Getting the Last Gasp:

Deliquification of Challenging Gas Wells

SPE Ft. Worth March 27 2008
Bryan Dotson
BP America Production Co.

Contents
Key Concepts
Why is Deliquification Important?
Knowledge Transfer
BP Internal
North America
World-Wide
Success Story - VICO Indonesia

Technology
Research and Development
World-Wide Market

Conclusions
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Key Concepts
Challenging Gas Wells
Low permeability sands (<0.1mD), Shales and Coal Bed
Methane

Liquid Loading
Occurs when the produced gas cannot remove liquids from
the wellbore
Production
produce

and, if not corrected, the well will cease to

Deliquification
Removal of liquids from the wellbore and reservoir to surface
The ultimate recovery of challenging gas resources is dependent on
the economic removal of liquids accumulation
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Why is Deliquification Important?

Economic Context
Resource Base
North America is one of the largest natural gas markets in the world
2006: Produced 73 BCFD and Consumed 74.5 BCFD
Unconventional Gas is the largest and fastest growing contributor

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Why is Deliquification Important?

Economic Context

Well stock is dominated by low rate gas wells

150,000 wells producing <100Mscfd = 10% of gas consumed

Low rate wells are either impaired by liquids accumulation

or producing due to a deliquification method
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Why is Deliquification Important?

Economic Context

Gas Price has Tripled

= Economic incentive to produce low rate gas wells
= Increased industry interest in deliquification technology
= Focus on low cost solutions for low rate wells

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Meeting the Challenge

Knowledge Transfer

Personal Communication
Key Enablers: Internal and industry workshops
BP North American Gas Deliquification Forum
ALRDC/SWPSC Gas Well Deliquification Workshop
European Conference on Gas Well Deliquification
1st North America Conference
(BP Internal)

2000

2001

2002

1st European Industry Conference

(NAM sponsored)

2003

2004

2005

1st North America Industry Conference

(ALRDC/SWPSC)

2006

2007
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Knowledge Transfer
BP Internal

North American Gas Deliquification Network (2000)

Distinctive: Field-based personnel, Engineers & Managers
Focused: Share experiences and apply new technology
Diversified: Participation by industry vendors, major oil
companies and university faculty and students
Sustainable: Annual forums, 400+ network members
Acclaimed: Network heralded Best in Class within BP

Formed Most of World Network (2005)

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Knowledge Transfer
North America Industry

ALRDC/SWPSC Gas Well

Deliquification Workshop (2003)
2007 Workshop Attendance:
61 Operating Companies
66 Service Companies
4 Locations outside of N.A.
Universities
Regulatory Agencies
Publications

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Knowledge Transfer
World-Wide Industry

European Conference on Gas Well Deliquification

(2006)
Sponsored by NAM (Exxon & Shell Joint Venture)
Stimulate European awareness on the size of the prize
Enhance vendor interest in the European market
Fast track importation and implementation of expertise
from North America

Vendors expanding to World Market

Presence of subsurface safety valves
Larger tubing and casing sizes
Higher flowrates
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Knowledge Transfer

Success Story - VICO Indonesia

2003: Attended BP Deliquification Forum
Identified that they were at the start of liquid loading
Learned from North Americas successes and failures
Changed the way they operate & required new skill sets

2006: Field Pilot Program

16 Deliquification installations delivered 8.5 MMscfd

2007: Expanded Field-wide with 50 installations

Shared success at BP Deliquification Forum
Proved that deliquification can sustain well productivity in
mature fields

2008: Planning for 100 installations

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Meeting the Challenge

Technology

Low cost solutions for low rate gas wells

Use Wells Natural Energy
Add Energy to the System

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Technology

Research & Development

Adapt Existing Oil-field Technology
Velocity Strings, Gas Lift, Solar Pumping Units,
Progressing Cavity Pumps, Electrical Submersible
Pumps, Plunger Lift

Develop Gas Specific Technology

Foamers, Condition-based Soap Injection, Capillary
Strings

On the Horizon
Deep Low Power Pumps, Near Wellbore
Deliquification, Complex Well Geometry
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Technology

Condition Based Soap Injection (CBSI)

Treatment Cycle
Well falls outside of set
conditions
Well shut-in by automation
Pre-set amount of surfactant
is injected
Down tubing, annulus or
capillary string

Well stays shut-in

Soap falls and percolates
through the water.

Well is returned to production

Allows foamer to mix and
bring the water to surface.

CBSI Installation
South-Eastern Oklahoma, USA

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Technology

Deep Low Power Pumps

Fun Fact: It takes about HP to move 10 BPD from 10000 feet.

Today

Tomorrow

25 HP Minimum

2.5 HP

$150,000 install

$60,000 install

$7/boe operating cost

<$7/boe operating cost

Can 1/10 the power

lead to the cost?

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Technology

World-Wide Market

North America
Gulf of Mexico
Mexico

Netherlands
France

North Sea
Germany

Middle East

Russia

Pakistan

Trinidad
Indonesia

Deliquification
Current Use
Emerging Need

Argentina
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Conclusions
In North America:
Very large number of low rate gas wells
Provide a significant portion of the local gas consumption
Serious interest in Deliquification over the past 10 years
linked to gas price

Industry meeting the challenge by:

Knowledge transfer through personal communication
Leveraging North Americas knowledge and experience
Developing new technology to deliquify gas wells
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Questions?

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