TOPICS OF INTEREST
ExxonMobil Proceeds with Long-Term Vaca Muerta Shale Oil Development
Up to 55,000 BOE/D of output is expected from the ExxonMobil-operated Bajo del Choique-La Invernada block in the Argentine shale play, with a possible second phase producing up to 75,000 BOE/D.
Dorado Discovery Off Australia Is Bigger Than Expected
After drilling the Dorado-2 appraisal well, operator Santos Energy now expects a big increase in gas resources from predrill estimates, adding to one of the largest oil resources ever found on Australia’s North West Shelf.
Thirty Firms Awarded Blocks in UK’s 31st Offshore Licensing Round
The round marked a continuation of a recent trend on the UKCS in which lesser-known firms and newcomers have gained stature, replacing more-familiar, bigger operators that have pared down their North Sea positions.
Eni Tallies Fifth Oil Discovery in Angola Deepwater Exploration Campaign
The Agidigbo find follows the Kalimba, Afoxé, Agogo, and Ndungu discoveries. The five discoveries combined hold an estimated 1.8 billion bbl of light oil in place.
Malaysia’s Petronas is Looking Near and Far for Gas and Oil
The state-owned firm is looking within its home country, around Southeast Asia, and to the Americas—including shale—in an effort to maintain its forecast average yearly production of 1.7 million BOE/D over the next 5 years.
China’s Shale Dream Rests Atop Chaotic Geology
As the country pushes for higher output from its emerging unconventional sector, nature is pushing back. To get better results, operators there are increasing their reliance on technology.
Idle Drilling Rigs Actually Require a Lot of Work
When a rig is stacked, its owner has two choices: spend millions to keep it in good shape, or let it rust out. These two companies describe what it is like to maintain their assets for the day that a contract comes.
UK Continental Shelf: Two Big Discoveries and More to Come
Leaders from UK’s Oil and Gas Authority, Total, CNOOC, and Equinor discuss exploration successes, misses, and expectations for the offshore UK.
ExxonMobil Moves Forward With Second Guyana Development
Expected to start up in mid-2022, Liza Phase 2 will produce up to 220,000 B/D of oil.
Operator Executives Share Haynesville Development Strategies
Indigo Natural Resources, Aethon Energy, and Rockcliff Energy are among the most active operators in the revived Haynesville Shale of North Louisiana and East Texas. And most people outside of the region likely have never heard of them.
Schlumberger to Sell its Middle East Drilling Business to Saudi Arabia’s TAQA
The deal will bolster Arabian Drilling Company’s fleet to 67 rigs across the Middle East and North Africa.
Blacktip: Shell’s New Discovery in the Gulf of Mexico
The explorer has so far encountered 400 ft of reservoir pay zone in an area where it has three other producing fields.
ExxonMobil’s Guyana Offshore Discovery Count Rises to 13
Yellowtail-1 is the fifth discovery in the Turbot area, where ExxonMobil plans another Stabroek Block development hub.
Majors, IOCs Win Blocks in Argentine Offshore Bid Round
Thirteen companies placed bids on 18 blocks in the Austral, North Argentina, and Malvinas West basins as part of Argentina’s first open bid round for offshore acreage in more than 20 years.
Energean Makes Gas Find Off Israel, Estimates More Than 1 Tcf in Place
The discovery will be tied back to the 775-MMcf/D Energean Power FPSO, advancing Israel’s aim of becoming a regional gas supply hub.
Majors Drive Increase in Global Oil and Gas Discovered Resources
Conventional oil and gas discovered resources in 2019 are on pace to rise 30% from last year and reach their highest level since the beginning of the industry downturn. Here, a recap of the first quarter's 15 biggest oil and gas discoveries, which altogether are propelling the increase.
Repsol, ExxonMobil Latest to Add Colombian E&P Blocks
Colombia now counts Repsol, ExxonMobil, Shell, and Noble Energy as companies committed to exploration in its portion of the Caribbean Sea.
Souped-Up Search Engines Wrangle Drilling, Completions Data
Fed by big data loads from big operators, a university consortium and software firm are each working to make upstream data access as quick and easy as a Google search.
Noble Energy, Shell to Explore Colombian Caribbean Sea
Noble’s farm-in to blocks recently awarded to Shell marks the Houston-based independent’s entry into Colombia, where the government hopes to boost offshore exploration.
Global Oilfield Services Market Won’t Recover Until 2025
The financial effects of the downturn are set to last at least a decade—which puts the industry almost at the halfway point. This is according to a new report that says the FPSO market is the most “unscathed” of all the service segments.
Change in Energy Sector is So Extreme Oil Companies May Need to Share Data
Oil companies generate an enormous amount of data but are reluctant to share it. But more sharing of information may be required in the future to keep up with a rapidly changing energy landscape.
ExxonMobil, Chevron Target Nearly 2 Million BOE/D in Permian Production
The US majors plan to produce around 1 million BOE/D each from the basin, which has become a primary focus of their upstream operations.
Noble Energy Touts Output Gains, Potential From “Row Development” Concept
Noble’s first row of wells in its massive Mustang project is helping increase the operator’s DJ Basin output, and similar results are soon expected in the Delaware Basin.
Equinor, Transocean Ink Deal for Five Automated Rigs
The contract is helping to solidify Europe’s offshore sector as the focal point for the rise of automated drilling technology.
CNOOC’s “Major Find” In North Sea Is Biggest In 11 Years
The state-run offshore company has found a gas and condensate field that holds an estimated 250 million BOE.
CNOOC’s Strategic Plan Sets “Bullish Tone” for Chinese NOCs
The national oil company’s aim to lift oil and gas production and reserves over the next few years will rely on growth from big international projects, including those in Nigeria, Guyana, and the US.
Eliminate Lithium and Improve Performance With High-Temperature Ultracapacitors
New extreme environment ultracapacitor technology will allow directional drillers to eliminate lithium from their entire supply chain. These advanced ultracapacitors can be coupled with downhole turbine generators to provide reliable downhole power without the need for lithium.
Led by Frac, The Oilfield Services Space Could Get Interesting in 2019
Slumping oil prices may throw a wrench into a positive outlook for the global oilfield services and equipment industry. Even if prices rebound, complications in the US fracturing market—and elsewhere—are expected to persist.
Mexico’s Giant Zama Discovery Gets New Interest Owner
DEA Deutsche Erdoel is buying Sierra Oil & Gas, giving the German operator stakes in six new blocks off Mexico—including the Zama discovery, where appraisal drilling is now under way.
ExxonMobil Makes 10th Discovery Off Guyana, Lifts Resource Estimate by Another Billion Barrels
The Pluma-1 discovery could turn the southeast portion of Stabroek Block off Guyana "into a major new development area," the company says.
Bit Technology and Bottomhole Assemblies
Recent research shows that, in addition to hardness, other rock properties, such as lithology types, heterogeneity, and abrasiveness, have equal importance in bit evaluations. Consequently, the discussion must move from rock-strength analysis to rock-drillability analysis.
Permian Pulse: Using Satellite Imagery Analytics To Track the World’s Busiest Oil Play
Companies are bringing satellite monitoring to the unconventional oilfield—namely the Permian Basin—where they are training machine learning models to track and predict drilling and completions work.
Rock-Strength Analysis and Integrated FEA Modeling Optimize Bit Selection
Using log data from offset wells, a bit-selection software based on unconfined compressive strength (UCMPS) calculations has been used to optimize the bit selection for Well X.
Real-Time Data Analytics Allows for Bit-Wear Monitoring and Prediction
Severe bit damage is an issue in West Texas land drilling because of abrasive sand formation and interbedded hard stringers.
Refined Business, Software Platforms Drive Helmerich & Payne’s Drilling Evolution
Helmerich & Payne’s first 100 years have required constant reinvention. Now the company hopes its new drilling software platform built on the acquisitions of two startups will propel it through the next century.
Setback Rule Defeated in Colorado, But Industry There Remains Threatened
Colorado voters soundly defeated a measure 6 November that would have restricted the vast majority of new development in the country’s fifth largest oil-producing state. The outcome was a big relief for the oil and gas industry, but its existential fight in the state hasn’t ended.
Can Machine Learning Mitigate Frac Hits?
BHGE is developing an analytics and machine-learning approach that offers descriptive and predictive insights on frac hits, with the aim of eventually offering a real-time monitoring capability to be deployed during frac jobs.
Schlumberger and Halliburton Warm on Global Market, Cooler on US Shale
The two biggest oilfield services providers are enjoying a rebound in international activity but continue to struggle with a softening US shale completions market. While takeaway constraints will be temporary, steep shale production declines may emerge as a longer-term challenge.
BHGE To Buy Stake in ADNOC Drilling as Firms Form UAE Partnership
The union marks the first time an international company has taken a direct equity stake in one of ADNOC’s service companies. BHGE will expand its presence in UAE, while ADNOC will gain access to BHGE technological expertise and proprietary equipment.
It May Be Boom Time for the Oil-Rich Powder River Basin
The Powder River Basin has emerged over the past year as the latest source of oil production growth for the Lower 48. Companies ranging from a reborn Samson Resources to US onshore mainstays Devon, Chesapeake, and EOG are now betting on the basin to become a long-term core asset.
Total's Deepwater Output To Hit 500,000 BOE/D by 2020
Despite a trend toward renewables and low-carbon energy production among European majors, Total remains wholeheartedly committed to deepwater production.
Four Charts That Show DUCs Are Soaring in US Shale Fields
There is no single reason that they all exist—and bringing them all on line will face challenges.
What Happens When Facebook Technology Meets Oil Well Records
The same tools that make it fun and easy for you to see a friend's updates online are also pretty good at tying together unconnected databases holding valuable well information.
Production From ‘Supergiant’ Zohr Field Off Egypt Hits 2 Bcf/D
The benchmark comes as operator Eni solidifies concession agreements and ramps up exploration and development in the North African country.
Probabilistic Drilling-Optimization Index Guides Drillers To Improve Performance
This paper proposes a metric for quantifying drilling efficiency and drilling optimization that is computed by use of a Bayesian network.
New Geosteering Work Flow Integrates Real-Time Measurements With Geomodels
This work presents a systematic geosteering work flow that automatically integrates a priori information and real-time measurements to update geomodels with uncertainties and uses the latest model predictions in a decision-support system (DSS).
Three Basins Driving Big Year-Over-Year Increase in US Gas Output
A marked change from a decade ago, Appalachia, the Permian, and the Haynesville now represent almost half of total US gas production, EIA reports.
Directional Drilling Services Market Grows in 2017, Near-Term Upward Trend Expected
A new report shows a 16% increase fueled by longer lateral lengths and horizontal drilling activity out of the Permian Basin. Continued gains in these areas should bode well for the future, but other factors may play into the market’s performance.
Can You Measure Reservoir Depletion While Drilling?
Shale explorers run very few logs into horizontal wells, making it difficult to understand the effects of reservoir depletion in tightly spaced wells. This new technology is trying to change that.
In the Battle Against Frac Hits, Shale Producers Go to New Extremes
The rise of cube developments in the Permian Basin has introduced a new way of thinking for some of the region’s biggest players.
Norwegian Exploration and Development Pick Up, but More Is Needed
Norway hopes for a continued rise in offshore exploration and development activity to ensure steady oil and gas production through the next decade.
Fed Reserve Bank: Higher Oil Price Needed To Increase Drilling Operations
Energy activity has shown solid expansion, but to increase drilling, companies need a higher average oil price compared to last year’s surveys, reflecting a steady increase since 2Q and 4Q in 2017. The ability to find workers and limited pipeline capacity could limit near-term growth.
UK’s Latest Licensing Round Aims for Offshore Frontiers
Just 2 months after issuing more than a hundred licenses, the Oil and Gas Authority begins the process again for a whole new set of blocks.
Aramco, NOV To Form Saudi Onshore Drilling Joint Venture
Saudi Aramco’s aim to localize oilfield services in the kingdom is taking another step forward with an onshore drilling partnership with National Oilwell Varco.
ExxonMobil’s Eighth Discovery off Guyana Adds Another Development Possibility
Already poised to produce more than 500,000 B/D offshore Guyana, ExxonMobil added yet another discovery to its bounty in the emerging regional oil powerhouse, meaning a fourth development phase could be in order.
Equinor’s Offshore Bonanza Continues
Equinor has grabbed seven new licenses in the Barents and Norwegian Seas, the latest in a flurry of offshore activity in which the firm has added acreage off the UK and Brazil, gained approval for a big Arctic project, and awarded billions of dollars in service contracts.
Shell Makes Large Discovery Near Appomattox in Gulf of Mexico
Shell made its sixth discovery from the Norphlet formation in the deepwater Gulf of Mexico, where the firm’s newly arrived Appomattox platform just 13 miles away presents a tieback opportunity.
North Sea Acreage Awarded to 61 Firms in UK Licensing Round
UK’s active 30th Licensing Round resulted in the award of 123 licenses to a diverse set of 61 companies—an outcome that UK government officials hailed as more proof that interest is picking up in the aging North Sea.
Argentina’s Shale Play is Beginning to Live up to Expectations
Wells are starting to come on stronger than expected, which is putting a new emphasis on orginizing all the other ingredients needed for shale production: more rigs, roads, pipelines, water, and sand.
Norwegian Firm Adds Smarts to Offshore Coring
Coring is essential to offshore exploration programs—but sometimes cores are taken from the wrong formation or return to surface in poor condition. One firm thinks it can solve these costly issues with a first-of-a-kind coring device that uses logging instruments that add accuracy and integrity.
Colorado Operators Reaping Rewards From Sticking by ‘Predictable’ DJ-Niobrara
Colorado’s industry lacks the size, variety, and Wild West characteristics of Texas, but that is precisely why the Centennial State’s oil production is surging to record levels.
ExxonMobil Exits Russian Ventures, Continues Success off Guyana
The US supermajor continues to evolve its global strategy by pulling out of once-promising Russian partnerships and adding to its offshore Guyana oil drilling bounty.
Drilling Technology and Rigs
Phrases such as “dawn of the new age of the oil and gas industry,” and “the fourth industrial revolution” echoed through halls of SPE events in 2017 and into the new year, with rapid advancements in big data management, digital connectivity, and high-performance computing.
Chevron, Total Log Big Discovery in Deepwater Gulf of Mexico
The two supermajors and offshore powerhouses are assessing the latest Gulf of Mexico discovery.
ExxonMobil Plans to Triple Permian Output
The Irving, Texas-based supermajor plans to cash in on its expanded foothold in the Permian Basin, aided by a big reduction in the US corporate tax rate.
Big Discoveries Prompt US Agencies to Lift Recoverable Resource Estimates in Alaska
Major oil discoveries by Armstrong Oil & Gas and ConocoPhillips have compelled the US Department of the Interior to reassess its estimate of undiscovered, technically recoverable resources in parts of Alaska.
How To Design a Bottomhole-Assembly Rotary-Speed Sweet Spot
Correct placement of the rotary-speed sweet spot of a bottomhole assembly (BHA) provides multiple benefits toward achieving the ultimate goal of drilling to section total depth in a single trip.
Bit Technology and Bottomhole Assemblies
Bottomhole assemblies (BHAs), as part of the drilling system, have dominating effects on the functionality and effectiveness of other system components. BHA design, usage, and monitoring must promote drilling-system compatibility, efficiency, and reliability.
After Drop in Activity, Haynesville Shale Sees Resurgence
After a drop in drilling activity in recent years, the Haynesville shale has become a hot area for natural gas production in the US, and companies are looking to bolster their positions in the area.
Data Aggregation and Distribution With Human Factors Incorporated
Researchers have developed a drilling-data-aggregation and -distribution system that seamlessly integrates all forms of data, file types, and communication protocols and incorporates human-factors engineering in the design.
Clouds are Forming Around the Upstream Sector, and That’s a Good Thing
No longer considered a buzz phrase, cloud computing has made converts of the largest oil companies, and now the smaller ones are next.
Transocean Makes Latest Move Toward Offshore Consolidation
This new deal marks the second major acquisition of an offshore drilling company since the onset of the industry downturn.
Amid Downturn, Noble Invites Wider Industry Partners To Use Drilling Training Center
While the slowdown offshore persists, this 96-year-old drilling outfit says that sharing its high-tech simulators with more of its clients will strengthen the business.
Joint Venture Hits Historic Mexico Oil Discovery
A major offshore discovery led by Talos Energy is the first successful wildcat well drilled by a private company in Mexico in almost 80 years and a milestone for the country’s recently enacted energy reform.
Offshore Drilling Market: Recovery by 2020s?
An analyst from Rystad looks at the state of the offshore drilling market and the likelihood of recovery by 2021.
First Offshore Drilling Merger: Ensco Buys Atwood Oceanics
The offshore drilling sector has taken a step towards consolidating an oversupplied market and Ensco will emerge from this most recent deal as the owner of the largest combined fleet of floaters and jackups.
These Are the Forks in the Road to Drilling Automation
Along its journey to full-automation, the US drilling sector is facing a series of important crossroads that will determine what the so-called “rig of the future” really will be.
OTC: To Compete With Shale, Deepwater Must Think Like Shale
The quick turnaround times and low-risk nature of shale developments need to be replicated in the deepwater business, according to the CEO of Murphy Oil.
A Methodology for Multilateral-Well Optimization
Multilateral wells with smart completions controlled by different flow-control technologies offer great operational flexibility, with each lateral able to be operated and optimized independently.
Argentine President Macri Visits With US Oil and Gas Industry, Asks For More Investment
Argentina President Mauricio Macri visited with oil and gas companies in Houston to emphasize that his country’s reforms are making it increasingly attractive for upstream investing.
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