From Potential to Production

Transcription

1 Conference Preview SPE/EAGE European Unconventional Resources Conference and Exhibition From Potential to Production March 2012 Reed Messe Wien Vienna, Austria Main Sponsors Organisers Society of Petroleum Engineers

2 Welcome from the Conference CoChairs On behalf of the Society of Petroleum Engineers (SPE), European Association of Geoscientists and Engineers (EAGE) and the Programme Committee, we would like to thank all contributors who submitted paper proposals for the European Unconventional Resources Conference and Exhibition. This conference will be held on March 2012 in Vienna, Austria. We believe the quality of the papers have produced a topical and varied programme focussing on European unconventional resources production and potential status, technologies and challenges. SPE and EAGE are renowned for bringing technical professionals together and this key event in the 2012 calendar recognises the increasingly important role unconventionally trapped oil and gas production is playing in the world energy mix. The theme for this conference is From Potential to Production. This theme refl ects the tremendous growth in activity in Europe over the last few years and aims to address some of the specifi c challenges and range of environments and future opportunities within the European E&P sector. The conference programme includes a mixture of plenary sessions with invited keynote speakers and technical and panel sessions both oral and eposters to examine recent experiences within the conference theme and comparisons with lessons learned in North America. Specifi c sessions will cover: Stakeholder Issues Sustainable Development of Unconventionals Exploration Basin Scale Reviews and New Frontiers Risk, Uncertainty and Reserves Hydraulic Fracturing Lessons from North America Geophysics Microseismic Monitoring Water Management Geology and Petrophysics Europe, USA and China Well Construction Design and Replacement Well Completion Supply Chain Challenges Your active participation and early registration will ensure a successful conference in Vienna where the venue has been carefully selected to facilitate networking. Please give others the opportunity to share your experience, concerns, ideas, and best practices. On behalf of the Programme Committee, we would like to encourage you to help us make this a memorable SPE/EAGE conference. We look forward to meeting you in Vienna March Graeme Smith and Simon Stewart SPE/EAGE Conference CoChairs

3 Schedule of Events Monday, 19 March (Training Courses) Training Course 1: Field Development Economics Training Course 2: Unconventional Gas Fundamentals Training Course 3: Unconventional Reservoir Production (Rate-Transient) Analysis Tuesday, 20 March Opening Plenary Session Building the European Unconventional Hydrocarbon Resource Base Status and Challenges Exhibition Open Coffee Break Knowledge Sharing eposters Exhibition Hall Technical Sessions Sustainable Development/Stakeholder issues Exploration Basin Scale Reviews I Risk, Uncertainty and Reserves I Lunch Break Knowledge Sharing eposters Exhibition Hall Panel Session 1 Sustainable Development/Stakeholder Issues Technical Sessions Exploration Basin Scale Reviews II Risk, Uncertainty and Reserves II Coffee Break Knowledge Sharing eposters Exhibition Hall Panel Session 2 Supply Chain Management Which Comes First My Money or Yours? Technical Session Exploration Basin Scale Review III Risk, Uncertainty and Reserves III Welcome Reception Wednesday, 21 March Exhibition Open Technical Sessions Fraccing I Lessons from North America I Panel Session 3 Exploration New Frontiers Coffee Break Knowledge Sharing eposters Exhibition Hall Technical Sessions Fraccing II Geology and Petrophysics USA Production Lessons from North America II Lunch Break Knowledge Sharing eposters Exhibition Hall Technical Sessions Fraccing III Geology and Petrophysics USA Production/Europe Lessons from North America III Coffee Break Knowledge Sharing eposters Exhibition Hall Technical Sessions Fraccing IV Geology and Petrophysics Europe Water Management Thursday, 22 March Exhibition Open Plenary Session Key Technologies Coffee Break Knowledge Sharing eposters Exhibition Hall Technical Sessions Well Construction Design and Replacement Geology and Petrophysics China Geophysics Microseimic Monitoring I Lunch Break Knowledge Sharing eposters Exhibition Hall Technical Sessions Well Completion New Drilling Results Geophysics Microseimic Monitoring II 1500 Close of Conference 1530 Close of Exhibition European Unconventional Resources Conference and Exhibition 2

4 The Event It is recognised that the impact of unconventionals is considered a threat by many. This event is aimed at understanding both the technical and technological solutions to economically producing unconventional oil and gas. It will also look at the regulations and technologies that will help address non-technical and environmental challenges including access, footprint, water use and disposal and noise. Whilst we expect a focus on shale gas and tight oil and gas we will also cover unconventional hydrocarbons. Who Should Attend Oil and gas industry E&P technical professionals and managers Supply chain specialists Economists Those interested in the technical and environmental challenges associated with unconventional hydrocarbon resources. European Unconventional Resources Conference and Exhibition About SPE The Society of Petroleum Engineers (SPE) is a not-for-profi t professional association whose members are engaged in energy resources development and production. SPE serves more than 97,000 members in 118 countries worldwide. SPE is a key resource for technical knowledge related to the oil and gas exploration and production industry and provides services through its publications, events, training courses, and online resources at Income from this event will be invested back into SPE to support many other Society programs. When you attend, sponsor, or exhibit at an SPE event, you help provide even more opportunities for industry professionals to enhance their technical and professional competence. Scholarships, certifi cation, the Distinguished Lecturer program, and SPE s energy education program Energy4me are just a few examples of programs that are supported by SPE. About EAGE The European Association of Geoscientists and Engineers (EAGE) is a global professional, non-profi t association for geoscientists and engineers with more than members worldwide. The objective is to collect and distribute technical knowledge. It provides a global network of commercial and academic professionals to all members. The association is truly multi-disciplinary and international in form and pursuits. All members of EAGE are professionally involved in (or studying) geophysics, petroleum exploration, geology, reservoir engineering, mining and mineral exploration, civil engineering, tunnelling and environmental matters. EAGE s head offi ce is located in the Netherlands with regional offi ces in Moscow, Dubai and Kuala Lumpur. EAGE organises the following activities: 1. Events (conferences, exhibitions, workshops) 2. Publications (journals, books) 3. Educational Programmes (short courses, lectures) 4. Student Programmes 5. Recruitment 3

5 Programme Committee Graeme Smith CoChairperson Shell Simon Stewart CoChairperson Heriot-Watt University Gábor Bada TXM Oil and Gas Exploration Ltd Piotr Krzywiec Polish Geological Institute Garth Sloan Total Davide Calcagni ENI Simon Lange OMV Hermann Spoerker OMV David Campbell TransAtlantic Petroleum Ltd Kevin Mauth Schlumberger Richard Steele BG Group Robert Clarke Wood Mackenzie Miles Dyton IndigoPool Glynn Ellis Shell Quentin Fisher University of Leeds Douglas Hollett Department of Energy Gordon McCoullough Halliburton Khalifa Mohammed Repsol Dan Podaru Schlumberger Igor Popadyuk SPK Geoservice Dan Scott Baker Hughes Sponsors Main Sponsors Ben Stewart Halliburton Adrian Topham Baker Hughes Peter Turner Cuadrilla Resources Ltd European Unconventional Resources Conference and Exhibition Lunch Buffet Technical Programme 4

6 Technical Programme Technical Programme 5 Tuesday 20 March OPENING PLENARY SESSION Building the European Unconventional Hydrocarbon Resource Base Status and Challenges Graeme Smith, Shell Simon Stewart, Heriot-Watt University The opening plenary session will examine the status of exploration and production of unconventional resources in Europe the successes and failures, the issues and opportunities and the techniques and technologies we will need to address this. Is Europe falling behind as unconventional oil and gas exploration and production increases in US, Australia, China and other places in the world? What are the roles of IOC s, academia, service companies, governments and society in the debate? Why is unconventional gas, and oil, important for Europe? Tuesday 20 March TECHNICAL SESSION 1 Sustainable Development/Stakeholder Issues Miles Dyton, IndigoPool Glynn Ellis, Shell Unconventional resources have transformed the US energy market. There is signifi cant unconventional resource potential in Europe, which could materially change the energy landscape in the region. Unlocking these onshore reserves presents new social, environmental and technical challenges, distinct from those challenges that have been seen in North America, which must be effectively understood, managed and resolved, in order for the resource to be produced. This session will review best practices for government and community engagement, and look at the application of technologies and methodologies that effectively address the social and environmental impact of unconventional resource exploitation. Tuesday 20 March TECHNICAL SESSION 2 Exploration Basin Scale Reviews I Doug Hollett, Department of Energy Simon Lange, OMV Piotr Krzywiec, Polish Geological Institute This session will review regional unconventional basin scale studies from across Europe. There will be a distinct focus on new and emerging plays, in addition to further understanding the more established Eastern Europe Silurian Play. Tuesday 20 March TECHNICAL SESSION 3 Risk, Uncertainty and Reserves I Kevin Mauth, Schlumberger As activity in unconventional resources expands worldwide, new tools, understanding, and methods are needed to deal with uncertainty, risk, and to consistently calculate reserves. Focusing on new analytical and risk management tools, this session provides insight on how the challenges of unconventional reservoirs can be addressed Tuesday 20 March PANEL SESSION 1 Sustainable Development/Stakeholder Issues Miles Dyton, IndigoPool Glynn Ellis, Shell See technical session 1 Tuesday 20 March TECHNICAL SESSION 4 Exploration - Basin Scale Reviews II Doug Hollett, Department of Energy, Simon Lange, OMV Piotr Krzywiec, Polish Geological Institute See technical session 2 Tuesday 20 March TECHNICAL SESSION 5 Risk, Uncertainty and Reserves II Kevin Mauth, Schlumberger See technical session 3 Tuesday 20 March PANEL SESSION 2 Supply Chain Management Which Comes First My Money or Yours? Ben Stewart, Halliburton Gordon McCoullough, Halliburton As the unconventional phenomenon launches into Europe, Operators and Service companies alike face the challenge of establishing new supply chain solutions including skills

7 and personnel, equipment and materials. Critical factors to consider include availability of specifi c Unconventional technologies, total cost of ownership, alignment with growth and investment alternatives and sustaining HSEQ standards. The development model for unconventional resources requires an early investment to defi ne the potential of each market. The perspective of the stakeholders are at times diametrically opposed in that the service/technology requires high prices, long term committee, or alternative commercial relationships to justify capital investment. An operator needs low prices, or a commercial incentive to explore and development market potential. Common to the stakeholders, is a requirement to do no harm to people, environment, and community. A panel of operators, service companies, and stakeholders will discuss the strategies and alternatives they are employing to address the challenges in Europe. Tuesday 20 March TECHNICAL SESSION 6 Exploration Basin Scale Reviews III Doug Hollett, Department of Energy, Simon Lange, OMV Piotr Krzywiec, Polish Geological Institute See technical session 2 Tuesday 20 March TECHNICAL SESSION 7 Risk, Uncertainty and Reserves III Kevin Mauth, Schlumberger See technical session 3 Wednesday 21 March TECHNICAL SESSION 8 Fraccing I Gabor Bada, TXM Oil and Gas Exploration Ltd Unconventional gas reservoirs may be tight gas, CBM or shale reservoirs. Economic production of any of these three types requires advanced stimulation techniques such as the creation of multiple fractures from a long horizontal well. The focus of this session will be jointly on the theoretical aspects of geomechanics, stimulations and the practicalities of hydraulic fracturing techniques and operations. Topics will cover: Evaluation of fraccing optimisation and stimulation effectiveness 3D numerical modelling of fracture initiation and propagation Microseismic monitoring Interaction of hydraulic and natural fractures Chemistry of frac fl uids and numerous case studies worldwide The ultimate objective of this session is to discuss innovations and exchange ideas for improving hydraulic fracturing techniques with the purpose of increasing gas recovery from unconventional resources. Wednesday 21 March PANEL SESSION 3 Exploration New Frontiers Doug Hollett, Department of Energy Simon Lange, OMV Piotr Krzywiec, Polish Geological Institute This session will review regional unconventional basin scale studies from across Europe. There will be a distinct focus on new and emerging plays, in addition to further understanding the more established Eastern Europe Silurian Play. Wednesday 21 March TECHNICAL SESSION 9 Lessons from North America I Robert Clarke, Wood Mackenzie Garth Sloan, Total This session will focus on key technologies that helped commercialise many unconventional gas plays in North America, including subsurface evaluation, well design, and accurate fracture stimulations. Attendees will understand the importance of these technologies and appreciate how they are needed, alongside astute environmental stewardship, in emerging non-us plays. An overview of North American regional resources will also be presented for perspective. Wednesday 21 March TECHNICAL SESSION 10 Fraccing II Gabor Bada, TXM Oil and Gas Exploration Ltd See technical session 7. Technical Programme 6

8 Technical Programme 7 Wednesday 21 March TECHNICAL SESSION 11 Geology and Petrophysics - USA Production Richard Steele, BG Group Adrian Topham, Baker Hughes The petrophysical measurement and geological modelling of shale, tight gas and CBM behaviour in Europe is in predictive exploration mode. In North America it is in full scale production. This session presents both showing what we know in North America and hope to learn elsewhere. Wednesday 21 March TECHNICAL SESSION 12 Lessons from North America II Robert Clarke, Wood Mackenzie Garth Sloan, Total See technical session 8. Wednesday 21 March TECHNICAL SESSION 13 Fraccing III Gabor Bada, TXM Oil and Gas Exploration Ltd See technical session 7. Wednesday 21 March TECHNICAL SESSION 14 Geology and Petrophysics USA Production/Europe Richard Steele, BG Group Adrian Topham, Baker Hughes See technical session 10. Wednesday 21 March TECHNICAL SESSION 15 Lessons from North America III Robert Clarke, Wood Mackenzie Garth Sloan, Total See technical session 8. Wednesday 21 March TECHNICAL SESSION 16 Fracturing IV Gabor Bada, TXM Oil and Gas Exploration Ltd See technical session 7. Wednesday 21 March TECHNICAL SESSION 17 Geology and Petrophysics - Europe Richard Steele, BG Group Adrian Topham, Baker Hughes See technical session 10 Wednesday 21 March TECHNICAL SESSION 18 Water Management Session Chair: Dan Podura, Schlumberger The need for vast amount of water for stimulation signifi cantly impacts not only water availability and accessibility to disposal sites, but it also becomes a potential source of contamination. Therefore our industry has to fi nd the right solutions to protect the communities and the environment while effi ciently perform the work during the whole lifecycle of the project. Thursday 22 March PLENARY SESSION Key Technologies Graeme Smith, Shell Simon Stewart, Heriot-Watt University As we have learned from North America technology it is playing a key role in reducing costs, environmental footprint and increasing production. What trends are we seeing and what are we missing in our quest for safe, cost effective production from unconventional reservoirs. Who else can help, how and what can they do? Thursday 22 March TECHNICAL SESSION 19 Well Construction Design and Replacement Dan Scott, Bakers Hughes Ben Stewart, Halliburton This session will cover technical issues and innovative concepts in well design, placement, profi le, and methods for wells targeting unconventional resources. Included will be case studies of application of these technologies and adaptation of conventional techniques that have provided reliable and cost effective solutions in horizontal wells. Thursday 22 March TECHNICAL SESSION 20 Geology and Petrophysics China Richard Steele, BG Group Adrian Topham, Baker Hughes See technical session 10.

9 Thursday 22 March TECHNICAL SESSION 21 Geophysics Microseismic Monitoring I Quentin Fisher, University of Leeds Davide Calcagni, ENI Over the last decade, microseismic data has become increasingly used to monitor the development of hydrofractures in unconventional reservoirs. Most work has so far concentrated on using event locations to map the shape and size of volumes stimulated during hydrofractures operations. This has lead to increased understanding of the controls on hydrofracture development. This session aims to highlight the some of the key benefi ts that microseismic data analysis has provided to unconventional gas production. It also aims to identity recent advances in the interpretation of microseismic data and how these might benefi t future unconventional gas production operations Thursday 22 March TECHNICAL SESSION 22 Well Completion Dan Scott, Bakers Hughes Ben Stewart, Halliburton This session will discuss innovative technologies in completion of unconventional resources wells. Included will be case studies of completions in North America shale plays that have been used to provide safe and cost effective solutions. Thursday 22 March TECHNICAL SESSION 23 New Drilling Results David Campbell, TransAtlantic Petroleum Ltd Hermann Spoerker, OMV This session will discuss data from new wells and how they have been used to improve existing models for regional geology and rock properties. Use of these improved models has lead to more effi cient drilling and completion practices, and more confi dent assessment of shale gas resources. Thursday 22 March TECHNICAL SESSION 24 Geophysics Microseismic Monitoring II Quentin Fisher, University of Leeds Davide Calcagni, ENI See technical session 20. Training Courses Monday 19 March Schubert 1 Training Course 1: Field Development Economics In this course, participants will learn to construct an economic evaluation of a fi eld development opportunity using common industry indicators. Supported by many practical examples, the course covers both greenfi eld and brownfi eld situations. Topics include: cash fl ow analysis, tax and royalty systems, production sharing contracts, discounting and assessing the cost of capital, economic indicators and project ranking, incorporating risk into economics, incremental project economics. Monday 19 March Schubert 2 Training Course 2: Unconventional Gas Fundamentals This course provides an introduction to the latest evaluation, drilling, and completion techniques for unconventional gas reservoirs. Background information is also presented on fundamental geologic and engineering concepts, the differences between conventional and unconventional reservoirs, key terminology, the development history of the four primary sources of unconventional gas, and environmental issues. Topics include: unconventional gas overview, essential geologic properties, natural gas fundamentals, lessons from CBM, lessons from tight gas, shale gas development, petroleum systems, drilling options, completion options, hydraulic fracturing basics, horizontal drilling basics, determining reserves, forecasting production, global activities and environmental issues. Monday 19 March Schubert 3 Training Course 3: Unconventional Reservoir Production (Rate-Transient) Analysis This course provides a brief review of the unique properties of unconventional reservoirs and the way they can affect the analysis of production data. Discussions will include pore structure and gas storage mechanisms, material balance, matrix and fracture fl ow, non-static permeability and multiphase fl ow. There will be a review of completion and stimulation methods for unconventional reservoirs. Participants will also see fi eld examples from tight gas, single- and multiphase shale gas, and single-and multi-phase coalbed methane developments. Other topics include: cavity completed wells, vertical, hydraulically fractured wells, horizontal, naturally completed, and multi-lateral wells, multi-fractured horizontal wells, rate-transient signatures, analytical methods for rate-transient analysis, modifi cation of pseudo-variables to account for the unique properties of unconventional reservoirs, straight-line (fl ow-regime) methods, transient fl ow (bilinear, linear, elliptical and radial fl ow), boundary-dominated fl ow, simulation, and some tips on setting up a model, history-matching and integration with rate-transient analysis. Technical Programme 8

10 General Information European Unconventional Resources Conference and Exhibition Registration To register, go online at where you can also download and print a PDF version of the registration form. SPE accepts American Express, Visa, and MasterCard credit cards. If you have any questions, please contact the SPE London offi ce: SPE Europe, Russia, Caspian and Sub-Saharan Africa Office First Floor, Threeways House 40/44 Clipstone Street London W1W 5DW UK Tel.: Fax: reglondon@spe.org All registration fees are in Euros (EUR). Austrian VAT is 20% Badge Collection Badges will not be mailed in advance. Registration badges will be available to collect from the registration desk at the congress centre entrance at the Reed Messe Wien from: Monday 19 March Training Course Attendees All Other Event Attendees Tuesday 20 March Wednesday 21 March Thursday 22 March CD Proceedings One copy of the conference CD proceedings is included in the full conference registration fee. Additional copies of the conference CD proceedings can be ordered using the online or hard copy registration form. Full registration includes: conference sessions, exhibition entrance, 1 x conference CD proceedings, 1 x luncheon ticket for each conference day (Tuesday, Wednesday and Thursday), access to all coffee breaks and 1 x welcome reception ticket for Tuesday 20 March. (Please be prepared to show photo ID (passport or driver s license) to pick up your conference badge. Exhibition only tickets include welcome reception and coffee breaks. Lunch tickets can be purchased onsite at the registration desk. Full Registration Excluding VAT Including VAT Member SPE/EAGE Nonmember Author/Speaker/Committee/Session Chair Student Exhibition Only Training Courses Member SPE/EAGE Nonmember Refunds Cancellations must be submitted in writing to the SPE offi ce in London before 20 January 2012 in order for you to receive a refund. Cancellations prior to 20 January will receive a full refund less a EUR 50 handling fee. Cancellations received on or between 20 January and 17 February, inclusive, will receive a 50% refund. For cancellations after 17 February, no refunds will be paid although substitutions may be made. Welcome Reception A welcome reception will be taking place on Tuesday 20 March from , in the exhibition hall. SPE/EAGE Luncheons Exhibitor and delegate luncheons will be served during the conference break from in the exhibition hall. Luncheons are included in the full conference registration fee. Exhibition only tickets does not include luncheon. Luncheon tickets can be purchased at the registration desk. 9

11 Coffee Breaks All coffee breaks will take place in the exhibition hall. Knowledge Sharing eposter session Knowledge sharing eposters sessions will be held during the coffee and lunch breaks on Tuesday through Thursday. This is to provide greater interactivity discussion between the authors and participants. The intent is to share best practices and encourage networking. An eposter is an electronic version of a traditional poster presented on a plasma screen and authors are encouraged to present their work using a PowerPoint presentation. Photography During Sessions All SPE/EAGE sessions are protected by European copyright laws. Photography and video/audio recording of any kind are strictly prohibited in the sessions and throughout the exhibition area. Accommodation Austropa Interconvention, in Vienna, has selected a number of hotels and negotiated special accommodation rates for those attending the SPE/EAGE conference and exhibition. Please refer to the Austropa Interconvention website link on This reservation system allows you to search for hotels by star rating and area, view a map showing the location in relation to Reed Messe Wien and fi nd detailed information about each hotel. Discounted room rates at the offi cial hotels are limited so do not delay with booking your hotel as the demand for rooms in Vienna will be high during the event. Austropa Interconvention is handling the accommodation bookings/payments, so for all communications concerning accommodation please refer to: Austropa Interconvention Dresdner Straße Vienna, Austria Tel: Fax: austropa@interconvention.at Website: Travel and Venue Reed Messe Wien, Messeplatz 1, A-1021 Wien, Austria Tel: Fax: congress@messe.at Website: Visit for full information on how to get the Reed Messe Wien. Exhibitor and Sponsorship Opportunities Participating in the SPE/EAGE Unconventional Resources Conference and Exhibition provides your company with a unique opportunity to promote your products and services to key companies and organisations. Here you will be able to meet face-to-face with approximately 500 existing clients and new business prospects. First exhibitors to book include: Halliburton, Schlumberger, Shell, Total and Nalco. Please note that all incoming contracts will be handled on fi rst come fi rst served basis. For more information on booth reservations and sponsorship please contact EAGE at exhibition@eage.org or sponsoring@eage.org. European Unconventional Resources Conference and Exhibition 10

12 SPE/EAGE European Unconventional Resources Conference and Exhibition Society of Petroleum Engineers 222 Palisades Creek Drive Richardson, Texas USA SPEV UNCV March 2012 Reed Messe Wien Vienna, Austria