South Louisiana EOR / Sequestration R&D Project FE0006823 - - PowerPoint PPT Presentation

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South Louisiana EOR / Sequestration R&D Project

FE0006823 Carbon Storage R&D Program Project Review Meeting

Sheraton Station Square Hotel, Pittsburgh, PA August 21-23, 2012

J Roger Hite, Principal Investigator Blackhorse Energy, LLC

Presentation Outline

 Benefit to the Carbon Storage Program  Project Objectives  Project / Technical Status  Accomplishments to Date / Summary

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Benefit to Carbon Storage Program

 Program Goals:

– Conduct field test to support development of Best Practices Manuals

 Benefits:

– Acquire field data on CO2 sequestration in beach barrier bar, in the State of Louisiana, as part of EOR project – Evaluate technologies

• 3D seismic
• Horizontal injector
• Advanced logging tools
• Fiber optic cables
• CO2 foam

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Project Objectives

 The primary objective

– Understand CO2 behavior and migration in a beach/barrier near shore bar depositional environment.

 Secondary objectives:

– Demonstrate that successful sequestration projects can be performed safely in Louisiana; – Demonstrate that Louisiana is a major sequestration target; and – Enhance the future prospects for commercialization of sequestration.

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Project / Technical Status

 Reservoir Characterization

– Completed a careful review of facies continuity and of rock properties

 Simulation

– Improved physics – Included shale above pay zone

 Production Facilities

– Staged development

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 Productive Formation: Wilcox

– 10,000 ft deep – 2,200 acres – Structural trap against fault

 OOIP 28 MM Bbls of 39o API oil Production History  Discovered in 1983  Waterflooding began in 1987 by Amoco  Primary and waterflood recovery 8.2 MM Bbls (29% OOIP)

Livingston Reservoir

Depositional Environment

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Well Map

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 Updip injection  DOE Injector located to northeast  CO2 front moves downdip to south and west

Type Log

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 Depositional Faces

– Beach / Upper Shoreface – Middle Shoreface – Lower Shoreface

Reservoir Characterization

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Top 1ST Wilcox Sand 1ST Beachrock Facies 2nd Beachrock Facies

2 4 6 8 10 12 14 16 18 20 0.0 0.1 0.2 0.3

Layer

PHIE - VSH

Log Porosity vs Model Porosity

Minimum Maximum Log Average Model Average

Shale Beach Rock Lower Shoreface Pay

Reservoir Characterization

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Model was built from 33 PHIE logs in Builder using Gaussian Simulation Maximum and minimum porosities were honored for each layer Averages in model agree well with averages from logs

Reservoir Characterization

12 y = 1E-08x7.1192 R² = 0.3667 y = 3E-06x5.0662 R² = 0.3482 0.0 0.1 1.0 10.0 100.0 1000.0 2 4 6 8 10 12 14 16 18 20 22 24 26 Permeability - md Porosity

Permeability versus Porosity

Upper Shoreface Lower Shoreface

10 20 30 40 50 25 50 75 100 125 150 175

Distance from top of zone, ft

Core Permeabilities

Beach Rock Zone Pay Lower Shoreface Separate Correlations for Perm versus Porosity were used for Pay Sand and lower shoreface sand.

Reservoir Modeling

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History Match – Oil Production

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Livingston Model Oil Production

500 1000 1500 2000 2500 3000 3500 4000 4500 Mar-82 Mar-86 Mar-90 Mar-94 Mar-98 Mar-02 Mar-06

Date BPD

Field Simulation

Waterflood Waterflood

History Match – Water Production

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Livingston Model Water Production

500 1000 1500 2000 2500 3000 Mar-82 Mar-86 Mar-90 Mar-94 Mar-98 Mar-02 Mar-06

Date BPD

Field Simulation

Waterflood Waterflood

CO2 Flood Forecast

 30 Year Production Life  Oil Production

– 8.17 MM Bbls (29% OOIP)

 Water Production

– 18.6 MM Bbls

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500 1,000 1,500 2,000 2,500 3,000 2014 2018 2022 2026 2030 2034 2038 2042

Oil and Water Production, B/D Year

Livingston EOR Production Rates

Oil Water

1,000 2,000 3,000 4,000 5,000 6,000 7,000 8,000 2014 2018 2022 2026 2030 2034 2038 2042

Gas Inj / Prod, Mcf/D Year

Livingston EOR Gas Rates

Gas Injected Gas Produced Purchased CO2

 Gas Production / Injection

– 78.1 Bcf Injection – 32.6 Bcf Purchased – All produced gas recycled

Staged Facilites Plan – Stage I

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 West Satellite

– Connect early response producers – Construct CO2 source facilities and distribution line – Well test, G/L separation, recycle compression

Staged Facilites Plan – Stage II

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 East Satellite

– Connect later response producers – Well test – G/L separation, recycle compression at Central Facility

Staged Facilites Plan – Stage III

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 Central Facilities Site

– Additional well test, G/L separation, recycle compression, oil storage – Connect late response producers

Accomplishments to Date / Summary

 Improved reservoir modeling

– Reservoir characterization – Expanded / improved simulation model

 Staged production facilities plan  DoE Contract

– Agreed on cost share – SOPO complete – PMP in progress – Project management team in place

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Discussion

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Project Organization

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Project Organization

 Other Participants

– Universities

• Rice University
• Louisiana State University
• University of Texas - Austin

– Schlumberger Carbon Management Services – Computer Modeling Group

 Endorsements

– Scott Angelle, Secretary, Louisiana Department of Natural Resources – Ken Nemeth, Executive Director, Southern States Energy Board

1 2 3 4

Phase 1 Phase 2 Phase 3 Year

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First Second Third Fourth

Horizontal injection well Inject CO2 CO2 foam Final 3D seismic survey Final surveillance monitoring Reporting and documentation Project Management Plan 3D seismic survey Baseline surveillance

Project Timeline

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Publications

 None to date