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BRIEF INTRODUCTION TO
UPSTREAM INDUSTRIES AND
PRESENT INDIAN SCENARIO
India’s only Energy Company in Fortune’s ‘World’s Most Admired’ List
EXPLORATION CYCLE
• The following methods are sequentially used in the exploration for crude oil and
gas
Introducton to Petroleum Exporation2
Gravity / Magnetic Surveys
Geological Field Mapping/ Remote Sensing
Seismic Data API (2D/3D)
Prospect Identification
Drilling
Reservoir Studies
Production
Well Logs & VSP
BHS &
Simulation
GEOLOGY
Even where the organic matter can become mature, not all of it becomes petroleum.
In a typical case a normal marine shale with only 1% original organic matter will
have less than a third of it converted to the hydrocarbon molecules that make up oil
and natural gas (Waples, 1981).
The rest remains behind as an insoluble organic residue
GEOLOGY
• However, the least efficient step is yet to come.
• Of all the petroleum generated, only a small part, usually less than 1%
(Hunt, 1977), is able to undergo migration out of the source bed to
accumulate within a porous and permeable reservoir.
• The majority of petroleum, or even in some cases all of it, will be
dispersed for lack of a good arrangement of strata to trap it, or will leak
out to the surface, for lack of a good impermeable seal or caprock.
GEOLOGY
• If any one of these factors is missing or inadequate, the prospect
will be dry and the exploration effort will be unrewarded.
• Not surprisingly then, less than half of the world's explored
sedimentary basins have proved productive (Huff, 1980) and
typically only a fraction of 1% of the petroleum basin's area, and at
most 5% to 10%, is actually prospective (Weeks, 1975).
GEOLOGY
• A trap is a geometric configuration of
structures &/or strata, in which permeable
rock types (the reservoir) are surrounded &
confined by impermeable rock types (the
seal).
• Most traps fall into one of three categories:
structural traps, stratigraphic traps, or
combination traps
STRUCTURAL TRAP
STRATIGRAPHIC TRAP
Geological inputs
• Remote Sensing
• Geological map
• Cross section
• Sediment thickness
• Type of fill
• Subsidence history
GEOPHYSICAL DATA ACQUISITION
Data Acquisition
Data Interpretation
&
Data Processing
Reservoir Estimation
GEOPHYSICAL DATA ACQUISITION
Layering of sediments above
the earth’s surface can be
seen from Geological outcrops
But how do we “see” the
picture that is hidden below?
ANTICLINE
Anticline Outcrop (Cross Section View)
GEOPHYSICAL DATA ACQUISITION
• Seismic surveys
allow
geophysicists to
see beneath the
surface and map
areas that are not
visible.
On land Seismic Data Acquisition
Offshore Seismic Data Acquisition
Pre-drilling Inputs
Prospecting
Geological
Geophysical
Geochemical
Geological mapping &
traversing
Gravity, Magnetic &
Seismic
Geobotanical Microbial survey
geophysical prospecting
 Gravity prospecting includes measuring a field of force
in the earth that is not generated by the observer. The
Field instruments are designed to measure differences
in gravity. The Variation in gravity depend on lateral
changes in the density of earths materials. Most
sedimentary rocks have densities lower than basement
rocks, make possible to map boundaries and determine
approximate depth distribution of sedimentary basins.
 Magentic prospecting gives information to determine
the depth to basement rocks to locate and define
extent of sedimentary basins. The Sedimentary rocks
exert small magnetic effects compared to igneous
rocks. All variations in magnetic intensity measurable
at surface result from topographic or lithologic changes
associated with basement or igneous intrusives
geophysical prospecting
• The seismic methods for exploration utilizes the fact that
the reflecting surfaces between two rock beds have
different lithology and density. The main purpose is to
know depth of subsurface sedimentary beds and their
alignment and structure like horizontal beds, inclined beds,
folds faulted beds etc. Sound energy is either generated
through a dynamite blast within a shot hole or a vibrater or
a airgun (in case of marine surveys). The elastic waves (P-
waves or primary waves) while propagating through
sedimentary beds, part of energy will bounce back
whenever they strike boundaries of rock beds having
different densities of hardness. These reflections are
received by geophones which in turn recorded along with
time of their arrival which is called seismogram.
Geochemical Modelling
Surface & subsurface seeps
Organic richness of sediments
Thermal history
Identification of maturation window
Requirements for exploring a Basin
• Geological map
• Cross section
• Sediment thickness
• Type of fill
• Sequence
stratigraphic model
• Subsidence history
 Surface & subsurface
seeps
 Organic richness of
sediments
 Thermal history
 Identification of
maturation window
 Identification of reservoir facies
 Seal integrity
 Possible traps
 Migration paths
It is the science / art of making hole or bore in an
object.
Since we are concerned with
petroleum, so we can define drilling as a science of
making a hole in earth’s crust (called as an oil / gas
well) down to a desired depth in search of
petroleum (oil or gas).
DRILLING
DRILLING
To study the science of drilling we have to divide
it into two categories:
Drilling Engineering.
Drilling Technology
PRODUCTION, PROCESSING & TRANSPORTATION
Well Fluid
Processing
Tankage
Value Addition
 Well Completion.
 Well Testing.
 Well Stimulation.
 Artificial Lift Systems.
 Workover Operations.
Oil/Gas processing.
Pressure maintenance.
Production Activities
Operation & Maintenance of
Production facilities & pipelines.
 Production of Value Added
Products.
 Transportation of Oil/Gas.
Design/Construction of
Onshore/Offshore Production
Facilities.
Production Activities
 Effective Gas utilisation.
Short/Long term production
plans and implementation.
Implementation of EOR
schemes.
 Safety in Production
Operations.
Production Activities
ARTIFICAL LIFT
ENHANCED OIL RECOVERY
ENHANCED OIL RECOVERY
SEDIMENTARY BASIN
• “An unit of lithosphere which subsided as a function of time
and received sedimentary succession unique to it.”
 More than 600 basins- identified globally.
 Active hydrocarbon exploration - in about 400 basins
world wide.
 About 180 basins- under commercial production.
 The ultimate H/C resources of the world - about 620
billion tonnes.
 85% of reserves - confined to only in 30 basins.
INDIA
• India is having vast
land area covered
with sedimentary
rocks.
• Geologically they
are subdivided into
26 sedimentary
basins covering
about 3.14 million
sq. km.
Indian Sedimentary Basins
1958: Cambay Basin
1967: Rajasthan Basin
1889: Assam Shelf
1974: Mumbai Offshore
1980: KG Basin
1973: A&AA FB
1985: Cauvery Basin
Out of 26 Basins 7 are petroliferous

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Brief introduction to petroleum upstream industries

  • 1. BRIEF INTRODUCTION TO UPSTREAM INDUSTRIES AND PRESENT INDIAN SCENARIO India’s only Energy Company in Fortune’s ‘World’s Most Admired’ List
  • 2. EXPLORATION CYCLE • The following methods are sequentially used in the exploration for crude oil and gas Introducton to Petroleum Exporation2 Gravity / Magnetic Surveys Geological Field Mapping/ Remote Sensing Seismic Data API (2D/3D) Prospect Identification Drilling Reservoir Studies Production Well Logs & VSP BHS & Simulation
  • 3. GEOLOGY Even where the organic matter can become mature, not all of it becomes petroleum. In a typical case a normal marine shale with only 1% original organic matter will have less than a third of it converted to the hydrocarbon molecules that make up oil and natural gas (Waples, 1981). The rest remains behind as an insoluble organic residue
  • 4. GEOLOGY • However, the least efficient step is yet to come. • Of all the petroleum generated, only a small part, usually less than 1% (Hunt, 1977), is able to undergo migration out of the source bed to accumulate within a porous and permeable reservoir. • The majority of petroleum, or even in some cases all of it, will be dispersed for lack of a good arrangement of strata to trap it, or will leak out to the surface, for lack of a good impermeable seal or caprock.
  • 5. GEOLOGY • If any one of these factors is missing or inadequate, the prospect will be dry and the exploration effort will be unrewarded. • Not surprisingly then, less than half of the world's explored sedimentary basins have proved productive (Huff, 1980) and typically only a fraction of 1% of the petroleum basin's area, and at most 5% to 10%, is actually prospective (Weeks, 1975).
  • 6. GEOLOGY • A trap is a geometric configuration of structures &/or strata, in which permeable rock types (the reservoir) are surrounded & confined by impermeable rock types (the seal). • Most traps fall into one of three categories: structural traps, stratigraphic traps, or combination traps
  • 9. Geological inputs • Remote Sensing • Geological map • Cross section • Sediment thickness • Type of fill • Subsidence history
  • 10. GEOPHYSICAL DATA ACQUISITION Data Acquisition Data Interpretation & Data Processing Reservoir Estimation
  • 11. GEOPHYSICAL DATA ACQUISITION Layering of sediments above the earth’s surface can be seen from Geological outcrops But how do we “see” the picture that is hidden below?
  • 13. GEOPHYSICAL DATA ACQUISITION • Seismic surveys allow geophysicists to see beneath the surface and map areas that are not visible.
  • 14. On land Seismic Data Acquisition
  • 15. Offshore Seismic Data Acquisition
  • 16. Pre-drilling Inputs Prospecting Geological Geophysical Geochemical Geological mapping & traversing Gravity, Magnetic & Seismic Geobotanical Microbial survey
  • 17. geophysical prospecting  Gravity prospecting includes measuring a field of force in the earth that is not generated by the observer. The Field instruments are designed to measure differences in gravity. The Variation in gravity depend on lateral changes in the density of earths materials. Most sedimentary rocks have densities lower than basement rocks, make possible to map boundaries and determine approximate depth distribution of sedimentary basins.  Magentic prospecting gives information to determine the depth to basement rocks to locate and define extent of sedimentary basins. The Sedimentary rocks exert small magnetic effects compared to igneous rocks. All variations in magnetic intensity measurable at surface result from topographic or lithologic changes associated with basement or igneous intrusives
  • 18. geophysical prospecting • The seismic methods for exploration utilizes the fact that the reflecting surfaces between two rock beds have different lithology and density. The main purpose is to know depth of subsurface sedimentary beds and their alignment and structure like horizontal beds, inclined beds, folds faulted beds etc. Sound energy is either generated through a dynamite blast within a shot hole or a vibrater or a airgun (in case of marine surveys). The elastic waves (P- waves or primary waves) while propagating through sedimentary beds, part of energy will bounce back whenever they strike boundaries of rock beds having different densities of hardness. These reflections are received by geophones which in turn recorded along with time of their arrival which is called seismogram.
  • 19. Geochemical Modelling Surface & subsurface seeps Organic richness of sediments Thermal history Identification of maturation window
  • 20. Requirements for exploring a Basin • Geological map • Cross section • Sediment thickness • Type of fill • Sequence stratigraphic model • Subsidence history  Surface & subsurface seeps  Organic richness of sediments  Thermal history  Identification of maturation window  Identification of reservoir facies  Seal integrity  Possible traps  Migration paths
  • 21. It is the science / art of making hole or bore in an object. Since we are concerned with petroleum, so we can define drilling as a science of making a hole in earth’s crust (called as an oil / gas well) down to a desired depth in search of petroleum (oil or gas). DRILLING
  • 22. DRILLING To study the science of drilling we have to divide it into two categories: Drilling Engineering. Drilling Technology
  • 23. PRODUCTION, PROCESSING & TRANSPORTATION Well Fluid Processing Tankage Value Addition
  • 24.  Well Completion.  Well Testing.  Well Stimulation.  Artificial Lift Systems.  Workover Operations. Oil/Gas processing. Pressure maintenance. Production Activities
  • 25. Operation & Maintenance of Production facilities & pipelines.  Production of Value Added Products.  Transportation of Oil/Gas. Design/Construction of Onshore/Offshore Production Facilities. Production Activities
  • 26.  Effective Gas utilisation. Short/Long term production plans and implementation. Implementation of EOR schemes.  Safety in Production Operations. Production Activities
  • 30. SEDIMENTARY BASIN • “An unit of lithosphere which subsided as a function of time and received sedimentary succession unique to it.”  More than 600 basins- identified globally.  Active hydrocarbon exploration - in about 400 basins world wide.  About 180 basins- under commercial production.  The ultimate H/C resources of the world - about 620 billion tonnes.  85% of reserves - confined to only in 30 basins.
  • 31. INDIA • India is having vast land area covered with sedimentary rocks. • Geologically they are subdivided into 26 sedimentary basins covering about 3.14 million sq. km.
  • 32. Indian Sedimentary Basins 1958: Cambay Basin 1967: Rajasthan Basin 1889: Assam Shelf 1974: Mumbai Offshore 1980: KG Basin 1973: A&AA FB 1985: Cauvery Basin Out of 26 Basins 7 are petroliferous