two additional dimensions that often take a back seat in a cloud
conversation. The first is security, recognizing the importance of our industry to the world, both
politically and economically. The second is remote access, due to the geographical spread of
upstream exploration and production enterprises.

This talk will explore the scope for cloud technologies in our industry, specifically desktop
virtualization and high-performance computingthe two critical elements used in modern
decision-making. It will equip you with the questions to ask yourself and your suppliers as you
seek to understand where and how the cloud paradigm can add value to your business.



COMPRENHENSIVE REAL-TIME DRILLING MONITORING METHODOLOGY DEPLOYED BY PEMEX TO
REDUCE DRILLING RISKS IN HIGH PRESSURE ZONE
Presented by R. Hernandez (PEMEX)

The Kuil field operated by PEMEX is located in the Gulf of Mexico and represents a key source of current
hydrocarbons production and an important potential to increase Mexicos reserves. Nevertheless, drilling
across the Kuil field has represented major challenges for the operator and service companies.
Technical studies of the field helped identify that drilling issues like stuck pipe, high torque, and loss
circulation have occurred due to poor hole cleaning practices and incorrect mud density selection in the
high pressure zones.
In order to identify, prevent, and mitigate the occurrence of the mentioned drilling events, PEMEX deployed
inside its regional REAL-TIME operations center COIP (Centro de Operaciones Integrales de Perforacin), a
multi-disciplinary team of Schlumberger specialists to apply innovative REAL-TIME drilling monitoring
methodologies. These methodologies integrate specialists from five areas of expertise (drilling, geomechan-
ics, geophysics, geology and petrophysics) working together by combining subsurface models with surface
and downhole tools data within advanced technology platforms like Petrel, Techlog and PTK.
The COIP team has made excellent contributions to the safe and efficient well construction process in the
Kuil field; here are some of the highlights:
Effective reduction of non-production-time events and consequently decrease of total costs. Figure 1
shows the significant reduction in total times in the 12 section after deployment of the COIPs team
by PEMEX.





Major Improvements on the fields Mechanical Earth Model resulting in more reliable and accurate
mud weight selections to avoid well control incidents in abnormally pressured zones
Deployment of enhanced multi-domain procedures to deal with potential drilling events related to
existing geological features like faulted zones and challenging mechanical rock conditions
The multi-discipline integration that makes up the COIP team in conjunction with the superior technology
platforms and advanced workflows, has proven to provide an effective solution that guarantees proper
drilling risk management and optimization in the PEMEX Kuil field.



MODERN FORMATION EVALUATION FOR APPRAISAL WELLS
Presented by B. Moss (Schlumberger)

Appraisal wells are designed to capture the maximum amount of information about the reservoir
and its overburden, in order to derive the most comprehensive understanding possible about the
extent and quality of the reservoir rocks and how they are likely to best produce their
hydrocarbon.

In this review paper, we take a snapshot of the state-of-the-art in static formation evaluation that
has been reached by todays well-based logging and coring technology. The paper takes a
thematic approach and briefly covers the principal target formation attributeslithology
(geology), porosity, permeability, saturation, pressures, and geomechanicsand provides
examples of the way in which modern tools and techniques have extended the detail of what we
can learn today about these important facets of formation evaluation.



THE EFFECT OF GLACIATIONS ON PETROLEUM SYSTEMS IN THE NORWEGIAN
BARENTS SEA
Presented by Jesper Kresten Nielsen (North Energy)

One of the most significant challenges facing petroleum exploration in the Norwegian Barents
Sea (and other regions in the Arctic) relates to the severe erosion and uplift that occurred
during Plio-Pleistocene ice age (de-)glaciations. The seabed of the Barents Sea was strongly
eroded during these ice ages, with several hundred metres of sediments removed. Such a
glacial influence has often been regarded as the major risk for the retention of already
entrapped oil and gas, potentially initiating or reactivating faults and other fractures, as well
as spilling and leaking oil and gas reservoirs observed as pockmarks and gas chimneys. This
may also involve a decreased depth of hydrocarbon kitchens and tilting of migration routes. To
explore the influence of ice ages on petroleum systems, we have integrated both the ice and
the associated erosion in PetroMod 3D models in order to mimic the resulting temperature and
pressure changes relatively deep within the shelf.

The integration of ice sheets in the PetroMod 3D models affects both sediment thermal
conductivity and surface temperatures. The duration of a typical glacial period (with a
relatively short inter-glacial period) is sufficient to establish a steeper temperature gradient,
which can result in reduced reservoir temperatures. Depending on the scenario, the choice of
whether to model a wet-based ice sheet or one with frozen pore water at its base has a
critical impact on the depth to which the temperature change reaches.

Ice sheets lying on the exploitable sedimentary succession introduce increased loading and
thereby raised pressure in the subsurface. The melting of this ice then results in shelf rebound
and loss of pressure. Such geologically rapid fluctuations in both temperature and pressure
controlled by dynamic ice thicknesses and associated properties may result in repeated
gaseous-liquid phase transformations in petroleum reservoirs.



PEARLPROJECT MATURATION MANAGEMENT
Presented by Rosli Rahim (Petronas)

PEARL is based on the projects-resources-reserves model deployed in PETRONAS and therefore
is designed from the ground up to support core petroleum engineering activities in PCSB. It
comprises the Project Maturation Management sub-system and the Resources and Reserves
Management sub-system. The current phase covers Project Maturation system which captures
birth of a project up to project execution or Final Investment Decision(FID) stage. The geoscience,
reservoir engineers and drilling teams, and planners work on the same project but within their
domains. This is also a platform for the review processes like the line department reviews and
host government reviews. In addition, this system serves as a source for planning activities.

How can this knowledge be used?
This knowledge would be greatly useful for projects dealing with business processes and
approvals.

Who can use this knowledge? What role?
Consultants, project manager, engineers.

When can this knowledge be used? Which stage, what environment, which context?
This knowledge can be applied in an environment that involves multiple disciplines working
simultaneously in different systems contributing to one process or the same objective.

Expected Benefits of using this knowledge
Some of the benefits include:
Connects various disciplines involved in the same business process
Captures data at the source dynamically and intrinsically throughout the workflow
Improves work productivity significantly
Promotes data integrity, ownership and accountability
Enables reviews and decision making by giving access to the latest state of information
Aligns business processes that derive information from the same source

What pain does this knowledge cure?
Addresses the following challenges:
No centralized platform for identifying project status
Rework of same data for various business exercises
Lack of data accountability
Misalignment of data between business exercises
Key Success Factors for using this knowledge
Solid understanding of the business workflows including the what, how and when data flows
between systems and departments.



TIE-BACKS IN MATURE AREASTRANSIENT SIMULATIONS IN FEASIBILITY STUDIES
Jan Gunnar Waalmann (Aker Solutions)

Field development in mature areas presents specific challenges. Keywords for these
developments are fast track, low cost, standardized solutions. Small satellite fields require host
facilities in order to be economic. At the same time the aging hosts tend to need additional
production in order to be economic. With hosts coming close to design life, the time window for
development of new reserves in the mature areas is limited. When operational cost exceeds the
income, fields will be shut down. Shutting down fields will impact the life of the infrastructure of
the area.

In a time with subsea developments going down towards water depths of 3000m, and subsea
compression becoming a reality, designing a tie-back to an existing installation sounds like an
easy task. However, many challenges tend to materialize on the way. With the usual weight and
area challenges, typical keywords are limited riser and umbilical hang-off capacity, limited
topside slug and liquid handling capacity, limited power generation capacity, limited inhibitor
(MEG/MeOH) storage capacity, limited inhibitor pump capacity, limited flare capacity, limited
design pressures etc.

This means that transient thermohydraulic multiphase flow simulations are required already at
feasibility study level. Even though internal procedures and guidelines in the operating companies
usually only demand steady state evaluations at this level, feasibility can only be substantiated
through transient simulations. Is it possible to design a system with a sufficiently robust flow
assurance strategy and margins?

Evaluations that must be done may include cooldown simulations, evaluation of slug mitigation by
means of gas lift or similar, flowline blowdown simulations, inhibitor tracking for planned flowline
pre-inhibiting, start-up after unplanned shut-down, potentially HIPPS evaluations etc.

The presentation will use examples from recently executed projects to illustrate use of OLGA as
an integrated tool in the field architecture selection and design process.



MAXIMIZING BUSINESS VALUE THROUGH OPTIMAL PETREL UPTAKE
Presented by B. Ragosa (ExxonMobil)

ExxonMobil has been deploying Petrel to its global Upstream companies for the past
decade. During this period we have learned several lessons that have allowed us to
maximize business value while supporting a rapidly evolving Technology system.

The presentation will include an overview of ExxonMobils global approach to Geoscience
technology management, including processes for coordinating software, hardware, data,
and support. We will document lessons learned from multiple Petrel deployments and the
next steps we are taking to optimize our Petrel investments.



INTEGRATED APPROACH TO WELL INTEGRITY DECISIONS IN TECHLOGCONSTRUCTION,
PRODUCTION, AND ABANDONMENT
Presented by Ram Sunder Kalyanraman (Schlumberger)

The focus on environmental safety during the life of the well (i.e., from well construction to
production and abandonment) has clearly increased over recent years. There is a growing need
for comprehensive well integrity interpretation procedures that require integrating information
and interpretations. This leads to well-informed decisions that not only improve efficiencies in
operations and reduced cost of intervention, but also in reducing HSE risks associated with well
integrity decisions. Well integrity decisions need to take into account the static and dynamic
behavior of the annulus and its effectiveness as a barrier.

During the well construction phase, we discuss how information from diverse sources (such as
formation evaluation logs, bore-hole geometry, cement placement quality and volumetrics), and
post-cement diagnosis with cement evaluation logs (such as the Isolation Scanner cement
evaluation service) can all be integrated into the Techlog wellbore software platform, leading to
a comprehensive analysis of the effectiveness of the cement placement.

During the production phase, zonal isolation and annulus leaks severely affect the longevity of
the producing life of the well and will require timely intervention and remediation. Sustained
casing pressure resulting from defects in the annulus cement sheath is wide-spread
phenomenon. Diagnosing the source of the leaks for appropriate remedial strategies requires
the ability to integrate the static (cement behavior) and dynamic behavior (leaks) of the annulus.
We discuss this integration in the Techlog platform and the quality to remedial decisions that
this has the potential to yield.

Abandonment operations need to be done with low cost and time expenditure, without
compromising on safety. The behavior of the annulus during a wells long life changes
significantly with solids settlement. Not knowing this behavior can significantly prolong the
casing retrieval process (casing cut and pull).

This presentation discusses the value of integrating information for effective well integrity
decisions in the Techlog platform.



A COMBINED APPROACH TO DRILLING GEOMECHANICS
Presented by S. Forsyth (Schlumberger)

Understanding the complex geomechanics in and around the reservoir is fundamental to
accessing hydrocarbons safely. By easily constructing a 1D MEM in the Techlog wellbore
software platform and the using this to build a full 3D MEM in the Petrel E&P software platform,
rock properties, stresses, and strains can be simulated in 3D that is encompassing of any
existing geological model. This has significant value in well design, as it allows for trajectories to
be optimized with respect of the mud-weight window and predicting wellbore stability issues.



INTEGRATING PRODUCTION DATA AND RESERVOIR MODELING TO IMPROVE
WATERFLOOD MANAGEMENT DECISIONS
Presented by M. Anderson (Schlumberger)

Currently, about 50% of the oil production in the world comes from secondary recovery
techniques; of the different processes in practice, waterflooding is the most widely used. Typical
recovery factors from waterflooding operations are around 30%, but this is highly dependent on
the oil properties, the characteristics of the reservoir rock, and the quality of the waterflood
management.

The more complex the reservoir, the better the quality management that is applied needs to be in
order to get the maximum oil recovery from the secondary recovery process. This project will
show you how the integration between production data and reservoir modeling can improve
waterflood management decisions by helping to give a better understanding of the reservoir
performance and to more easily identify key opportunities to slow down issues, such as water
breakthrough and unswept zones of the reservoir, to improve the ultimate oil recovery.



MODELING AND OPERATIONSA MOST EFFECTIVE PARTNERSHIP
Presented by Colin Leach (Argonauta Drilling Services LLC)

Maintaining well control has always been at the center of drilling and completion operations. It
has seemingly become more complicated since the Macondo event. It is likely that this is not the
case (the underlying methodology remains (1) maintain barriers and (2) measure flows into and
out of the well), but that the (justified) scrutiny that has resulted has meant that operations have
become less efficient. Indeed it is apparent that some well control activities take place today
which (A) are somewhat unnecessary and (B) can take focus away from the most effective
approach which is to prevent influxes from getting out of control in the 1
st
place. This more
effective approach prevents a blowout (eliminating the need for clean-up) and (most importantly)
protects the lives of the wellsite operations teams.

This paper/presentation shows how a most realistic well control model (in this case, the
Drillbench Suite) provides a method whereby well designs and well control procedures can be
thoroughly tested prior to implementation in the field using potential well reservoir properties and
actual well geometries, drilling mud characteristics and rig equipment. This approach provides
simple clear procedures and the ability to discuss the merits of these approaches with the rig and
shore based supervisory teams

The end result are operations that have very little surprise (except that due to the reservoir). It
means that wells can be drilled safely and on budget with educated, committed crews.

The paper illustrates the power of the understanding that such modeling tools bring and the value
that such an approach provides to the end user (the well operator).



IMPROVING FORECASTING WORKFLOWS BY INTEGRATION OF STEADY STATE AND
TRANSIENT SIMULATION
Presented by Daniel Pacho (BG Group)

As part of the constant improvement of operating efficiency BG introduced a longer period of
forecasting to support its business plan. This requirement calls for a more effective and
consistent forecasting work throughout the organisation that can be shared by small and
large assets whether operating offshore or onshore.

The Integrated Asset Modelling Team is a specialised business group in BG headquarters that
has the responsibility of supporting asset teams on building and maintaining fit for purpose
asset models (and the primary role which is to optimise the production system by giving senior
leaders scenarios that model risks and opportunities to the production system). The integrated
models are typically used throughout the whole lifecycle of a project from its initial
conception throughout its operating life.

Standardised workflows have been built to simplify the forecasting work, which is based on a
steady state calculation. Hence there is an inherent weakness in these calculations when
strong transient effects, inherent to the production system, occur.

To address these issues it is necessary to overcome the limitations of the underlying
technology used when calculating multiphase flow effects, especially in some wells, across
gathering lines and transport networks. Traditionally the calculation of liquid accumulation on
lines, during forecast, has being done using mechanistic flow correlations at steady state;
however this approach is better suited for small diameters and low CGRs. For maturing fields
and especially on networks involving long tie backs of large diameters the liquid accumulation
in the system as a function of time is a controlling effect that needs to be included in the
forecasting work.

The main challenge is related to the very dissimilar time steps used by the calculation
engines. While steady state simulators can take step changes of several months with no loss
of performance, transient models require very small time steps (around few seconds) to be
accurate and maintain numerical robustness. In this way predicting the spreading of pressure
and liquid hold up waves across the system is possible using transient multiphase flow
simulation, but is accurate only for a time span of up to few days. On the other hand predicting
the production expected in a horizon of few months can only be done using steady state nodal
analysis.

The work done in the IAM team has focused on combining these two methods; steady state
calculations are used over longer time steps that are combined with transient simulation to
correct the prediction of liquid accumulation. The combination of these two pieces of
software has shown good results and it is now possible to tailor the solution to different
production systems.



EXPLORATION SUCCESS IN THE EASTERN MEDITERRANEAN: UNLOCKING THE LEVANT
BASIN POTENTIAL
Presented by C. Garvey (Noble Energy)

Since 2009 Noble Energy and partners have made nine discoveries totaling over 37 TCF of natural
gas in Oligo-Miocene reservoirs in the deep water Levant Basin of the Eastern Mediterranean.
This substantial new exploration play includes some of the largest gas discoveries in the world
over the last decade.

Early Levant offshore activity began in the 1970s in shallow water without much success.
Exploration moved to deeper waters in the 1990s targeting supra-salt Pliocene reservoirs with
the first gas discovery in the Levant Basin at Noa-1 in 1999. In 2000, the Mari B field
(approximately 1 TCF), was discovered and was placed on production in 2004, reaching a peak
rate of 600 MMscfd in 2011. Noa and the recent Pinnacles discovery began producing through the
Mari B platform in 2012.

Deep-water subsalt exploration began in 2003 with the Hannah-1 dry hole followed by a six year
hiatus. A subsalt-focused exploration and drilling program began in late 2008 resulting in gas
discoveries at Tamar, Dalit, Leviathan, Dolphin, Tanin, Cyprus A, Karish, and Tamar SW. The main
subsalt play area is over 10,000 square kilometers in water depths of approximately 1300 to 1700
meters.

Production from the Tamar field began in March 2013, just over four years after discovery of
Tamar. Tamar production will supply a significant share of the Israeli energy market needs and
opens up a new chapter for the Eastern Mediterranean oil & gas industry.



CLOSING THE SUBSURFACE LOOP IN AN UNDERGROUND GAS STORAGE
Presented by Tobias Rudolph (E.ON Gas Storage)

E.O Gas Storage (EGS}operates large underground storages for gas in Germany, Austria and the
United Kingdom with a working gas capacity of about 9 billion cubic meters. The gas is stored
ether in solution mined caverns in massive salt deposits or in depleted gas fields as well as
aquifer structures. An annual production cycle consists normally of an injection period in
summer- and a withdrawal period in winter-time with some intra-seasonal, smaller cycles as well.

During the operation of these underground storages it is important to understand the behavior of
the reservoirs and also to predict the gas migration in the subsurface. Because of the long history
of the storages, which is in some cases more than 50 years, getting an understanding on the
integrity of the wells, completions plus cement is also essential.

To built the full subsurface picture for the porous rock storages EGS is utilizing the three software
packages Tech log, Petrel and Eclipse and integrates the various datasets in an annual loop.

In the first place logs are evaluated and analyzed via Techlog. This work step includes the
integration ofthe existing open-hole data plus the results of the annual gas-saturation-logs. In
addition available integrity logs like casing thickness- and/or corrosion-logs are integrated. With
Techlog also the existing data of the static Petrel model is merged. The calculated gas-
saturations are then transferred to Eclipse. Here a comparison with the real production data
follows. This results in an update of the full field model for that particular time step. Predictions
for the next storage cycle are made in the following workflow.

In addition to the porous rock storages the assessment of the wells is also run at the cavern sites.
Also the existing Petrel model data is deployed. But due to a different operation of caverns
compared to porous rock storages no dynamic forecasting is need, and therefore Eclipse not
used.

For a complete and integrated understanding of the behavior of underground gas storages, also
due to the complexity of the annual injection and withdrawal cycles, it is absolutely essential to
utilize the available datasets. Closing the loop of integration and utilizing the different software
packages Tech log, Petrel and Eclipse allows to spend less time in the data-manipulations of
separate data sets but to maximize the value of the overall datasets by fully integrating them.



SYSTEM FOR ANALYTICAL HYDROCARBON BALANCING AND OPERATIONAL MONITORING
AND DECISION-MAKING IN PEMEX E&P
Presented by R. Ostos (Pemex)

The Distribution and Commercialization department of a leading state-owned oil company has
started a nationwide initiative to control, monitor, and optimize the transportation, conditioning,
and sale of 2.5 MMBD of produced oil and 6300 MMSCFD of produced gas and condensate
adopting and applying digital oilfield concepts to distribution networks using digital oilfield
solution.

The efficiency of the surveillance, accounting and reporting of its highly complex hydrocarbon
transportation system is continuously challenged due to the ongoing operational events that
includes 606 pipelines with an estimated length of 7000 km, 9380 producing well out of 9950 that
are distributed among 11 producing assets which belongs to 4 functional sub directions such as
north, south, southwest and northeast marine regions.

When the agreed commercial blend is not achieved at the commercialization point, penalties are
incurred. Further penalties are incurred when the production and distribution target are not
achieved in volume and quality.

To overcome these problems, the company is now developing and implementing a business
solution following digital oilfield approach and concepts to optimize distribution network
workflows. This solution adopts a standard operational workflow to track the entire
transportation system, using an online surveillance and monitoring workflow for pipelines using
steady-state and transient simulation models combined with a standard production and
distribution planning model, accounting and reporting system.

Using this business solution, the company is not only reducing the uncertainties between the
figures reported by the asset and the midstream measurement system but it is enabling a solution
that fit the purpose of planning of operational events, and integrate engineering tools and
monitoring system to achieve the hydrocarbon quality and volume commitment at sales point.



THE RESERVOIR GEOMECHANICS OF CHANNELIZED RESERVOIRS: TURBIDITE SYSTEMS
IN OFFSHORE WEST AFRICA
Presented by A. Onaisi (Total)

The generation and gathering of rich, high quality data are at the epicenter of modern
reservoir characterization strategies. Value extraction from such data repositories rely on
deploying theoretical and practical knowledge towards the interpretation of diverse
measurements. Making use of sophisticated computational models, we aim at understanding
subsurface conditions by probing the potential of a particular geological scenario to replicate
field observations. This assessment capability of a model depends on its quality, mainly, the
quality of the data used to assemble it.

The advent of reservoir geomechanical models enables further levels of subsurface
characterization by incorporating the complex interplays between finely characterized rock
properties, detailed structural elements and pressure profile definitions. They enable field
management strategies to account for the operational risks associated with a particular
drilling and production plan.

In this context, we present the use of high quality seismic inversion data and detailed
sedimentological, petrophysical and structural descriptions to create a reservoir
geomechanical model for a channelized turbidite reservoir in offshore West Africa. We aim at
understanding the impact of reservoir production in altering subsurface stress conditions and
the potential implications in observed drilling performances. We describe a systematic way to
incorporate sedimentological models in the generation of seismic- driven mechanical property
distributions (ultimately governing the stress state), and provide measures of impact when
forecasting the fields long term geomechanical risks, subsidence profiles and fault
reactivation scenarios.



RIGHT-TIME WELLBORE SCHEMATICS
Presented by Bibin Markose Ninan (Kuwait Oil Company)

Wellbore diagrams have been saved and maintained as Excel files which were generated from
Legacy systems. The Engineers need to keep maintaining these files as they have the data in
FINDER for the down-hole equipments, but no automatic way to generate the wellbore diagram.
With the ever increasing number of wells and one engineer handling a lot of wells, the possibility
to update the Excel based wellbore diagram and remembering which one is updated and which
isnt is a big challenge.

To address this challenge we developed an in-house application to automate the generation of
wellbore diagrams with zero user intervention directly from FINDER. Right-Time Wellbore
Schematics provides visualization of down-hole equipments throughout its lifecycle, including
drilling, completion and workover operations. It is designed to provide a flexible and high-quality
graphic engine to accommodate the needs of a variety of reports such as well design, detailed
wellbore schematic and well workover history. It brings modern user interface for wellbore
visualization to the user's desktop without the need for complex application installation or
maintenance.

The presentation will shed light on our innovative approach for implementation of Wellbore
Schematic application for the visualization of wellbore in 2D, incorporated with deviation survey
data and its impact on the availability of data and its quality within the corporate FINDER
database.

Application Feature

Provides rapid access and review of detailed well history information results in more
accurate decision making and improved reporting.
Provides immediate visual feedback and thus ensures data integrity and improves data
quality.
Supports down-hole equipment measurement and display to any well depth reference
elevation.
Flags data errors, thus reduce cycle time and simplifies the validating of bottom-hole data.
Vertical and directional/horizontal compatible.
Top view and side view compatible.



USING PETREL AND TECHLOG TO IMPROVE RESERVOIR UNDERSTANDING AND REDUCE THE
ANALYSIS TIME
Presented by N. Boury (DeGolyer and MacNaughton)

DeGolyer and MacNaughton Canada Limited (DMCL) is an independent consulting firm focused on the
petroleum industry worldwide. Although reserve evaluation is a core competency, a growing competency
is providing out clients with reservoir studies, field development plans or options, and log interpretation
and analysis. We have strategically utilized a combination of Techlog for our well log interpretation both
into Eclipse to generate the dynamic modeling of the reservoir,

Techlog Software increased our petrophysical interpretation accuracy. Within the first year of
usage Techlog allowed us to double the number of actual wells and reservoirs interpreted
Petrel software allowed us to incorporate the geophysical and petrophysical interpretation and
non-standard data formats efficiently streamlines our workflow
Eclipse softwares integration capability of Techlog and Petrel along with standard and non-
standard data formats efficiently streamlines our workflow

Utilizing these three (3) different software platforms, we are able to forecast future development, and
assist in estimating reservoir in place volume. The incorporation of these models from Schlumberger
allowed us to finalize our work in an efficient and timely manner.



COALBED METHANE FIELDS: DELIVERING THE PROMISE THROUGH EFFECTIVE PLANNING
Presented by D. L. Clements (Schlumberger)


In Australia and elsewhere, coalbed methane assets are being developed to feed liquefied
natural gas plants. These projects required tens of billions to develop and require that the correct
amount of gas is delivered to the LNG plant from thousands of wells spread over thousands of
square kilometres through thousands of kilometres of pipelines.


This presentation will show how reservoir forecasts are balanced against production in the
gathering networks and the operations of the main trunk line are improved, allowing operators to
deliver the correct amount of gas.




THINKING ON A G&G COLLABORATIVE ENVIRONMENT
Presented by Irene Astorga Cuervo (Repsol)

In most of the companies using Petrel, where Repsol is included, one of the main
concerns is to have the entire Petrel information organized on a structured way. Two
years ago, Repsol started thinking in implementing Studio Knowledge, understanding
that a strong change management was needed in this transition. It was clear that we
first needed to have a deep understanding on what Studio could achieve and how it
could help us on a better and more organized way of looking at our G&G data on Petrel.
Once all the functionalities of the Petrel database were clear, we started defining how
Repsol wanted to work with Studio Knowledge. Finally all the decisions were tested with
a Studio Knowledge Proof of concept where different groups of end users were
involved. The following presentation will outline the complete process with its
conclusions, benefits, strengthens and weaknesses for a future Studio Knowledge
implementation in Repsol.



FEASIBILITY STUDYSUBSEA BOOSTING SYSTEM FOR AN OFFSHORE DEVELOPMENT:
FIELD SCREENING AND FLOW ASSURANCE ASSESSMENT
Presented by Boom Li Tay (Schlumberger)

In this presentation, a feasibility study with subsea boosting system design for an offshore
development of two offshore fields will be shared.

Traditionally, the early development study conducted by operators will identify the need for
boosting in a production system, but the study of boosting system design will be outsourced to
pump vendors. Based on the information provided, pump vendors will design a boosting system to
meet production requirements, to provide cost estimation for the boosting system, and to identify
potential technology gaps. It is not uncommon for inputs to change (due to changes in the field
development study) when a boosting system is designed. Furthermore, the designed boosting
system is usually not used to further investigate potential production optimization.

This presentation demonstrates an integrated study conducted by OneSubsea, a Schlumberger
company, in which boosting system design was integrated in a field development study and used
to investigate production optimization. The designed production systems were assessed for flow
assurance challenges, mitigations, and development gaps. Considering the field development by
an integrated approach from early field life enables operators to look into potential technical and
logistic challenges, as well as the potential of optimizing production (and investment) versus field
life, and design a production system to achieve stable operation (i.e., high production uptime).

Designing a production system by considering integrated solutions from early field development
benefits concept selection, subsequent field development phases, and field operations in the
future.



MANGROVE: ENGINEERED STIMULATION DESIGN & EVALUATION IN THE PETREL PLATFORM
Presented by J. P. Dessap (Schlumberger)

The current statistical approach for shale development in North America is sub-optimal as it
involves significant cost and resource waste. We generally see horizontal wells being spread
evenly over the acreage, with the entire horizontal section completed and fractured with massive
amounts of water, proppant, and hydraulic horsepower. This yields disappointing production
performance that points towards a poor understanding of the subsurface:

40% of horizontal wellbores completed today are non-economical

40% of perforation clusters do not contribute to production

To address these challenges, Schlumberger has developed a robust, innovative engineering
workflow for the completion of wells in unconventional reservoirs. The workflow is rooted in the
compelling value of augmenting the seismic-to-simulation workflow with the indispensable
stimulation components, within the Petrel E&P software platform. This constitutes the first and
only unconventional-specific, end-to-end workflow in industry.

Benefits are as follows:

1. An engineered approach to completion design, using reservoir characterization for
strategic staging and perforation selection
2. Accurate modeling of planar and non-planar complex fractures
3. Accounting for vertical and lateral rock heterogeneity through 3D geological and
geomechanical models
4. Comprehensive post-treatment evaluation, using micros seismic data
5. Optimization of the job design based on production evaluation.

Mangrove engineered stimulation design in the Petrel platform has been used as a Schlumberger
service for over two years before being made commercial in late 2013. Case studies have
consistently demonstrated a much increased percentage of contributing clusters, resulting in
substantial production gains that make wells economicalultimately delivering a multiplier effect
on return-on-investment.



ENABLING ACTIVE RESERVOIR SURVEILLANCE UTILISING AN OFM DASHBOARD ON THE
BRENT FIELD
Presented by Susie Singer (Shell)

During the last 35 years, Brent has been the UKs largest oil and gas field, having produced 2
billion barrels of oil and 6 Tscf of gas through a total of 150+ wells (with 300+ wellbores) via 4
platforms. It is a highly mature field, having started as a waterflooded oil field, followed by a
campaign of extended infill well drilling, and culminating in deep depressurisation which
effectively turned it into a gas field over the last decade. Now it is at a stage where abandonment
work and production build up efforts are occurring side-by-side, leading to unique challenges.
With such a wealth of data owing to its long complex history along with the dense body of
wellbores, managing surveillance on the field presents its own unique challenges.

All the relevant information and surveillance data from the field such as maps, trajectory data,
well test rates, well production history, significant well events, choke and pressure data, are
available in multiple locations from discipline specific spreadsheets to various corporate data
stores. However, integrating them to view cohesively is a time consuming task, though the
greatest benefit that can be derived is exactly from such an approach, enabling the different
disciplines to interact and discuss short and medium term plans. OFM was seen as the tool that
could help pull data from disparate data sources and bring them under one roof.

The new Brent OFM dashboard enables an environment that facilitates discussion and shared
understanding amongst the surveillance team, such as the validation of the well tests on a
frequent basis, keeping track of the status of each well and finding nearby wells. The filtering and
data visualisation, used in conjunction with other tools, are also enabling quicker evaluations of
the well stock on the field to determine water shutoff, reperforation and reinstatement
opportunities to enhance production over the remaining life of the asset.



IMPROVED PETROPHYSICAL ANALYSIS IN HORIZONTAL WELLS WITH TECHLOGA CASE
STUDY
Presented by M. Mele (ENI)

This presentation describes a case study run by eni E&P on wells in North America using Techlog
3D Petrophysics (3DP) module.

It consists on the application of a new workflow provided by 3DP module to improve
petrophysical answers from logging while drilling measurements in high angle and horizontal
wells. The study demonstrates how log modeling in slanted wells can be used to improve
formation evaluation, update the geological model and hence reduce uncertainty and improve
model accuracy.

In high angle and horizontal wells it is often difficult to apply the traditional petrophysical
interpretation techniques normally used in vertical wells, due to geometric effects (local layering
or resistivity anisotropy, boundary effects,...) on the data in particular the resistivity logs.

This means that the data is challenging to interpret and the petrophysical answers from
horizontal wells are not always fully used in static reservoir models.

The presentation demonstrates how the 3DP process addresses the most common effects in
horizontal wells in a timely and efficient manner, allowing it to form a part of petrophysical
analysis in high angle and horizontal wells.

The workflow was applied on wells in a development field in North America. The reservoir
consists of a few tens of feet thick silty sand and siltstone layers deposited in a shelfal
environment. The extended reach wells used in the development of the field have long lateral
sections (from 5,000 to 10,000ft). Due to the geological complexity of the area, the wells often
cross multiple layers and faults and are actively steered to optimize reservoir contact. The
geological environment from static reservoir model was efficiently confirmed and refined, log
responses corrected and verified before being used in the petrophysical analysis.



UNLOCKING NEW INSIGHTS WITH ISOMETRIX TECHNOLOGY AND THE PETREL PLATFORM
Presented by C. Chahine (Schlumberger)

A seismic survey acquired using a new multi-measurement towed-streamer system to provide a
broadband, isometrically sampled seismic dataset (IsoMetrix marine isometric seismic
technology) has been completed over the Bruce Field area in the North Sea. This presentation
will showcase qualitative and quantitative interpretation comparisons against an equivalent
broadband hydrophone-only dataset derived as a subset of the original measurements.

Inspection of the two volumes indicates uplift in the IsoMetrix dataset at multiple levels from
seafloor to the reservoir. High-resolution images in the shallow section show the multi-
measurement data fidelity, and indicate the potential for seismic data suited for geohazard
identification. In the Palaeogene overburden, understanding of the intricate structural geometries
of turbidites and sand injectites are enhanced using the IsoMetrix data, which demonstrates
good spatial imaging of fine-scale structures with complex three-dimensional orientations.

Across the reservoir interval, improved continuity in the prestack inversion cube from IsoMetrix
technology suggests better separation of signal from noise, coupled with low-frequency content
to deliver close to absolute impedance without low-frequency model input.



USING BOREHOLE IMAGING TO REDUCE RISK IN RESERVOIR MODELING
Presented by S. Forsyth (Schlumberger)

Reservoir characterization uncertainties can be significantly reduced by integrating multiwell
borehole image interpretations from the 1D wellbore into the 3D earth model. The integration of
the Techlog and Petrel platforms has enabled the incorporation of depositional trends and
calibrated fracture directions from borehole images, invariably resulting in more accurate
prediction of sandstone bodies and a calibrated DFN.



A SYSTEMATIC APPROACH TO MANAGE FLOW ASSURANCE RISKS AND
UNCERTAINTIES
Presented by H. Holm (Statoil)

In every oil and gas field development, especially when moving into deep water and/or long
tieback distances in harsh environments, Flow Assurance is of crucial importance in order to
design a robust, reliable development concept which will ensure security of supply during the
production phase. There are, however, several parameters which affect the Flow Assurance.
The value of these parameters is usually associated with uncertainty, especially in the early
phase of the project, as in the concept definition/ concept selection phase, and this will
inevitably bring uncertainty into the Flow Assurance analysis. At the same time, when
stretching the limits of multiphase transport technology, the margins becomes less and the
consequences of uncertainties become more important.

This paper shortly describes a methodology which has been used by Statoil ASA together
with SPT Group in order to facilitate a systematic way of studying the risk picture and
identifying the major risk contributors in a general flow assurance project. Application of the
risk analysis tool on a typical deep water subsea tie-back field development is illustrated.



WATERFLOOD SURVEILLANCECASE STUDY OF FORMER INJECTION AT RANTAU
STRUCTURE
Presented by B. Darmawan (Pertamina)

Rantau structures located in Northern Sumatera Indonesia is one of PT Pertamina EPs working
area that has long carried water injection on some particular layers. This paper described
monitoring of the implementation of water injection (waterflood) which recorded using Oilfield
Manager (OFM) since 1984 to 2004 on the Rantau structure of the Layer Z-600 in existing block.
Analysis of water injection methodically drill down from Field analysis to Well level using Voidage
Replacement Ratio (VRR), Reservoir Pressure trend, Conformance Plot, Volumetric Sweep (Cobb
Plot), Hall Plot Injection Wells and Well Level Analysis.

The expected results after conducting this analysis is to shows a lot of information that has been
achieved to described that time condition, such as effectiveness and efficiency of the injection
which has been done and opportunities that will come. This analysis also would obtained a
Lesson Learned for the implementation of these activities in the this place, and if possible, will be
conducted on other PT Pertamina EPs working area which has implemented the water injection
to increase oil production.



SEAMLESS INTEGRATION OF WIRELINE FORMATION TESTER DATA IN THE PETREL
PLATFORM
Presented by Cosan Ayan (Schlumberger)

Wireline Formation Testers (WFT) have been around for more than half a century. The new
generation toolset for more detailed evaluation is called the Modular Formation Dynamics Tester
(MDT), in which a wealth of information is gathered in both open and cased hole. Typically, an
MDT survey is run in vertical, deviated, or horizontal exploration, or development wells, to obtain
pressure, collect fluids, perform downhole fluid analysis (DFA), perform interval pressure
transient tests (IPTT), and to gather in-situ stress tests, all versus depth.

Certain measurements are utilized today in reservoir modeling workflows and, although
workflows exist to capture free fluid levels from pressure gradient analysis, such workflows are
usually performed with basic software that resides outside reservoir model-building platforms.

In this paper, we introduce a seamless procedure to incorporate WFT data and analysis into an
integrated reservoir modeling software platform, namely the Petrel E&P software platform.

Within the Petrel platform, new workflows were designed to study and refine free fluid levels,
visualize DFA data (compositions, GOR, density, viscosity, asphaltene content, optical density,
and modeled asphaltene gradients via FHZ Equation of State) in three dimensions. This helps
identify and assign fluid property regions, and study possible compartmentalization and fluid
composition gradients (both heavy and light ends) for improved model building.

The outcome of this work is to bring valuable WFT data and their analysis into the hands of
reservoir model builders and reservoir simulation experts. Such data have long been
underutilized in integrated asset modeling. Our new approach, tying measurements to the Petrel
platform and the emerging Petrel workflows, will make WFT data a powerful new tool in reservoir
description and modeling.



INTEGRATING BASIN MODELLING AND ADVANCED PETROPHYSICAL ANALYSIS IN
RESERVOIR QUALITY PREDICTION OF UNEXPLORED OLIGOCENE RESERVOIR-OFFSHORE
NIGER DELTA
Presented by Obinna K. Chudi (Heriot-Watt University)

This Study utilizes basin modelling and advanced petrophysical techniques to predict
reservoir rock quality distribution in untapped deeper Oligocene plays located in the Western
Deep Offshore Niger Delta. Both 1D and 2D basin modelling have been performed in the study
area using Schlumberger PetroMod v2013.1 software and results are used to predict
diagenetic overprint in the Oligocene reservoir, most importantly the onset and volume of
quartz cementation. Considering that a single well penetrated the target reservoir and core
acquired only across the Miocene interval, a better understanding of the facies distribution
that is required as an input into basin modelling was done using the ELANPlus and IPSOM
modules on Techlog v2013.1 petrophysical software-a trade mark of Schlumberger.

Various calibration data such as temperature, vitrinite reflectance, porosity, pressure and
present day hydrocarbon distribution across shallower Miocene reservoirs were integrated in
the model. The simulation results show good agreement between calculated parameters and
input data. In addition the calculated hydrocarbon occurrences match nicely with the
observed present day hydrocarbon distribution.

Results from the basin modelling reveals less than one percent of the pore space of the
Miocene reservoirs are cemented by quartz only been exposed to low temperatures of less
than 60C. This perfectly agrees with observed diagentic analysis from the cores. However,
the Oligocene reservoirs have been subjected to temperature greater than 80C since the
Early Miocene and up to present day and therefore have had more than 10 % of its pore space
occluded by quartz cement. The result of this integrated approach suggest that the Oligocene
reservoir within the vicinity of the study area is likely to have its reservoir quality
compromised by significant quartz cementation, unlike the shallower Miocene sands that are
known to have porosities of up to 30% and permeability in the Darcy range.



CORPORATE DATA MANAGEMENT AND THE HYDROCARBON PATHWAY
Presented by K. Joneja (Schlumberger)

It goes without saying that decision-making in our industry must be founded upon good data of
known provenance. Data collected in the fieldfrom geophones, wireline, and MWD tools; flow
meters; and so onwe trust implicitly; it is the kernel from which our understanding of the oilfield
grows. This is reason enough for us to ensure its safekeeping, but when we also consider the
huge burden of acquisition in terms of time and cost, and the fact that some data can never be
acquired again, operators cannot afford to be anything other than circumspect when it comes to
the preservation of what we know as corporate data.

At many points along the hydrocarbon pathway, corporate data is brought into being. In this talk,
you will learn how the ProSource E&P data management and delivery system provides an
integrated working environment and secures an array of data types in a single repository to
safeguard assets for use again in the future. You will also discover how the corporate data
manager can leverage intuitive and compelling tools for curating, browsing, querying, editing,
comparing, transferring, and quality-controlling your data.



PETREL KNOW HOW IN CONTEXTSTUDIO ADVISOR
Presented by J. Campbell (Schlumberger)

Studio Advisor addresses a number of challenges faced by many companies using the Petrel
platform:

How to efficiently and cost effectively train and support new staff
How to aid existing users and provide general users with the skills they need to undertake
more complex processes in the Petrel platform
How to capture knowledge from Petrel experts and pass that knowledge onto all users
How to standardize working practices in the Petrel platform
How to provide easy to use automation

Improve confidence in Petrel use, train users on new aspects, and embed your own experience
and best practices directly within the Petrel platformwith over 900 pages of supplied content,
Studio Advisor brings at-desk guidance, including using all processes, performing workflows, and
checking the quality of results. Studio Advisor also brings the ability to fully integrate your own
best practices, quality checks, preferred methodologies, or any documents that enhance the
users experienceand publish these across the company. This provides a new method of
knowledge sharing between infrequent users, experts, and project leaders.

In addition the new Guided Workflows functionality provides a simple interface that can control
all of the Petrel platforms workflow managers, ensuring intuitive automation across the Petrel
platform, delivered in any language or company specific terminology.



A JOURNEY OF PRODUCTION DATA; FROM THE OPERATOR REPORTS, TO ENGINEERS
DESKTOPS, TO COMPANYWIDE REPORTS, TO EMPLOYEES SMARTPHONES
Presented by C. R. Dahl (Core Energy)

Like many companies in Scandinavia, Core Energy has been acquiring interests in producing
fields and creating value through focusing on increased oil and gas recovery, near field
exploration and adjacent field developments, becoming partners in some major fields in
Norwegian Continental Shelf.

Being an active partner in several assets already, Core started receiving production reports in
diverse formats (PDF, Excel, XML and OFM files) from the main operator in the area through the
joint reporting hub License2Share. Then engineers used to spend a great amount of time doing
repetitive tasks such as: downloading the files received via License2Share (L2S), doing quality
checks on the production data, and load it either into their OFM projects for further analysis or
into Petrel-ECLIPSE models for simulation. The process was manual and time consuming.

By adopting Avocet Platform to become the heart of their production data capture system, now
the entire process is automated. As soon as the data is available in L2S, it is loaded into Avocet
automatically using XML and HMTL formats, partners OFM project files or Excel files. Now
Engineers have access to dynamically updated OFM projects and companywide reports are
generated with no need for human intervention. Data Integration and efficiency are now part of
the day to day processes.

The next step of the solution is to set up consolidated KPI visualization dashboards and make
them accessible through mobile apps on Core employees smartphones. A true production data at
your finger tip realized concept.



MANAGING UNCERTAINTIES IN A MARGINAL FIELD USING PETREL AND ECLIPSE
FUNCTIONALITIESOROGHO FIELD CASE HISTORIES
Presented by Adedeji Awujoola (Seplat Petroleum)

The key challenges in implementing optimum development plans in a green field remains in
staying ahead of the key risks and uncertainties that tend to increase the possibility of failure,
precipitate pessimistic developmental drilling results and generally amplify the erosion of overall
project value in terms of effectiveness (incremental recovery) and efficiency (cost and recovery
time).

Orogho Field is a marginal field located in OML-38; it is classified as a marginal field due to the
relatively limited/low estimates of original oil volumes in place and the non-proximity of the field
to existing production facility. The field structure is of a rollover anticline structure with a WNW -
ESE orientation, bounded to the north by a major growth fault. The structure is cut by two other
minor faults (one south dipping and one east dipping fault), however neither of these faults is
thought to be sealing. The field comprises of multiple stacked hydrocarbon bearing reservoirs. T
the dominant genetic unit consists of either shoreface deposits or channel sands.

In Q1, 2013, the integrated team successfully carried out in a filed development study in record
time through effective team collaboration and lean project delivery using robust interactive
software like Petrel and Eclipse in managing/overcoming the array of challenges involved in
studying, appraising and developing this field to achieve first oil.

This paper will demonstrate how this team accelerated the development of Orogho field with a
sustained current constrained production rate of circa 1.2 Mbopd in 2013 and forecasted
additional 5.5Mbopd in 2014 with three oil wells. This was achieved in spite of significant and
often seemingly insurmountable challenges such as, immense subsurface uncertainties like
lateral extent/structure, reservoir connectivity, drive mechanism, fluid contact, data quality and
availability.

Furthermore, this paper shall detail the lean study methods that encompasses properties
modeling, facies description, application of variogram on upscalling geological and petrophysical
data, scenario application in managing reservoir quality and drive mechanisms among others.

In addition, the value and ease of crestal well placement/development to optimize recovery in this
really constrained field using Petrel and the future further development of this field using eclipses
forecasting capabilities will also be showcased.



CHARACTERIZING AND MODELING SPATIAL VARIATION OF FLUID PROPERTIES: A CASE
STUDY
Presented by A. Agarwal (Schlumberger)

Reservoir production and field-development strategies have traditionally relied on
characterization of reservoir heterogeneities and porosity and permeability distributions. While
these characteristics are important controlling factors, variations in fluid properties and viscosity
heterogeneity can clearly impact reservoir and well production behavior.

The Bhagyam field in Rajasthan, India, contains crude oils of remarkably different viscosities.
There is known biodegradation that has taken place in parts of the field. Pressure-volume-
temperature (PVT) data from reservoir fluid samples indicates a near-saturated reservoir with
significant intra-reservoir vertical and areal variation in fluid properties and oil viscosity
heterogeneity. PVT measurements and reservoir geochemistry data are compared with data
acquired during wireline formation tests and focused sampling from multiple wells, prior to field
production and in production. Production and well test data imply reservoir connectivity.

Depth dependent fluid property variation is apparent from non-linearity in initial formation
pressure gradients, and NIR spectroscopy optical density measurements acquired during
formation testing and focused sampling operations. We examine fluid compositional grading,
asphaltene concentration gradients and viscosity gradients and compare with optical density (oil
color) measurements acquired during sampling. Optical density is a property that is directly
proportional to asphaltene concentration, which in turn is associated with spatial viscosity
variations observed within the Bhagyam field.

Characterizing such reservoir fluid property variation and viscosity profiles using this approach,
and integrating these measurements within reservoir models and the structural framework,
provides a means to evaluate fluids and fluid models by reservoir zone and throughout the field.
This enables comparison of simple models involving fluid equilibration and the dynamic process
of biodegradation to predict viscosity profiles, and placement of accurate fluid models in the
Petrel E&P software platform for use in reservoir engineering and simulation studies, both for field
development planning and for improving well and field production efficiency.



THRESHOLD WATER CONDENSATION RATE
Presented by J. Sunnassee (Wood Group Kenny)

Located in Australian waters, a 2 km 11 production flowline is to be tied into an existing 80 km
20 carbon steel production trunkline, via a subsea tee. A key issue identified is the potential for
top of line corrosion (TOLC). High rates of water condensation (a main contributing factor to
TOLC) are expected to occur downstream of the subsea tee, as the 11 production flowline fluid
at a significantly higher temperature mixes with the ambient 20 production pipeline stream.

A review of the existing corrosion issues upstream of the future tie-in on the 20 production
trunkline was conducted to establish the threshold water condensation rate (WCR) to
limit/prevent TOLC. Corrosion data, acquired via in-line inspection (ILI) programs conducted on
the 20 production trunkline, were correlated against WCR.

This presentation provides an insight into the process used to establish the threshold water
condensation rate using OLGA multiphase flow simulator and the corresponding cooling section
and material selection requirements on the 11 production flowline. The design cooling section
length and material specification must be suitable to limit WCRs upstream of the tie-in on the 11
production flowline, thus preventing severe TOLC in the 20 production trunkline.



DYNAMIC APPROACH FOR PREPLANNING AND DRILLING NARROW MARGIN HPHT WELL
IN AFRICA
Presented by Joy Oyovwevotu (Senergy)

In recent years, there has been an increase in the pace of exploration drilling in Africa including
High Temperature High Pressure (HPHT) wells. This paper will discuss pre-planning activities for
drilling a narrow-margin HPHT wells in Africa and the post-planning adjustments required to drill
and achieve well objectives.

An elaborate study was undertaken to help establish the operational issues associated with a
narrow margin HPHT well. As part of the pre-planning, the software Drillbench was used to
simulate and establish dynamic hydraulic window for drilling, tripping estimating swab and surge
pressures, casing running and cementing operations with available pressure window. Significant
part of the study was devoted to calculating dynamic kick tolerance (drilling and swabbing) for a
range of scenarios. Managed Pressure Drilling (MPD) was used in drilling the well given the
technology proven capability to help navigate through narrow pressure window.

During the well construction phase, MPD was used to frequently establish available pressure
window as opposed to what was assumed at the planning stage. As empirical information
became available relevant simulations were re-visited to ascertain if planned operations could
still be carried out safely within available pressure window including use of mud cap to establish
primary well control during trips.

This paper presents an account of the iterative approach employed from the planning through to
well construction stage to support well design and operational decision making, and how the
inclusion of a dynamic and transient approach helped to drill well to TD and achieve well
objectives.



NATIONAL DATA CENTERSAN EVOLUTION
Presented by P. Coles (Schlumberger)

A national data center (NDC) should be an active, dynamic centre where data lives; a hub that
gathers, organizes, protects, and quality assures the nations sub surface assets, that will promote
investment in the petroleum industry through an expanded set of services and assures
transparency. Not only is an NDC a repository of hydrocarbon data, but also a means of
facilitating and managing interactions between oil producers and the countrys government. An
NDC implies a dynamic facility where data is actually used for its value, rather than just archived.
By moving beyond traditional data archival, the development of the NDC brings a useful life to
previously static data and promotes activity through the delivery of complete and high-quality
data direct from an NDC into interpreters workflows.

In the past, NDCs tended to evolve over extended periods of time and necessitated significant
investment with the vision to deliver an online, digitally enabled NDC that was unachievable in
most instances. The Schlumberger engagement model ensures shortened implementation
timescales to more quickly provide a return on investment and to rapidly realize benefits.

To ensure the long-term success of an NDC, the engagement model combines knowledge
transfer to build competency and local capability, with the definition of business models,
standards, and policies help to maximize funding and to reduce the ongoing cost of managing
data and industry activities.



PEMEX ACCOMPLISH FASTER AND MORE DETAILED SIMULATIONS IN THE MOST
IMPORTANT FIELD IN MEXICO
Presented by Ernesto Perez (Pemex)

At the present, PEMEX E&P faces demanding challenges in reservoir dynamic modeling for
their strategic fields. To represent all the complexity associated with their fields and support
opportunely and assertively field development plans for their investment projects, they
require building reservoir models with much greater detail to improve it predictability.

While in the reservoir characterization more level of detail is required, the dimensions of the
numerical models can grow considerably (to millions of cells) with the consequent impact
on the performance degradation when using common commercial reservoir simulators.

This paper describes the first phase of the INTERSECT implementation in Ku-Maloob-Zaap
(KMZ) field, which nowadays is the most important field in Mexico with a production of 850
thousand barrels of oil per day. This field has a very complex geological configuration; it is a
naturally fractured carbonate located in a highly faulted area, and with great heterogeneity
in the rock properties both areal and along the formations. Moreover, it has different types
of fluids contained in different zones of the field, which difficult even more reservoir
management tasks.

The first phase of the implementation showed that INTERSECT allowed to increase the
resolution in the reservoir dynamic model and decrease computing time, exhibiting the great
potential of the tool to simulate huge models, handling properly heterogeneities and
complexities, increasing fluid contact movement accuracy and modeling better the water &
gas coning phenomena, all these contributing to improve the cycle time and the decision
making process.



MODELING THE GENERATION AND MIGRATION OF HYDROCARBONS, CO2 AND H2 S
Presented by James Derry (BG Group)

Within the Gulf of Gabes offshore Tunisia, CO2 and H2 S inert gases are an exploration risk and their quantitative
prediction is difficult. To overcome this, a number of additional CO2 and H2 S specific processes have been
applied within the PetroMod petroleum systems modeling software to facilitate the generation and migration of
these gases.

The mechanism for the generation of H2 S in the area is Thermochemical Sulphate Reduction (TSR) which occurs
in the carbonate reservoir intervals and a reaction scheme developed by Tang
(1)
has been used for this
process.
(2)
For CO2 , Helium isotopes indicate that generation is mainly from the thermal destruction of
carbonates.
(3)
Under subsurface conditions, both gases are highly soluble in water and solubility models have
been implemented based on Duan.
(4&5)
The migration of CO2 /H2 S dissolved in one of the petroleum phases
(liquid/vapor) was performed within the modelling software. The diffusion of the components dissolved in water
was handled by a diffusion equation based on Ficks law.

By applying the approach described above, the measured concentrations of both CO2 and H2 S could be
reproduced and as such this workflow has given a better understanding of the relevant processes for these
gases on a basin scale.

(1)
Tang et al., Experimental and Theoretical Determination of the Kinetics of Thermochemical Sulfate
Reduction, Goldschmidt Conf., Davos, Switzerland (2009)

(2)
Kauerauf et al., Integration of Thermochemical Sulfate Reduction into Petroleum Systems Modelling, AAPG
Hedberg (2012)

(3)
Grimmer et al., Tunisia: Gulf of Gabes, 3D Modelling of Hydrocarbon and CO2 Generation and Migration,
AAPG Milano (2011)
(4)
Duan et al., An improved model for the calculation of CO2 solubility in aqueous solutions containing Na+, K+,
Ca2+, Mg2+, Cl-, and SO4 2- - Marine Chemistry 98 (2006)
(5)
Duan et al., An accurate thermodynamic model for the calculation of H2 S solubility in pure water and brines,
Energy & Fuels 21 (2007)



UNDERSTANDING THE HETEROGENEITIES IN A COAL SEAM GAS RESERVOIR
Presented by Paul Hultzsch (Schlumberger)

Over the last decade, Queensland (Australia) has been at the epicenter of a race to find and
exploit vast Coal Seam Gas (CSG) resources. However, CSG operators face some difficult
challenges, because of significant uncertainties around the reservoir quality and productivity. In
this study we propose a holistic approach for the assessment of the heterogeneities in a CSG
reservoir and their representation into an integrated 3D model. We also show how this model
can be used to automatically generate an initial well placement scenario.



DRILLING OPERATION OPTIMIZATION THROUGH INVISIBLE LOST TIME TRACKING
Presented by Amit Singh (Schlumberger)

Automated performance measurement is vital to identifying improvement areas in drilling
operational tasks. These measurements can be used to identify best practices leading to the
development of standardized procedures, which results in reduction of overall well construction
time.

This presentation will showcase the solution that describes a new capability to automatically
measure the performance of drilling crews, equipment, and associated downtime. This is
achieved by automating the monitoring of drilling phases versus the drilling program and the best
composite time of the offset wells. This in turn allows the operator to have a detailed comparison
across multiple rigs, crews, and the different well construction phases of the drilling campaign.



SCIENTIFIC DRILLING IN THE CAMPUS: SLIM HOLE LOGGING, CORING AND
MONITORING
Presented by M. J. Jurado (CSIC)

Almera-1 borehole was drilled and fully cored for research purposes and investigation of
the subsurface in the University of Barcelona campus area. The hole is 214m deep and
was drilled into a Quaternary to Paleozoic section in a urban area, next to the Institute of
Earth Sciences (CSIC) building. A direct connection to the logging research lab inside
the building was built to facilitate long term monitoring experiments, repeated logging
measurements, tool powering and data monitoring through time and while logging.
Wireline drilling was used to obtain best core recovery.

The main objectives for drilling and logging a research hole were both the study of the
poorly known subsurface geology and structure of this urban area and the construction
of a dedicated infrastructure to conduct logging and monitoring research and also
logging specialists training. A second auxiliary hole, Almera-2 is 50m deep was drilled to
carry out cross-hole and tomographic experiments and hydrological monitoring. The
upper section of Almera-1 hole is cased with PVC and the lowermost is an open hole
section in paleozoic rock.

Complete logging operations with own slimhole logging tools in open hole included
acoustic and optical imaging, spectral natural gamma ray, full wave acoustic logging,
magnetic susceptibility and hydrochemical-temperature logs The entire hole was
logged in open hole mode (before casing) and also after the hole was cased with PVC.
Through casing measurements included spectral gamma ray logging, full wave sonic
and acoustic televiewer).

Our results show the geological, structural and petrophysical characterization of the
Almera-1 section, log-core comparative analyses and petrophysical characterization of
faults and fractures using Techlog software for oriented borehole images interpretation
and log response and integration with core samples



FAULT BLOCK MIGRATIONS INFERRED FROM ASPHALTENE GRADIENTS
Presented by O. Mullins (Shell)

Characterization of complex reservoirs with multiple fault blocks is critical, especially in deep
water fields where an accurate description of sand continuity and fluid connectivity across
different fault blocks significantly impacts reserve assessment as well as field management and
production planning.

In this paper, a methodology is applied to unveil geological history of reservoir fault block
migrations, based on distributions of reservoir fluid properties, especially asphaltene gradients.
To our knowledge, this is the first study utilizing asphaltene gradients to track fault block
migration and thereby represents an important new capability of fluid analysis for reservoir
characterization. Depending on reservoir charging history (sequence of heavy/light oils and
gases), the asphaltene content of reservoir fluids is typically not in equilibrium at the initial
charging stage. In later stages, asphaltenes will tend to equilibrate by mass flux through
permeable connected sands so that asphaltenes exhibit a smooth and equilibrated gradient. In
isolated sand packages or those with barriers or tortuous connectivity, asphaltenes remain in
disequilibrium often exhibiting abrupt changes.

Furthermore, during or after fluid equilibration, subsequent geological events such as faulting and
folding may occur, which result in displacement of fault blocks with their fluids. After fault block
movement, reservoir fluids and asphaltenes could re-equilibrate over newly connected sands. On
the other hand, after fault block migrations, originally equilibrated fluids may exhibit
disequilibrium gradient as originally connected sands became disconnected and migrated to
different depths.

Therefore, asphaltene and other compositional distributions are impacted by sand connectivity in
the current reservoir architecture as well as the geological dynamic history of the reservoir. The
method applied in this paper uses an asphaltene Equation of State (EoS) to assess fluid
equilibrium, and asphaltene variation measured in-situ with downhole fluid analysis technique is
critical due to its high resolution. The method integrates this asphaltene gradient analysis with
formation pressures analysis, potential for tar formation, geology and geophysics for more broad
based conclusive result.

An illustrative field study indicates that this method can assist in developing an accurate cross
section plot with reliable sand connectivity, and geological dynamic history of reservoir fault
block migrations is derived to further confirm the analysis result.



DEEPWATER COMPRESSOR TRIP
Presented by K. Pitts (Schlumberger)

Todays complex offshore operations require a collaborative effort between field operations
engineers, flow assurance engineers, and production engineers to support the production
effortespecially when unplanned events occur. This presentation focuses on the decision and
response process during the critical hours following a compressor trip eight hours into a field
start-up.

Faced with the possibility of hydrate formation in a production system not quite at safe operating
temperatures, the offshore operations team working together with the onshore engineering team
use information from their online models and what-if simulations to make the critical decision
to wait it out until the compressor can be restarted or proceed with a mitigation strategy that
would result in extended downtime.

The presentation will highlight the need to use advanced online modeling to enable high-cost
impact decision with a clear understanding of risks.



CHASING THE BARREL: HOW AUTOMATED WORKFLOWS HELP TO TRACK AND REDUCE
SHORTFALLS
Pedro Navarre (CCSFD)

The Shushufindi consortium is a joint-venture development of the Shushufindi field, located in the
Oriente region of Ecuador. In order to optimize the field production, the Consortium decided to
implement a Digital OilField Solution with a state-of-the-art Asset Integrated Management
system.

This system includes the technology to capture, transmit and manage field data, as well as the
processes and people to take advantage of these data and knowledge.

The consortium focused on operational excellence to track and optimize production, where the
management of shortfall was a key element.

A complete shortfall management solution impacts many production workflows, including field
potential calculation, accurate production reporting by well, incident tracking, real time field and
well rates and statuses, collaboration between production engineering, operations and field.

This presentation highlights the example of an incident occurring on the field, including pump
failure, shortfall detection, and how these are tracked and managed.

Seamless integration between the technology, processes workflows, and highly trained people is
paramount to the success of the solution. The talk focuses on the lessons learned during
implementation and maintenance of the system, including communication IT infrastructure,
training of personnel, people communication protocols, and software tool selection.



STRUCTURAL AND STRATIGRAPHIC INTERPRETATION FOR OIL AND GAS EXPLORATION
OF XIHU SAG
Presented by Zhang Lei (CNOOC)


Xihu Sag, located in the East China Sea shelf basin, is a large Cenozoic sedimentary sag. With
a variety of complex structural types such as complex fault block structures and large
reversed anticline structures, Xihu Sag is characterized with belts running east to west and
blocks from north to south. According to its tectonic style, sedimentary characteristics, fault
development system and hydrocarbon presence, Xihu Sag can be divided into the following
zones: the Western Slope Belt, the West Sub-Sag, the Central Inverted Structure Zone, the
East Sub-Sag and the Eastern Fault-Step Belt. Dominated by complicated fault block
structures, with the presence of great numbers of faults, the diversity and complexity of the
Western Slope Belt makes interpretation and classification of the faults extremely difficult.
Using the Variance Cube slice module of Geoframe, we combined time slices and conventional
seismic profiles to solve the problem of fault interpretation and classification satisfactorily.
The main target strata of the West Sub-Sag and the Central Inverted Zone are Huagang
Formation and Pinghu Formation. The river-lake-delta depositional system develops in
Huagang Formation, with the delta front in its upper section and the delta plain in its lower
section, respectively. The majority of the sand body in the Huagang formation is underwater
distributary channel and mouth bar, featured with large thickness and good separation.
However, the sand changes quickly in the transverse direction, which poses great difficulty in
well-tie comparison and lateral interpretation tracking. With the Wellpix module and the Well
composite Plus module of Geoframe, we effectively integrated seismic data and seismic
inversion data for sand well-tie comparison, and achieved improved results. In addition, the
GeoViz Explore module is used to delineate sand bodies, solving problems in the description of
the oil and gas layers, and thus providing reliable primary data for reserves evaluation.



THE HYDROCARBON PATHWAYAN EXPLORATION SYSTEM
Presented by Ian Bryant (Schlumberger)

The industry still drills more exploration dry holes than discovery wells. To increase success
ratios, its vital to understand risk when selecting acreage or prioritizing drilling targets. In the
past, evaluations were a linear workflow between geoscientists and engineers that involved
multiple software tools with information losses between each step. To reduce exploration risk,
Schlumberger software technologies focus on integrated evaluation of trap, reservoir, charge,
and sealenabling exploration teams to better understand risks as well as potential
opportunities and to make decisions tied directly to data and interpretations.

The Schlumberger solution provides the scalability to work on regional projects crossing multiple
projection zones. Advanced interpretation allows geoscientists to rapidly interpret, map, and
model petroleum systems by integrating petrophysical, geophysical, geological, and
geomechanical information from basin to prospect scale. The workflow preserves connections
with data and interpretations throughout play assessment to prospect generation. Combining
subsurface uncertainty expressed as chance of success mapsrepresenting trap, reservoir,
charge, and seal riskprovides an objective comparison of alternative prospects within the
same play. Prospect generation teams can combine these play-level risks with prospect-specific
risks to calculate risked volumes and geological chance of success. The link to data and
interpretations is retained, so decision makers can understand factors that cause prospects to
fail and the parameters give rise to uncertainty in potential reward volumes.


With a clear understanding of potential volumes and associated risk factors, decision makers can
secure better exploration outcomes.



EVALUATING SHALE OIL USING LITHO SCANNER AND NMR WIRELINE LOGGING
TECHNOLOGIES
Presented by J. G. Iglesias (Schlumberger)

Shale oil plays are currently one of the most attractive resources to drill in the United States. One
of the main challenges in developing these resources is that production rates vary significantly
within the same play, or even in wells drilled within the same vicinity.

Shale oil reservoirs are, by definition, fine-grained sedimentary rocks made of silts and clays,
combined with a very complex organic material mixing different types of hydrocarbon. In this
environment, the Litho Scanner high-definition spectroscopy service and nuclear magnetic
sesonance (NMR) logging are bringing new insight. This enables better understanding of the
distribution of the organic material in these reservoirs and provides the ability to directly identify
both the amount of Kerogen in place and the quantity of producible liquid hydrocarbons.

During the exploration or appraisal phase, operators performing a thorough petrophysical
characterization are able to better identify sweet spots, which ultimately leads to reducing their
production uncertainties.

Using field examples in the Eagle Ford and Avalon-Bone Spring plays, this article will
demonstrate how the Litho Scanner service and NMR technologies are helping operators
develop their shale oil reservoir effectively.



HANDLING THE LARGE WELL COUNTS ASSOCIATED WITH SHALE DEVELOPMENT
PROJECTS USING THE STUDIO ENVIRONMENT
Presented by T. Olsen (Schlumberger)

A focus on efficiency and productivity is critical to the continued success of shale development
programs in the United States. Efficiencies in pad placement, drilling, the placement of
completions, and the selection of fracking stages are seen to make a material contribution to
production.

In shales, operational intensity is remarkable when compared with conventional developments; in
March 2014, between the Bakken and Eagle Ford shales alone, there were 399 active rigs. Nearly
every well is horizontal, with lateral lengths commonly reaching 5,000 ft. Geoscientists and
engineers need to collaborate efficiently, providing timely input to ensure the wells planned and
drilled reach their optimal potential. They also need to continue to refine and update their
understanding of their field.

In this talk, youll see how the Studio E&P knowledge environment allows users of the Petrel E&P
software platform to rapidly navigate these large well datasets (from 10,000 to 50,000 wells, and
beyond) to get to the information that is relevant to their workflow. From the filtering capabilities
in the Find tool, to the notification engine that alerts users to new data in their area of interest, the
Studio environment enables geoscientists to tune their Petrel experience to tackle large-scale
shale developments.



PREDICTING SHALE WELL PERFORMANCE
Presented by M. Anderson (Schlumberger)

As the effort to develop unconventional reservoirs takes on a greater pace within the industry, so
too does the effort to understand the way in which these unique reservoirs produce. Classical
forecasting techniques such as ARPS are typically not able to adapt to the characteristic tail
exhibited by wells producing from these reservoirs. As such, a tremendous amount of
investigation and research has been undertaken to better understand and, therefore, better
predict future performance. Consequently, the literature available in the industry is full of
alternative techniques.

In this presentation we explore two of these techniques. The first method is the Duong Production
Forecasting technique, which uses fit-for-purpose empirical equations to fit a decline curve
through transient production rates. This method is straightforward, quick, and accurate for
determining future production rates. The second method is using Rate Transient Analysis in the
Petrel E&P software platform. The method leverages all the inherent capabilities of the Petrel
platform and uses relevant calculation techniques for horizontal multifractured wells to determine
reservoir and completion parameters, and also predict future rates using an analytical simulator.
Both of these methods work well and, when applied to the same well, agree with each other. The
applicability of each method depends on the data availability and operating conditions. With
these two techniques, production forecasting in shale wells becomes less uncertain, more
accurate, and more efficient.



EMPLOYING CONVENTIONAL MODELLING SOFTWARE TO EVALUATE FRACTURED
BASEMENT RESERVOIRS
Presented by Dan Bonter (Hurricane)

There are numerous examples of productive fractured basement fields around the world, and yet
despite offering significant resource potential fractured basement has been underexplored and
overlooked as a play within the UKCS. Hurricane is a forerunner within the industry in exploring
this play and has successfully made two sizeable discoveries (each of ~200 MMboe 2C
Recoverable Resource) since 2009 in the UK West of Shetland province.

Fractured basement is a typical Type 1 naturally fractured reservoir having no effective matrix
porosity or permeability and consequently production efficiency relies entirely on a
hydrodynamically connected natural fracture network. This reservoir characteristic results in a
specific set of challenges which need to be accommodated as part of the work flow when
building static and dynamic models of basement reservoirs. Hurricane has been using
Schlumberger products to tackle these challenges, and has found that a combination of new
software functionality and alternative ways to use existing software mean that fractured
basement reservoirs can be effectively modelled.

Hurricane will demonstrate the modelling process that has been used on its Lancaster Discovery,
from seismic fault detection using the Ant Tracking module of Petrel and the calibration of these
detected faults to well data and manual seismic picking, through to static modelling of a large
structure at fine detail within Petrel. Finally a review of dynamic sector modelling work carried
out in Eclipse will be compared to more recent simulation in Intersect to identify any potential
benefits of the new software.



MULTI-SCALE RESOLUTION OF SUBMARINE FAN COMPLEX BASED
Presented by L. F. Wang (CNOOC)


The upper Huangliu formation of Dongfang province in Yinggehai Basin has developed
in multiple stages, showing stacking, and a large range of lobes in a submarine fan. It
has been affected by burial depth and an abnormal high temperature and
overpressure (htop) environment, and thus the relationship between seismic response
and reservoir and gas-bearing properties are difficult to determine. The Geoframe
software platform was used for seismic interpretation, along with a method of sand
interpretation from macro scale to micro scale. Attributes illuminating regional
abnormal seismic amplitude, submarine fan lobes, single sand bodies, channel
architecture, and gas-bearing seismic response in channels, etc. were systematically
studied. A reservoir distribution and gas-bearing identification technique under htop
condition is built, and successfully used for natural gas exploration in this region.
Three specific aspects were investigated.


Macro-architecture resolution of Submarine fan using phase control interpretation
based on fourth-order sequences. To understand the submarine fans stacking
character in multi-phase property and the complexity in the spatial architecture, the
work was focused on sequence stratigraphy and building a fourth order sequence
stratigraphy framework, and then gradually interpreting a submarine fan at different
scales. This work also determined the dominant developing stages, distributing shapes,
and transfer patterns of the submarine fan.


Channel identification using feedback seismic slice technique, providing effective
approach for sweet point reservoir identification. By combining thin sand
interpretation with geological micro-facies classification of the submarine fan in
which quasi-isochronal seismic slices of multi-attributes of section dip, azimuth,
variance and thickness are made to reveal sedimentary micro-face information, we
create a reference to carry out a new cycle of more accurate interpretation. By
repeating these processes we can form an ultimate image that better represents a
micro-facies real architecture. This type of slice can present us much higher quality
images than normal and can greatly improve channel identification accuracy at the
seismic data resolution. This technique also can benefit us greatly in mapping
channels of different shapes(such as circular shape, high bent shape, and multiplex
type and so on) when looking for high-quality reservoirs.


Gas pool prediction by inter-channel flat Spot recognition. The basic conditions of a
flat spot in this region have been confirmed by analysis of petrophysical data of drilled
htop boreholes. This in turn has become an effective approach to look for flat spots in
thick channel reservoirs. Using this method, together with seismic forward modeling
and inversion techniques, we have found more seismic flat spots in Dongfang province,
which has largely improved our drilling success ratio recently.



Collectively, Over two years of exploration, the three techniques mentioned above
have become accepted in the Dongfang 13 province for target search, proposal well
analysis, gas pool location and appraisal, and have directly accelerated the discover
of this huge, high quality, and productive gas field.



AN INTEGRATED STUDY TO UNDERSTAND AND PREDICT PRODUCTION IN THE MONTNEY
SHALE
Presented by Rimas Gaizutis (Talisman Energy)

The Triassic Montney formation is a reservoir comprising of silt and sand which straddles the
Canadian provinces of Alberta and British Columbia. Since the 1950s the Montney sands have
been targeted as a conventional resource, but recent technological advances such as horizontal
drilling and fracturing has allowed operators to start exploiting the tighter silts which represent a
much greater volume of rock containing oil and gas.

This presentation takes a look at an integrated study that was carried out on a pad of wells within
the Montney tight reservoir; these wells have been produced by hydraulic fracturing with varying
results. The purpose of the study was to understand and optimize production by fully integrating
all of the data available, from well log information to microseismic. A good geological description
and a 3 dimensional understanding of the mechanical properties of the rock allowed
geoscientists working with groundbreaking new technology, to represent the way that the
induced fractures would propagate, matching the microseismic response. This integrated study
also allowed Talisman to optimize future well placement and production.



FEEDBACK ON INTERSECT AND GAP COUPLING
Presented by Hernani Kalunga (TOTAL)

TOTAL is testing, as a partner of the INTERSECT project, one of the existing solution, within the
INTERSECT Development Consortium, to run integrated simulations from porous media to
surface facilities. The solution we have been testing is the coupling between the reservoir
simulator, in this case INTERSECT, and a network simulator, in this case GAP from Petroleum
Experts.


From 2011s releases until now, we have been testing this approach on field cases, always
comparing IX-GAP results to those obtained from Eclipse with the Extended Network Option

This follow up of 3 years allowed us monitoring the development/improvements of this solution
till the point where we consider it operational, although some improvements are still needed.
This presentation highlights the results, as well as the benefits we get from using IX-GAP
instead of Eclipse with the Integrated Network Option, in two projects operated by TOTAL in
West Africa.

1. The first model is a black-oil model with a master and 4 slaves; with highly
heterogeneous stand alone models. The computation time using Eclipse was
prohibitive (more than 7 days). Using the IX-GAP approach allowed decreasing the
computing time to about 15 hours when using a coupling interval of 30 days and around
27 hours when requesting a smaller coupling interval of 7 days.

2. The second model is also a black oil model with a master and 5 slaves. Also in this
case an important improvement on the performance was noticed: IX-GAP is 4 times
faster than the Eclipse coupled model with the Extended Network Option.



INTEGRATED INTERPRETATION OF SEISMIC AND ELECTRICAL DATA IN PETREL
Presented by Leonid Baryshev (Yakutskgeophysika)

Nowadays each of the stages of exploration process is completed by modeling oil and gas
reservoir. Reservoir model is the result of an interpretation of diverse geological and geophysical
data. It is very important that reliability of the model mainly determines the success in making
decisions on the development and exploitation of oil and gas deposits.

On exploration stage the seismic traditionally plays a leading role in modeling of capacitive
reservoir horizons. It is well known that Petrel is very successful for oil and gas deposition
prediction in Russia and other oil and gas basins of the world.

Meanwhile, the most up-to-date achievements in forecasting reservoir capacity properties a lot
of facts can appear that tell us about foreseeable reservoir with high capacity properties
(effective thickness, porosity) may be incorrect and real capacity properties can be much lower
than forecasted ones. The reasons of such errors could be difficult relief, unstable conditions of
shot environment, and the complex structure of the weathering layer.

This is confirmed by the example of collectors properties prediction in Kovykta field in Eastern
Siberia. There are difficult reliefs, widespread trap magmatic trap and lots of multiples are in this
filed. Determination of the reservoir properties to by using only seismic data failed. It means that
the seismic method is not unique way to explore the reservoir and there are problems in building
reliable models of oil and gas deposits. Integration of seismic and electrical anomalies reveals
the internal structure of the reservoir more accurately. Result of separate interpretation of
seismic, electrical anomalies, the deep drilling data and log data is worse than integration
decision. The utilizing Petrel as professional software package for the integration of different
data types permits to make valid decisions based on comprehensive analysis and interpretation
of all available information.

The examples of the largest oil and gas fields in Eastern Siberia (Kovykta and Verhnechonsk)
explores new methods of integrated interpretation of seismic and geoelectric sections.
Technological features of Petrel allow interpretation in a combined depths scale for both
methods. Thus all Petrel tools common for seismic interpreters are available for geo-electrical
specialists, and aggregate maps are more reliable (accurate) than forecast maps of separate
seismic and electric values.

Efficiency of integrated interpretation in Kovykta and Verkhnechonsk fields confirmed by
correlations between the complex anomalies and reservoir properties measured in drilled wells.



PETREL 2014: YOUR WORKFLOWS, YOUR DATA, YOUR PRODUCTIVITY
Presented by E. Hoekstra (Schlumberger)

Over the years, the Petrel E&P software platform has grown from an integrated geophysics and
geology application to a unique software platform, integrating all disciplines within the E&P
lifecycle together with workflows, data, and knowledge. The Petrel platform provides rich domain
science and integrated workflows to a large community of geoscientists and engineers, as well
as access to the industrys leading numerical engines, including the ECLISPE industry-reference
reservoir simulator, the INTERSECT high-resolution reservoir simulator, Omega seismic data
processing software, the OLGA multiphase flow simulator, and PetroMod petroleum systems
modeling software. It also provides true openness enabling Industry IP and third-party software
vendors to fully integrate with the platform using the Ocean software development framework.
However as technology and demographics within our industry evolve, we have to keep focusing
on improving individual workflow productivity.
With Petrel 2014, the industry will experience a step change in user experience, focusing the
individual subsurface expert on relevant workflows and providing them with quick access to the
data in a productive and ergonomic working environment. Based on widely accepted user
interface methodologies from Microsoft, Petrel 2014 uses the Ribbon concepts to support a
logical flow of activities for each individual user. Workflows are driven from in-context activities,
in which the user selects interactive tasks, interacting with and operating on the data directly.
The Petrel platform gives total freedom to access tools across the whole workflow by lifting the
concept of an active process.

A clean, aesthetic, and logical design makes Petrel 2014 easy to adopt and learn. The Petrel user
experience also brings quantifiable productivity and ergonomic gains to our industry, as
confirmed by customer validation and ergonomic analysis of the workflows using Petrel 2014:

Long mouse travel has been reduced between 50 to 80%
Mouse clicks have been reduced by 30 to 40%
The time spent on the data/interpretation-related tasks has increased between 30 to 40%

With Petrel 2014, you will experience a step change in productivity that allows you to truly focus
on your workflows and data.



CAPACITY TRACKING & FORECASTING IN HIGH WELL COUNT UNCONVENTIONAL
DEVELOPMENTS
Presented by Melvin Keightley (Origin Energy)

Introduction
Origin Energy has developed a standardized technology driven engineering solution to
accurately track and forecast monthly production capacities for LNG Upstream (CSG) assets
in Queensland, Australia.

Challenges\Objectives
The main challenges today are limited system capabilities, disparate data sources, manual
reporting errors, lack of efficient tools for problem detection and difficulty of assessing losses
across the multi-discipline and multi-process pathways of natural gas production complicated
by the high well counts required for reserves exploitation.

This emphasises the need for a technical solution focusing on production forecasting and
planning to optimize the drilling campaign, helping to reduce the number of wells, maximizing
the ROI and assuring the contracted gas supply to the LNG plant.

Solution
Business Processes were developed for System Capacity Calculation and Forecasting. Based
on the developed business processes, a solution was deployed following the principles of an
integrated production operation framework.

Data source integration: Providing a secured and consolidated system that enable
effective data conditioning, efficient processing and interfaces with analysis tools
Enhanced analysis: Offering a strong and flexible production monitoring and analysis
tool for efficient management of CSG wells
Streamlined workflows: Automating and standardizing the well and production
performance monitoring processes and integration of various domain applications
Forecasting: Minimising the uncertainty of the forecasted gas and water production
capacities on a well and field level
Deliverability: Accurate prediction of maximum well capacity and system capacity to
ensure the gas delivery at plant is managed and sustained without compromising the
plant throughput

Benefits
The implemented solution with its automated business processes for system capacity tracking
and short term forecasting standardizes key operational planning process across assets,
reduces the production forecasting uncertainty, enables optimization of well planning
activities, identification of short term production restrictions and development of production
optimisation strategies.



UNCONVENTIONAL WELL AND FRACTURE DESIGN OPTIMIZATION
Presented by J. Chalupsky (Schlumberger)

The last 5 to 10 years has seen a resurgence of energy production from North America, largely
due to the application of technology in unconventional oil and gas playshorizontal drilling and
hydraulic fracture stimulation. Consequently, operators struggle to make economic wells that
produce at viable rates over a period of time. Being economic has largely been determined by a
variety of different criteria (e.g., early acquisition of land acreage, producing oil instead of gas,
reducing drilling and completion time/cost, and efficient hydraulic fracturing operation), in which
most optimization and improvement on operation has been on cost and largely focused at the
surface operations.

North America has largely gone into "factory-mode" production, focusing on cost reduction as
opposed to reservoir understanding and drilling wells before understanding the implication to
field recovery of hydrocarbons. With "sweet-spot" locations in North American unconventional
plays largely already exploitedand in approach to emerging operations in international
unconventional playsthere is a renewed interest to understand the subsurface of these
complex plays. The application of integrated technology and modeling stand to aid in the
improved recovery of hydrocarbon through understanding the hydraulic fracture in greater detail,
and the effect this has on production over the life of the well by utilizing 3D modeling, the
simulation of the hydraulic fracture as it propagates in the reservoir, and the simulation of fluid
flow from the resulting stimulated rock volume.



SHALE WELL DESIGNIMPACT OF TRAJECTORY ON PERFORMANCE
Presented by A. Becze (Schlumberger)

Shale well production performance is influenced by an array of factors, including reservoir
quality, wellbore trajectory, well completion, and operating conditions and fluid behaviour.
Simulation in combination with field measurements offers insights into understanding the
interplay between these factors, helps to understand how they impact well performance, and,
more importantly, how they can enhance well design.

This presentation focuses on an analysis of the relationship between well trajectory and
production performance for three horizontal shale gas wells in the Horn River. It presents liquid
holdup data obtained through downhole camera and production logging, and compares these
with results from transient simulation. It is important to minimize liquid holdup in the case of shale
gas wells as holdup contributes to instabilities and can also plug off contributing stages if those
stages are flooded with liquids. Recommendations on horizontal shale well trajectory design are
presented.



EXPLORATION AND APPRAISAL OF SHALE RESERVOIR
Presented by A. Scollard (Schlumberger)

Hydrocarbon resources from shale and tight reservoirs are changing the geopolitical picture. The
United States has regained historical production levels and is on track for energy independence.
However, these resources have also thrown new challenges at our industry. Identifying plays and
sweet spots, describing shale heterogeneities, estimating fracture effectiveness from
geomechanics, and designing drilling programs with an order of magnitude higher well counts
than most other settings.

We maximize the potential of unconventional resources with conventional software tools. To
address this, Schlumberger is launching the industrys first software offering dedicated to solving
the unique challenges associated with shale reservoirs.

Petrel Shale offers dedicated workflows for shale reservoirs. A completely new shale perspective
in the 2014 interface guides the users through the key workflow stagesexplore, evaluate, drill,
complete, and produceincorporating petroleum systems modeling to effectively pinpoint sweet
spots and identify the most prospective acreage in a basin. Integrating multidisciplinary data
petrophysical, geomechanical, geophysical, and modeled responsesit allows geoscientists to
characterize heterogeneity in shale quality and stress regimes. It also enables users to optimally
design pad placements to drill as many wells as possible from a single point and optimize the
length and spacing of wells to ensure that as much rock as possible is treated without interfering
with offset producing wells. Petrel Shale supports real-time geosteering to stay in the zone and
target the sweet spots accurately. It enables you to design the stimulation, target the best quality
reservoir rock, cost-effectively stimulate only reservoir rock, and optimize production.



SURVEILLANCE DIAGNOSTIC AND RESPONSE PLANNING UNCONVENTIONAL
Presented by K. Pitts (Schlumberger)

Operation and production engineers are faced with an ever-increasing number of wells that they
must deal with in modern unconventional resources, such as shale oil and gas. To maintain
production rates and ensure recovery goals are met, operations must react in a timely fashion to
unexpected production changes. In this presentation, a series of online surveillance diagnostic
workflows are examined that illustrate the benefit of having all pieces of production
informationfrom well status to flowing conditionsin a single, consistent dataset. This enables
advanced engineering and diagnostic workflows that allow for a better understanding of sudden
changes, and the actions required to prevent unwanted production losses.



QUANTITATIVE PETROPHYSICAL INTERPRETATION IN HIGH ANGLE AND HORIZONTAL
WELLS
Presented by D. Maggs (Schlumberger)

Today, the use of high-angle and horizontal (HaHz) wells for field development has become
common practice. Advances in drilling technology and reliable well-placement techniques using
logging while drilling (LWD) measurements have made these wells routine, and the economic
development of many reservoirs would not be possible without the extensive use of such wells.
However, our ability to use the data acquired in HaHz wells for quantitative petrophysical
evaluation lags behind our capability to drill the wells.

Logging measurements are generally axially focused and often deep-reading. In near vertical
boreholes, measurement volumes are approximately parallel to formation layering, and provide
optimal vertical resolution and information about formation properties beyond the mud-invaded
zone. In the HaHz environment, measurement volumes are approximately perpendicular to
formation layering and may respond to multiple layers, complicating subsequent interpretation.

To maximize the value of the measurements made in HaHz wells, a new workflow has been
developed to address these issues, determine true formation properties, and facilitate their use in
quantitative interpretation. Starting with the acquired logs, a layered earth model is created. Log
responses and borehole images are used to identify boundary intersections with the well
trajectory and to define the formation geometry. Once the approximate geometry is defined,
formation properties are estimated from the measured log responses and fast forward models
used to simulate tool responses. If the simulated logs do not match the measured logs, the
geometry and/or formation properties are manually, but easily, updated until an agreement is
achieved. The final model provides a validated representation of both the subsurface geometry
and formation properties.

The formation properties, correcting for the formation geometry around the well, are then
available for use in conventional petrophysical algorithms for quantitative interpretation.



ANALYSIS OF A LLANOS BASIN RESERVOIR USING PETROLEUM SYSTEMS, WIRELINE
MDT-DFA, AND ADVANCED CHEMICAL ANALYSIS
Presented by N. De Nicolais (Schlumberger)

The productive Llanos basin in Colombia has specific challenges relating to extensive water
influx from inundating precipitation associated with the intersection of the prevailing Easterly
winds with the Andes cordillera. This water influx has greatly reduced reservoir salinity yielding
petrophysical challenges. Strong aquifer support, but also early water breakthrough, exhibit
benefits and concerns in the Llanos basin. Of particular interest are the viscosity profile of the oil
and the effect of the aquifer on this profile.

The viscosities of black oils and heavy oils are exponentially dependent on asphaltene content.
Recently, the industrys first equation of state (EoS) for asphaltene gradients has been developed,
the Flory-Huggins-Zuo (FHZ EoS) with its foundation in the Yen-Mullins model of asphaltene
nanoscience. Thus, the FHZ EoS and related equations enable developing an equilibrium viscosity
profile. Additional processes influencing viscosity in the Llanos basin include biodegradation,
water washing, and multiple reservoir charges.

The geologic timing of these processes is critical to understand the crude oil distributions found
today. To understand important production concerns in this basin, an integrated approach has
been pursued. An analysis of the petroleum system was performed to address general basin
characteristics as well as these specific oil processes. Wireline MDT modular formation
dynamics tester sample acquisition and Downhole Fluid Analysis (DFA) were used to elucidate oil
location and type. Advanced chemical analysis was used enabling detailed characterization of
these captured crude oils. In this manner, predicted and measured field characteristics are
aligned, enabling improved value of all data for field optimization for both exploration/appraisal as
well as development.



AN INTEGRATED PETROLEUM SYSTEM MODELING-BASED APPROACH IN
RESOURCE ASSESSMENT
Presented by Abid G. Bhullar (Saudi Aramco)

It is of strategic importance to be able to proactively explore for and secure future
hydrocarbon resources. Due to massive financial commitments involved in exploring and
producing hydrocarbons, a rigorous assessment of resources and to quantify and
demonstrate the overall potential of a prospective area are frequently required. The
regularly updated resource assessment is of particular importance for national
development and to establish a foundation for the development of the long term corporate
financial strategies. Energy supply strategies also require resource assessments: for
example, a comprehensive assessment of the relationship of oil to gas resources is
needed to ensure that infrastructure is correctly planned and implemented. Petroleum
Resource Assessments or Yet-to-Find resource assessments are used to quantify
discovered and undiscovered petroleum (oil and gas), that is technically and economically
recoverable within a certain time frame. It is therefore essential to standardize methods
and tools for resource assessments based on scientifically sound and industry-standard
geoscientific analyses, to document the procedures that are used, and to ensure that the
analysis is complete and relevant to support petroleum exploration activities.
Saudi Aramco, with the help of Schlumberger has developed a State-of-the-art Multi-
dimensional Petroleum System Modeling-based technology for resource assessment.
This is a key technology that can integrate and process all of the available geologic data
in order to assess the potential of resources and leverage technology that enables
hydrocarbon properties of oil vs. gas potential to be understood and predicted for both
conventional and unconventional petroleum resources. This methodology generates
chance of success maps from petroleum system element maps which includes dynamic
charge, reservoir and seal risks. One of the most important elements of this methodology
is the ability to audit and revise these play chance maps as new data can be readily
incorporated and risk maps of the play updated because data and interpretations are
available in an integrated environment.



FULL FIELD SIMULATION OF POLYMER INJECTION WITH INTERSECT
Presented by Konstantin Monastyrev (Petoro)

The challenge was to evaluate the business case of early use of polymer in a large oil reservoir
with a relatively low viscosity. Polymer thickens the injection water and therefore pushes more of
the oil out of the reservoir. Segment models had shown promising results by simulating with
Eclipse, but a full field model was needed to ensure that injection and production profiles were
representative of the whole field. Computing time for cells of 200 m * 200 m * 1.4 m with a total
number of approx. 250 000 cells was acceptable, 15 hours of CPU-time with Eclipse. It is important
to choose a grid cell size small enough to be able to resolve the polymer front, otherwise the
increased oil rates will be inaccurate, affecting the net present value of the project. The easiest
way to refine the model is to divide each cell by and odd number (5 or 7 in this case). However,
this gives models which are so large that CPU-time is prohibitive, longer than 1 week.

It was then decided that Intersect would be tested, as it is a very efficient implementation of
parallelization with a sophisticated polymer treatment. First, it was shown that for both just water
and polymer dissolved in water injection the results from Eclipse and Intersect were practically
the same. Then refined versions were run. CPU-time for 40 m * 40 m was reduced to 5.5 hours on
32 CPUs.

Incremental oil recovery in the fine grids was practically identical and 20% less than the coarse
grid. The oil production rate profiles from the 5*5 refined grid could then be run for different
sensitivities in reasonable times with the knowledge that grid size effects were not affecting the
results.



BENEFITS OF PROBABILISTIC DECISION MAKING IN A LICENSE BID ROUND
Presented by Nazier Hoosain (Sasol Petroleum International)

This paper compares the benefits of two fundamentally different ways of geological and
economic evaluation of an exploration license in the Rovuma Basin, East Africa.

The first method is based on spreadsheet calculations which is the traditional method applied in
upstream decision making. A number of discrete resource cases are chosen (P90, P50, P10), and
then realistic development scenarios are chosen for each resource case, including drilling
programs, production profiles and facilities with CAPEX and OPEX. Cash flows are calculated
providing key economic indicators such as NPV and IRR. The different development scenarios
are then weighted in a standard way including the dry-hole and non-commercial scenarios
resulting in a weighted NPV which helps management to prioritize exploration opportunities.

The second method is based on probabilistic calculations using the exploration decision support
tool GeoX. Detailed sub-surface models with risk modeling and uncertainties on, and
dependencies between, geological parameters are prepared to reflect the geological
interpretations. The stochastic results based on Monte Carlo calculations provide distributions of
in-place and recoverable resources. The shape of the recoverable (unrisked) resource curve is
then used to choose the resource tranches for the development scenarios. The chosen resource
tranches and development scenarios are in turn used as a basis for building activity models with
uncertainties on wells and facilities. The stochastic results based on Monte Carlo calculations
then provide distributions of production profiles, cash flows, and net present values.

Comparison of the deterministic and probabilistic methods for evaluating a multiple play
exploration license leads to the conclusion that the probabilistic calculations provide results that
are more robust since far more scenarios than the traditional P90-P50-P10 are included, and the
results have a greater chance of covering the actual space of potential outcomes and therefore
provide a better basis for exploration decisions.



THE HYDROCARBON PATHWAYFIELD-DEVELOPMENT PLANNING
Presented by Rajesh Puri (Schlumberger)

The field-development planning phase is where big investment decisions are made in the
hydrocarbon pathway. Billions of dollars are spent and, if done well, value is maximized.
However, many projects still overrun their budget and timelines, failing to deliver potential value
to investors. Access to the right information and the right science is not an option, but a
requirement for success.

Since field-development planning is necessarily a multidisciplinary approach involving multiple
domain specialists, success is best achieved when the expertise of reservoir, drilling, and
production engineers, as well as geoscientists and economists, comes together to approach the
hydrocarbon pathway as a total system.

This presentation expands on the best industry practice of using an integrated asset approach to
analyze the reservoir, wells, and networks as a complete system. It focuses on unique
Schlumberger technologies that bring data, models, and people together to achieve the best
field-development plan over the life of an asset.



STUDIO IMPLEMENTATION FOR UNCONVENTIONALS
Presented by Ana Docampo (YPF S.A.)

YPF is Argentinas national oil company and the main operator of the country; hence, it has
significant volume of project data for its Basin studies. Integration of these data in one
common environment is one of the key features for YPF to succeed in this time challenges,
which has been possible due to a new centralized, fully integrated and efficiently preserved
environment.

The Studio project was first implemented in the unconventional exploration team, where the
ability to centrally integrate all the available information, enable to capture project
knowledge in the context of daily workflows. This new concept of work, led the exploration
team to manage information from basin to prospect scale.

The benefits were so significant that it was decided to expand the scope to other groups.
Asset teams are geographically separated, but they need to share their information and
knowledge. This goal will be achieved using knowledge capture and collaboration with this
centralized Studio database. Now users can easily evaluate the states of their environment,
receive notification changes and keep their information up to date.




SHALE ADVISOR AND ADVANCED SPECTROSCOPY METHODS IN UNCONVENTIONAL
RESERVOIR INTERPRETATION
Presented by A. Udi (Schlumberger)
The increasing complexity of todays reservoirs demands an accurate understanding of formation
composition and mineralogy. This is particularly true for unconventional reservoirs, in which
quantification of both mineralogy and organic carbon is critical for resource evaluation. The
Unconventional module in the Techlog wellbore software platform provides unique workflows for
the characterization of the shale reservoir and associated hydrocarbons in place.
The total organic carbon is derived from conventional logs (density, neutron, sonic, and
resistivity) and from advanced log measurements (nuclear magnetic resonance and Litho
Scanner high-definition spectroscopy). The new Litho Scanner high-definition spectroscopy
service revolutionizes gamma ray spectroscopy to enable the detailed description of complex
reservoirs. In addition to measuring key elements in a wide variety of rock formations with higher
precision and accuracy, the Litho Scanner service provides a standalone quantitative
determination of TOC, independent of the environment and the reservoir.

Understanding lithology is key to evaluating shale plays because it directly influences the
porosity distribution in the rock and the geomechanical properties of the formation. Shales have
extremely complex mineralogy from multiple clay types. The Shale Advisor tool combines the use
of conventional and advanced spectroscopy logs, bringing together core data to build robust
models that can successfully explain this complex mineralogy, porosity, and the fluids present in
the formation.

The final step in the unconventional workflow estimates the hydrocarbon volumes in place for
gas, condensates, or oil at reservoir conditionsboth free and adsorbed gas fractions are
computed. Core-derived isotherms from many shale plays are integrated into the workflow for
adsorbed gas computation, with the ability to input local data when available.



THE OTHER SIDE OF THE FRAC: THE IMPACT OF LARGE SHALE NETWORKS ON INDIVIDUAL
WELL PERFORMANCE
Presented by S. Smith (Schlumberger)

In developing shale fields, much of the focus has been on delivering high initial production
through the use of horizontal wells and multiple fracture stages. This focus is often reflected in
the use of the terms reservoir quality (RQ) and completion quality (CQ). However, issues including
high well counts and the complexity of multiphase flow have led to the creation of large and
complex production networks, and little focus has been placed on the quality of these production
systems.

The challenge is to identify underperforming wells, understand how these wells are being
constrained by the network, and determine production optimization solutions. This challenge is
often exaggerated by the fact that control of production operations (primarily well focused) and
midstream/facilities operations (mainly focused on the pipeline system) are not integrated; these
operations are managed by separate teams within an operator, or by completely separate
companies. The presentation will focus on the use of the production analysis tools and simulation
tools to consider an integrated asset approach to optimizing production.



HIGH-DEFINITION BOREHOLE IMAGES IN OIL BASED MUD ADD DETAILS TO THE BIG
PICTURE
Presented by R. Laronga (Schlumberger)

In wells drilled with conductive water-base mud (WBM), high-resolution borehole images are
commonly relied upon for a range of applications, including structural analysis, thin bed
quantification, fracture characterization, facies classification, sedimentology, sequence
stratigraphy, and geomechanics. For the past two decades, geologists have been using these
images to fill in many important details of the big picture that cannot be provided by seismic
methods alone.

Although imagers having adapted physics for logging in nonconductive oil-base mud (OBM) have
been available for more than a decade, several characteristics of these images may hinder
confident interpretation, most notably coverage and resolution. The challenge is that many of the
worlds highest profile deepwater and shale plays are drilled with OBM fluids.

To address this challenge, Schlumberger has field-tested a new high-definition, full-coverage
formation imaging tool based on a new measurement principle engineered for OBM fluids. This
provides full circumferential coverage via an array of 192 microelectrodes, resulting in images
that are essentially indistinguishable from those acquired in WBM.

Geologists interpreting these images now have a full range of core-like observations to fill in
missing details and reduce uncertainty on project value. For example, depositional environment
and paleo-current trend give operators a valuable input that can be readily used in the Petrel E&P
software platform to realistically constrain 3D distribution of reservoir facies, aiding pragmatic
field development or enhanced oil recovery plans.

In a case study from both sandstone and shale plays, the Techlog wellbore software platform
provides novel tools for visualization to facilitate interpretation with greater cognitive ease than
ever before. It supports interpretation of the new high-definition OBM-adapted images for all of
the applications above. We establish the excellence of the new images for even the most
demanding applications, such as fracture characterization and detailed sedimentological
analysis.



INCREASING THE ACCURACY OF RESERVOIR CHARACTERIZATION UNCONVENTIONAL
RESERVOIRS
Presented by Brad Melton (Hess Corporation)

Description. Statistical analysis within Petrel can be used to determine whether adding
additional geologic detail into geological models of unconventional reservoirs increases the
predictability of log properties away from wells.

Background. Some modelers have been slow to begin building detailed fine scale Geocellular
models of unconventional resource plays. The assumption that fine scale heterogeneities are not
important in unconventional reservoirs and that the hydraulic fracture will normalize the reservoir
heterogeneities causes hesitation for the modelers. Several years of production data within
unconventional systems has told us that this presumption is not accurate. Reservoir
heterogeneity must be accounted for in order to understand these systems. This can be
established by generating reasonable facies or sequence stratigraphic models.

The facies and stratagraphic units within these reservoirs can be thin, often below seismic
resolution, so constraining the lateral extent can be difficult. Fortunately, unconventional fields
often contain log data from hundreds or thousands of historical wells. This information can be
used to constrain the stratagraphic heterogeneity within the reservoir. Even with this vast amount
of data, though, uncertainty still exists between the pre-existing wells. In these cases, statistical
cross-validation is a useful tool for testing models to determine which solution best fits the data.

Conclusion. A workflow utilizing cross-validation within Petrel was performed to determine the
appropriate amount of geologic heterogeneity needed for modeling porosity within a well-known
U.S. unconventional resource play. Four models of differing stratigraphic detail were
constructed. Porosity distributions for each model were then statistically tested for accuracy. The
results indicate that models containing more geologic detail will yield more accurate porosity
predictions away from well control (sometimes > 20%). The best-fit model was then used for
STOOIP projection and in hydraulic and reservoir simulations within Mangrove and Eclipse. This
gave us the best representation of in-place volumes, drainage network, and flow for the reservoir.



LEVERAGING DATA TO ENHANCE WELL DESIGNS IN THE EAGLE FORD SHALE
Presented by J. Baihly (Schlumberger)

The Eagle Ford shale covers over 13 million acres in south Texas and is one of the most active
basins in the world with nearly 200 rigs. The area of interest for this study is in Gonzales County,
Texas, and is called the Eagleville field. The Eagleville is situated in the oil portion of the play with
over 80 horizontal wells drilled across tens of thousands of acres. To better understand
completion, reservoir, and production drivers, a detailed field-wide micro study and a basin wide
macro study were performed with OFM well and reservoir analysis software. The results of these
studies may be used to improve the performance of future development wells drilled in the
Eagleville field.

Production data and reservoir parameters across the Eagleville field were input into OFM
software. A base map of the field was created to visualize and analyze well production
parameters such as 90-day cumulative oil, water cut, and gas oil ratio (GOR). A time sequence
was performed that showed the water cut increased over time in some areas that were linked to
faulting. Fluid properties (salinity, H2S, API viscosity, etc.) were analyzed using various plotting
functions in OFM software. One observation was that salinity was directly proportional to water
cut.

IHS public data from Eagle Ford shale wells with similar GORs and depths to wells in the
Eagleville field were analyzed in OFM. This study showed that some operators were
outperforming others, due in part to completion practices. The completion details were examined
to identify trends in stage count, proppant volume, etc. The macro OFM analysis showed how
viscosity and water cut could be tied to maturity windows and faulting. This enhanced
understanding of geological, completion, and reservoir parameters, which allowed for better
development wells to be drilled in the Eagleville field.



OPTIMIZING FORECASTING, SURVEILLANCE, AND PRODUCTION IN SAGD OPERATIONS
Presented by D. L. Clements (Schlumberger)

In producing bitumen reservoirs using SAGD processes, there are a number of complex
interactions to manage. The steam injection well, steam chamber, and ESP lifted production wells
need to be operated in harmony to maximize production. To operate, large numbers of wells need
to be tuned to respond to changes in process plant demands; e.g., steam availability and process
capacity for produced oil and water, which can change during the day.

Today, many fields are operated using a trial-and-error approach to optimizing production. To
effectively manage a field, there is a requirement for an accurate baseline forecast, automated
surveillance of the production, and an appropriate optimization scheme. This presentation will
demonstrate an integrated approach to history matching to provide more accurate short-term
forecasts, automated surveillance, and an appropriate approach to optimization using the Petrel
platform and the Avocet production operations software platform.



RE MODEL MANAGEMENT
Presented by Tg Rasidi Tg Othman (Petronas)

The reservoir model management is an underlying initiative to manage reservoir data, capturing
best practices, workflows and ultimately preserving the reservoir engineering studies outcome in
a systematic manner. The reservoir engineering outcomes or results are stored with minimal
historical information regarding the processes, interpretations made - to produce certain results
and decisions.

Key challenges were address via cataloguing the data systematically via Petrel Data Environment
(PDE), Workflow Consolidation (WC) and as well as Change Management (CM) to ensure
sustainability of the initiatives as well as increasing user adaptability.

Via Petrel platform, a solution is designed to enable project auditability, accessing key workflows
and best practices. This is accomplished by improving the existing data organization, preserving
key results & knowledge from each business milestone. The environment also enable access to
key workflows & best practices directly from Petrel objects and processes.

Apart from increase in productivity, this initiatives enables PETRONAS to have an auditability
model, maintain data integrity, capturing best practices and maximizing technology investment.



THE 4TH TANZANIA DEEP OFFSHORE AND NORTH LAKE TANGANYIKA LICENSING
ROUNDPOWERED BY PETREL E&P SOFTWARE AND STUDIO KNOWLEDGE
MANAGEMENT
Presented by Kelvin Komba (Tanzania Petroleum Development Corporation)

Due to the growing worldwide energy demandspartly propelled by China and Indias economic
growth, majors and independents companies are willing to invest hundreds of millions of dollars
in their quest for oil & gas resource on the next emerging hydrocarbon frontier. The African
continentspecifically, East African countrieshas benefitted from this new, pragmatic
approach. In recent years, countries such as Tanzania, Mozambique, Kenya, and Uganda have
seen increased activity in the petroleum industry sector that have resulted in world class
discoveries in the East Africa rift system.

In 2012, the United Republic of Tanzania charged Tanzania Petroleum Development Corporation
(TPDC) with organizing the 1st ever in-country licensing round. Seven (7) Deep Sea Offshore
Blocks and the Lake Tanganyika North Offshore Block are available for the 4th Licensing Round
which was launched in Dar es Salaam on 25th October 2013. The Deep Sea Offshore Blocks are
located in water depths of 2,000 to 3,000 m adjacent to proven prospective blocks. The Lake
Tanganyika North Offshore Block is located in 1,500 m water depth along the western arm of the
East African Rift System that is proven prospective for commercial liquid hydrocarbons.

The exploration department of TPDC Tanzanias state owned Petroleum Company (which
includes 40 geoscientists organized into seismic data processing, interpretation, reservoir
characterization, basin

analysis, log interpretation and well geology) immediately began looking for an integrated
subsurface interpretation platform that would enable knowledge capturing, scalability and
collaboration on the same shared earth model with a goal of identifying the most prospective
sedimentary basin.

Join TPDC to learn more about large multiclient seismic data available in ready-to-run Petrel
projects, the role of Studio throughout the license round and how Petrel enabled TPDC to better
understand Tanzanias unexplored subsurface potential.



A FULLY INTEGRATED MODELING APPROACH OF THE FRIGG GAMMA DELTA FIELD
T. Pedersen (Centrica)

The field, currently in development planning phase, consists of two structures: Gamma and Delta.
Both are elongated 4-way dip closures that are filled to spill. Frigg Gamma contains oil and gas,
with a thin oil column of 14m, Frigg Delta contains oil only. The estimated in-place resource
(+300M BOE) represents significant volume. The next decision gate for the project is in 2015 and
estimated production should start in 2020. The largest uncertainty is the shape and depth of the
top Frigg, in particular due to gas shadow which obscures the seismic image over almost the
entire Gamma structure.

The previous modeling approach was a combination of static modeling in RMS and simulation in
Eclipse. As there is significant structural uncertainty in the field a more flexible and integrated
approach was required. A team of geoscientists and reservoir engineers generated a fully
integrated model for the Frigg Gamma Delta field, using Petrel platform. Due to the nature of the
reservoir the same grid could not be used for both geo-model and simulation. The geological
model was created using a classic grid aligned with the stratigraphy to capture all geological
features. For the dynamic modeling however an orthogonal grid was chosen. This is to ensure
correct representation of the fluid contacts and optimal modeling of the flow in the thin oil rim.
The Petrel project consisted of two models seamlessly integrated such that any change in the
geological model could easily be adopted by the simulation grid. Advanced generic and flexible
workflows were developed in order to integrate the static and dynamic model, and optimize the
uncertainty modeling. The resulting model enables far more accurate volume estimations and
uncertainty quantifications than previous models and significant speed-up for simulation.



THE WORLD OF HYDROCARBON DATA AT YOUR FINGERTIPS
Presented by F. Broussard (Schlumberger)

As the pace of movement along the hydrocarbon pathway accelerates in markets such as shale,
timely awareness of and access to relevant measurements and insight from many sources
becomes increasingly important. Equally, as the costs associated with exploration drilling
continue to escalate, choosing which prospect to drill must be done with the confidence that
every available data source has informed that decision.

The challenge in bringing together such diverse data and information, and sharing it with some or
all of the team, requires an innovative approach far beyond the tracing paper and light tables of
yesterday.

This presentation will share the unique and game-changing capabilities that Find tools within the
Studio E&P knowledge environment enable for asset teams across the hydrocarbon pathway,
bringing together all relevant insight in an obvious and actionable context.



COMPLETION DESIGN IN UNCONVENTIONAL RESERVOIRS USING ANISOTROPIC
GEOMECHANICAL MODELING
Presented by S. Kisra (Schlumberger)

Experience gained over the past two decades on unconventional reservoirs has demonstrated
that viable economics for unconventional resource plays can only be met if reserves are proved
(reservoir quality) and producible (completion quality).

When the reservoir quality is judged acceptable, then improved productivity in ultralow-
permeability unconventional reservoirs requires extensive hydraulic fracturing treatment (frac
jobs), to maximize contact area and unlock resources. However, it is found that many frac jobs
have poor quality in unconventional reservoirs and result in little improvement in the production.
One of the main reasons behind inefficient frac jobs is a poor understanding of both the
mechanical properties of the rocks surrounding the wellbore and the natural fracture network
that will play a key role in the production. Of particular importance is the anisotropy of the rocks
due to micro-layering as well as the presenceextent and type (closed or open)of natural
fractures, both of which aspects of reservoir quality impinge directly on fracture propagation
length and direction.

Examples from North America and North Africa show how improved understanding of the
mechanical properties and in-situ stresses has shown significant improvements in the
operational efficiency of hydraulic frac jobs through the practice of implementing engineered
completions as opposed to simple, geometrically driven stages.



UNCONVENTIONAL WELL PAD SHUT IN AND RESTART
Presented by K. Pitts (Schlumberger)

In networks with large numbers of existing wells and the continual addition of new production,
shale networks can experience significant back-out due to operational instabilities in the existing
infrastructure. Old production can be knocked offline if too much new production is not brought
on-stream in an optimal manner.

This presentation examines the start up of an unconventional shale well pad in order to examine
if instabilities are produced in the larger network. Look-ahead simulations in combination with
real time data will demonstrate the optimal well startup sequence.



EAGLE FORD COMPLETION OPTIMIZATION USING HORIZONTAL LOG DATA
Presented by R. Slocombe (Schlumberger)

In 2013, Schlumbergertogether with four Eagle Ford Shale Play operators drilling in South
Texasestablished a consortium initiative to acquire various types of open hole logging data in
several horizontal wells. The objective was to use the data to design the completions with
optimum fracture stage and perforation cluster positioning. Horizontal production logs were
subsequently used to gauge the effectiveness of using the log data to engineer the completions.
This paper outlines the data acquisition techniques, analyses made on that data, their application,
and the results.

Previous work carried out on production logging data acquired in several shale plays, including
the Eagle Ford (Miller et al, 2011), shows a significant variation in perforation cluster contribution.
Other documented results show the effect of targeting similarly stressed rock for fracture
treatments (Waters, Heinze, and Jackson, 2011) in the Marcellus. The objective of this study was
to improve the initial flow capacity of the well by increasing the number of perforation clusters
contributing to production. A related objective was to determine the optimal horizontal logging
program that was needed to characterize the rock with minimal interruption to existing
workflows.

Petrophysical and geomechanical analyses were based on horizontal logging measurements and
used as inputs to an engineered completion design tool that generated a recommendation on
each well design. The design tool grouped intervals with similar properties for stimulation
treatment. Following the treatment, horizontal production logs were run through the zones to
measure the perforation cluster contribution.

The results of the study have the potential to change the way unconventional resources are
developed. Recent trends have seen a shift away from data acquisition to blind geometrical
fracturing. This paper examines the value of acquiring petrophysical data in the lateral section
and its application to completion optimization, the minimization of wasted resources, and the
impact on early production.



GEOMODELING TRENDS TO POPULATE FACIES AND PETROPHYSICAL PROPERTIES
Presented by Claude Scheepens (ConocoPhillips)


In the last two decades several interesting advances in the world of geomodeling have taken
place, several new methods were developed to populate facies and petrophysical properties.
In this abstract two techniques will be discussed that have been developed and implemented
within ConocoPhillips to better represent and more accurate model facies and petrophysical
properties.


The first technique discussed is the Bayesian updating technique which consists of combining
multiple attributes at various scales. There are many attributes that correlate parameters,
typically only the attribute with the highest absolute value correlation is chosen to be carried
forward to influence prediction. Bayesian Updating is a statistical theory relating conditional
probabilities through multivariate correlations. At ConocoPhillips a Bayesian updating Petrel
plug-in is developed to quantify the relationships and update the models.


The second technique discussed is a multipoint simulation method with an existing reservoir
model as training image. The multipoint simulation (MPS) method has been increasingly used to
describe complex geological features of petroleum reservoirs. This method is based on
multipoint statistics from training images that represent geological patterns of the reservoir
heterogeneity. However, the traditional MPS algorithm requires the training images to be
stationary in space, although the spatial distribution of geological patterns/features is usually
non-stationary.


We focus on a case where the training images comprise patterns that are non-stationary, in the
sense that they are location dependent. These training images can be built by process-based,
object-based or any other type of reservoir modeling approach. In ConocoPhillips we have
incorporated a new MPS algorithm as a Petrel plug-in that can use an existing model as a
training image and condition it to well data.


We will present results for both techniques.















OPTIMIZING ESP PERFORMANCE IN SHALE WELLS
Presented by Ayn Becze (Schlumberger)

Typical shale well production performance involves a period of natural flow that, within months to
a year, requires artificial lift. The timing and type of artificial lift required is still being evaluated by
operators.

This presentation is a case study of a joint industry and Schlumberger effort to evaluate and
optimize the use of an ESP in an Eagle Ford shale well in the transition period between natural
flow to artificial lift. Artificial lift technology from Schlumberger, combined with its transient
hydraulic flow modeling software OLGA multiphase flow simulator and its multiphase flow
scanner testing, illuminates the challenges and needs to bring multiple understandings together
to realize shale well production performance.




ASSET OPTIMIZATION IN THE MIDSTREAM OPERATIONS IN PEMEX MARINE SOUTH
WEST REGION
Presented by Lauro Gonzlez (Pemex)

In the oil and gas industry, Asset Optimization provides a Decision Support System which can
be applied to both drilling and production, including midstream operations consisting of
transportation, conditioning and distribution of hydrocarbons. Asset Optimization goes beyond a
set of technologies and includes the role of decision processes and people. Successful
implementation of Asset Optimization requires vision, strategy and plans, as well as sound project
implementation to arrive at a successful and sustainable long-term solution.

Midstream Operations consist of four main processes: transportation through pipelines,
conditioning, storage and distribution to sales points. PEMEX, the National Oil Company of
Mexico with a daily production of 2.5 MM BOPD, manages Midstream Operations through the
SDC (Subdireccin de Distribucin y Comercializacin). This entity is independent of the
Production Assets and does not control the quality and quantity of oil and gas produced by the
upstream assets. However, SDC is responsible for delivering an agreed quantity of hydrocarbon
that meets the contractual quality specifications for both internal and external customers. SDC
has four Regional Operating entities called GTDHs (Gerencia de Transporte y Distribucin de
Hidrocarburos). This paper presents the GTDH MSO (Marine Southwest) which handles and
distributes 1.3 MBOPD, which is roughly 50% of PEMEXs production.

SDC has developed a vision for the implementation of Asset Optimization. It is described in terms
of the Automation Pyramid (figure below), that shows a sequence of activities at increasing levels
of complexity and value. It starts with acquiring data that is visualized and used for tasks of value
to the asset, such as monitoring and surveillance of operations, optimization and analysis to
identify root cause, forecast the operations and allow the evaluation of the impact of events and
operating alternatives. Both SDC and GTDH have implemented this vision through projects that
address immediate needs of their operations and business.




Figure 1: SDC Vision, including the Automation Pyramid

MSO is leading Pemex as it implements Asset Optimization across a variety of operations under
its responsibility as shown in Figure 2.

Platforms: Gathering of production from offshore facilities of the Marine Assets
(Cantarell, Ku-Maloob-Zaap, Litoral and Abkatun)
Pipelines: Transport through multiphase pipelines from offshore to the marine terminal.
Process: Separation and conditioning of the hydrocarbons in the on-shore terminal,
dehydration and blending being the main tasks. Storage is another key operational
activity.
Terminal: Off-loading of marine vessels for international clients and distribution to
storage centres and refineries within Mexico.




Figure 2: GTDH MSO Operations and Projects

Over the past several years, projects have been implemented including: (1) Avocet for allocation
of the production received from offshore Abkatun and Litoral Assets, (2) Online Dynamic Support
system combining Avocet and OLGA Online for light and heavy crude transportation, (3)
Dehydration of heavy crude Modelling in Ansys CDF and (4) Terminal Planning also built on the
Avocet Platform.

Although each solution (from the 4 mentioned above) serves a specific purpose, altogether
provide PEMEX GTDH MSO with valuable information for decisions made periodically and
sporadically regarding operational and commercial commitments, for instance:
(1) Better understanding of the origin of the oil received into the TMDB for accounting
purposes and process decisions
(2) Operating blindly versus operating a transparent pipeline, not only in understanding the
current conditions in real-time, but also in predicting future behaviour with forecasting
capabilities of the system
(3) Understanding the dynamics of the dehydration process, the impact on the time for the
crude oil to meet the specifications
(4) Managing and monitoring the oil inventories, through analysis and creation of scenarios
while all information generated is integrated, validated and stored in one operational data
base



Together, this series of solutions constitute a Decision Support System that has enabled PEMEX
GTDH MSO to evolve from reactive to proactive in the way it operates the Heavy and Light Oil
Transport, Conditioning, Storage and Distribution Systems extending from the offshore assets into
the Maritime Terminal.

Collaborative workflows are also enabled for PEMEX related to the interfaces between
production and transport systems between operating entities. The decision support system
provides insight into the light oil transport system that extends from the South-West Region to the
North-East Region, as well as the heavy oil transport that extends from the North-East Marine
Assets into the South-West facilities.

Schlumberger is a committed business partner to PEMEX GTDH MSO. Together the two
companies find ways to face everyday operational challenges, based on best-in-class technology
with a creative approach to solutions that provide value and serve to achieve business
objectives.

These projects have strong economic importance, leading to a reduction in non-compliance
penalties for oil deliveries from 150 MM USD in 2008 to 50MMUSD in 2012, a clear illustration of
the business value of these technology investments.



INTEGRATED WORKFLOW TO IDENTIFY NEW OPPORTUNITIES FOR THERMAL EOR
APPLICATIONS
Presented by Maria Leon Carrera (Repsol)

Application of Enhanced Oil Recovery (EOR) processes has increased in the last decade
and thermal EOR processes have been breakthrough solutions for extra-heavy oil and heavy
oil fields development. Repsol Technology Centre (CTR) has one particular research project
dealing with thermal EOR for the development of a clastic, extra-heavy oil green field.

This work aims to define a specialized workflow that allows the identification of areas with
great potential for the application of Cycling Steam Stimulation (CSS) and Steam Assisted
Gravity Drainage (SAGD), which require a specific range of continuous net sand thickness,
together with good quality of reservoir and oil content. Working with a clastic green field
implies to work with sparse data and with high heterogeneity; therefore, it opens a wide
spectrum of stochastic realizations. In this context, CTR has developed a specific
methodology which combines facies modeling methods, thermal EOR expertise in Petrel and
the use of one Ocean plug-in. It allows us to handle the uncertainty of the sand thickness
distribution, to estimate ranges of recovery impact of an unconventional green field and to
support field development strategies.

In order to improve the modeling of sand continuity and to guarantee flexibility in the
representation of the main characteristics of our geological conceptual model, we used
Multi-Point Facies Simulation. Doing so, the training images reproduced the geometrical
parameters of braided channels from analogous fluvial systems of a data base. A key
innovation has been the introduction of a CNP-1D Ocean plug-in. We accelerated
discrimination of thicker sand bodies; therefore we were able to detect prospective sands
that could have significant impact in the field development strategy using thermal EOR
processes. Petrel workflow editor has also been crucial to unlock potential areas of high
continuity of sand and to bring flexibility in the application criteria for EOR pre-screening.
This tool allowed us to apply tailor made criteria for EOR screening, to report the range of
possible recovery impact of CSS and SAGD technologies.



BEYOND ROVUMA: HYDROCARBON POTENTIAL OF THE OFFSHORE ZAMBEZI AND SAVE
RIVERS REGION, MOZAMBIQUE
Presented by T. West (Schlumberger)

There are two major sedimentary basins in Mozambique, onshore and offshore. Recent
offshore discoveries in the Northern Rovuma Basin, offshore Mozambique, have generated
significant interest in the industry to evaluate further potential in the southern regions of the
Mozambique Basin. The presence of oil and gas fields and seeps onshore has also
encouraged further exploration of hydrocarbons in the country.

The focus for this presentation is in the Zambezi Delta and Save River, offshore Mozambique.
Using available seismic and well data, a geological model was constructed to understand the
depositional environment in order to evaluate the full hydrocarbon potential of the basin.
The geological setting along the Mozambique coast varies from north to south, having an
impact on the hydrocarbon plays distribution.

This paper reviews the potential of the pre-Cretaceous, Cretaceous, and Tertiary plays, as
well as the major trapping mechanisms using the Petrel E&P software platform.



THE STUDIO ENVIRONMENTMAKING KNOWLEDGE WORK
Presented by Patrick Dineen (Schlumberger)

The cost of discovering and recovering hydrocarbons is on the rise. This fact, when allied to a
scarcity of talent in our industry, brings great focus on user and team productivity as
organizations strive for efficiencies across the lifecycle of the asset.

The Studio E&P knowledge environment empowers petrotechnical workers with a powerful
platform for collaboration, enabling them to find, access, review, capture, and share critical
information, knowledge, and insight in context inside the Petrel E&P software platform and the
Techlog wellbore software platform. The Studio environment equips data managers with utilities
and workflows that put them at the heart of the asset team.

This presentation will illustrate how the Studio environment addresses the productivity challenge
by delivering a leap in potential for collaborative working across multiple assets and multiple
domains to support your teams along the hydrocarbon pathway.



VALUE FROM YOUR TECHNOLOGY INVESTMENTTRANSFORMATION PROJECTS IN
INTEGRATED OPERATIONS
Presented by JC Bonilla (Schlumberger)

The implementation of integrated operations (IO) for your organization creates an opportunity to
fundamentally change your approach to production operations. Technology choices aside, IO can
transform decision-making from a fragmented mechanical process into an organic capability by
embedding a culture of collaboration as the basis for the operations philosophy. This fundamental
change requires visible leadership in addition to the management of incremental implementation
steps; a combined top-down, bottom-up approach. There is also the long-term structural
transformation to consider due to scale, magnitude, and strategic importance of optimizing assets
for future production.

Consequently, a comprehensive IO business and technology transformation strategy is required
that is based on an in-depth understanding of what the implications of asset-level digital oilfield
solutions are for an organization as a whole, as well as individual stakeholders. This can, in turn,
drive a plan to assess how to optimally lead the technical and organizational integration effort
through tailored interventions by business unit, location, role, function, and decision-making
patterns.

This talk will review some of the specific implications of Integrated Operations and how
Schlumberger can help to develop and implement an optimal business and technology
transformation strategy.



PROACTIVE WELL CONTROL WITH DRILLBENCH SOFTWARE
Presented by B. T. Anfinsen (Schlumberger)

This presentation will discuss the challenges of drilling the increasing number of narrow margin
wells. With stricter well control requirements and increased focus on cost, more attention should
be given to planning and risk assessment. The presentation will show how dynamic well control
software can be used in all stages of the well control workflow to optimize well design and
procedures.

With better understanding of the margins, it is possible to drill deeper and more efficient and
avoid costly well control incidents. The presentation will also show a comparison between a
planned well (drilled on computer) and actual measurement data, and illustrate the level of
accuracy that can be achieved.



INTEGRATION OF 3D RESERVOIR GEOMECHANICS INTO THE PROJECT
MATURATION PROCESS OF THE HIGH PRESSURE HIGH TEMPERATURE CULZEAN
FIELD
Presented by F. Bourgeois (Maersk Oil & Gas)

The high pressure, high temperature (HPHT) Culzean discovery is located in Block
22/25a in the UK Central North Sea. The reservoir is a Triassic age sandstone located
within a rotated fault block beneath chalk at a depth of approximately 15,000 feet. The
southern edge of the field is bounded by the Merganser salt diaper.

In the HPHT context, one of the key challenges is to be able to assess the in situ
mechanical conditions not only before production starts but also during the whole life
of the field and not only in the reservoir but also in the overburden. Geomechanics
through the use of a 3D modelling can give a strong insight into the mechanical
response of the reservoir and the overburden induced by high and rapid depletion.

Further it is necessary to assess the geomechanical risks along well trajectories and
impact of rock displacements on wells to be investigated for the following purposes:
- Compare and rank reservoir targets
- Help define re-drill well sequence
- Economic forecast

Such topics require an integrated approach of geophysics, geology, reservoir, well
engineering and geomechanics. So integration is key. The presentation will focus on
the workflow, tools and methodology adopted by the Culzean project to achieve a high
degree of integration at the team level, at the project level, across disciplines and also
in different locations.



PRODUCTION OPERATIONS SURVEILLANCE HUB (POSH) ON AVOCET PLATFORM
FUELING SAUDI ARAMCO TO REALIZE TRUE VALUE OF INTEGRATED OPERATIONS
Presented by S. Ahmad (Saudi Aramco)


Saudi Aramco is establishing a new collaborative work environment center thats known as
Production Operations Surveillance Hub (POSH), which is designed to be a specialized
working place for production engineering and field services in the northern fields of Saudi
Arabia. In order to maximize the business value for the POSH, Saudi Aramco realized the need
for having a platform to host and consolidate the various production engineering workflows
and business processes in a centralized environment that enables visualizing field
measurements and allows performing standardized analysis based on anomalies or abnormal
behaviors.

A project was initiated with SIS in July 2013 to evaluate AVOCET as the main platform to be
used in the POSH. This project was implemented on the largest offshore producing field in the
world, from which, a limited number of wells (40) was selected for testing and implementing
two critical workflows namely:
Well Performance Analysis encompassing ESP and Naturally flowing Wells. ESP Analytics &
Diagnostics also included.
Water production analysis and diagnostics

Upon completion of the limited deployment, Saudi Aramco plans to expand the solution to
implement a larger number of workflows, covering all its Intelligent Field enabled producing
assets.

The new platform was developed and deployed to handle the following:
Capture and validation of high-frequency and conventional data measurements
Diagnostics and analysis of anomalies
Visualization, trending and prediction of data measurement,
Decision making and integration environment for designing Production Engineering
workflows and business functions orchestration.

The aforesaid functions have been developed and deployed using the Avocet platform with
native integration to Oil Field Manager, PIPESIM Well & Network Modeling tool and Avocet
Work Flow Manager so as to meet Saudi Aramcos requirement of an expert system that
covers 3 major elements namely Data Monitoring & Event Detection, Diagnostics &
Analysis and Decision & Action.

The POSH project is Saudi Aramcos major leap in the Digital Oil Field space so as to realize
true Integrated Operations.



ENHANCING PRODUCTION & OPERATION THROUGH PIPESIM MODELING AND
AUTOMATION
Presented by M. Al-Ajmi (Kuwait Oil Company)

The North Kuwait field is a large onshore oil field on the border with Iraq. Hydrocarbons are
produced from approximately 750 wells in the Raudhatain and Sabriyah reservoirs through a
complex surface gathering system to 5 separate gathering centers (GCs).

The NK team identified that oil production at export was not consistent with the expected well
performance. Well tests showed significant discrepancies between production rates measured
at wellheads and the rates allocated from the fiscal meter at export. The asset recognised this as
a critical barrier to improving production operations and effective reservoir management.
Consequently, North Kuwait Field Development (NKFD) initiated a comprehensive program for the
purposes of production enhancement and facility optimization study.

The first phase of this program involved the construction of a thermo-hydraulic network model of
the North Kuwait surface gathering system. NKFD engaged with Schlumberger to construct the
first stage network model and to carry out analysis to identify potential bottlenecks at surface.

Schlumberger constructed a PIPESIM model for the entire field from the wellheads to the
gathering centre inlet headers. The network model captures details of the well connections, flow
line geometry and routing for approximately 1,500 separate surface flow lines making it one of the
largest models of its kind in the world.

A data gathering exercise was undertaken to ensure the constructed model was realistic and
representative. The updated data was stored in a centralized database which was used directly
for the creation and update of the network model. A graphical user interface (GUI) was created
to automate the network data upload from the companys database into the model using
PIPESIMs application programming interface. This provided a mechanism for automation of the
PIPESIM simulation models which facilitates quality checking of the data prior to implementing it
in the model.

The surface network model was validated by the NK team and Schlumberger during a workshop.
After some corrections it achieved an excellent match to the existing setup. However, the results
of the study indicated there was no significant bottleneck in the production system based on the
steady state evaluation. The results from this work initiated a second stage network to provide a
Production Validation and Reconciliation solution.



USING THE PETREL E&P PLATFORM TO SOLVE COMPLEX TURBIDITE RESERVOIR
EXPLORATION PUZZLES IN WEST AFRICA DEEP-WATER BLOCK
Presented by Cao Xiangyang (CNOOC)


Research Background
The geologic environment in the West Africa deep-water region is very complex, as it
is affected by a combination of factors including complex tectonic movements, salt
action and deep-water gravity-flow deposition. Geophysical prospecting technologies
need to be innovative, and applied in the context of geologic awareness. This study
focuses on analyzing the geological problems of complex structural-lithologic
composite trap definition and deep water channel reservoir prediction, in order to
make reserves estimation. A series of key geophysical technology workflows were
established based on the Petrel E&P Platform. CNOOC deepwater oil and gas
exploration in West Africa has been effectively advanced by the application results
provided by this technology.


Key Integrated Technology workflows
1Workflow for structural-lithologic composite traps definition
By superimposing seismic sweetness and gradient attributes on a three-dimensional
perspective background, we can identify sedimentary bodies and search targets. The
problem of multiple solutions in target recognition can be effective solved by
integrating seismic amplitude, frequency and geometric shape of sedimentary body.
Furthermore, spectrum imaging, RGB rendering and seismic stratal slice approaches
were used to describe detailed channel characteristics and evolutionary processes.
The result of this study provides a basis for sedimentary body interpretation and
structural-lithologic composite traps definition.

2Workflow for turbidite reservoir description
A new seismic inversion method was created to accurately predict the probability of
turbidite reservoir characterized by limited distribution and greatly vertical-horizontal
variation. This method was constrained by genetic algorithms and statistical rock
physics. In addition, geometrical attributes such as dip analysis, complex geological
seismic forward modeling technique and seed point automatic tracking technology
were used to further describe the connectivity and spatial distribution of reservoir.

3Workflow for reservoir geologic modeling
The lacking of well data creates many difficulties in building a geologic model of a
reservoir, especially in exploration phase. Psuedo wells and facies-controlled
modeling can be used as the core for improving reservoir modeling accuracy. Based
on seismic facies and inversion analysis, pseudo wells were built to increase the
number of geological modeling control points and improve geological modeling
accuracy. In addition, the geological model is also controlled and constrained by
sedimentary facies which were obtained from multi-attributes seismic analysis.



Impact of application workflows
An integrated geology and geophysics technology workflow for interpreting turbidite
channels in West Africa deepwater was investigated. Applied workflows show that
these techniques can precisely predict reservoir and estimate reserves in West Africa
deepwater block. The Petrel E&P platform has been proven to be effective and
efficient in solving difficult exploration problems.



NEW TECHNIQUES FOR STRUCTURAL DEFINITION IN SALT PLAYS
Presented by C. Chahine (Schlumberger)

In the past 5 years, the major giant discoveries have been associated with salt plays located in
the deepwater provinces of the Gulf of Mexico, Offshore Brazil and Offshore West Africa. Having
a thorough understanding of the salt complexity is critical to ensure a successful exploration well
and establish an economic development plan.

This presentation will showcase the new techniques in the Petrel E&P software platform to
provide fast and accurate methods for reconnaissance of the structures and bodies within the
salt plays. It will also cover how using prestack data can help to delineate accurately the
reservoir potential beneath these bodies in the shadow areas.



INTEGRATED SEISMIC TO SIMULATION UNCERTAINTY AND OPTIMIZATION
Presented by A. Bulat (Schlumberger)

Oil and gas projects often amount to billions of USD. Before committing to an investment decision,
it is vital to build the knowledge about the reservoir for better risk management across all the
stage gates of the development lifecycle.

Integration is key for mitigating risks. This talk will show how integration between all geoscience
and engineering domains enabled by the Petrel E&P software platform and the ECLIPSE industry-
reference reservoir simulator allows for more robust subsurface uncertainty assessments and
selection of the best field development plan along the hydrocarbon pathway.



BUILDING GEOMECHANICS AT WINTERSHALL
Presented by Heather Davey (Wintershall)

Given the wide range of reservoirs in which Wintershall operates, it is of paramount importance
that Geomechanical evaluation be included in the assessment of reservoirs and design of wells.
Cost-effective, safe, and efficient development can be executed through the use of geomechanics.
In recent years Wintershall has also made the decision to pursue unconventional opportunities;
and a special application of geomechanics must be utilized in these reservoirs, for proper
completion design and maximized recovery of assets.

Due to the importance of this discipline, Wintershall made the decision to increase its internal
knowledge through the completion of four pilot projects, jointly with Schlumberger. These pilot
projects each focused on a different reservoir type with unique geomechanical challenges.
Techlog and Petrel RG were utilized to construct 1D and 3D mechanical earth models. Results
from the pilot studies will be showcased in our presentation.




ISOMETRIX MARINE SEISMIC TECHNOLOGYSEISMIC AND BEYOND
Presented by Chris Cunnell (WesternGeco)

IsoMetrix marine isometric seismic technology enables detection of fine-scale structures in the
subsurface in all directions; vertically, inline, and crossline between the streamers for the most
detailed imaging from seabed to reservoir.

Conventional 3D surveys are typically acquired by a vessel equipped with streamers towed 50 to
100 m apart, leading to sparse sampling in the crossline direction. IsoMetrix technology allows
accurate reconstruction of the full 3D wavefield between the streamers, isometrically sampled at a
6.25-m by 6.25-m point-receiver surface grid of data.

This fine sampling makes the data suitable for use in a wide range of interpretation and modeling
applications, including high-resolution near-surface imaging, deep reservoir characterization, and
4D (time-lapse) reservoir monitoring.

IsoMetrix technology provides a wide range of benefits compared with conventional acquisition
techniques, including fresh insights into subsurface interpretations, efficient exploration
techniques, and true broadband imaging in three dimensions, including 3D de-ghosting.

This presentation introduces the concepts behind IsoMetrix technology, illustrated with examples
from a selection of projects that cover a range of applications from exploration, through
appraisal/development and time-lapse (4D) monitoring.




A NEW GENERATION OF WELL SURVEILLANCE FOR EARLY DETECTION OF GAINS AND LOSSES
WHEN DRILLING VERY HIGH PROFILE ULTRA-DEEPWATER WELLS, IMPROVING SAFETY AND
OPTIMIZING OPERATING PROCEDURES
Presented by C. Platt (Schlumberger)

As the industry today continues to expand into ultra deepwater plays, an increasing number of tight
tolerance wells warrant the use of an efficient system for determining early influxes or losses
during drilling, tripping, and cementing operations. The narrow mud weight window for the majority
of these wells requires an advanced solution in order to operate in all such conditions without
compromising on safety. This paper describes a new early detection flow monitoring system and
setup for floating rigs, and presents its application via a case study of a very high profile ultra-
deepwater well.

Good well surveillance for floating rigs requires precise measurements combined with an efficient
smart process adapted to deepwater conditions in order to raise a reliable alarm in any condition
while minimizing the risk of false alarms. Careful sensor selection and sizing, together with
particular attention to installation is required in order to achieve this degree of accuracy for all the
drilling phases. The solution described in this case-study provides drilling surveillance for all hole
sizes, with flow up to 2,000 gpm for accurate and early detection, and significantly increased safety
during drilling, tripping and cementing operations.

This case study describes how kicks can be detected with a high degree of reliability much earlier
than with the standard pit volume and flow paddle monitoring. Indeed, simulations done with
Drillbench dynamic drilling simulation software highlight the critical need to detect an influx at the
very early stage to minimize the volume of the influx. The Drillbench simulation shows that the
circulation of the influx could be compromised if the volume gained is above a threshold value. The
use of the FLAG fluid loss and gain detection service is then a mitigation solution to help prevent
crossing this threshold volume value given by the Drillbench simulation.

In addition to this, it has shown its value by characterizing in real-time the consequences following
a pack off event and also by differentiating between a wash out and pump failure.

Crew confidence in this detection system rapidly led to modifications of the operational
procedures. For instance, flow checks were previously done every pipe connection, taking up
expensive rig time. Due to results obtained in the previous hole sections, the drilling procedures
were updated in order to significantly reduce time spent flow-checking, while still maintaining
maximum safety during the operations.




FIELD DEVELOPMENT PLANNING FOR THE SOUTH-TAMBEY GAS CONDENSATE FIELD A
SUCCESSFUL DECISION-MAKING STORY INTEGRATING INTERSECT AND PIPESIM.
Presented by D Mezentsev (Novatek)


South-Tambey gas condensate field is a complicated multi-horizon multi-reservoir field, situated at
Yamal peninsula which is known by unique gas and condensate fields with complex geology,
unfavorable climate conditions all these factors cause high production costs and high potential
risk of losses due to errors in field development planning. In such circumstances it is not enough
to make a simulation model and surface facilities model based on the information available. What is
needed in this case is an integrated model of reservoir(s) coupled to surface network facilities, with
ability to update this model based on new information because of significant impact of geological
conditions and lack of reservoir data usual for such cases.

NOVATEK had created a concept of building a field development plan and designing a surface
facilities which allows accounting for geological uncertainty and helps in minimizing the capital
expenses. But at certain step reservoir engineering team had realized that no one of standard tools
can provide functionality required for such huge and innovative projects. At this period we had got
info about the INTERSECT simulator by SIS, which was initially oriented to deal with such problems
huge amount of data and grid dimensions, complicated FDP strategy, integration with surface
networks etc. After successful evaluation of INTERSECT functionality on South-Tambey model,
NOVATEK had started implementation of INTERSECT into project lifecycle.

This report will present the main ideas of NOVATEK innovative approach in creating field
development plan for complex multi-reservoir gas condensate fields, results of the project,
available functionality and advantages of software solutions used.




SALT IMAGING AND INTERPRETATION IN DEEPWATER ENVIRONMENTS
Presented by Caroline Martinez (Schlumberger)

Today, depth imaging is more commonly used in our industry due to the complexity of the prospects
and reservoirs. Depth imaging requires accurate velocity models and a superior processing
system. Velocity model building is tightly link to seismic interpretation, because it is a process that
needs to be refined through tomographic iterations.

Technology such as advanced seismic attributes, multi-z interpretation, and structural framework
building play a very important role in the delineation of the structure. The integration of prestack
data with the QC parameters from the processing system helps enhance the velocity model and
makes the process very efficient.

This presentation will show the generation and refinement of a velocity model that takes into
account the anisotropy of the area. It also demonstrates the value of working in a platform that
supports interpretation and processing workflows to obtain different scenarios.




ENABLING GEOSCIENCE INNOVATION IN AN EVOLVING E&P LANDSCAPE
Presented by D. Palkowsky, R. Beaubouef, B. Hay, J. Spokes, D. Maguire, S. Uchytil
(Hess Corp.,)

Recent production performance information from Okume Complex, offshore Equatorial Guinea,
indicates the presence of sub-seismic reservoir baffles and barriers. To address the issue of sub-
seismic reservoir heterogeneity and compartmentalization we have turned to outcrop-based
modeling applications. The Beacon Channel (Brushy Canyon) outcrop offers exceptional 3D views
of a sinuous slope channel-fill. The scale and geometry of Beacon Channel is analogous to the
smallest-scale stratigraphic features resolved by 3D seismic images of West African slope channel
complex systems. Therefore, detailed analysis of Beacon Channel can potentially provide
information regarding reservoir distribution and heterogeneity at a sub-seismic scale. A high-
resolution, fine-scale 3D geocellular model was generated incorporating geometries and facies
architecture observed in the Beacon Channel outcrop, along with rock and fluid properties based
on reservoirs in the Okume Complex fields. This model was subjected to fluid-flow simulation for
baseline behavior. Next, the outcrop-based model was resampled / upscaled and new models were
generated and subjected to fluid-flow simulation. The dynamic behavior of outcrop-based model
and upscaled counterparts were compared to determine the appropriate level of detail required in
the simulation model to retain characteristics modeled directly from the outcrop. Initial results
indicate, as expected, simulations from the coarse, upscaled models reveal differences from the
baseline behavior. More importantly, we find that baffle and barrier placement have a far greater
impact on the dynamic performance of the reservoir than the inclusion or retention of the fine-scale
depositional detail. In other words, the placement of, sub-seismic, non-reservoir elements within
the models have a greater impact on fluid flow than does inclusion of the high-resolution
stratigraphic architecture of the reservoir elements. Future work needs to focus on improved ways
to understand the probability and location of associated baffles or barriers for various depositional
elements and the geocellular modeling workflows that best reproduce these characteristics.







THE QUEST OF PRODUCTIVITY STEERING
Presented by S.A. Haq, J.M. Denichou, R.E. Okoroafor, W. Zhou (Schlumberger)

The journey for the quest of productivity drilling began a few decades ago. The first generation of
logging-while-drilling (LWD) technology introduced in the late 1980s provided basic directional and
formation-evaluation measurements, and served as insurance logs in vertical and deviated wells.
At that time, the primary applications were stratigraphic and structural correlation with nearby
wells and basic formation evaluation. The 1990s saw a major shift in the applications of LWD
technology. There was increased focus on the exploitation of smaller, tighter and harder-to-reach
reservoirs. Well architectures became more challenging (horizontal, multilaterals, extended reach)
even during the appraisal stage of field development. The second phase in LWD development
reflected this evolution with the introduction of azimuthal measurements, borehole images,
instrumented steerable motors and forward-modeling programs to achieve accurate well
placement through geosteering. Consequently, well construction evolved from geometrical
designs to wells steered by geological information.

With the introduction of deep-reading LWD resistivity tools and high-resolution imaging devices,
Geosteering in the 21st century entered into its third phase, classified as Structural steering. In
this steering method, deep and high resolution measurements are used to create structural
models of the geologic conditions encountered by the drill bit. This allows operators to better
understand the formations just drilled and direct horizontal and high-angle wellbore trajectories in
anticipation of structural changes ahead of the bit.

These advanced measurements while drilling, especially continuous bed boundary logs from deep
azimuthal electromagnetic measurements and discontinuous/station measurements of pore
pressure, mobility and fluid properties from formation testing/sampling while drilling, provide the
real possibility of estimating the productivity index (PI) of the openhole section of a borehole, in
near real time, during reservoir drilling. Well productivity is governed by the product of pay
thickness and permeability. The bed boundary logs, although intended for the different purpose of
geosteering, provide a clear description of pay thickness variation along the reservoir section. At
the same time, spot measurements of mobility provide very useful control points when
permeability along the borehole has been estimated by petrophysical models. Thus, in principle, it
is possible to use these two sources of information to obtain a quantitative measure of the
productivity, the PI, of the openhole well. The PI can be used for drilling decisions (e.g., whether
additional footage is worthwhile), completion decisions (whether the well cleanup response
indicates damage when compared to the well potential derived from these logs) and to evaluate
trajectory undulations effects on well productivity. The industry is about to enter the next
generation of geosteering Welcome Productivity Steering.




AN INTEGRATED APPROACH FOR DRILLING PERFORMANCE ANALYSIS
Presented by M. Spotkaeff (Schlumberger)

In few places in the data sphere is the difference between drilling and subsurface so distinct as
that between time- and depth-based data. Subsurface is generally concerned with the depth-
based data of the formation; the earliest of which would be in the actual LWD data acquired while
drilling (yet this can account for as little as 20% of the data acquired during the drilling process).
The drilling engineer is concerned about everything that happens during the drilling operation, and
so is looking closely at the time based data. This can be seen as analogous to a cause/effect
relationship: the subsurface shows the cause, which has an effect seen in the drilling of the
borehole.

The integrated approach used in Drilling Performance Analysis is its ability to integrate both of the
time and depth domains together, in order to produce an interpretation that delineates the effect
as well as highlight the root cause of a specific event.




PROACTIVE WELL CONTROL WITH DRILLBENCH SOFTWARE
Presented by B. T. Anfinsen (Schlumberger)

This presentation will discuss the challenges of drilling the increasing number of narrow margin
wells. With stricter well control requirements and increased focus on cost, more attention should
be given to planning and risk assessment. The presentation will show how dynamic well control
software can be used in all stages of the well control workflow to optimize well design and
procedures.

With better understanding of the margins, it is possible to drill deeper and more efficient and avoid
costly well control incidents. The presentation will also show a comparison between a planned
well (drilled on computer) and actual measurement data, and illustrate the level of accuracy that
can be achieved.





GEOSTEERING WITH THE USE OF PETREL SOFTWARE (SOUTH TAMBEY FIELD)
Presented by E. Bondarev (Yamal LNG)

South Tambey field is huge unique gas-condensate field in Yamal-Nenets Autonomy District of
Russia. Main productive reservoir are coastal marine deposits of Tanopchin series age, highly
heterogeneious and uneven in lithological and capacity properties.

The geological department of JSC Yamal LNG carried out appraisal job with full application of
expanded LWD complex and geosteering services while drilling inclined sidetrack . To increase
efficiency of geosteering, it was planned to apply new advanced approach of updating existing
geological model in Petrel in real time, both structural framework and petrophysical properties .

Main objectives for steering job were:
Drilling in gas-saturated sandstones reservoir.
Steering the well with the maximum NTG in target interval.
Updating sector geological model in real time .

For preliminary reservoir properties estimation the geological model of South Tambey field was
used. Structural dips were estimated by interpreting density images, results of inversion and
repeating sections of logs. By Periscope data inversion top of target interval was mapped. As a
result of three-dimensional updating of porosity model within Petrel, distinction of a section from
modeled before drilling was revealed. There were identified rather lower porosity values than it
was predicted by the initial model .





A PETREL-BASED EVALUATION OF AUSTRALIA AND NEW ZEALANDS FRONTIER BASINS AND A
PRELIMINARY RESOURCE ASSESSMENT FOR THE SORREL AND DEEP-WATER OTWAY BASINS
Presented by Claudia Carter-Pike, Colin Harwood & Claire Davies (BG Group)
David Weeks, Andrew Lavender, Owen Sutcliffe, Nick Harvey & Richard Martin (Neftex)

As part of an on-going commercial research programme, BG Group has contracted Neftex
Petroleum Consultants to help assess the potential of the Australia and New Zealand Region,
specifically to investigate frontier basins. The Australia-New Zealand (ANZ) region provides an
interesting challenge for petroleum geologists because large parts of it remain under-explored, or
even un-explored. The USGS recognise 91 basins in this region: 48 of these have less than 30
exploration wells or have yielded less than 10 discoveries and are considered frontier; whilst the
remaining 43 have a more mature exploration profile. The remaining hydrocarbon potential of this
region is therefore likely to be significant. However, the question remains about how to compare,
or even evaluate, the different basins of this huge region, and then proactively high-grade them for
a more detailed evaluation of their resource potential.

A systematic evaluation of the whole of the ANZ region was achieved by building a regional Earth
model in Petrel* that contains 95 gross depositional environment maps based on a high resolution
global sequence stratigraphic model and a regional grid model at key stratigraphic surfaces based
on all available depth data .The Earth model was used to determine the likely maximum extent of
source rocks and reservoirs at key stratigraphic levels and was integrated with geochemical data
to broadly model source rock maturity across the region. The flexibility of the Petrel*-based
workflows allows this regional Earth model to be kept live and easily updated with the arrival of
new data. Once surface modelling was completed, the aerial extent of mature source rocks was
defined and the extent of juxtaposition with possible reservoir rocks determined. Based on these
geological models, both frontier and non-frontier basins can be compared and ranked.

The Petrel*-based screening workflow allowed the recognition of the deep-water Otway and
Sorrel frontier basins as candidates for further study based on their favourable geological setting
and likely continuity with the well-explored Otway Basin. The availability of additional data was
also a factor. In order to define a range of resource estimates for these basins, the structural
component of the Earth model was refined and the two most prospective plays assessed
independently. The first play is a continuation of a known gas play from elsewhere in the Otway
Basin, comprising Turonian sandstones charged by Turonian coals. The second play is unproven
but with some oil potential, and comprises late Cretaceous sandstones charged by Turonian
marine shales. Common risk segments maps were generated for play fairway elements and
composited in Petrel*. Risking was based both on an estimate of the chance of adequacy of a
particular petroleum system element and the level of knowledge about their development. This is
a frontier area with no known reserves so aerial productivity analogues were applied over the
intermediate and low risk segments of the basin. The resource estimates were risked using the
results of composite common risk segment mapping which indicate that the offshore Otway and



Sorrell basins have the potential to contain material volume risked recoverable reserves. On the
acquisition or interpretation of new data, the interpretive power of Petrel allows this assessment
be kept evergreen and quickly revised; demonstrating both the value of new data and the use of
Petrel* in exploration work flows.




A PETREL-PETROMOD WORKFLOW TO FACILITATE A PETROLEUM SYSTEM ANALYSIS OF THE
LIARD BASIN, NORTHERN BRITISH COLUMBIA
Presented by Nick Harvey (Neftex)

The Liard Basin has been widely explored and exploited for unconventional resources. This study
assesses the basin for conventional resources. The project is aimed at strengthening the
utilization of the integrated workflow of Petrel and PetroMod recently incorporated into the 2013
Petrel Platform via the Petrel Exploration Geology Module.

The on-going project was initiated with a gross depositional environment geocellular model
constructed by Neftex in Petrel. This was carried out by sequence stratigraphic interpretation
from 1643 wells. The resulting 75 GDE maps were built into a simple grid in Petrel. The geocellular
model can be transferred to PetroMod for simulation using the new Petrel-PetroMod functionality.
This is a recently established workflow and has shown to be both efficient and accurate for model
updates on the arrival of new or altered interpretations.

Consequently, the model was then populated in PetroMod based on an understanding from
publications and available geochemical data from wells. First pass simulations were undertaken
using hybrid and flowpath migration methods. Calibration of the model for temperature and
pressure was then carried out using available data from key wells across the basin.

The Petroleum System Analysis established sufficient source rock maturity and illustrated
migration pathways through the basin to identify areas of interest. With the petrel-PetroMod
integration, the simulation results can be screened and analyzed in Petrel. Further work includes
model refinement using AOIs, Play Chance Mapping and Prospect Assessment to establish
exploration risk and resource assessment of the opportunities in the region.





ROCK PHYSICS & SEISMIC INVERSION TO CHARACTERIZE A TIGHT GAS SAND
Presented by Jorge I. Adrian (PetroSA)

A reservoir is exposed to a great number of analyses in all stages of its active life (exploration-
appraisal-development-enhanced recovery) in order to optimize the asset value and to reduce the
uncertainly of geological and production factors. Seismic data has come to rule an essential role
in this process. However, seismic has a limitation: It represents an interface property, instead of a
rock property, so in principle the seismic data is inverted into a volume of elastic properties such
as Acoustic Impedance, VP/VS, etc. The remaining challenge is to understand the elastic
response to changes in petrophysical properties (porosity, lithology, hydrocarbon saturation, etc.).
In order to address this dilemma, rock physics modelling has been undertaken.

The broad objective of this presentation is to show a methodology to characterize in PETREL a
tight Gas Sand reservoir based on 2-main steps:

(a) To perform in situ and perturbational log derived rock physics forward modelling to understand
the effect of varying fluid fill, porosity, clay content and thickness; and study the AVO attribute
responses to help determine which, if any, AVO attributes or cross plot products may be useful
to discriminate between pay vs wet targets or lower and higher porosity, etc.
(b) To invert seismic reflection data into quantitative elastic-properties (Pre-stack inversion) to
sufficiently differentiate geological features with similar P-impedance signatures. This method
uses multiple angle seismic partial stacks and their associated wavelets as input to generate P-
impedance, S-impedance and density as outputs.

The study area is situated off-shore South Africa, in water depths of less than 200 m. The target
reservoir is the Early Valanginian gas bearing sandstones in the Upper Shallow Marine unit.




PICO MIGRATES TO PETREL RESERVOIR ENGINEERING, SIGNIFICANTLY CUTS
SIMULATION TIME
Presented by (PICO)

PICO International Petroleuman independent exploration and production company wanted to
convert and upgrade its existing simulation model of the El Zaafarana field in Egypt to more
accurately predict water breakthrough and improve production forecasting. This was for a mixture
of performance and logistical issues. The simulator PICO had previously been using caused
engineers to waste valuable time importing and exporting data for visualization.
The existing simulation model was also running too slowly, despite efforts to work around the
problem by substituting the models local grid refinement (LGR) with up-scaled critical water
saturation.

PICO hoped to overcome this issue, improve simulation runtime, and increase productivity by
moving to Petrel Reservoir Engineering (RE) software to drive their simulations in the ECLIPSE
industry-reference simulator. In addition, the proposed move would enable PICO to collaborate
betterboth internally and with its partners already using the software.
Four-stage migration plan

After meeting with Schlumberger to discuss requirements and logistics, it was decided that the
shift to Petrel RE would be undertaken in four stages: data gathering, initialization, history
matching, and model validation.

The first stage saw the team gather and validate existing simulation data files for transfer into
Petrel RE. The files were examined and smoothed where necessary, to further improve simulation
runtime, while honoring key reservoir characteristics. Next, the team established a workflow to
import properties from the old model. The existing grid was exported by first traversing in the J
direction with a different grid origin, and then importing the properties onto the Petrel grid.
To ensure that the properties had been correctly imported, comparisons were made with the array
loaded in Petrel RE. The porosity and permeability array showed an excellent match, verifying that
the migration workflow was successful.






A SUCCESSFUL EVALUATION OF INTERSECT SIMULATOR FOR URENGOY FIELD
Presented by (Gazprom LLC TyumenNIPIgiprogas)

The Urengoy gas condensate field, which was discovered in 1966, in the northern West Siberia
Basin, just south of the Arctic Circle, is the world's third largest natural gas field. The gas field has
over ten trillion cubic meters of gas in total deposits. The gas-bearing Achimov formation lies at a
depth of around 4,000 meters. Besides, the Achimov deposits are featured with abnormally high
formation pressure (over 600 bars) and temperature. Most of the production is from Cretaceous
sandstones.

Gazprom is now developing several assets where the initial gas in place is more than 1 trillion
cubic meters. Usually, to run the models of such reservoirs, using traditional simulators, results in
a long elapsed time. It can take more than a year to derive the optimum decision-making-process
for the development of the field and correctly choose the best stimulation practice. In particular,
during the Urengoy field development planning the Achimov formation reservoir modeling phase
doubles the originally allocated time, which didnt allow finalizing the overall project according to
schedule. These kind of situations became the main driver to explore new simulation software
technologies.

A compositional full-field modified model of the Urengoy field has been constructed with eight
hydrocarbon components, over 4,9 million grid cells, and more than 1100 wells. Alternative models
for capillary number and Forchheimer velocity dependent relative permeability were used. To
improve the modeling of liquid drop-out around producer wells completed in large cells the
Generalized Pseudo-Pressure (GPP) method was also implemented in order to decrease the
simulation runtime. This model covers more than 30 years of history matching, including such
effects as condensate-banking and velocity stripping, and is intended to be used to assess various
production scenarios for the filed. Those scenarios have to be optimized over a wide range of
uncertainty parameters to derive the best approach for field development. The use of conventional
reservoir simulators to run this model takes long elapsed times which result in unacceptable time
frame to run all required sensitivities. To meet Gazproms business needs a decision was taken to
evaluate the performance and capabilities of the new high resolution simulator, INTERSECT (a
joint product collaboration of Chevron, Total and Schlumberger).

The Original model of the Urengoy field was converted into INTERSECT in order to assess the
benefits this new simulation technology can offer to improve the modeling efficiency of the asset.
The model was slightly modified to provide a valid benchmark case for the assessment of the



INTERSECT simulation results and performance. This assessment shows that results were similar
enough to be consider equivalent within engineering accuracy, while the best elapsed time
obtained for the INTERSECT simulation was more than 18 times faster than the one obtained from
the original model with the same number of processors. A simulation deck with Local Grid
Refinement (LGR) near every well was also built for INTERSECT to remove the GPP option from the
model in order to better capture the geology and complex fluid flow behavior around the wells.
The resulting model included more than 1000 LGRs making it unfeasible to be run with
conventional reservoir simulators.

In summary, the INTERSECT software provides a solution which brings high resolution reservoir
simulation modeling into practical simulation timeframes. This is opening the door to significantly
reduce the use of traditional modelling approaches like GPP and hence enabling us to take
reservoir engineering decisions based on more detailed physics basics.







SIMULATION OF VISCOELASTIC SURFACTANT FLOOD
Presented by (Wintershall)

In this presentation we discuss modelling of the viscoelastic surfactant flood using ECLIPSE
reservoir simulator; describe the methodology and give examples of the core flood, MicroPilot and
full field simulation.

Viscoelastic surfactants have a high potential as enhanced oil recovery (EOR) agents. They can
significantly increase viscosity of the injected water and to some degree reduce the oil-water
interfacial tension. Viscoelastic surfactants can exhibit a significant shear thinning without
degradation, which is a desirable property for injection, and importantly, viscoelastic behaviour of
the chemicals when flowing through the porous space can lead to mobilization of the residual oil.
Wintershall and BASF are working on the field applications of a new class of viscoelastic
surfactants that remain robust in high salinity, high temperature conditions and effective at low
concentrations (Siggel, et al 2012). After successful laboratory tests a MicroPilot project (e.g.
Arora, et al 2010) is currently being implemented. Laboratory results from the viscosity and
adsorption measurements and core floods provide input for the reservoir model that is used to
plan the MicroPilot test. After the MicroPilot test the corrected fluid and rock parameters are
transferred to the full field reservoir model for the further forecast and optimisation of the field
scale implementation of the EOR project.

Rheology of the viscoelastic flow and its effects on the residual oil saturation are complex and
require particular model setup. We show how the chemical EOR simulation functionality in a
commercial simulator can be used to simulate this process, whether the different hypothesis
about the viscoelastic effects in the porous space can be differentiated using the simulation and
results from the core and in-situ flood measurements and how this can help with the design of the
different stages of the EOR project.





ENRICHING THE STATIC EARTH MODEL THROUGH A NEAR WELLBORE STRUCTURAL
MODELING WORKFLOW COMBINING ALL MEASUREMENTS MADE IN HORIZONTAL
WELLS
Presented by C. Dupuis (Schlumberger)

Introduction
The static earth model is the centerpiece of field development, from initial reserves evaluation
to well planning to production and recovery optimization. Also, the static model is most often
the main source of information into the well design and planning phase. However, while it was
always agreed that the findings of a well placement job should be used to refine the original
model, up until now enriching the static model was not offered as a mature service by the
providers of geosteering solutions and interpretation. This presentation introduces a new
workflow combining LWD information from borehole images and deep boundary mapping
services (possibly from several wells in an area) into a near-wellbore 3D structural model
supporting all available data, and its final utilization for accurate petrophysical formation
evaluation.
The 3D near-wellbore structural model workflow is an important contribution to workflows
closing the loop from horizontal logging and well placement back to reservoir model update.

Method
In recent years, and with the advent of directionally deep reading tools primarily introduced for
solving well placement challenges, a growing opportunity to extract value from the LWD
measurements acquired in horizontal section has developed. The well placement real-time-
answer products rely on state-of-the-art inversion algorithms to reconstruct multilayered
formation models fitting the measured data. Taking advantage of the sensitivity of the
measurements through such inversions enables the delineation of boundaries and the
interpretation of their geometry.

At the same time, the enhancements in borehole imaging technologies from gamma ray,
density, or even more dramatically resistivity (laterolog-type) measurements while drilling,
have added value to the interpretation of real-time and recorded mode LWD borehole images.
In a number of cases, on top of the dip information picked from the images, fracture density
and orientation as well as additional structural information like the evidence of faults and a
quantification of their orientation and throw can be extracted. A new borehole geology
software and series of workflows have been developed for the Petrel E&P software platform.
The interpretation sequence starts from dip picking and goes all the way to an advanced 3D
near-wellbore structural model combining full borehole image interpretation and stratigraphic
correlation with remote boundary mapping capabilities.




When taking advantage of the recent LWD deep directional electromagnetic tool capabilities
(imaging through multiple layers up to approximately 30m into the formation) the workflow has
even more significant interest for subsurface teams, filling the gap existing until now between
surface seismic (poor resolution/large depth of investigation) and LWD measurements (high
resolution/poor depth of investigation). Beyond the single well environments, the multiwell
capabilities of the workflow give a new and unique way of combining all the conventional LWD
and the reservoir mapping outputs into a single coherent interpretation producta structural
model created in the neighborhood of the wells, in which the tools have sensitivity.

The availability of the near-wellbore structural model brings accuracy into the environmental
correction of the petrophysical measurements performed in the Techlog wellbore software
platform back into the static model, closing the loop and preparing the subsurface team most
effectively for the next wells, or giving the reservoir engineers new insights for field
management.

Case studies
The borehole geology workflow combining LWD borehole images with deep boundary mapping
was applied to two wells placed by the largest operator in the North Sea. The first case was a
layered formation dipping at an angle superior to 15 degrees. The deep directional
electromagnetic tool detected those boundaries within 20m of the wellbore. The combination
with LWD density borehole images from an integrated triple combo tool results in a powerful
3D structural model around the wellbore showing measurement sensitivity. The boundaries
were tracked for extensive intervals, allowing the team to identify apparent dips along the
drilling direction, the magnitude of which is in line with the expected high dip.

The second case was in a complex geological setting with faults expected, and identified in
the borehole geology analysis before combination with the boundaries available from
electromagnetic LWD measurements into the structural model deliverable. It is for such
complex environments that the workflow has been primarily developed. There it offers a new
way to reconcile multiple scale interpretation and visualize all the data in 3D, right next to the
pre-job static model, moving the interpretation and the field development discussions forward.

Conclusions
The LWD real time data such as borehole images and deep reading boundary mapping
technologies commonly used for well placement are now combined into a workflow to produce
a unique, coherent structural interpretation for both single and multiwell cases. The power and
novelty of the workflow was demonstrated by applying it to two field datasets with deep
directional EM and borehole imaging data. The 3D near-wellbore structural models produced
simplify the visualization of the structural findings from the well placement job.




New solutions are directly available on the same software platform (the Petrel platform) as the
reservoir model itself, effectively linking horizontal well placement operations with reservoir
scale interpretation, and adding information collected in real time to sophisticated and mature
static reservoir models.





RAPID FIELD DEVELOPMENT PLANNING IN SHUSHUFINDI FIELD
Presented by C. Corbett (Schlumberger)

Field development planning can be a laborious process, and engineers may prefer to simplify
subsurface model geometries to accommodate standard development patterns. This paper
presents a technique to investigate development alternatives and optimize the development
objective, even in highly complex geologic models.

The Shushufindi field presents a complex depositional environment, with elements of a tidal
dominated estuary creating elongated sand ridges. Recovered whole core and pressure
transient analysis support the subsurface model interpretation and help to constrain the
geomodel.

A standard five-spot pattern for future water injection is compared to several options created
by the RapidPlan plug-in for the Petrel platform. The plug-in, currently provided as a service
through the Petro Technical Services group, optimizes development options based on an
objective function. The plug-in creates well trajectories based on user-defined constraints after
evaluating potential well paths through the fine-scale geomodel and performing a fluid flow
prediction using an analytical simulator. The results can be confirmed in the ECLIPSE industry-
reference reservoir simulator and the Merak Peep software.
Using a net present value (NPV) objective, the RapidPlan option exceeds the NPV of a standard
five-spot, so it should be considered a development strategy.




STIMULATED RESERVOIR VOLUME: A MISAPPLIED CONCEPT?
Presented by Craig Cipolla (Hess Corporation)

The interpretation of microseismic data was initially focused on hydraulic fracture length and
height, providing an important measurement to calibrate planar fracture propagation models.
However, microseismic data in the Barnett shale exhibited significantly more complex patterns
compared to typical tight-gas sands. The concept of stimulated reservoir volume (SRV) was
developed to provide some quantitative measure of stimulation effectiveness in the Barnett
shale based on the size of the microseismic "cloud." SRV is now ubiquitous when discussing
well performance and stimulation effectiveness in unconventional reservoirs. However, SRV
and similar techniques provide little insight into two critical parameters: hydraulic fracture
area and conductivity. Each of these can vary significantly based on geologic conditions and
fracture treatment design. Hydraulic fracture area and fracture conductivity, combined with
reservoir permeability, stress regime, and rock properties, control well performance, not SRV.

The concept of SRV has spawned numerous reservoir engineering models to approximate the
production mechanisms associated with complex hydraulic fractures and to facilitate
production modeling and well performance evaluations (e.g., rate transient analysis). However,
these reservoir engineering models are often divorced from the fracture mechanics that
created the fracture network, a significant limitation when evaluating completion effectiveness.
Additionally, the interpretation of the microseismic data and the calculation of SRV are poorly
linked to the actual hydraulic fracture geometryand distribution of fracture conductivity.

This paper presents detailed numerical reservoir simulations coupled with hydraulic fracture
modeling that illustrates the limitations and potential misapplications of the SRV concept. This
work shows that simplifying assumptions in many SRVbased rate transient models may lead to
estimates of hydraulic fracture length and reservoir permeability that are not well suited for
completion optimization. Two case histories are presented that illustrate the limitations of SRV-
based well performance evaluations. The paper concludes that using microseismic images to
estimate a SRV may not be sufficient for completion evaluation and optimization. However, the
simple calculation of microseismic volume (MV) can provide significant insights to guide
fracture and reservoir modeling endeavors.









CHARACTERIZATION OF COMPLEX NATURALLY FRACTURED CARBONATES IN THE
TSIMIN
Presented by (PEMEX (Exp))

Several new workflows and methodologies to characterize naturally fractured carbonate
reservoirs are being investigated under the umbrella of a collaboration research project
between Pemex Exploration, SIS-MCA and Schlumberger Stavanger Research. The
developed methods are directly evaluated on real data from the Tsimin-Tojual area.
Tsimin-Tojual is located a few km north of the coast near Dos Bocas, Mexico. Mesozoic
rocks producing gas and condensate are heavily affected by complex tectonics, salt body
intrusions and intricate fault systems affecting field and structural components. Seismic
data delivering a reliable depth image with high resolution is a challenge. While a new
WAZ acquisition survey is being processed, the first phase of the project focuses on
understanding the characteristics of this field using available conventional PSDM seismic
data. Existing attributes to identify salt bodies have been further enhanced and adapted to
allow for a better differentiation between salt bodies and re-mobilized shale bodies. These
results can be helpful assisting the processing team in defining a better velocity model for
PSDM.

Other methods focus on automated fault and fracture analysis extending the well-known
Ant-Tracking workflow. Novel vector attributes help to detect faults at smaller seismic
scales. It is becomes feasible to describe the fault hierarchy in these Mesozoic
formations, gain a better understanding of the paleo stresses, which in a next step allows
to predict the characteristics of the complex fracture network in the reservoir.

Furthermore, interpretation of the Mesozoic horizons using an innovative technique
referred to as Seismic DNA has revealed very consistent results, which can be
corroborated via well markers. The combination of these results visualized in an
integrated 3D environment is opening a new insight into the understanding of this
extremely complex environment already. Once the WAZ data become available, further
methods will be investigated in order to quantify the presence of fractures. Much of the
acquired knowledge using the existing seismic data will be used right away on the new
WAZ data, saving time and efforts leveraging on accumulated experiences.

Finally, to facilitate the knowledge capture when working on the existing data as well as
to enhance the collaboration between the geographical dispersed team members, the
project partners heavily rely on the features of Petrel Studio.




HIGHLIGHTS FROM INTERSECT (IX) TESTING FOR TROLL FIELD RESERVOIR SIMULATION
MODEL
Presented by (Statoil)

For this presentation, Statoil recommends the following:
If presented at the SIS Forum, SIS and Statoil have to work together to make final Abstract
the presentation material
The presentation should be given by Statoil

The main objectives for this test were to migrate existing Troll Eclipse100 simulation data-deck to
IX and evaluate:
Migration process
Initialization and dynamic behaviour results
Run time performance
IX user interface.

The main challenges for the Troll model and the reason for choosing it as a test candidate were:
The size of the model and long simulation run times
Untraditional simulation grid (hybrid grid)
Large number of complex wells (multilateral wells and inflow control devices (ICD/AICD)
Thin oil column and a paleo oil zone

The workflow used for this evaluation was based on iterative process, including initial migration
by using ecl2ix script, check for full coverage of input data setup in IX and manual editing of the
input files to achieve consistency. Final migration step was to run and compare Eclipse100 and
IX, starting new iterations of model updates until all discrepancies in input to the models were
removed, which secured a best possible start point for the final comparison of run times and
static/dynamic behaviour.

The following conclusions have been made from this evaluation:
The migrator script was easy to use, but some issues have been found and a careful check
of output was necessary.
Replication of physics at initial state: only minor differences except for paleo zone pressure.
Replication of physics wrt dynamic behaviour:
Generally quite small differences, but a bug related to the SICD pressure drop calculation
and handling of Fetkovich aquifer have detected, affecting well performance.
Region pressure calculation seems to be more robust with ix for segments with very



low/zero HCPV
Issues encountered during this test have been communicated to the IX development team
and most of them have been fixed later in a new build of IX to improve software.
Simulation run time performance:
Similar to Eclipse100 for serial runs
Good improvement for parallel processing
Parallelization in IX is very easy as the default domain decomposition works efficiently and
significant reductions in run time were observed. The reduced run times could be a major
improvement of efficiency in simulation related deliveries. It may also open up for building
models with finer resolution which could improve simulation model results/quality,
especially in the context of infill well planning.





DEVELOPING ASSETS: AN INSIGHT INTO HIGH-RESOLUTION MODELING
Presented by J. Quijano (Schlumberger)
The industry is developing many complex fields, which require a large amount of capital
investment and often do not perform as expected or are delivered behind schedule. Today,
there is a greater understanding of the structure, geology, and fluids. This presentation
will show how the INTERSECT high-resolution reservoir simulator uses this greater
understanding to provide more accurate forecasts of recoverable reserves, production
forecasts, and fluid breakthrough, which form the essential cornerstone to developing
complex fields.





PETREL RE & MEPO HELPS TO IMPLEMENT GEOLOGY-TO-ENGINEERING WORKFLOWS
Presented by (Karachaganak Petroleum Operating B.V)

The Karachaganak field, discovered in 1979, is one of the worlds largest gas and
condensate fields. Located in north-west Kazakhstan and covering an area of over 280
square kilometers, it holds estimated hydrocarbons initially in place of 9 billion barrels
of condensate and 48 trillion cubic feet of gas.

Today, Karachaganak is producing at record levels and is the largest gas producing
field in Kazakhstan, accounting for some 45 % of the countrys total gas production and
around 16 % of total liquids production.

KPOs usual way of work with reservoir simulation is to export the geological properties
from a project in Petrel and use custom scripts and legacy ECLIPSE pre-processors to
create development strategy of the model. The company is also largely involved in
history matching of more than 200 wells with around three decades of history to the
observed static well and formation pressure data measured by Schlumbergers XPT
logging tools. The whole history matching process is implemented by manual trial and
error approach which is time consuming.

Implementation of Petrel RE & MEPO integrated solution for an assisted history
matching workflow of the Karachaganak model allowed KPO to combine the knowledge
from geoscientists and reservoir engineers into a single, model-centric Petrel
environment. Most importantly, KPO had opportunity to semi-automate laborious tasks
such as history matching and alter parameters in the geological model in the same
workflow as flow simulation for better understanding and managing history matching
challenges. This workflow also results in significant time savings by automating the
process of varying all relevant parameters with more geologically realistic solutions.







INTERSECT SIMULATOR DEPLOYMENT IN CHEVRON
Presented by Mridul Kumar (Chevron Energy Technology Company)

The INTERSECT reservoir simulator was developed jointly by Chevron and Schlumberger.
INTERSECT enables simulation of highly heterogeneous or complex reservoirs. It incorporates
unstructured gridding, which allows details around faults or fractures to be accurately
modeled. Further, advanced field-management permits rapid evaluation of field-development
strategies, and multi-segment well capabilities provide improved representation of horizontal
wells and complex completions. This next generation reservoir simulation software, which
makes large field simulations requiring millions of grid blocks now possible, was first
commercially released in late 2009. TOTAL joined the partnership in 2012.

Early deployment of the INTERSECT simulator in Chevron started with the commercial release,
and our plans are to deploy it to a vast majority our assets within about four years. We have
taken a structured approach to deployment with a Project Manager and Change Management
Team. The effort includes focused communication with business units on readiness and
scheduling. The deployment encompasses integrated workflows, and not just the simulator
only. Further, we are building organizational capability through comprehensive training.
In Chevron, INTERSECT simulator has been already deployed on 50 key projects worldwide.
We started with strategic individual assets, and are now doing Business-Unit-wide
deployments. They include all Major Capital Projects. Current INTERSECT simulation models
include: fractured reservoirs, water and gas injection, heavy oil/thermal recovery, and coupled
reservoir and network modeling. Intersect models are created by either (1) conversion of
existing CHEARSTM model decks to INTERSECT simulator using a migrator software (currently
a majority) or (2) by creating new models using INTERSECT simulator workflow.

Some example of recent developments and deployments, lessons learned, and best practices
from deployments thus far will be shared.






UNCOVERING THE POTENTIAL OF PETRELS DATA AND RESULTS VIEWER
Presented by (Occidental of Oman)

Adequate data loading in PETREL can facilitate and enhance interpretation work by
allowing geoscientists and reservoir engineers to spend more time working in the software
and avoiding data management pitfalls.

Occidental of Oman, Inc. (OXY) is currently promoting and encouraging utilization of the
PETREL Data and Results Viewer for project comparison and data management
processes.This presentation will uncover key functionality available in the Data and
Results Viewer module that can be easily leveraged by geoscience & reservoir engineering
technicians, and data managers. Past and recent experiences associated to the evolution
of this important PETREL module will also be discussed. To conclude, recommendations for
future PETREL versions will be submitted for consideration with suggestions for third
parties and Ocean developers.






PRE-SIMULATION QUALITY CONTROL IN PETREL
Presented by (ARAMCO)

Simulation runs use data from different sources. They are also very demanding in CPU cycles
therefore require a long time to complete. It is therefore essential to cross-validate all the data at
hand before engaging in the simulation run. We want to avoid the situation where a lot of time is
wasted by, for instance, processing a grid which was incorrectly oriented from the start.

Process

We use Petrel as an integration platform. In Petrel it is easy to load all the different types of data
available on the field that we are studying. Some of this data will be used in the simulation run,
some is just there to ensure that the data included with the simulation grid agrees with that
coming for other sources.

Petrel is used as well to prepare the simulation run. Simulation in Aramco uses Powers and
GigaPowers, simulators specially designed to handle corner point grids with very large numbers
of cells.

PetrelQC Plug-in for Petrel

Once data is loaded in Petrel, we use an Aramco-developed plug-in, PetrelQC, to validate and
crosscheck all the data at hand.

We will see in this presentation how various tests are conducted, some contingent on the
execution of others. The user has a guided workflow to go through with a pass / no-pass
validation test at every step.

The plug-in was developed internally in Aramco first as a prototype in 2012 and its first version is
now in commercial release. It not only saves users from bad simulation runs but also gives them
all the tools at hand for a thorough validation check.

Powers
3D model
Other data sources
PetrelQC






IDENTIFY AND EVALUATE FRACTURES AND VUGS IN SINIAN FORMATION IN SICHUAN
BASIN
Presented by (PetroChina)


Sinian formation is the most ancient one in Sichuan basin. The burial depth is over 5000 meters.
The physical properties of the rock matrix are relatively poor. The sedimentary facies of DengYing
formations is mainly algal mound. Affected by two phases tectonic movementsthe fractures
and vugs are well developed. Net pay zones are mainly controlled by the development degree of
fractures and vugs. A systematic approach has been set up on Techlog platform to identify and
evaluate the lithology, fractures and vugs by conjunctively using the data of new logging
technology, mud logging and seismic.

DengYing formations of Sinian system in GaoShiTi structure area have the following
characteristics: 1) The lithology is relatively complex and contains several minerals; 2) Siliceous
dolomite and algae dolomite are the main minerals; 3) The rock also contains a small amount of
clay, dolomite, calcite and quartz; 4) It is difficult to evaluate the volume of each mineral. To
evaluate the formation in this difficult situation, ECS data is used for mineral volume calculation.
Then combining the mineral volume results from ECS with FMI data plus other conventional log
data, high resolution lithology identification and rock typing profile are achieved, which are the
basic input data for further analyses such as reservoir correlation, classification and facies
intepretations.

Fracture evaluation is done on Techlog platform by using FMI and XRMI data. The open
conductive fractures have great impacts on the quality of carbonate reservoirs. So conducting
detailed fracture evaluation is vital. Through observation on cores and FMI images, detailed
fracture classifications have been done: conductive fractures enhanced by dissolve corrosion,
continuous conductive fractures, and non-continuous conductive fractures. Among them,
conductive fractures enhanced by dissolving corrosion have the most effectiveness and
contribute most to reservoir quality. Then the contribution from continuous fractures without
dissolving corrosion is on the 2nd place. The non-continuous conductive fractures have least
contribution. So during the final integrated reservoir evaluation, the development degrees of 1st
two types of fractures are mainly considered. The non-continuous conductive fractures are only
used as a reference.

For the fracture effectiveness evaluation, fracture anisotropy modelling technology is firstly
introduced and used. High vertical resolution of resistivity image data and deep investigation
depth of acoustic logging data are complementary measurements and used together to evaluate
if FMI detected fractures extend to the places behind the borehole wall. The interpretation charts
of the effectiveness of different type fractures are also set up.
The solution vugs are well developed in DengYing formations of Sinian system. Using borehole
image data, solution vugs are classified as 3 types: isolated vugs zone, and connected vugs zone



enhanced by fractures. At the same time, BorTex is used to evaluate the development degree and
connection status of the solution vugs.

For caverns, conventional logs have abnormal responses which are completely different with the
ones of smaller size vugs: 1) Neutron and slowness logs increase intensively; 2) Resistivity and
density logs intensively decrease; 3) Dual calipers have large readings; 4) Borehole images
distort obviously. Besides, drilling bit drop, higher penetration speed, mud loss usually happen
during drilling. Dipole sonic wave energy attenuates greatly. Seismic methods could also detect
abnormal responses resulted from caverns. The larger the scale of the caverns, the greater the
abnormal responses. The methods to identify a cavern and its extending length have been
created using several algorithms.

Conclusion: The evaluations of lithology, fracture and solution vugs are the key parts of Sinian
formation evolution in Sichuan basin. On Techlog platform, after accurate lithology interpretation,
the fractures and solution vus could be identified by using borehole image data plus conventional
los. The effectiveness of fractures and vugs could be estimated from dipole sonic data. The size
of caverns at borehole wall could be evaluated from image plus conventional logs. The lateral
extending length could be estimated from mud logging and seismic data.







STANDARDIZATION OF GAS AND GAS-CONDENSATE FIELDS MODELS QUALITY CONTROL
PROCEDURE
Presented by (Gazprom-Georesurs)

These days 3D geological and hydrodynamic models are created for the majority of HC fields in
Russia and almost for all fields owned by JSC Gazprom. Thereby one of the most urgent tasks is
quality control and ranking of existing models by level of their quality, as well as by accuracy and
adequacy to history matching.

Historically official guiding documents for quality control in Russia were adapted for oil or oil and
gas fields with no regard for the specifics of gas or gas-condensate fields.

In this presentation the experience of quality control of the models at JSC Gazprom in the year
2013 will be generalized. Also, main identified problems will be considered and analysis of
acceptability of official recommended QC criteria to gas and gas-condensate fields model will be
performed. The methods of comparison of initial and recoverable reserves in the models with the
ones accepted by the national register will be discussed and specific of Russian acknowledged
methodologies for gas and condensate recovery factors evaluation will be analyzed.
Recommendations will be provided for completeness of the models to be submitted for QC (initial
data, resulting vectors and formats, necessary additional information, etc) as well as for the
criteria acceptable for history match QC for gas and gas-condensate fields.

Main benefits of mentioned approaches implementation are :

Quality improvement of decisions made
QC process optimization
Time-saving for the engineers

Schlumberger products to be used for creation and audit of geological and hydrodynamic models:

Petrel, Expertise Model plugin
Petrel RE, ECLIPSE
PIPESIM






ENABLING AN EFFICIENT HISTORICAL PERFORMANCE MATCH OF A VIETNAM FIELD USING
INTERSECT
Presented by (HLHVJOC)

History matching is the process used to achieve a simulation model representative of geological
information and historical performance for predictive production forecasting. It is of the utmost
importance to preserve reservoir understanding in terms of reservoir characterization and fluid
flow mechanism. Preserving reservoir characterization and heterogeneity in a fine but slow
simulation model vs. using a faster upscaled but less representative model has always presented
a dilemma to asset teams. With continuous advancement in hardware capacities, working with
high-resolution multimillion cells modeling is no longer unachievable. However, it needs a strong
understanding of software and hardware requirements before an asset team can embark on the
history matching process. The Te Giac Trang (TGT) Oil Field is located in concession block 16-1,
Cuu Long Basin, offshore Vietnam, and is operated by Hoang Long Joint Operating Company
(HLJOC). The reservoirs have low structural relief and comprise multi-layered, thinly bedded,
highly porous and permeable sand units. The field is comprised of numerous separated fault
blocks in Lower Miocene and Oligocene sandstones. Communication between the fault blocks
has been identified based on formation pressure data obtained in wells drilled after field
production starts. The main challenge for TGT history matching, also given the high numbers of
fault block regions, is to effectively simulate the pressure communication between different
regions and aquifer strength across field. Matching individual well behaviors such as bottom-hole
pressure, water-cut and PLT data is also a big difficulty given the complexity in the number of
reservoirs perforated from each well. This topic reviews the history matching work on TGT Field
which is represented by a high resolution, 4.3 Million-cells model, empowering the utilization of
the high resolution simulator, INTERSECT. Due to the size of the model, limited time available and
significant amount of historical data, conventional simulators were inadequate. This is the first
successful history matching project utilizing INTERSECT in Asia.







AUTOMATED WORKFLOW FOR WATER ENCROACHMENT AND FIELD PERFORMANCE
MONITORING
Presented by (ARAMCO)

Water control or management in the oilfield is one of the key challenges that petroleum engineers
face, as they seek to optimize reservoir and production performance. Addressing this challenge
requires the engineer to bring together and analyze several data elements, including reservoir, well
and production data from multiple sources. The engineers often find themselves spending 60 70
% of their time in collecting the data, with little time left for analysis and interpretation. Thus, any
system or solution that seeks to reduce the time and effort to find, organize and present the data, is
bound to improve efficiency, allowing the engineer to concentrate on the more important tasks of
analysis, interpretation and decision-making.

This presentation will focus on an automated workflow developed in OFM, and designed to
evaluate water encroachment in a very large Saudi Arabian oilfield, through a surveillance system
and a mechanism to rank and select workover candidates for remediation to slow the advancement
of the water. The workflow starts with organizing and auditing the available well production data,
followed by a review and analysis of existing reservoir engineering data to estimate key reservoir
parameters, such as permeability and reservoir pressure. Subsequently, well deliverability for oil,
water and gas are forecasted based on water cut (WC) and gas-oil ratio (GOR) constraints.

The workflow also estimates the WC based on log data such as RST, PLT and PNL from the
corporate data repository. To estimate the WC, the log traces are first averaged based on Marker
depth of the particular reservoir. Time lapse RST and PLT are shown for each well, together with
the markers and well bore diagram. The logs are then digitally interpreted depth-wise to arrive at
the WC for each reservoir, and a grid map is created based on the WC. New water encroachment
grid maps are then generated from the latest PLT logs, and compared with the water encroachment
grid maps from the production WC. Thus, using log data, the saturation grid map can be generated
over time for use in reservoir saturation monitoring. In addition, Heterogeneity Index and Chan
Diagnostic plots were used to screen and rank the workover candidate wells.

Also included in the workflow is a production Priority bubble map, which can be animated to show
the future production plan for the field, including oil and water production rates. Previously, the
production priority was only available in tabular format. With this new workflow, production priority
can be visualized on a map for improved decision making. This will help engineers analyze
candidate wells in their production strategy for the field, and subsequently propose enhanced
production management solutions.






INTEGRATED SOLUTION TO ELIMINATE PRODUCTION DEFERMENT AND WATER MANAGEMENT
PROBLEMS
Presented by (Pertamina)


PERTAMINA, founded in 1968, is Indonesia's state owned Oil & Gas company, and the 2nd largest
crude-oil producer in Indonesia. It has a diverse portfolio of energy assets across the 5000-km span
of the country (from Sumatra in the West to Papua in the East), including oil, natural gas,
geothermal etc.

2013 has been a watershed year for PERTAMINA. The companys monthly oil production crossed
200K barrels per day for the first time in April 2013, and a few months later it became the first
Indonesian company to be featured in the Fortune Global 500 list.
There are a number of factors behind these achievements, including technical, operational,
organizational initiatives that the company is currently driving. Another key factor has been
technology - as part of its ongoing efforts to improve automation and operational efficiency,
PERTAMINA has been encouraging the use of software and hardware IT internally.
Oil Field Manager and pipesim such softwares that increasingly being used for management of
fields across the companys different assets.

Challenge
Water injection capacity bottlenecks causing daily production shut -downs in a mid-sized oil field
Budget constraints preventing activities such as drilling of new injection wells in the short term
Solution
Oil Field Manager (OFM) and Pipesim software for production/water injection monitoring and
pipeline networking debottenecking of the fields water management project
Hall plots for existing injection wells drawn to identify wells with the h ighest plugging/scale issues
Stimulation as a potential low-cost solution to increase injection capacity in selected wells in the
short term

Results
12 injection wells identified with a potential injection capacity gain of 6000 bwpd
Stimulations in 10 wells completed by Dec 2013, boosting water injection capacity by ~ 5500 bwpd
Successful realized 1006 bopd oil production instantly by eliminating production deferment of 12
production wells with high watercut potential.




APACHE SELECTS AVOCET AS THE FOUNDATION FOR ASSET OPTIMIZATION SUCCESS
Presented by C Andrews (Apache)

Apache Corporation is a large and growing multinational oil and gas company, with regional
offices and operations in the United States, Argentina, Australia, Canada, Egypt and UK North
Sea.

Apache sought a modern and integrated production management system with the flexibility to
adapt as operations evolve and requirements change. None of the multiple existing systems
in place around the world were equipped to deal with the continuous demands from its
regional businesses to provide solutions for complex allocations, NGL allocations and
emissions data capture.

An Avocet-based solution was selected by Apache to meet these needs. The solution ensures
consistency and accuracy in management reporting as well as easier governmental
compliance and auditability for regulations, such as Sarbanes Oxley.

This presentation will discuss the success of the system implementation, the approach to
coordinate effectively withENRIrent departments and the value gained from integration with
OFM, SAP and other systems. The value of the system as a foundation for surveillance,
advanced analysis and enhanced engineering workflows will also be discussed.




IMPACT OF SUBSURFACE AND SURFACE MODELING FORECASTING PRODUCTION
Presented by D. L. Clements (Schlumberger)

The cost of deepwater wells reduces the number of appraisal wells drilled. Therefore,
when developing a deepwater field, the information collected in the reservoir may be
limited. This demonstration will examine how the uncertainty in the reservoir will impact
the field.






OPTIMIZING FORECASTING, SURVEILLANCE, AND PRODUCTION IN SAGD OPERATIONS
Presented by D. L. Clements (Schlumberger)

In producing bitumen reservoirs using SAGD processes, there are a number of complex
interactions to manage. The steam injection well, steam chamber, and ESP lifted production
wells need to be operated in harmony to maximize production. To operate, large numbers of
wells need to be tuned to respond to changes in process plant demands; e.g., steam
availability and process capacity for produced oil and water, which can change during the
day.

Today, many fields are operated using a trial-and-error approach to optimizing production. To
effectively manage a field, there is a requirement for an accurate baseline forecast,
automated surveillance of the production, and an appropriate optimization scheme. This
presentation will demonstrate an integrated approach to history matching to provide more
accurate short-term forecasts, automated surveillance, and an appropriate approach to
optimization using the Petrel platform and the Avocet production operations software
platform.





COALBED METHANE FIELDS: DELIVERING THE PROMISE THROUGH EFFECTIVE PLANNING
Presented by D. L. Clements (Schlumberger)

In Australia and elsewhere, coalbed methane assets are being developed to feed liquefied
natural gas plants. These projects required tens of billions to develop and require that the
correct amount of gas is delivered to the LNG plant from thousands of wells spread over
thousands of square kilometres through thousands of kilometres of pipelines.

This presentation will show how reservoir forecasts are balanced against production in the
gathering networks and the operations of the main trunk line are improved, allowing
operators to deliver the correct amount of gas.





SURVEILLANCE DIAGNOSTIC AND RESPONSE PLANNING FOR CONVENTIONAL RESOURCE
Presented by D. L. Clements (Schlumberger)

When operating in harsh environments such as offshore deep water, it is critical to react in a
timely fashion to unexpected production changes that could result in costly production
losses due to unplanned downtime or long-term impacts on recovery. In this presentation, a
series of online surveillance diagnostic workflows are examined that illustrate the benefit of
having all pieces of production informationfrom well status to flowing conditionsin a
single consistent dataset enables advanced engineering and diagnostic workflows that allow
for a better understanding of sudden changes and the actions required to prevent production
losses.





SAMARANG IO: DEFINING THE NEW NORMAL FOR INTEGRATED OPERATIONS
Presented by Dzulkamain Azaman (Petronas Carigali)

With a vision to awaken the giant oilfield, in 2012 PETRONAS kicked-off the Samarang Integrated
Operations (IO) project by partnering with SPM and SIS to unleash its potential. After a
successful completion of the second milestone by developing and deploying operational
capabilities for improved asset management, Samarang is focusing on innovations around
people, process and technology.

On technology front, Samarang will be the first field to seamlessly integrate steady-state and
transient modelling for operational decision making by leveraging Avocet platform capabilities.
The Live Asset Model will not only bring various domains and technologies (ECLIPSE, PROSPER,
GAP, ICON) together, for planning, forecasting, EOR surveillance and optimization, but will be
showcasing the openness in integrating various vendors under one umbrella. It also aims to bring
best-in-class dynamic simulators together by integrating ECLIPSE, Olga and ICOND.
Samarang is paving its way by streamlining the innovative processes across the asset. An
innovative parallel design process was invented to improve the efficiency and integrity of the
design process. Six-Sigma LEAN methodology was used by applying SIPOC and SWIMLANE
techniques during design and development process. Business processes were mapped, use
cases and benefits were defined at early stages and workflows are automated and streamlining
to achieve the process standardizing.

For integrated asset decision making across multiple locations, teams and domains, a Functional
Base with Asset Mindset Collaborative Working Environment (CWE) is deployed. The Tri-Node
CWE is adopting immersive model whereby Samarang Asset Team will be co-located and
working inside CWE. To manage these changes, a structured Change Management process is
applied, which culminates with institutionalized work processes, roles, and responsibilities and
an effective application of new tools and technologies.
IO is an enabler to PETRONAS Operational Excellence, providing sustainable best-in-class
performance. Management believes that IO will not only boost the production and improve
recovery for Samarang Asset but will prove as a new normal IO Role Model for all the fields
within and outside PETRONAS.







ASSESSMENT OF PRODUCTION OPTIMIZATION OPPORTUNITIES OF SAMOTLORSKOYE
FIELD, USING A HOLISTIC APPROACH
Presented by Kim Gobert (Rosneft)

Located in Wes Siberia, Samotlorskoye field is one of the largest, water flooded, fields in the
world (with over 10,000 active wells). Ninety-five percent of its 27 tons/year of produced water is
reinjected with the intention of increasing the reservoirs recovery factor as well as for pressure
maintenance.

Between 2011 and 2012 a conceptual plan was jointly prepared by TNK-BP Management (Now
Rosneft) Wells Division and Schlumberger, comprised of an innovative procedure in a closed
loop system at Samotlor field. The concept was to provide a holistic approach to water
management by considering all the components in the production and injection cycle using an
integrated multi-disciplinary team of experts to identify potential opportunities for improvement.

The conceptual plan evolved into a stage-gated project with two distinct Phases. The Phase 1
objectives were to collect, audit and analyyze data of the selected section of the field, and to
identify and assess the potential impact of possible opportunities for improvement. During this
stage, a rapid field screening process was used along with an analytical workflow based in OFM
software to identify current recovery factor of the sector, potential well-candidates for water-
shut off, production optimization opportunities to improve current waterflood system, and
potential areas of remaining oil reserves.

Also, the study identified potential opportunity to improved ESP operation and efficiency
(including energy savings), and reduced cost of surface handling and treating of produced fluids
and water injection. These were acknowledged by carrying out analysis on PIPESIM (using a
recently develop Well Optimizer workflow) in a field-wide approach.
Currently such opportunities are being considered by Rosneft management, to then be further
studied in the framework of a detailed engineering project during the 2nd Phase of the project.
And also, to apply the methology in other similar Rosneft s brown fields.





KWIDF JURASSIC - LEADING THE WAY TO INTEGRATED OPERATIONS
Presented by (Kuwait Oil Company)

Kuwait Integrated Digital Field (KwIDF) Jurassic technology programme is the result of a
concentrated effort to fast-track a fully optimized development of the first non associated gas
field in the Jurassic reservoirs of North Kuwait. Earlier papers have highlighted the build of a DOF
system to maximize ultimate recovery, maintain regular production and minimize well site
interventions needed to mitigate problems resulting from the caustic nature of the flow stream.
We now have two years of experience in running operations using the capability provided by
KwIDF. Optimization and timely decisions have been made possible to achieve production
targets safely. Based on the experience of operating the field over two years, we are at a stage
of analysing the scope to build workflows for managing the long transients that the reservoirs and
surface facilities exhibit, enhancing the reservoir and surface surveillance and integrating
surface and subsurface in an online integrated asset model. In this paper, we will discuss the
experience gained and our future plans for KwIDF.





SAMARANG IO EXECUTION AND FUTURE IO PLANS FOR SABAH SOUTHERN HUB
Presented by Nazri Abdul Latiff (Petronas Carigali)

Petronas Carigali SBD (PCSB) and Schlumberger (SLB) formed an alliance to jointly redevelop and
operate the aging Samarang asset located in Sabah Malaysia. The objective of this major capital
project is field rejuvenation to enhance production and increase recovery factor. The PCSB/SLB
alliance identified a systematic integrated operations solution as a complement to the investment
in major facilities upgrades, such as, infill/injection wells, platforms, and compressors. The
overall goal of the solution is enabling the asset team to continually operate the field as close to
optimum as possible and thereby maximize the effectiveness of the redevelopment investment
over the life of the asset.

An integrated operations program for Samarang is being deployed in discrete phases over a four-
year period which began in Q4 2012. The solution is one of the most comprehensive systems of its
kind, in the world, featuring automated work processes continuously updated by online predictive
models and real time measurements leading to a step change in operational decision making.
Additionally, Samarang facilities serve as a hub for several other producing fields in the southern
Sabah offshore region. Expansion of the Samarang integrated operations solution to include the
Samarang hub operational processes is being considered. The vision is operating the south Sabah
region as a cluster of interconnected flow-streams that integrate a complex network of producing
assets with several export terminals and processing facilities located onshore.
This presentation focuses on the work packages delivered, the improvements achieved, and the
initial lessons learned over the first 18 months of execution. Additionally, the potential plans for
optimizing across the full production and the demand system of the Sabah Southern Hub will be
discussed.






LIFE-FIELD APPROACH FOR BROWN FIELD OPTIMIZATION
Presented by Olga Leontieva (LukOil)

LUKOIL has been operating in the Republic of Kazakhstan since 1995. The company produces 10%
of the total hydrocarbon production in Kazakhstan. Karakuduk is one of the seven assets of
LUKOIL in Kazakhstan, producing oil for the past 15 years with more than 150 wells.
Karakuduk oil field was selected as pilot project for LIFE-Field which aims effective operation of
the field using state-of-the art technologies. As a brownfield, Karakuduk called for effective
system optimization based on integrated modeling.

Lukoil Overseas implemented PIPESIM to build, analyze and optimize oil gathering and water
injection networks. However, current solution provides short-term decisions, omitting dynamic
reservoir behavior. Therefore, integrated modeling approach was selected as key tool to assess
medium and long-term decisions. Firstly, it was decided to model and analyze only a certain part
of the field, which includes Eclipse reservoir model, oil gathering and water injection networks in
PIPESIM. Integrated model was used to analyse different scenarios of further field development
and manage technical regimes of equipment to efficiently maximize oil recovery.

Three different scenarios were analyzed, which showed both, operational limits and opportunities
to optimize. Forecast of the production allowed deciding on the date of replacement of the
artificial lift type, design of the equipment, and operating technical regimes taking into account
reservoir depletion, watercut and GOR increase and change of other time-dependent parameters
over time. More importantly, based on the current models a system to assess different what if
scenarios was developed.

Based on successful implementation of the integrated modeling, LUKOIL now aims to develop full
model of the entire asset to assess various scenarios, which will lead to more efficient operation
both from reservoir and surface facilities perspective views.





INTEGRATING OFM & PETREL PROVIDES AN ELEVATED LEVEL OF FIDELITY OPENING UP
OPPORTUNITIES FOR INNOVATION.
Presented by Richard MacDonald (EP Energy)

In todays fast cycle Unconventional field development, the drilling and completion design
steps are mostly done independent of a 3D geological model or a deformable 3D
geomechanical model. Dynamic reservoir simulation is commonly done using models not
informed by a well constrained geologic model and when done are mostly single well
simulations due to the computational cost in simulating a multi-well fracture volume.
Moreover when available, the geomodels are normally built after the drilling and
completion of the important pilot phases of an unconventional development. These
disconnect among the key disciplines causes a disruptive learning cycle which can easily
erode value. The G2E4 workflow starts with a geologic property model and a discrete
fracture network (DFN) using seismic and or well centric data (image logs, core, and
specialized gas logs such as helium). These results then feed the 3D Mechanical Earth
Model (MEM) where the DFN features are used to perturb the wellbore scale stress field.
Using observations from the drilling experience, the completions hydraulic fracture
treatment pressures and the effects of producing the reservoir over time we can calibrate
the model through many feedback loops improving its reliability even when initially built
with measurements that have high uncertainty. This is achieved by fast numerical
simulation allowing many calibrating experiments to be performed when selecting the
geomechanical parameters. The resulting 3D MEM allows us to build multi-well models
providing significant insights into well interference, order of fracturing wells and stage
spacing by numerical simulation of the evolving stress field. This method provides a strong
link between the geoscientists and engineers allowing all observations to be integrated,
bridging the gap among these disciplines and improving chance of success.




DATA QUALITY IMPROVEMENT PROGRAM - APPROACH FOR KUWAIT OIL COMPANY
Presented by Amr Morsy (Kuwait Oil Company)

Kuwait Oil Company realized the importance of E&P data quality for the organization as valuable
asset and for the Geoscientists as data consumers, several successful attempts took place to
control data quality using different techniques like staging data base concept, and built in
validation rules. Due to increase of data volume, types and stores, it becomes very difficult to
manual implement and maintains data quality. KOC - Exploration and Production data
management team, decided to utilize a data quality management system employing Six Sigma
(DMAIC process (define, measure, analyze, improve, control)), Schlumberger Innerlogix tool had
be utilized to achieve KOC data quality goals. The road map had been identified and the well-
established plan had been set for the coming years. The first stage is covering specific data class
across different data stores and identifies the data quality measuring rules for completeness,
uniqueness, validity and content. The second stage is covering automatic identification and
reporting of defects to data managers for manual correction. The third stage will be covering
automatic data correction and data synchronization between different data stores. The full cycle
will be repeated for different data classes. KOC believes that right technical decisions
proportionally depend on data quality







SHELL EXTENDING CAPABILITIES USING TECHLOG PYTHON API AND SDK
Presented by Ap Van Der Graaf (Shell)

Since the appearance of Techlog on the market (SPWLA 2004, Noordwijk, the Netherlands), Shell
has provided input into the further development of the platform (like families and alias systems),
basic Petrophysical functionality (plotting, calculations, parameter management etc.) and
specialized modules to perform more high-end tasks, such as thin-bed analysis, saturation
modeling, and wellbore image analysis.
Since the takeover by Schlumberger and significant growth in the Techlog user-base, both the
level of influence and the turn-around time (of input coming to fruition) have obviously dropped
significantly. A further drop was experienced due to significant resources being required to solve
issues around data corruptions.

The ability in Techlog to write user specific scripts using python, in particular the customized
python editor has resulted in a wealth of additional functionality, ranging from simple one-liners, to
fairly complex modules, but these are usually local solutions.

Through the Python API, we are now developing and deploying Shell standard modules at the
global level. This allows us to offer a combination of Shell proprietary algorithms which have an
efficient well defined and agreed upon workflow. This enables us to accelerate the delivery of the
needed functionality.

The Python API however has a number of limitations that restrict users to from making full use of it
from Techlog. An SDK is under development for Techlog, offering a much richer tool kit for
developing plug-ins, similar to Petrel. While Schlumberger is developing this SDK, Shell has
volunteered to make use of the early versions of the SDK to start creating modules that would not
be achievable using the Python API.

Following a brief summary of the history, we present the modules that have been developed, the
issues we have encountered in the python API, improvements we have initiated in the SDK
development, and what is being planned.





SOFTWARE COMPETENCY TRANSFER CERTIFICATION
Presented by Assia Meghelli (Sonatrach)

E&P business becomes more complex each day and technologies used by PetroTechnical
experts continue to evolve at an unexpected rate. In addition the complexity of work also creates
the need first to change the way teams and domains are collaborating and secondly the needs to
improve the way companies design their learning and development programs.
Sonatrach as many companies used to go for traditional way of working, by subdividing their
workflows into domains specificities, organized as Silos, without physical bridges between
components. New technologies such as Studio, has motivated some Sonatrach departments to
re-think the foundation of their collaborative working environment.
In other hand, Sonatrach wanted also to change and improve, the way they were conducting
training and development program. Historically Sonatrach multiplied the number of classroom
and courses, for their employees. But when come the time to measure the success and the
progress of their employee, conclusions were not that obvious. Sonatrach decides to innovate
and improve their training program philosophy.
Thus, Sonatrach and Schlumberger decided to launch a Pilot project so as to calibrate and
design solutions adapted to their 2 main challenges.
It was achieved by setting key components:
Propose immersive project as the foundation (Sonatrach chose a Field Development
Plan study)
o Engineers from Sonatrach were working closely with Schlumberger GPE experts,
so as to build this FDP.
o In parallel, SIS was in charge of :
Setting up the collaborative working environment thanks to Studio
implementation.
Coaching and mentoring Sonatrach engineers on Technologies and
workflows specifically developed within this FDP along the study
achievement.
o NExT, was in charge of designing and completing the Mtier training program.
Build Performance Based development program,
o by creating matrix to measure:
FDP studies knowledge awareness in general
Specific mtier domain knowledge (Geologist, Geophysicist, Reservoir
Engineers, ..)



Ability to use Technologies and apply Workflows developed for those specific
studies (Petrel, Studio, Techlog, Eclipse)
o By proposing Gap Analysis methods and processes to enable Sonatrach Training
Department to plan future development program by individual.
Sonatrach saw in Schlumberger a suitable partner to design, implement solutions so as to
achieve objectives set at the beginning:
1- Enable an efficient collaborative environment,
2- Design new development program.
The complementarity of Schlumberger Information Solutions, group of Workflow and
Technological consultants, and GPE, group of Technical consultants, has maximized the pilot
capabilities to build collaborative working environment and to design new Performance Based
development program.

Based on the pilot successes, Sonatrach is today thinking to standardize solutions that have been
implemented.





CHEVRON NEXT GEN PETREL DEPLOYMENT: SUCCESSES, BEST PRACTICES AND LESSONS
LEARNED
Presented by George Smith (CHEVRON)


In late 2007, Chevron finalized agreements with Schlumberger and another competitor to utilize
their interpretation and earth modeling software frameworks to develop specific workflows,
which have been deployed globally to all Chevron business units. A formal Next Gen project
team of Chevron technical development and support personnel implemented the global
deployments, with the assistance of vendor support personnel. As this was a deployment of
multiple software frameworks and also, upgrades to existing database capabilities, it was very
complex and required intense involvement of both management and technical staff, both centrally
and within the business units.

Deployments of the new Next Gen technologies began in late 2009 in the form of selected
workflow pilots in various business units around the globe. In late 2010, global deployment began
in earnest with a team of approximately 120 technical staff coordinating and conducting
readiness, migration, training, and support activities. A formal and well organized deployment
model was implemented to ensure critical personnel were in place, both centrally and within
each business unit site. Readiness planning templates provided business units with deployment
roadmaps. External reviews and Go/No-Go decision meetings provided key checkpoints to
ensure business units were sufficiently prepared to deploy their users effectively. Deployments
were formally completed in 2012, but a formal Run organization continues to support
deployment and upgrade needs.

Success in a project of this scale and scope is critically impacted by the organizational change
management effectiveness. Elements which have been critically important for our deployments
are: 1) Management support at all levels, 2) Global deployment model, including specific business
unit ownership of their roles and responsibilities, 3) Committed and dedicated project team
members, including vendor support personnel, and 4) Effective project leadership, 5) Good
decision making processes, and 6) Effective tracking and communication processes to maintain
momentum and focus. A user survey conducted after deployment validated productivity gains
were achieved from use of the Next Gen software frameworks. Lessons learned and best
practices from this effort are being utilized on other deployment projects of global focus.





ENHANCING THE DATA QUALITY MANAGEMENT (DQM) PRODUCTIVITY IN TOTAL WITH
INNERLOGIX
Presented by Huub Streng (Total)

The task of quality control is just one of the daily activities TOTAL E&P must perform, consuming
staff resources, whose work volumes are constantly increasing. The existing process was less
efficient, with a set of complementary tools that allowed sorting of data or listing the differences;
however, the update process and spatial representation of the comparison results remained
tedious.

A sophisticated tool was needed to further automate, optimise, and improve DQM. The
adaptability of ILX allows connections to many different databases in TOTAL, including technical
G&G applications, either Schlumberger or non-Schlumberger software, and be able to compare
and enhance the attributes and geographic location of the various items that are stored therein.

A priority was the harmonization of well generalities between the corporate database and the
master projects, specifically implementing a quality check in line with the corporate rules and
ensuring this quality controlled corporate data is harmonized with the master applications
projects. The validation and harmonization workflows have mitigated the risk of using invalid
data, making the data more trustworthy.

The advanced software technology capabilities of InnerLogix has inspired a new way to think
about DQM in TOTAL and new possibilities for QC. InnerLogix is becoming an important
interface for DQM workflows in TOTAL. The deployment in HQ provides a centralised expertise
which already allows TOTAL to provide valuable support to the affiliates.




CORPORATE DATA MANAGEMENT AND THE HYDROCARBON PATHWAY
Presented by K. Joneja (Schlumberger)

It goes without saying that decision-making in our industry must be founded upon good data of
known provenance. Data collected in the fieldfrom geophones, wireline, and MWD tools;
flow meters; and so onwe trust implicitly; it is the kernel from which our understanding of
the oilfield grows. This is reason enough for us to ensure its safekeeping, but when we also
consider the huge burden of acquisition in terms of time and cost, and the fact that some data
can never be acquired again, operators cannot afford to be anything other than circumspect
when it comes to the preservation of what we know as corporate data.

At many points along the hydrocarbon pathway, corporate data is brought into being. In this
talk, you will learn how the ProSource E&P data management and delivery system provides an
integrated working environment and secures an array of data types in a single repository to
safeguard assets for use again in the future. You will also discover how the corporate data
manager can leverage intuitive and compelling tools for curating, browsing, querying, editing,
comparing, transferring, and quality-controlling your data.



KEY TECHNOLOGY TRENDS IN EARTH SCIENCES
Presented by Mark Koelmel (Chevron)

Periodically, key earth science technology trends reshape the petroleum industry. Some trends,
such as sequence stratigraphy, provide new principles for interpreting data and building reservoir
models. Other trends, such as wide azimuth seismic data, use advances in electronics and
computing to implement physical theories that have been understood for many years. The
question is what technology trends might be realized in the coming decade, as opposed to what
trends might be possible. New technologies can be costly to implement. Correctly identifying and
investing in important and realistic new earth science technologies is vital to the energy industry.

The following are four technology trends and one commercial trend that may shape earth science
technologies over the coming decade. This list is not intended to be exhaustive, but hopefully
highlights a few trends that will be actualized and meaningful.

Data and Information Management Data and information volumes in the upstream energy
industry tend to follow Moores Law, doubling approximately every two years. Chevrons upstream
data and information volumes currently exceed 6 petabytes, and are expected to exceed
100 petabytes by 2020. The earth sciences account for nearly 70% of the upstream volumes.
These volumes are already beyond the capacity of manual human management. Some form of
automated spatial and metadata tagging system will probably be required to enable rapid retrieval
and viewing of data in a spatial context along with many other types of data and information from a
variety of technical, commercial, and legal disciplines. Building industry standards to facilitate this
technology trend is already business critical and needs to be accomplished within the next few
years.

Full Azimuth Seismic Data The recent industry move from narrow to wide azimuth marine seismic
data, and sparsely sampled to densely sampled land seismic data, has provided significant
advances in noise and multiple attenuation, improved illumination of complex structures, and
allowed new insights into the anisotropic nature of the earth. Based upon the technical progress
and computing advances to date, there is good reason to anticipate that full azimuth seismic data
and full wave field seismic data will provide further advances in these three areas and become
standard practice by 2020. These technologies have already benefitted high stakes exploration
and development projects, but reducing costs through innovation and efficiency will be necessary
for broader applications. This transformation will likely be interdependent with the data and
information management trends, and require new interpretive workflows.




Interpretive Seismic Processing & Imaging There is a broad opportunity to leverage knowledge
of subsurface geology across processing and imaging workflows. For example, imaging
workflows require geologic guidance to converge on realistic global minimum solutions for the
correct velocity model as opposed to local minimum solutions that produce inferior or
inaccurate images. Interpretive seismic imaging enables rapid iteration of multiple earth models
to converge upon images that best honor the known geological and geophysical constraints. A
similar opportunity exists in the integration of sequence stratigraphy interpretations with high
resolution seismic amplitude processing. Realization of this trend will depend upon continuing
advances in computing technologies plus efficient new software applications that combine
seismic interpretation work with the geophysical analysis and imaging of seismic data.






KOC EXPLORATION & PRODUCTION INFORMATION MANAGEMENT FRAMEWORK:
OVERCOMING THE CHALLENGES
KOC recognizes that the key role of Exploration & Production Information Management Team is to ensure
that all the corporate approved E&P information is accurately archived and maintained within its integrated
Data Management Systems and various associated application tools, while also at the same time
mandating the E&P IM team to enhance the E&P information life cycle, to provide efficient platforms to
improve data access, availability, and preservation, together with research and technology driven process
that allow multi-disciplinary teams to work together seamlessly.
Using SIS-IM consultancy, a KOC Information Management Framework (IMF) was deemed to be necessary
that addressed the Information Governance Processes, Information Quality Management, Technology
Strategy and Team capability through defined challenges and Roadmap.
Some of the key challenges that were identified by the team include,
IM Roadmap (strategy, projects, planning)
IM Governance Processes
IM Quality Assurance Procedures
IM Team organization & capability
IM stakeholder communications

These challenges are being addressed individually in more details to identified appropriate areas of future
focus for the team, to ensure that they continue to move towards effective delivery of their mission and
accomplish the corporate E&P Information Management vision. The 12 different themes within the IM
Framework are:-
1. IM Roadmap
2. Roles & Responsibilities
3. Information Landscape
4. Governance Process
5. Organization
6. Team Capability
7. Competency Management
8. Service Catalogue
9. Processes & Procedures
10. Information Quality
11. Service Model
12. Project Portfolio

Author: Ravi Rajagopalan
Co-Author: Nora Al-Otaibi








HIGH RESOLUTION WELL LOG PREDICTIONS IN FORMATION LAYERS FROM SEISMIC TRACES
USING ORTHOGONAL WAVELET TRANSFORMS
Presented by Archie R. Taylor (Continental Resources), Ivan Priezzhev (Schlumberger)

DESCRIPTION
We propose a new technique for developing reservoir properties in a formation layer via seismic
traces with the resolution of well logs. The prediction is based on 1D orthogonal Daubechies
wavelet transform (Daubechies, 1988). The prediction can also be done via other 1D orthogonal
transform like Haar (Haar, 1910) wavelet transform or Fourier transform. The prediction workflow
uses two main stages. On first stage (learning stage) we calculate Daubechies (or Fourier/ Haar)
spectrums (results of forward transform) for a well log and the associated seismic trace in the
layer and then calculate the ratio of the log transform and the seismic trace transform. On second
stage we calculate Daubechies spectrum for every seismic trace and use it and previously
calculated ratio we can estimate the well log spectrums for additional traces. Then we do the
inverse Daubechies wavelet transform to get the log prediction across the seismic cube.

APPLICATIONS
To test the technology we use a dataset that included 3D seismic cube over an area with multiple
thin (<25) porosity zones, and several vertical and horizontal wellbores. All calculations were done
in time domain and then the results were converted to depth domain. For prediction of porosity we
used a Neutron porosity log to scale the wave transform coefficients of the seismic traces. In this
case there were many more Neutron logs available than other porosity logs.

RESULTS AND CONCLUSIONS
In the paper we show figures with the comparison of different prediction techniques (Daubechies,
Fourier, Haar and Neural Network). It is clear to see that Daubechies and Fourier have very similar
results but Daubechies results have more contrast and thickness variation. Haar results are more
blocky, which is the nature of this transform. Neural network prediction has much poorer
resolution.

The procedure provides the capability of doing log prediction with APPLICATION OF A
METHODOLOGY that is dependent on the recording interval. The preferred method is the
Daubechies wavelet transform due to the nonlinear nature of the coefficients derived using wave
transform.
The result of the technology gives a 3D volume seismic cube that can be used for new wells
placement and for geosteering purposes.




The more sensitive the reservoir property is to the seismic wave the better the result. For example
porosity estimation will be much more reliable than fluid saturations.

TECHNICAL CONTRIBUTIONS
The proposed technology can be applied to characterization of unconventional reservoirs based
on detailed well log prediction via 3D seismic data in a target layer.





UNLOCKING THE TRUE POTENTIAL OF THE VACA MUERTA SHALE VIA AN INTEGRATED
COMPLETION
Presented by Damian E. Hryb (YPF S.A.)

This paper presents an operators approach to optimize future well performance by fully
integrating all the data captured in the Vaca Muerta Shale. Based upon insight from the study, the
operator wanted to make more informed asset management decisions, understand the interaction
between the shale and the hydraulic fracture network and improve economics. Data was
captured from several wells both vertical and horizontal. The data incorporated into the study
included field wide seismic, as well as mineralogical, geomechanical, well plan, drilling,
completion, microseismic, and production data from the wells.

The project comprised of two different case histories involving the hydraulic fracture stimulation
treatment of a cluster of vertical wells and another set of horizontal wells in a different section of
the field. Microseismic Hydraulic Fracture Monitoring (HFM) was utilized to track the
development of the hydraulic fractures in real-time as they propagated throughout the formation.
A vertical array placed in a near-by vertical well monitored the activity from the two stimulated
vertical wells, while the stimulation activity from the horizontal well was monitored from a
horizontal array placed in a horizontal lateral drilled parallel to the target well, but landed ~ 80 m
shallower in the vertical section. An integrated unconventional-reservoir-specific workflow was
utilized to develop and evaluate the completion strategies for the subject wells. First, a field wide
3D static geologic model was constructed using the aforementioned data in order to determine
the best reservoir and completion qualities of the Vaca Muerta formation. Next, the model was
used to develop the completion strategy including staging, perforation scheme, stimulation
design, etc. for the wells. The completion strategy and stimulation design was performed utilizing
an automated, rigorous, and efficient multi-staging algorithm (completion advisors). This enabled
the reservoir section having the best reservoir and completion qualities to be targeted by the
stimulation treatments. The stimulation designs were performed using a state-of-the-art
unconventional hydraulic fracture simulator that properly simulates the complex fracture
propagation in shale reservoirs, including the explicit interaction of the hydraulic fractures to the
pre-existing natural fissures in the formation and automatic gridding of the created complex
fractures to rigorously model the production response from the tridimensional fracture network. A
comparison between the microseismic fracture geometry to the planned fracture geometry is
revealing; it shows that the application of this new technology can identify some of the
complications and challenges involved in the process of fracking a rock, improve the success of
stimulation treatments and identify opportunities to improve operational efficiency. The calibrated
complex hydraulic fracture simulation results were incorporated into a dual-porosity, shale oil,
numerical simulator and further calibrated with current production history of the wells. The
results of the fracture and reservoir models were utilized to understand the fracture propagation
mechanism in the Vaca Muerta shale formation. Based on these findings, an optimized
completion strategy was determined to improve the future



exploit vast Coal Seam Gas (CSG) resources. However, CSG operators face some difficult
challenges, because of significant uncertainties around the reservoir quality and productivity. In
this study we propose a holistic approach for the assessment of the heterogeneities in a CSG
reservoir and their representation into an integrated 3D model. We also show how this model
can be used to automatically generate an initial well placement scenario.



UNCONVENTIONAL SWEET SPOTS IDENTIFICATION IN VACA MUERTA FM. USING PETREL
SEISMIC STRUCTURAL ATTRIBUTES
Presented by Diego Delucci (CAPEX S.A.)

Nowadays, the exploration of unconventional energy resources in Argentina is critical for the
countrys self-sustainment. In recent years, this country has drawn a lot of interest due to huge
shale formations present in several basins.

With the focus on investment optimization and on reaching maximum productivities per well, the
G&G team of CAPEX S.A. has been using new seismic structural attributes to identify naturally
fractured zones in Vaca Muerta Formation, which is the main source rock of Neuquen basin and
the biggest in Argentina in terms of unconventional resources.

The present work describes the methodology used to identify naturally fractured zones integrating
well core and log data, structural geology, seismic attributes and analogue models to obtain an
estimated fractured rock volume for hydraulic fracturing stimulation.

The final result is the quantification of unconventional prospects and proposals of horizontal wells
in Vaca Muerta Fm, Agua del Cajn Field, Neuquen basin.





SHALE- UNLOCKING THE FULL POTENTIAL FROM YOUR ASSET
Presented by Trygve Randen (Schlumberger)

Hydrocarbon resources from shales and tight reservoirs are changing the geopolitical picture. The
United States have regained historical production levels and are on track for energy
independence. However, these resource have also thrown new challenges at our industry.
Identifying plays and sweet spots, describing shale heterogeneities, estimating fracture
effectiveness from geomechanics, and designing drilling programs with an order of magnitude
higher well counts than most other settings.

We maximize the potential of unconventional resources with conventional software tools.

To address this, Schlumberger is launching the industrys first software offering dedicated to
solving the unique challenges associated with shale reservoirs.
Petrel Shale is a software platform offering dedicated workflows for Shale reservoirs. A
completely new shale perspective in the 2014 interface guides the users through the key workflow
stages - Explore Evaluate Drill Compete Produce. Incorporating petroleum systems
modeling to effectively pinpoint sweet spots and identify the most prospective acreage in a basin.
Integrating multidisciplinary datapetrophysical, geomechanical, geophysical, and modeled
responses it allows geoscientists to characterize heterogeneity in shale quality and stress
regimes. It enables user to optimally design pad placements to drill as many wells as possible from
a single point and optimize the length and spacing of wells to ensure that as much rock as
possible is treated without interfering with offset producing wells. Petrel Shale supports real-time
geosteering to stay in the zone and target the sweet spots accurately and to design the stimulation
to target the best quality reservoir rock and to cost effectivelystimulate only reservoir rock and
optimize production.

All of this with significantly increased performance and ease of use, allowing the geoscientists
and engineers to make educated decisions ahead of the operations.

Join us for the launch of the exciting new offering






APPLICATION OF A METHODOLOGY FOR SELECTING INTERVALS FOR HYDRAULIC
FRACTURING IN A HORIZONTAL WELL IN UNCONVENTIONAL RESERVOIRS IN
CHICONTEPEC, MEXICO.
Presented by Guillermo Gutierrez Murillo (PEMEX)
This paper shows how to minimize the times analysis using the Techlog platform by
integrating all the information in a single workflow with a convenient, fast and accurate
selection of the best intervals for suiting hydraulic fractures in horizontal wells into low
permeability turbiditic reservoirs in the basin of Chicontepec, Mexico. This process implies
the generation of a multimineral petrophysical reservoir model, a geological- structural
analysis, a geomechanical model and a model of capillary pressures from the reservoir.
Prior to the drilling of the horizontal well the following models are required from adjacent
wells, a mineralogical model, a saturation model, a permeability model and a
geomechanical model besides the calibration with core data (routine core analysis and
special core analysis), drilling data, production data, well logs, mud logging and geological
tops among others.

After drilling the horizontal well and running conventional and special well logs, a quality
control procedure is carried out together with the data processing and the data analysis.
The use of a probabilistic assessment determines the mineral volume, the effective
porosity, the water saturation and the permeability; the rock types are determined with the
information on effective porosity and permeability. Special well logs offer other important
information like permeability and pore volumes, natural fracture and induced fracture
points, dipping layers, shear, sand counting, textural image analysis, Poisson's ratio and
Young's modulus.

When the information has already been analyzed, the areas with the best properties are
chosen taking into account for this selection the highest permeability values, the natural
fracture intensity and Youngs modulus together with the lowest water saturation values
and minor Poisson's ratio. In addition it is possible to determine the best areas to place
hydraulic fractures in the horizontal well with the geomechanical and petrophysical data
propagated in the geocelular model.

This methodology has been applied in 95 horizontal wells in Chicontepec, with very positive
results in their completions and has allowed the improvement of the length and design of
hydraulic fractures, resulting in the increase of productivity compared to vertical wells.





UNLOCKING THE TRUE POTENTIAL OF THE VACA MUERTA SHALE VIA AN INTEGRATED
COMPLETION
Presented by Damian E. Hryb (YPF S.A.)

This paper presents an operators approach to optimize future well performance by fully
integrating all the data captured in the Vaca Muerta Shale. Based upon insight from the study, the
operator wanted to make more informed asset management decisions, understand the interaction
between the shale and the hydraulic fracture network and improve economics. Data was
captured from several wells both vertical and horizontal. The data incorporated into the study
included field wide seismic, as well as mineralogical, geomechanical, well plan, drilling,
completion, microseismic, and production data from the wells.

The project comprised of two different case histories involving the hydraulic fracture stimulation
treatment of a cluster of vertical wells and another set of horizontal wells in a different section of
the field. Microseismic Hydraulic Fracture Monitoring (HFM) was utilized to track the
development of the hydraulic fractures in real-time as they propagated throughout the formation.
A vertical array placed in a near-by vertical well monitored the activity from the two stimulated
vertical wells, while the stimulation activity from the horizontal well was monitored from a
horizontal array placed in a horizontal lateral drilled parallel to the target well, but landed ~ 80 m
shallower in the vertical section. An integrated unconventional-reservoir-specific workflow was
utilized to develop and evaluate the completion strategies for the subject wells. First, a field wide
3D static geologic model was constructed using the aforementioned data in order to determine
the best reservoir and completion qualities of the Vaca Muerta formation. Next, the model was
used to develop the completion strategy including staging, perforation scheme, stimulation
design, etc. for the wells. The completion strategy and stimulation design was performed utilizing
an automated, rigorous, and efficient multi-staging algorithm (completion advisors). This enabled
the reservoir section having the best reservoir and completion qualities to be targeted by the
stimulation treatments. The stimulation designs were performed using a state-of-the-art
unconventional hydraulic fracture simulator that properly simulates the complex fracture
propagation in shale reservoirs, including the explicit interaction of the hydraulic fractures to the
pre-existing natural fissures in the formation and automatic gridding of the created complex
fractures to rigorously model the production response from the tridimensional fracture network. A
comparison between the microseismic fracture geometry to the planned fracture geometry is
revealing; it shows that the application of this new technology can identify some of the
complications and challenges involved in the process of fracking a rock, improve the success of
stimulation treatments and identify opportunities to improve operational efficiency. The calibrated
complex hydraulic fracture simulation results were incorporated into a dual-porosity, shale oil,
numerical simulator and further calibrated with current production history of the wells. The
results of the fracture and reservoir models were utilized to understand the fracture propagation
mechanism in the Vaca Muerta shale formation. Based on these findings, an optimized
completion strategy was determined to improve the future



SHALE- UNLOCKING THE FULL POTENTIAL FROM YOUR ASSET
Presented by Trygve Randen (Schlumberger)

Hydrocarbon resources from shales and tight reservoirs are changing the geopolitical picture.
The United States have regained historical production levels and are on track for energy
independence. However, these resource have also thrown new challenges at our industry.
Identifying plays and sweet spots, describing shale heterogeneities, estimating fracture
effectiveness from geomechanics, and designing drilling programs with an order of magnitude
higher well counts than most other settings.

We maximize the potential of unconventional resources with conventional software tools.

To address this, Schlumberger is launching the industrys first software offering dedicated to
solving the unique challenges associated with shale reservoirs.
Petrel Shale is a software platform offering dedicated workflows for Shale reservoirs. A
completely new shale perspective in the 2014 interface guides the users through the key
workflow stages - Explore Evaluate Drill Compete Produce. Incorporating petroleum
systems modeling to effectively pinpoint sweet spots and identify the most prospective
acreage in a basin. Integrating multidisciplinary datapetrophysical, geomechanical,
geophysical, and modeled responses it allows geoscientists to characterize heterogeneity in
shale quality and stress regimes. It enables user to optimally design pad placements to drill as
many wells as possible from a single point and optimize the length and spacing of wells to
ensure that as much rock as possible is treated without interfering with offset producing wells.
Petrel Shale supports real-time geosteering to stay in the zone and target the sweet spots
accurately and to design the stimulation to target the best quality reservoir rock and to cost
effectively stimulate only reservoir rock and optimize production.

All of this with significantly increased performance and ease of use, allowing the geoscientists
and engineers to make educated decisions ahead of the operations.

Join us for the launch of the exciting new offering





NEW APPROACH FOR ENHANCE SHALE STIMULATION USING BROADBAND,
HIWAY AND MANGROVE
Presented by Alejandro Pea (Schlumberger)

Hydraulic fracturing is a key enabling technology for the recovery of vast oil and gas reserves
stored in low-permeability reservoirs such as shales and tight sandstones and carbonates
worldwide. Multi-stage fracturing treatments comprising large volumes of fluids and
proppants into horizontal wells became the preferred stimulation strategy to enable oil and
gas production from such reservoirs. Despite a sustained increase in drilling and fracturing
intensity over the last decade (longer lateral lengths and higher number of fracturing stages
per well), the average production rate per well in major unconventional plays like Eagle Ford,
Bakken, Haynesville and others reached a plateau, with about 40% of these wells deemed
uneconomic. The need exists for innovative fracturing technologies able to enhance well
productivity from investment.

This presentation will be focused on the most recent advances in the realm of hydraulic
fracturing technology, with emphasis on three synergistic solutions: BroadBand Sequence
Fracturing Technique, HiWAY Channel Fracturing Technique and Mangrove Engineered
Stimulation Design supported by log and microseismic measurements. The fundamental
concepts behind each technology are briefly described and discussed. Case studies are
presented to highlight the impact of these technologies, which have led to increases in oil and
gas production in excess of 50% with significant gains in efficiency and return on investment.
The discussion concludes with a holistic view on future directions for well stimulation
technologies.