Technology Challenges Offshore

Anna AabøPresident

IRIS research

• 220 employees including 160 researchers, teaming up with scientific personnel atUiS to a combined team of 500 scientists

• Head office in Stavanger, department in Bergen, subsidiaries in Baku and Moscow.

• Unique test and laboratory facilities

• We have an HSE philosophy of zero accidents and is certified

• 90% project financed

• Focusing on applied research - commercialization – currently 15 companies underdevelopment

• Focus areas– Automated drilling– Multiphase Flow in Porous Media - IOR– Risk and monitoring based environmental management– Gas, Sustainable Energy, Carbon Capture and Storage,

IRIS research

Outline

• Technology Challenges Offshore

• An example from Norway on how to define and solve technologychallenges

• Technology examples– Sub sea processing– Automated drilling

Technology Challenges Offshore

Technology challenges• Resources not easily available

– Deep waters– Remote Areas– Harsh environmental conditions

• Technology needs– Exploration– IOR– Sub sea processing– Multiphase flow– Advanced wells– CO2 handling

A structured approach to technologydevelopment – a Norwegian example

The motivation

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2002 2006 2010 2014 2018 2022 2026 2030 2034 2038 2042 2046 2050

Årlig

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Petroleum production makes up a third of governmental income in Norway

Long term scenario

Decline scenario

Structuring research and technology efforts

InitiativeMinistry of Oil and Energy

Defining challengesIndustrial cluster

Research ProgramResearch council of Norway

Participants in the OG21 cluster

OG21 - The technological challenges

• Environmental Technology for the future• Exploration and reservoir characterization• Enhanced recovery• IO and real time reservoir management• Cost effective drilling and intervention• Sub sea processing and transport• Deep water and sub sea production technology• Gas technologies

The Research Council is:

a government adviseridentifying present and future needs for knowledge and research, and recommending national pr ior ities

a funding agencyfor research programmes and independent projects, strategic programmes at research institutions, and Norwegian participation in internationalresearch activities. The Research Council has an annual budget of some 5,5 billion NOK (1 billion US $)

a co-ordinatorinitiating networks and promoting co-operation between research institutions, ministr ies, business and industry, public agencies and enterprises, other

sources of funding, and users of research

PETROMAKS

Goals

Find more oil and gas Produce more oil and gas Innovation in supply industry Efficient and environmental safe operations

Budget 2007: 350 mill NOK – 70 mill USD Project portfolio including industry funding: 400 mill USD

• User driven demonstration program within the RCN– Operators evaluate, select, co-fund and host field trials– Suppliers/contractors propose and execute pilot projects

• Governance– Program board with oil companies, service/supply industry, research

institutes – chaired by suppliers– Technical Forum (operators)

• Cooperation and interfaces– PETROMAKS and other R&D sources– Industry associations - NI, OLF– International arena (with INTSOK and Innovation Norway)

DEMO 2000

R&DR&D PilotPilot UseUse MarketMarket

DEMO 2000 DEMO 2000 scopescope

Petromaks / other Petromaks / other sourcessources

Does it help??

Petroleum production in Norway

Long-term scenario

Decline scenario

Source: OED

Technology export (Mrd.NOK)

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34 34

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The Norwegian petroleum industry

An innovative and dynamic industry –

• Developed since 30-40 years back

• Technology based industry

• Effective cluster

• International network

Technical examplesBreaking new ground offshore

Sub sea processing

Sub sea processing at the Tordis Fieldan IOR project

• The Tordis field in brief

– Located in the North Sea

– Estimated recoverable oil 360 mill bbl

– Sub sea developed oilfield

– Estimated recovery by conventional sub sea technology 49%

– 200 m sea depth

– Operated by StatoilHydro

Sub sea processing - an IOR project

• Separation and re injection of water

• Exporting hydrocarbons thorough amultiphase pump to a nearby oil field

• Boosting pumps with sand handlingcapacity

• Recovery increased from 49% to 55%

Technical examplesBreaking new ground offshore

Automated drilling

Drilltronics

Badgere-lad

Hole in one producer

Development within drillingFrom chains to mechanized operation

Drilltronics - a step towards

drilling automatization

Sponsors: NFR, StatoilHydro, ENI

”A game changing Norwegian innovationbased on 20 years of research andmodeling provides safe guards duringthe drilling process releasing it from theweakness of manual control” JPTOctober 2007

Well simulator

eLAD’s virtual rig

eLAD’s Operation Centre

Experimentalist Facilities

ELADE-Centre Laboratory for Automated Drilling processes

Sponsors: Petromaks, StatoilHydro, ConocoPhillips

Remotely operateddrilling machineries

Rig site, North Sea

Badger Explorer A step change in exploration drilling

Sponsors: Petromaks,StatoilHydro, Shell, Exxon

Hole in One Producer A step change in exploration drilling

Advantages and Principles• Principles

– Drilling by using a tractor type drillingtool

– Casing attached to the drilling tooland pulled forward by the tool

– The casing is sealed from theformation borehole using packers (nocement)

• Advatanges– One (large) hole size.

– Significantly reduced flat time

– Many and various permanentdownhole sensors.

– Extreme long horizontal sectionassociated with a complexcompletion string

– Reduce the effects of kicks.

– Minimize formation damage whiledrilling.

Summing up• Technology developments required to solve present and future

challenges takes

– A systematic approach to define the challenges

– Contribution form a broad range of players to solve the challenges

– And - it’s doable