Transcript Independent Views on SAGD Projects

An Overview of Alberta Oil Sands
and Recovery Technologies
XVIII Latin American Petroleum Show
Maracaibo, Venezuela
June 11-14, 2007
Eugene Dembicki
Director, Canadian Heavy Oil Association
Manager, Suncor Energy Inc.
www.choa.ab.ca
Canadian Heavy Oil Association
Introduction
 Oil Resources
• Global
• Canadian
 Heavy Oil Properties
 Geology of the Athabasca Oil Sands Deposit
• McMurray Formation - largest oil resource in Canada
 Recovery Methods
• Surface Mining
 Truck & Shovel
• In-situ






CHOP (Cold Heavy Oil Production)
CHOPS (Cold Heavy Oil Production with Sand)
CSS (Cyclic Steam Stimulation)
SAGD (Steam Assisted Gravity Drainage)
VAPEX (Vapor Extraction)
THAI (Toe-to-Heel Air Injection)
Canadian Heavy Oil Association
Resources
Canadian Heavy Oil Association
Resources
Saudi
Arabia
Canada
Iraq
Iran
Kuwait
Abu
Dhabi
Venezuela
Russia
Libya
Nigeria
USA
Canadian Heavy Oil Association
Production
Canadian Heavy Oil Association
Production
 60% production
from mining
(121,000 m3/day;
760,000 bpd)
 40% production
from in-situ
(78,500 m3/day;
490,000 bpd)
Source: AEUB
Canadian Heavy Oil Association
Production
Source: AEUB
Canadian Heavy Oil Association
Heavy Oil Properties
 Athabasca Oil Sands
 Thick, sticky mixture of sand,
water, and bitumen
 About 7 degrees API
 Immobile at reservoir
conditions (8-9 deg. C)
 Unconsolidated – very porous
& permeable
 Exploited by mining & in-situ
techniques
Photo courtesy of Suncor Energy Inc.
Canadian Heavy Oil Association
Heavy Oil Properties
Bitumen Viscosity
– heat or diluent will reduce viscosity
10°C
90°C
Canadian Heavy Oil Association
Heavy Oil Properties
Location
 Oil sands production now
exceeds one million barrels per
day.
 Forecast 4.5 million bpd by
2015
 $45 billion spent from 19962005.
 $60 billion in new oil sands
projects expected between
2006 & 2010.
 Exploited by mining & in-situ
techniques
Canadian Heavy Oil Association
Heavy Oil Properties
Alberta Bitumen Volumes in billion m3
(AEUB, June 2004)
Category
Mineable
In Situ
Total
Initial volume in place
18.0
240.9
258.90
Initial established
5.59
22.80
28.39
Initial established under
development
1.74
0.65
2.39
Cumulative production
0.46
0.21
0.67
Remaining established
5.13
22.60
27.73
Remaining established under
development
1.28
0.44
1.72
Canadian Heavy Oil Association
Heavy Oil Properties
Challenge
Bitumen
Synthetic Crude Oil
Canadian Heavy Oil Association
Geology
Canadian Heavy Oil Association
Geology
Athabasca Oil Sands
McMurray Formation - Athabasca River
Photo courtesy of Suncor Energy Inc.
Canadian Heavy Oil Association
Geology
Athabasca Oil Sands
McMurray Formation - Shale Plug
Next Slide
Photo courtesy of Suncor Energy Inc.
Canadian Heavy Oil Association
Geology
Athabasca Oil Sands
McMurray Formation - Shale Plug
Shale Plug (Non-Reservoir)
Rich Oil Sand
Channel Margin (Interbedded/Mixed Oil Sand)
Photo courtesy of Suncor Energy Inc.
Canadian Heavy Oil Association
Geology
McMurray Fm. – Depositional
Model
Overbank: Non-reservoir
Pond Mud
Crevasse Splay
Photo courtesy of Suncor Energy Inc.
Canadian Heavy Oil Association
Geology
McMurray Fm. – Depositional
Model
Bank Collapse - breccia
Channel – Oil Sand
Photo courtesy of Suncor Energy Inc.
Canadian Heavy Oil Association
Geology
McMurray Fm. – Depositional
Model
Marine mud - Non reservoir
Tidal Flat – Non reservoir
Photo courtesy of Suncor Energy Inc.
Canadian Heavy Oil Association
Surface Mining
Athabasca Oil Sands Deposit
McMurray Formation
Source: AEUB
Canadian Heavy Oil Association
Surface Mining
 10% of the Athabasca
Deposit is mineable
 18 billion m3 in place
 0.46 billion m3
produced
 3 mines in operation
• Syncrude, Suncor,
Shell
• 121,000 m3/day
• 760,000 bpd
Photo courtesy of Nexen Inc.
Canadian Heavy Oil Association
Surface Mining
Athabasca Oil Sands Deposit
McMurray Formation
Canadian Heavy Oil Association
Surface Mining
Truck & Shovel
400 ton truck = 100 barrels of bitumen
Canadian Heavy Oil Association
Surface Mining
Oil Sands Truck & Operator
Canadian Heavy Oil Association
Surface Mining
Company
Project
Albian/Shell
Suncor
Syncrude
CNRL
Imperial
PetroCan
Muskeg/Jackpine
Base Plant
Base Plant
Horizon
Kearl Like
Fort Hills
Size (bpd)
On
Production
160,000
260,000
300,000
110,000
100,000
50,000
now
now
now
2008
2010
2011
Canadian Heavy Oil Association
In-Situ
In-Situ Recovery Methods
 Cyclical Steam Stimulation
 Cold HO Production (CHOP)
•
Primary
 Conventional
 Horwells & Multilaterals
•
Waterfloods
Conventional CSS
•
CSS with non-conventional
wells (Multi-laterals & U)
•
CSS with solvent
 Steam Assisted Gravity Drainage
(SAGD)
 High WOR Operations
 Conventional
 Horwells & Multilaterals
•
•
Solvent Flooding
•
Immobile Bitumen
•
Excellent pay zones
 Solvent AGD (VAPEX – Nsolv)
 CHOPS
•
Primary with Sand Production
•
Infill drilling for by-passed oil
•
Post CHOPS EOR
 In-situ Combustion
•
Conventional (Shut-down)
•
Toe to Heel Air Injection (THAI)
Pilot
Canadian Heavy Oil Association
In-Situ
Cold Heavy Oil Production (CHOP)
Rod Pumps & Sand Control
Technology
• Slow rod fall rates
• Long stoke units
• Low pump rates
•Gas locking problems
•Problems with sand
• Wear of pump
• Stuck pumps
• Stuck tubing
• Fill in casing
•Low rates; rapid declines; & high
water-cuts
Canadian Heavy Oil Association
In-Situ
Cold Heavy Oil Production with Sand (CHOPS)
ALBERTA
ATHABASCA
Typical Cold Production History
PEACE
RIVER
WABASCA
Edmonton
COLD LAKE
LLOYDMINSTER
100 mile
125 km
Calgary
Canada
U.S.A.
Canadian Heavy Oil Association
In-Situ
Cold Heavy Oil Production with Sand (CHOPS)
Depth ~400-600 m
Thickness 2-7 m
• High Permeability Channels Developed – “wormholes”
 much greater reservoir contact
• Large Local Drawdown at End of Channels
 high pressure gradients which moves the sand
 5-20% sand production
• Substantial Increase in Oil rates (10X)
• Successful Commercial Process
Canadian Heavy Oil Association
In-Situ
Cold Heavy Oil Production with Sand (CHOPS)
Progressive Cavity Pump (PCP) or Screw
• Tech. transfer from mining &
food processing in ‘80’s
• Rotate rods to drive
downhole pump.
• Molded rubber stator &
spiral stainless steel rotor.
• Capable of pumping a slurry
& handling sand.
• Wells that produced sand
had better oil rates &
recoveries.
Canadian Heavy Oil Association
In-Situ
Cold Lake Oil Sands Deposit
Clearwater Formation (CSS, SAGD)
ALBERTA
ATHABASCA
PEACE
RIVER
WABASCA
Edmonton
COLD LAKE
LLOYDMINSTER
100 mile
125 km
Calgary
Canada
U.S.A.
Source: AEUB
Canadian Heavy Oil Association
In-Situ
Cyclic Steam Stimulation (CSS)
 CSS –Well established & most
universally applicable EOR
process
•
California
•
Venezuela
•
Indonesia
•
China
•
Canada
 Inject: 14 – 60 days
 Soak: 1- 7 days
 Prod: 90 – 180 days
 Requires some oil mobility
(20,000 to 500,000 cp)
Canadian Heavy Oil Association
In-Situ
Cyclic Steam Stimulation (CSS)
Imperial Oil Cold Lake Project Production
ALBERTA
ATHABASCA
PEACE
RIVER
WABASCA
Edmonton
COLD LAKE
LLOYDMINSTER
100 mile
125 km
Calgary
Canada
U.S.A.
Canadian Heavy Oil Association
In-Situ
Peace River Oil Sands Deposit
Bluesky Formation (CSS, SAGD, CHOP)
ALBERTA
ATHABASCA
PEACE
RIVER
WABASCA
Edmonton
COLD LAKE
LLOYDMINSTER
100 mile
125 km
Calgary
Canada
U.S.A.
Canadian Heavy Oil Association
In-Situ
Cyclic Steam Stimulation (CSS)
ALBERTA
ATHABASCA
PEACE
RIVER
WABASCA
Edmonton
COLD LAKE
LLOYDMINSTER
100 mile
125 km
Calgary
Canada
U.S.A.
Canadian Heavy Oil Association
In-Situ
Steam Assisted Gravity Drainage (SAGD)
AOSTRA Dover UTF Project
ALBERTA
ATHABASCA
PEACE
RIVER
WABASCA
Edmonton
 1st SAGD Wells in Canada (1997)
COLD LAKE
LLOYDMINSTER
100 mile
125 km
Calgary
Canada
U.S.A.
• 3 well pairs – 60 m
 Drill horizontal wells into the oil from
tunnels in the limestone below the
oil sand
Canadian Heavy Oil Association
In-Situ
Steam Assisted Gravity Drainage (SAGD)
 Horizontal length: 750 – 1200 m
 Rate: 100 – 400 m3/day (700 – 2500 bpd)
 Vertical separation: 5 – 6 m
 Steam Oil Ratio: 2 – 4
 TVD: 90 – 400 m
 Current Production: 20,000 m3/day (125,000 bpd)
Canadian Heavy Oil Association
In-Situ
Steam Assisted Gravity Drainage (SAGD)
Example of SAGD Pads
Photo courtesy of Suncor Energy Inc.
Canadian Heavy Oil Association
In-Situ
Steam Assisted Gravity Drainage (SAGD)
SAGD Well Pad
Photo courtesy of Suncor Energy Inc.
Canadian Heavy Oil Association
In-Situ
Steam Assisted Gravity Drainage (SAGD)
SAGD Well Pad – Slant Wellheads
Photo Courtesy of Nexen from Long Lake
Canadian Heavy Oil Association
In-Situ
Steam Assisted Gravity Drainage (SAGD)
Alberta Projects
Company
Project
Size (mbopd)
On Production
ConocoPhillips
Total
Devon
Encana
Encana
Husky
Husky
JACOS
MEG Energy
North American
Petro Canada
OPTI/Nexen
Suncor
Surmont
Joslyn
Jackfish
Christina Lake
Foster Creek
Sunrise
Tucker Lake
Hangingstone
Christina Lake
Kai Kos Dehseh
MacKay River
Long Lake
Firebag I &2
100
45
35
18
40 - 60
50 - 200
30
10
25
10
30 - 74
72
70
2006-2012
2010
2008
2008
now
2008 2006
now
2008
2008
now - 2010
2007
now
Canadian Heavy Oil Association
In-Situ
Vapor Extraction Process (VAPEX)
• Large scale lab &
field pilots are underway.
• Results are
generally classified as
confidential
Canadian Heavy Oil Association
In-Situ
Toe to Heel Air Injection (THAI)
Petrobank Whitesands Project
• 3 well pilot
• started mid-2006
• > 160 m3/day
• >1000 bpd
Photo Courtesy of Petrobank
Canadian Heavy Oil Association
Bitumen Recovery Summary
Grade
API
Gravity
A
18 – 25
B
2)
7 – 20
C
D
7 – 12
<4
Viscosity
(CP)
Production
Method
Recovery
Percent
1)
Transportation
10 – 100
4) Cold
Production
5 – 10
Flows
100 –
Cold
Production
3–8
Diluent may
be needed
(1) CSS
Huff / Puff
15 – 20
Diluent
(2) SAGD
40 – 80
Diluent
Mining
3)
80 – 90
N/A
104
> 104
> 104
1) Lower gravity equates to higher cost of diluent. Cost of this step can be up to $4/bbl.
2) The lower gravity range is cold producible only when thermal gradients are high, as in the
Orinoco.
3) Recoveries are high but only about 10% of the reserves are accessible to normal mining.
4) In rare instances steam sweeps are used simply to increase recoveries to the 60% level.
Canadian Heavy Oil Association
Supply Costs
Canadian Heavy Oil Association
Conclusion
Alberta Heavy Oil Industry
• Large Resource
• Production is Increasing
• Mining
• In-situ (CSS & SAGD)
• Modern Technology & Research
• Service & Suppliers
• www.eub.ca/docs/products/STs/st98_2007.pdf
• www.choa.ab.ca
Canadian Heavy Oil Association
Gracias!
Questions?
Canadian Heavy Oil Association