Offshore Middle East to see more rapid growth

Oct. 1, 2008
Offshore Middle East oil and gas exploration continues to expand at a rapid pace, as drilling activity in the region has doubled in the last five years, fueled by increasing global energy demand.

Tracy Dulle - Technology Editor, Surface Systems & Vessels

OME conference addresses technology, business needs

Offshore Middle East oil and gas exploration continues to expand at a rapid pace, as drilling activity in the region has doubled in the last five years, fueled by increasing global energy demand.

The first annual Offshore Middle East Conference and Exhibition (OME) Oct. 28-30 in Doha, Qatar, will address key technology and development issues for the Middle Eastern offshore oil and gas arena, with a comprehensive technology program and three-day exhibition.

The OME 2008 keynote speaker will be Said Mubarak Al-Mohannadi of Qatar Petroleum.

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OME brings new focus to the Middle East offshore oil field services market, where the spending for offshore equipment and services is forecast to grow from $12 billion annually in 2007 to $25 billion a year by 2012.

Topics at OME will include field development, management, risers and riser technology, subsea technology, fixed/gravity-based platforms, mobile offshore drilling units, data collection/communication, flow assurance, flowlines and pipelines, mooring and station-keeping, drilling operations, completions, well construction, and tubulars.

The conference will provide a valuable networking opportunity for attendees to discuss issues with experts in their respective fields and to gain an understanding of the changes that are taking place within those technologies.

Under the patronage of H.E. Abdullah bin Hamad Al Attiyah Deputy Premier & Minister for Energy and Industry, OME 2008 has the full support of the Qatar Ministry of Energy & Industry and Qatar Petroleum.

Infield Systems projects 48 new offshore fields to be developed in the Middle East by 2012.

The offshore Middle East boom is being fueled by the rising price of oil in a world that is becoming increasingly reliant on oil supplies within the region, which has encouraged investment and enhancement of existing fields.

Expenditure within the Middle East and North African drilling and workover segments amounted to some $7.7 billion in 2007 and is forecast by energy analysts Douglas-Westwood to rise to $12.4 billion per year by 2012. (See related story, page 32).

The Middle East and North Africa region accounts for two-thirds of proven global oil reserves and is regarded as the world’s most influential oil province, eclipsing all other regions by some margin.

Innovation in technology will continue to unlock subsea assets. Whether a provider or purchaser, these innovations must be identified to commercially develop offshore resources. Successful partnering and balanced risk-sharing will be required, as well.

OME 2008 will focus on lessons learned from recent field developments, emerging technical solutions and areas where new challenges still remain.

Before the discovery of oil the economy of the Qatari region focused on fishing and pearling. However, the discovery of oil, at the beginning in the 1940s, completely transformed the state’s economy.

Qatar is now a country with one of the fastest growing economies in the world. It is at the center of the offshore oil and gas markets in the Middle East, with some of the largest reserves and offshore projects in the region.

With the Middle East offshore industry rapidly growing, doubling in the last five years, the region is the leading market in the world for jackup rigs, with growth being fueled by the development of very large gas and oil fields. The rising price of oil has also encouraged investment and enhancement of existing fields.

The conference opens on Tuesday, Oct. 28, with remarks from chairman Mr. Mubarak A. AL-Hajri, offshore operations for Qatar Petroleum.

Field Development and HSE

The technical program begins Tuesday morning with a focus on Field Development and HSE.

Andy May with Qatar Shell will discuss how to manage HSE in a drilling environment, with an overview of the Pearl GTL drilling activities in Qatar’s North Field. Since its commencement in 2004, four drilling rigs have been taken on contract and to date it has been a four-year and two-million man-hours lost time incident (LTI) free operation. The HSE management starts at the inception of the project and is part of the tendering process. From the moment the contracts are awarded, HSE engagement sessions are utilized to align expectations and generate a road map of deliverables as per the HSE Management System (HSE MS).

Examples of tools used are Hazard Identification Bow Tie development; Toolbox Risk Identification Cards (TRIC) as a supplement to the widely used Job Safety Analysis (JSA) and STOP reporting with participation rewarding.

Edward Naranjo with General Monitors will then discuss methods for detecting hydrocarbon gas leaks with ultrasonic gas leak detectors. Loss of gas containment in pipes in offshore platforms can have undesirable safety and environmental consequences. If leaks are not discovered at an early stage, they can accumulate into dangerous gas clouds that can ignite and create explosions.

Over the last 10 years, ultrasonic gas leak detection (UGLD) has emerged as an effective means of protecting personnel and offshore equipment against explosions. Naranjo will review particular procedures for the allocation of these instruments and the limitations of UGLD in these sites, as well as quantify the relationship between sound pressure level and leak rate for heavy hydrocarbons vapors.

Jens-Henrik Neuenkirchen with StatoilHydro will share experiences of the Tordis subsea separation -- the world’s first subsea separation system with subsea water removal and injection, subsea hydrocarbon boosting, and subsea sand removal and injection. This presentation discuss main drivers, technical solutions, and some experiences from project execution and operation. This technology enables increased oil recovery from subsea oil fields.

Mads Hjelmeland with Framo Engineering AS will then discuss wet gas compressor technology for offshore and subsea applications. Over the last five to 10 years, the application of subsea multiphase pump systems on the seabed has increased significantly, and today we see two to five subsea pumping projects put into operation every year. The multiphase technology area and gained experience of successful operation, in combination with the fact that natural gas has increased its value in many parts of the world, drives the next technology step – wet gas compression.

This presentation describes the development and full-scale test of a true wet gas compressor, which is working directly on the well stream without pre-processing. A description of how this technology can simplify complex offshore field developments will be given, as well as an overview of the operating characteristics and main features of the compressor.

Data Management

Wednesday morning begins with discussion on Data Management.

Asfandiar Ansari kicks off with a discussion about the challenges in monitoring Qatar’s North Field--the largest gas condensate field. Major field operator RasGas Co. Ltd. has successfully developed its portion of the field from 1 bcf/day in 1999 to over 4.5 bcf/day by the end of 2007.

This growth has been accomplished with innovative field development techniques and effective reservoir monitoring methods. In additional to extensive data gathering during initial development, close reservoir monitoring is being achieved by recording and analyzing high-frequency wellhead pressure-rate data, periodic test separator data, and annual subsurface pressure and rate data. Novel multi-layer analysis techniques are being explored to monitor each reservoir separately through commingled completions. These include innovative use of selective inflow performance (SIP) analysis techniques, and exploring multi-layer testing (MLT) techniques that have not been previously used in commingled gas wells.

If you need to improve the integration of your field monitoring system, attend Dr. Ulrika Wising of Belsim s.a.’s discussion on the topic. “Smart fields,” “e-fields,” “field of the future,” “digital oil fields,” and “field monitoring” are all names of real-time data infrastructures that integrate tools from reservoir to topside facilities and that are aimed at providing information for decision making. All these new infrastructures are considerably lacking in one area – data quality.

In order to have any type of efficient and successful performance management and optimization, these applications need to have access to high quality production data. In order for these new infrastructures to be successful, the production data needs to be reliable, without errors, and available.

Advanced data validation and reconciliation (DVR) is a tool for enhanced data quality that has been deployed successfully in the downstream area for years and now has proven benefits in the upstream oil and gas. DVR enhances production data and makes it reliable, error free, and available, even when meters are failing, in new real-time data infrastructures. This leads to production maximization, optimal production allocation, minimization of upsets and maintenance, and overall production system reliability.

  • How to Improve the Integration of Your Field Monitoring Solution by Belsim s.a.
  • The RasGas Approach in the Subsurface Data Management by RasGas Ltd.

Production Technology

Wednesday’s Session 3 topic will be Production Technology. Presentations are scheduled to include:

  • ESP Downhole Sensors as a Sand Control Tool by KGOC
  • Unique Solution for Fracture Isolation Resolves Water/Gas Breakthrough Challenges in Horizontal SlimHole Well by Saudi Aramco
  • Testing of Sealing Capability and Retrievability of a Swelling Elastomer Packer by TOTAL E&P.

Well Construction & Drilling

Wednesday’s Session 4 topic will be Well Construction & Drilling. Scheduled presentations include:

  • Implementation of Multilateral Wells in the Al-Shaheen Field - Offshore Qatar by Maersk Oil Qatar AS
  • Troll Oil, Extended Reach MLT Wells in Thin Oil Zones by StatoilHydro
  • SIMOPS, Intending to Break North Field Drilling Records in String Time Per Well by Shell
  • ReelWell Drilling Method - A Unique Combination of MPD and Liner Drilling by ReelWell.

Flowlines, Pipelines, and Facilities

Thursday’s Session 5 topic will be Flowlines, Pipelines, and Facilities. Presentations are to include:

  • Overcoming Lateral and Upheaval Buckling Challenges on a Major Offshore Gas Trunkline in the Middle East by Zeetech Engineering BV
  • Foundation Fieldbus for Offshore Production Facilities by Offshore Engineering
  • Formation Water Disposal Plant (FWDP) by Qatar Petroleum-Offshore Operations.

Flow Assurance

Thursday’s Session 6 topic will be Flow Assurance. Scheduled presentations include:

  • Development of Corrosion Inhibitor and Kinetic Hydrate Inhibitor for the Pearl GTL Project by Shell Global Solutions
  • Hydrates Inhibition by Qatar Petroleum-Offshore Operations
  • A Qatar Petroleum Experience by Qatar Petroleum-Offshore Operations.

Receptions, Exhibition

Tuesday evening there will be a Show Floor Networking Reception from 4:30-6 p.m., followed by the Qatar Petroleum Gala Reception beginning at 6:30 p.m. There will also be a Show Floor Reception on Wednesday evening from 4:30-6 p.m.

On Thursday, lunch including closing remarks and recognition awards will begin at 11:45 a.m.

Along with Qatar Petroleum, major operators such as BP, Shell, Total, and Chevron are providing support and sponsorship of this new and innovative event that will provide a forum for sharing experiences and exchanging ideas in the offshore industry of the Middle East.

The event includes an exhibition showcasing products, technologies, and services from global and regional, suppliers, service providers, contractors, and consulting companies.

The exhibition is held concurrently with the conference, bringing together hundreds of exhibitors and attendees from around the world for three days of education, networking, and new business development. Exhibits are open 11 a.m. to 6 p.m. on Tuesday; 10 a.m. to 6:30 p.m. on Wednesday; and 10:30 a.m. to 3 p.m. on Thursday.