imperial college iba introduction lecture

8/12/2019 Imperial College IBA Introduction Lecture

http://slidepdf.com/reader/full/imperial-college-iba-introduction-lecture 1/30

Program Introduction Lecture

Created by:Christopher Jackson, Howard Johnson, Gary Hampson

© Imperial College London

AAPG Imperial Barrel Award Program



Rationale of Scenario

• New Business Opportunities (NBO) provide the growth engines for oil

companies in the search for increasing their reserves base.

• NBO often arise as the current operator is prepared to offer an equitystake in the acreage to your company – known as a “farm-out”opportunity.

• The operator may “farm-out” for numerous reasons, e.g. (1) to dilute

equity or relinquish acreage in an area considered to have low potential,(2) to acquire new, more prospective acreage, (3) to finance a drillingcampaign elsewhere, etc.

• To encourage companies to buy-in to the opportunity the operator

opens up a “data room” where prospective farm-inees can view the datafor a few days and assess its hydrocarbon potential.

• This exercise mimicks this process but over a timeframe significantlylonger than typically encountered in the real world…



Simplified Exploration & ProductionWorkflow & Data Acquisition

1. Global Basin Analysis

2. Develop Play Concepts

3. Define Exploration Play Fairways

4. Evaluate Prospects

5. Identify Drillable Prospects

6. Drill Exploration Wells

xAppraisal

FDP

Development

FFR

Abandonment

Reservoir, Trap& Fluids Data

Acquire New Well Data

Acquire 3D Seismic Data

Acquire Regional G&G Data

FDP: Field Development Plan FFR: Full Field Review X: Dry hole

Review Exploration Licence

Revise Play Concepts

RelinquishLicence

ExtendLicence

Farm-outLicence



Exploration Workflow & Deliverables

1. Global Basin Analysis

2. Develop Play Concepts

3. Define ExplorationPlay Fairways

4. Evaluate Prospects

5. Identify DrillableProspects

6. Drill ExplorationWells

Complete Basin StudiesAcquire New Exploration Licences

Compile Full Lead &

Prospect Inventory

Drillable

Prospects/Well proposals

DrillExploration

Wells= New Resources



Typical Exploration Work Programme

BASIN STUDY EXPLORATION PHASE IEXPLORATION PHAS

Basin StudySeismic

ProposalE Drill E Drill E&A Drill A Drill E Drill

3D Seismic Prospect Prospect Play Field Appraisal FDPA&P Eval. Eval. Fairway

ReviewProspect Evaluation Block Revi

(Retain/Relinq)

1-2 Years 2-3 Years 2-3 Years

Barrel Award Phase



Regional geological studies are focused on identifyingpotentially effective petroleum systems

Regional Geology/Basin AnalysisRegional Geology/Basin Analysis

GeographicOpportunity

Palaeogeography

PetroleumSystems

ExplorationPlays



55

R. Hall, 2000

Plate Tectonic Setting & Tectonic Evolution-1

Note how petroleumsystems develop

Example: SE Asia



38

R. Hall, 2000




18

R. Hall, 2000




0

R. Hall, 2000




Structural Geology

Understanding the process of deformation of the subsurface due to external forcesUnderstanding the process of deformation of the subsurface due to external forces

3D KinematicModel Building

3D KinematicModel Building

Physical Models as Guidesto Interpretation

Physical Models as Guidesto Interpretation Oblique Slip ModelOblique Slip Model

Case Histories: Outcrop and SeismicModeling: Physical and Computer

Stratigraphic Consequences

Case Histories: Outcrop and SeismicModeling: Physical and Computer

Stratigraphic Consequences

Physical ModelsPhysical Models

SeismicInterpretationSeismicInterpretation



ForwardModeling

Stratigraphy

Understanding the processes & environments creating sedimentary units

P E R M I A N

C A R B O N I F E R O U S

U

L

M

U

L

M I S S

.

P E N N .

M-UPennsylvanian

Upper

Permian

Record missing dueto erosion:Must reconstruct

history from regionaldata

M E S O Z O I C

&

C E N O Z O I C

Rock PhysicsRock Physics

Sedimentary ModelingSedimentary Modeling

CarbonateAnaloguesCarbonateAnalogues

Depositional Systems

Sequence StratigraphyPetrophysics and Paleontology

Depositional Systems

Sequence StratigraphyPetrophysics and Paleontology

Clastic Sedimentary



A conceptual sequence stratigraphicframework can improve prediction of

reservoir, source & seal distribution

From Posamentier & Allen, 1999



Creaming Curves & Sequence Stratigraphy

Time or Number of Wells Drilled

C u m u l a t

i v e D i s c o v e r e d

H y d r o c

a r b o n V o l u m

e

Modified fromSnedden et al., 2003



Accumulation

PetroleumMigration

Seal

Reservoir

Leakage

PetroleumCharge

Source Rock

Migration Pathways

DetermineAge of

Oils

CoalySource Model

....... ....

....... .... .... ....

... ........... .... .... ....

... ........

... .... ....

....... ....

....... .... ....

....

............

... ........... .... ....

....

.... ....

....... .... ........ ............

.... ........ ............

............

........ ........

........

Gamma Densi ty Resistivity

HeavyOil

LiteOil

Gas

0 my

G

e n e r a t i o n

R a t e

Predict Oil Quality

100 my

Source Rock Prediction

SequenceStratigraphy

Characterizing the type, history and origin of petroleumCharacterizing the type, history and origin of petroleum

Exploration GeochemistryExploration Geochemistry

Inorganic and Organic

Sedimentology

Inorganic and Organic

Sedimentology



Petroleum Systems Analysis

• Source Rock

• Reservoir Rock• Seal Rock

• Migration Route

• Trap

• Generation

• Migration• Accumulation

• Preservation

• Timing = critical

1. Petroleum Systems Elements 2. Petroleum Systems Processes

Note: if just one element is missing = failure!

Key Play Elements



Basin Modeling is a key component in understanding Petroleum SystemsBasin Modeling is a key component in understanding Petroleum Systems

Faults

?

?

?

1 2 3 4

Scale

3D Miscible

112

2

3

4

56

7

8

9

10

11

Improved

cycle time

Regional Geology

Fluid Flow and Geochemical Kinematics

Regional Geology

Fluid Flow and Geochemical Kinematics

Basin ModelingBasin Modeling

Model

Components

Results



Generation and Migration

ReservoirExtent

SourceExtentSeal

Extent

Critical Reconstruction

Present Past

Components

HC Charge

Preservation

Time PresentTiming Sheets

Play Maps

Petroleum System, Play Definition and Risk Analysis

Jeff Brown, Mobil, 1999

Trap



TeapotOwens

Pod ofActiveSourceRock

Just

Big Oil

Hardy Lucky

Zero Edge ofReservoir Rock

Immature SourceRock

Raven

Marginal

250 Ma

A A’

Deer-Boar Petroleum System

at Critical Moment

Magoon and Dow, 1994

David



Overburden

Seal

Reservoir

Source

STRATIGRAPHICEXTENT OF

PETROLEUM SYSTEM

Trap Trap

Essential

elements ofpetroleum

systemPOD OF ACTIVESOURCE ROCK

Underburden

S e d i m e n t a r y

b a s i n - f i l l

GEOGRAPHIC EXTENT OF PETROLEUM SYSTEM

250 MaTrap

Petroleum accumulation

Top of oil window

Bottom of oil window

Location for burial history chart

A A’

Petroleum System at Critical MomentCritical Moment = Time of Expulsion/Migration




GEOGRAPHIC EXTENT OF PETROLEUM SYSTEM

Present-Day

STRATIGRAPHICEXTENT OF

PETROLEUM SYSTEM

Petroleum accumulationTop of oil window

Bottom of oil window

Trap TrapTrap

Seal

Reservoir

Source

Underburden

Overburden

A A’


Present-Day Petroleum System



400 300 200 100

Paleozoic Mesozoic Cen.

P NKJTPMD P L i t h o l o g y

RockUnit

D e p t h ( K m )

S o u r c e

R e s e r v o i r

S e a l

O v e r b u r d e n

1

2

3

Placer Fm

George Sh

Boar Ss

Deer Sh

Elk Fm

Top gas window

Critical Moment

ThickFm

R

Burial History Chart


Generation

Time of Expulsion and Migration. (Trap must already exist)

Top oil window



400 300 200 100 Geologic TimeScale

PetroleumSystem Events

Rock Units

Source Rock

Reservoir Rock

Seal Rock

Trap Formation

Overburden Rock

Gen/Migration/Accum

Preservation

Critical Moment

Paleozoic Mesozoic Cenozoic

D M P P TRJ K P N

E l e m e n

t s

P r o c e

s s e s

Magoon and

Dow, 1994

Petroleum System Events Chart

Timing of Elements and Processes

Critical Moment

Time of Expulsion and Migration (Trap must already exist)



Modified from Dolivo, 1991

AnticlinalTraps

FaultTraps

Channel Pinch-Out Traps

Concepts of HC migration & entrapment(Balingian Province, offshore Sarawak)

Top of Oil Window

Gas GeneratedDeeper

Sub-unconformitytruncation traps



1.0

0 5000

MMBOE

P r o b a b i l i t y

o f F i n d i n g

MostProbableField Size

Quantitative Play Analysis

Statistical Estimate of Chance for Success



Barrel Award: aim, objectives & deliverables

General aim: to document the tectono-stratigraphy of a sedimentarybasin in order to assess its petroleum potential

Specific objectives:

• Literature review to establish regional geodynamics/plate tectonics

• Regional stratigraphic framework, depositional environments & palaeogeography

• Basin type: classification and tectonic setting

• Seismic interpretation (key horizons and associated maps)

• Well log interpretation and correlation

• Formation evaluation

• Sequence stratigraphic analysis

• Reservoir/source/seal evaluation (incl. reservoir thickness and quality maps)

• Subsurface fluids and pressure regimes

• Subsidence history and source rock maturation and migration (inc. 1D basin modelling)

• Play fairway maps

• Analysis of structural and stratigraphic traps

• Prospect evaluation

• Hydrocarbon volumetric and rick assessment.



Assessment

• 25 minute presentation to a panel of senior oil industrygeoscientists

• Talk will be assessed on technical quality, thoroughness,imagination, convincing arguments and enthusiasm

• Talk should be supported by a short (1 page) handout

summarising key findings of the study



What do we do now?

• Get to know the Data Package: Seismic data, well data and other available

material

•It is important to delegate work tasks to each group member early in the

project:

• Data QC and preliminary seismic interpretation

• Regional literature review

• Preliminary well data analysis

• … after looking over the data, “brainstorm” ideas



Dataroom checklist

1. What has worked well, and not, in this basin/region?

2. What has been the exploration strategy in the area?

3. Is there any new technology that can be applied to this area to enhance chance of geologicand commercial success?

4. What could be done differently that would improve success in this venture/proposal?

5. What are the key petroleum system elements of this opportunity and what data are requiredto accurately represent this opportunity to management? Is there a source rock and a viablereservoir?

6. Why is this opportunity available now?

7. Do we have the right people on this data room visit to accurately obtain/evaluate subjectdata?

8. What hard data are currently in-house and what is needed to improve our understanding ofthe opportunity?

9. What has changed to improve the economics (better infrastructure, new laws and fiscalterms, new discoveries, etc?)

10. Are we looking for oil or gas? Is this the appropriate basin to explore for oil or gas?

11. Which are the possible scenerios? Are there existing pipelines? What is their ullage? Isthere any spare capacity and what is it?

12. Are there any possible drilling problems in this area (e.g. shallow gas, overpressures, ice,jungle, mountains, hurricanes, etc.)?



AAPG Imperial Barrel Award Program

Acknowledgments:

This presentation is authored by Dr. Chris Jackson, Dr.Howard Johnson, and Dr. Gary Hampson

The AAPG is grateful for their contribution to this programand thanks them and Imperial College, London for supplythis presentation to universities participating in the ImperialBarrel Award Program.

imperial college iba introduction lecture

Documents