CO2 Capture and Injection for Kuwaiti Reservoirs

Dual Benefit for EOR and Environment

Presented By: Reza P OskuiKISR-PRSC

M. Salman, M JumaM Al Matrouk KISR- Gulf CO2 Workshop,

May 14-15, 2007-Kuwait

KISR-PRSC

CO2 Capture and Injection for Kuwaiti Reservoirs Dual Benefit for

EOR and Environment

Outline:

1. Outlook of Energy for 20302. Current World oil and gas situation and it’s impact on

Kuwait Oil Industry3. Introduction to IOR/EOR Technology 4. KOC’s strategic plan for 2020

Application of IOR Projects in KuwaitList of IOR/EOR projects in Kuwait

5. Availability of CO2 sources for IOR/EOR in Kuwait6. Conclusion and Recommendations7. Q &A discussion

World Oil Supply/Demand Predictions

<>

Future of Conventional Oil

2006-2008?

2030

probableoil future

optimists’prediction for

conventional oil

conventionalprediction

Time

Oil production, all types (C, H, XH)

Impact of Technology on Global Oil Resources

In 1984, USGS estimated Total oil proven reserves around 2 TrillionIn 1990s, this has increased to 3 TrillionExxon/Mobile , Shell, BP Reported, 3.2 TrillionWith Heavy oil, Shale oil etc.. 4 TrillionTotal conventional Oil produced so far: around 1 trillion- “Easy oil “Producing next the remaining reserve will be more difficult and needs high technologyMore than 50% of oil demand in the future will supplied by Russia, Middle East and Caspian

Proved oil reserves at end 2004

Oil reserves-to-production (R/P) ratios

What is the Issue?With rising income level, world growing population will continue to demand more liquid fuelsPeople are consuming more energy (85 MBDOE to 115 by 2030)

no visible substitutes

There is a Growing Imbalance between: increasing demand, diminishing reserves,

Developed countries are consuming more and more energy

Developing countries (China, India…), increasing world demand significantly

Oil consumption: 1000bbl/second This leaves CO2 as the “new evil”. But good news is that:

Population growth is stabilizing Traditional pollution is being addressedNew Technologies for oil production and energy consumption

How to Reduce the gap between Oil Demand and Supply

Application of New technology for better exploration and reservoir description and characterizationApplication of IOR/EOR technology Production of unconventional Oil-New SuppliesImproving Energy EfficiencyMost Important Enviro-Energy

Technology will play a critical Role in meeting these challenges

OIL PRODUCTION PROCESSES

Primary recovery

Natural flowSecondary

recovery

Artificial lift

Pump gas lift etc.

Waterflood

Tertiaryrecovery

Pressure maintenance

Water Dry hydrocarbongas injection

Thermal Gas miscible / immiscible

Chemical & other

Impr

oved

Oil

Rec

over

y (IO

R)

Enha

nced

Oil

Rec

over

y (E

OR

)

CombustionSteam soak/cyclic

Huff-and-puffSteam drive/floodHot water driveElectromagnetic

CO2Nitrogen Flue gas

Hydrocarbon

AlkalineMicellar-PolymerMicrobial/foam

Source: Modified from Oil & Gas Journal, March 20 2000

U.S. and WorldOil Production by Recovery Type (%)

16 (8)14EIA (5)12 (3)<2 (n/a)Tertiary (EOR)

57 (47)54 (44)51 (40)45 (n/a)Secondary

27 (45)32 (51)37 (57)53 (n/a)Primary

World Peak 2037

U.S. (World)2020

U.S. (World)2000

U.S. (World)

U.S. Peak Prod.

1970U.S. (World)

Application of Enhanced Oil Recovery Technologies in Kuwait

1. Estimated Recoverable Oil in Kuwait 96.5 billion bbl, 45% Recoverable, 50 billion bbl Target for IOR

2. Producing the second half of the world’s ultimate recovery will be more difficult than producing the first half

3. Sharp increase in oil prices

KOC Oil Capacity Forecast

Base Development Growth

1000

2000

3000

4000

2005 2010 2015 2020

MST

B/D

BaseDevelopment

Growth

New Oil2020 Strategy

New Oil

Hvy Oil

Heavy Oil

KISR IOR ProjectsMaster Plan

OBJECTIVES

To initiate and investigate the potential benefits of IOR/EOR technology to KuwaitTo initiate and establish IOR/EOR research activity program at KISR/PRSCTo establish screening criteria for selection of appropriate IOR/EOR recovery technique.To lab test the applicability of the selected IOR/EOR technique (s) on the selected Kuwaiti oil reservoir (s)To establish a comprehensive data baseTo train and develop local expertise on this line of activities

LIST of KISR-KOC IOR PROJECTS1. EOR Evaluation (EOR Master Plan)

• Phase 1: Screen all KOC reservoirs and identify potential EOR/IOR processes

• Phase 2 : EOR/IOR evaluation for high potential reservoirs

2. Various Water flood monitoring and assessment projects3. KISR/JNOC CO2 Injection Project

• Define and appraise local sources of CO2• Build skills at KISR in the evaluation of miscible EOR

• laboratory PVT core displacement• reservoir simulation

• Pilot Test ??4. Small Steam Injection Pilot Tests (SST)5. Heavy Oil Recovery for RATQA field, Lower Fars6. Development of EOR program for

• Minigish Reservoir WK • NK Sabriah - Gas Injection

Screening CriteriaDepth Limitations for Enhanced Oil Recovery Methods

0

Very good

Highcost

Deep enough for required pressureDeep enough for required pressure

Deep enough for required pressureLimited by temperature

Limited by temperature

Deep enough for required pressure

Normal range (possible)

Preferred zone

2000 4000 6000 8000 10000Depth [ft]

Hydrocarbon-MiscibleNitrogen and Flue Gas

CO2 FloodingSurfactant/Polymer

PolymerAlkaline

Fire FloodSteamDrive

EOR MethodVery good

Based on the limitation for:Reservoir Pressure, Temperature, Porosity, PermeabilityOil properties: Viscosity, Density, Psat, Compositions etc.Reservoir Characteristics, geology, water,net pay fault etc..

KOC - KISR EOR Projects Current Status of Screening Studies

EOR Evaluation (EOR Master Plan)Field Data: 86 FieldsScreening for All IOR TechniquesReservoir Selection

Conclusions of Screening Studies

Successful processes:1. Horizontal Wells2. Waterflood3. Miscible HC and CO2 , More Than 80%4. Steam Injection for Heavy Oil

EOR/Reservoir Screening results

Processes SA-LB SA-UB SA-MA RQ-LF RQ-ZU AD-ZU RA-UB RA-LB RA-MA RA-ZU MN-WS MN-BS MN-MO EUG-MOWaterflood FAIL PASS PASS PASS COND PASS PASS FAIL PASS PASS PASS PASS PASS COND

Polymer Flooding FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAILAlkaline/Polymer

Flooding FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL

Surfactant/ Polymer Flooding FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL

Alkaline/ Surfactant/ Polymer Flooding FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL

Carbon Dioxide Miscible PASS PASS PASS FAIL PASS PASS PASS COND PASS PASS COND COND PASS COND

Hydrocarbon Miscible PASS PASS PASS FAIL PASS PASS PASS COND PASS PASS COND COND PASS COND

Nitrogen Miscible FAIL FAIL FAIL FAIL COND COND FAIL FAIL FAIL PASS FAIL FAIL PASS FAILImmiscible Gas FAIL PASS PASS FAIL COND PASS PASS FAIL PASS PASS PASS FAIL PASS CONDCyclic Steam Stimulation FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL

Steam Flooding FAIL FAIL FAIL PASS FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAILSteam Assisted Gravity Drainage FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL

In Situ Combustion FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL FAIL PASS PASS FAIL FAIL

Ther

mal

Pr

oces

ses

Che

mic

al

Proc

esse

sG

as P

roce

sses

ReservoirNorth Kuwait West Kuwait

Improved Oil Recovery Program for the State of

KuwaitCO2 Injection

Phase I: Preliminary Study (PP005C),

Miscible Gas Flooding CO2 Injection HighlightsDescription

Injecting large quantities of CO2 (15% or more hydrocarbon PV) in the reservoir to form a miscible flood.

Mechanisms CO2 extracts the light-to-intermediate components from the oil, at high pressure develops miscibilityViscosity and fluid-rock& IFT reduction, oil swelling, pressure Maintenance

LimitationsAvailability of CO2Low Viscosity of CO2, in poor mobility control.Surface Facilities

ChallengesEarly breakthrough of CO2Corrosion.Separating CO2Repressuring of CO2 for recycling.A large requirement of CO2

SCOPE OF PROJECT

Comprehensive data collection, compilation and databaseComprehensive reservoir/technique screeningCarefully designed experimental programSimulation and optimization studiesConceptual design

OutputEOR potential assessmentProcess characterization and evaluation:

suitable candidate reservoir(s)rock-fluid parametersincremental oil recoverycrude oil-injection gas characterizationoptimal implementation strategy

Comprehensive technical reportsTechnology transfer and the international interaction between Kuwait and International Oil Industry.

Investigation for Availability ofCO2 Sources for EOR/IOR Application in Kuwait

ObjectivesTo determine if there is enough capacity to supply CO2 for EOR/IOR projects.Study the appropriate process(es) to produce high quality CO2 from each CO2 source, andEvaluate the feasibility by estimating CO2 delivery cost for each CO2 source plant in Kuwait.

Investigation for Availability ofCO2 Sources for EOR/IOR Application in Kuwait

Feasibility Studies were conducted by JNOC-KISR, in 1998-2000RefineriesPetrochemicalPower Plants

There is More than enough CO2!!Candidate sources identified Cost EvaluationDelivering to WellheadFinal Report

CO2 Gas Quantity and Cost in KuwaitEnergy and Chemical Plants:High quality CO2 Total amount in excess of

1650 MMscfd (3.5Milion Ton per year )1. Power plants (5)and the desalination plant (1):

1537 MMscfd at cost of US$1.04/Mscf or less

2. Steam Reformers in refinery plants(3):114 MMscfd of high quality CO2 (98% purity) at US$0.32-0.36/Mscf. Acid gas remover in a refinery plant- not considered

This amount of CO2 is large enough to conduct a normal-scale EOR/IOR project similar to those in

the U.S.A.

Advantages in Conducting CO2 EOR/IOR Projects in Kuwait

CO2 sources in Kuwait are availableSufficient to sustain adequate supply of CO2 gas for field EOR/IOR projectsHigh CO2 quality as high as 98% purity in Refinery- immediate injection All locations of CO2 sources are closed to the oil fields in KuwaitOtherwise be emitted to the atmosphere

Simple Economy Model(Turning Treat to Opportunity)

$ 2,736,916, 875Net Profit Per year

702,900,000Cost Per Year

$20.69Cost PerTon

usd1.2Cost as per KISR Study at 2000 per mscf

Cost$3,439,816,875 Total Income per year tone of CO2 capture and EOR

$2,760,346,875 Income per oil sale Oil Price at 65 usd/bbl per year

bbl/year42,466,875 Oil production Due to CO2 Injection

bbl1.25One Tone CO2 Increases Oil Recover

$679,470,000 Income Carbon Credit (20$ per Ton) per year

Ton/Year33,973,500

Ton/Day95,700

mmscf/day1,650 Total Co2 Emission in Kuwait:

unitsIncome:

Why CO2 is EvilCO2 Contributes significantly to Global Warming which effects bio-living Cycle of the earth Currently CO2 level is 25% higher than 100 years agoWorldwide fossil fuel generates 26 billion Ton CO2 per yearOil is burnt at 1000bbl per second ( 86 mbblpd )USA is consuming 60 BCF Natural gas per dayKyoto agreement a unified International Accord set target for CO2 emission below 1990 levelMajor Developed and undeveloped countries-except USAUSA is currently the largest CO2 emitter, China is the second the second Current value of CO2 in atmosphere is around 360ppm and when it gets to 500 the world will be devastated with severe raising in Temperature and rain pattern and melting glaciers and thermal expansion and a rise of sea water level causing flooding.

This May happen in our lifetime ( 10-15 years ).

Set up Strategy of Envio-Energy program

Ways to Cut Down CO2 EMISSIONCapture and utilize CO2, inject into oil reservoir for IOR purposesGeological SequestrationNatural sink: More forests, vegetation area, even in oceanPlant more trees Eliminate use of fossil fuel

Permanent Place for CO2 and Increased oil Recovery

Examples of Successful CO2 immiscible projects

Trinidad – medium oil (API from 17 to 29) using industrial wasteBati Raman, Turkey – heavy oil (API=12, µ=592 cp) using natural source

with plenty of CO2 injection (natural sources) and good planning (using simulation) based on piloting experience

Reservoir is highly fractured.Both projects use simulation to guide their field development stage by stage.

Weyburn misc. CO2 flood, Canada

Source: 24th IEA/EOR Symposium, Regina, Canada, Sept. 10, 2003

BaseWaterflood

Infill Verticals

Horizontals

CO2

EOR

Achievements in PRSC:Development of IOR Specialist Team, Training and Technology TransferScreening All Kuwaiti Reservoirs-IOR; Reservoir SelectionField Data : KOCSources of CO2 identified from refinery/petrochemical complex and power stations Supply cost to field range from $0.80 to $1.20 per MCFSetting up Laboratory Facilities and Performing Lab Tests, Core flooding for miscible displacement Zubair cores and fluids analysis completed and EOS fitted supplied to KISRSimulation Studies by Eclipse 300, CMGSimulation and economical StudiesSubmission of Project Review Reports

Setting up Laboratory FacilitiesDevelopment of IOR Specialist TeamRoutine Core Analysis (RCAL )Special Core Analysis (SCAL )

Formation Damage ( 2)Cap Pressure and Electric PropertiesRes Con Coreflood Systems (2)

PVT and Advanced Behavior Studies LabsPVT Lab

Comprehensive Compositional AnalysisRoutine PVT: Hg-free, Fully Automated

Advanced Phase Behavior LabMCMSwellingAsphaltene: AOP, ScreeningSlim TubeEmulsion

Simulation : ECLIPS & Work Station, CMG

Reservoir Selection

Roudathain: Upper ZubairCore Samples- RA161 Fluid Samples: RA36, RA130Core Flood: RelpermCO2 FloodingSimulation Studies : Modeling 4 WellsEconomics Final Report

Fig. 5.1-3 Reservoir framework

III-71

III-132

Fig. 5.4-19(b) Oil saturation in water injection case

Conclusions and RecommendationsApplication of IOR technology will increase oil recovery to meetworld demand requirements in the next 30 years.To evaluate IOR process, economic consideration is the most important factor.Before conducting a field IOR project, it requires some laboratory tests, field piloting, and simulation. There is good inceptive for CO2 injection from environmental point of view CO2 miscible process can be applied to almost all depleted reservoirs for different purposes.CO2 miscible flooding has been be applied successfully to medium and heavy oil.Safety is another factor to be considered for CO2 sequestration purpose.Simulation plays an important role in evaluating CO2miscible/immiscible injection.

Miscible Gas Flooding (CO2 Injection)Injection

Well

WaterInjection

Pump

Separation andStorage Facilities

Production Well

1 2Oil ZoneOil Bank /Miscible Front

4 13 2

3 CO2 andWater Zone 4 Drive Water

CO2 Injectionfrom Pipelineor Recycle

SCHEMATIC CO2 DISPLACEMENT-WAGRecommended to Kuwaiti reservoirs

THANK YOU