Smart Well Technology in Shell

1
Smart Well Technology in Shell
Smart Wells Add Value

• Carlos Glandt
• Case Studies Team EPT-AWS

2
Value under Uncertainty
1
0.75
0.5
Prob of Prof lt X
0.25
0
-100
-50
0
50
100
NPV, MM
3
Intelligent Well Principles Well and Field
Optimization
Production System Model Well/Facs Optimization
Multi-lateral
Well
Infrastructure
Reservoir Model Matching Field Development
Optimization
Interval Control Valves
Power

Comm.
P, T Flow Meas./Imaging
Downhole Processing
4
Smart Well Value Opportunities

• Reducing Intervention Costs.
• Acceleration by Optimised Sequential Production.
• Acceleration by Commingled Production.
• Fluid Transfer Subsurface for Sweep or
  Pressurisation.
• Intelligent Infill Drilling.
• Improving Drive Processes (Waterflood and Gas
  Drives).
• Intelligent Production of Oil Rims.
• Increasing Reserves per Well (Intelligent
  Multilaterals).
• Accessing Reserves by Connecting Reservoirs.
• Intelligent Appraisals.

5
iWell Technology adds value by
Smart Wells Add Value

• Optimizing the Production Profile while Reducing
  Intervention costs.

6
K1
K2
K3
7
Production Profile Optimization
K3 and K2 only
4000
10
optimized profile
9
8
3000
7
sequential profile
6
oil rate bod
2000
5
zone on production
4
zone K3
3
1000
zone K2
2
1
0
0
0
2
4
6
8
10
12
14
years on production
8
Cumulative Production
14
12
optimized profile
pv oil 9.8 MMbbl
10
sequential profile
8
MMbo
pv oil 9.4 MMbbl
6
4
2
0
0
2
4
6
8
10
12
14
years on production
9
iWell Technology adds value by
Smart Wells Add Value

• Optimizing the Production Profile while Reducing
  Intervention Costs.
• Accelerating Production via Controlled
  Commingling of Stacked Pay.

10
Production Profile Optimization
8000
10
9
commingled profile
7000
8
6000
7
optimized profile
5000
6
oil rate bod
5
4000
sequential profile
4
3000
3
2000
2
1000
1
0
0
0
2
4
6
8
10
12
14
years on production
11
Cumulative Production
7
commingled profile
pv oil 10.7 MMbb
l
6
5
4
sequential profile
MMbo
pv oil 9.4 MMbbl
3
2
optimized profile
pv oil 9.8 MMbbl
1
0
0
2
4
6
8
10
12
14
years on production
12
iWell Technology adds value by
Smart Wells Add Value

• Reducing intervention or Deferment Costs.
• Accelerating Production via Controlled
  Commingling of Stacked Pay.
• Transferring Fluids Subsurface for Sweep or
  Pressurization.

13
Schematic cross section through block 11
reservoirs
14
(No Transcript)
15
iWell Technology adds value by
Smart Wells Add Value

• Reducing intervention or Deferment Costs.
• Accelerating Production via Controlled
  Commingling of Stacked Pay.
• Transferring Fluids Subsurface for Sweep or
  Pressurization.
• Assisting to Make Informed Decisions on Future
  Infill Wells.
• Improving Drive Processes.
• Intelligent production of Oil Rims.

16
Potential benefits of intelligent completions

17
Optimisation of ICV settings - scheme III
On/off valves only one cycle per tuning event
18
iWell Technology adds value by
Smart Wells Add Value

• Reducing intervention or Deferment Costs.
• Accelerating Production via Controlled
  Commingling of Stacked Pay.
• Transferring Fluids Subsurface for Sweep or
  Pressurization.
• Assisting to Make Informed Decisions on Future
  Infill Wells.
• Improving Drive Processes
• Intelligent Production of Oil Rims
• Increasing Reserves per Wells Intelligent
  Multilaterals.

19
Increasing Reserves per Well
Smart Wells Add Value

• Examples
• North Sea Gannet D (Tay and Andrew)
• North Sea K7/FB (Block1 and Block4)
• Brunei Champion West (N and P zones)

20
iWell Technology adds value by
Smart Wells Add Value

• Reducing Intervention or Deferment Costs.
• Accelerating Production via Controlled
  Commingling of Stacked Pay.
• Transferring Fluids Subsurface for Sweep or
  Pressurization.
• Assisting to Make Informed Decisions on Future
  Infill Wells.
• Improving Drive Processes.
• Intelligent production of Oil Rims.
• Increasing Reserves per Well (Intelligent
  Multilaterals).
• Accessing Reserves by Connecting Reservoirs.
• Intelligent Appraisals.
• Providing Options to Mitigate the Downside.

21
Value of the Option to Change Operating Policies
1
0.75
Prob of Prof lt X
0.5
0.25
0
-100
-50
0
50
100
NPV, MM
22
Commingled for One Year vs. Sequential
40000
Commingled
35000
perforate 710
end of commingling
30000
Sequential
25000
end of 803 (part 1)
Oil Rate, stb/d
20000
15000
803 (part 2)
end of 710
10000
plug 803
5000
0
2003
2004
2005
2006
2007
2008
2009
Time
23
Where Have We Found Value?