SPE 136384

Remote Monitoring and Production Optimisation in Shell

Frans van den Berg, SPE, Keat-Choon Goh, SPE, Edwin van Donkelaar and Robert Parchewsky, SPE, Shell
Copyright 2010, Society of Petroleum Engineers
This paper was prepared for presentation at the SPE Russian Oil and Gas Exploration and Production Conference and Exhibition held in Moscow, Russia, 2628 October 2010.
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Abstract
With the advancement of technology, fields are increasingly monitored in real time, remotely from the office. This applies to wells
and facilities alike. Shell has applied a range of capabilities across the assets worldwide. The capabilities include:
- Real time monitoring and optimisation of wells
- Virtual metering
- ESP surveillance real time monitoring and remote control
- Advanced Rotating Equipment monitoring
- Integrated Production System Modelling
- Collaborative Work Environments for integrated decision making
The paper describes how these techniques are used in Shells operations. They enable asset staff to deal with a wider range of
issues faster and more efficiently while bringing global expertise as required in near real time. This involves integration across a
range of disciplines, for fast and effective decision making.
Introduction
Shell has implemented a variety of production monitoring and optimisation capabilities under the Smart Fields programme. Large
benefits of order of $5 bln have been achieved for Shell and its partners over the period 2002-2009 (Van den Berg, 2010).
Implementations have covered both retrofits in existing fields and smartness by design in new projects (Potters, 2005) and (De
Best, 2006). Value is generated by closing the Value Loops, through the cycle of data acquisition, modeling, decision making and
execution in the field.
In production and operations in Shell, Smart Fields covers a spectrum of solutions. A standard solution is available in the form of
the Smart Fields Foundation that forms a basis for real time well monitoring and optimisation, data acquisition and model-based
production optimisation and forecasting (Van den Berg, 2007) and (Gerrard, 2010). This includes real time well monitoring and
optimisation and virtual metering, off-line linked to hydrocarbon allocation and integrated production system modeling (IPSM).
All systems are integrated in a standard architecture, in the office and in the process control domain. The Data Acquisition and
Control Architecture (DACA) standard provides the secure link between office and field. Standard workflows have been defined,
that guide staff to execute the right process steps and to collaborate at the right moments, and thereby help asset teams to achieve
the full value (Lameda, 2009).
Smart wells can have an impact in the production phase of a field. Downhole valves are manipulated to optimise the well flow or
to manage the reservoir flow and as a consequence, additional oil is recovered (Goh, 2008). In other fields, smart wells enable
commingling of production in a well, with reliable allocation of production to the different reservoirs.

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Different capabilities have been implemented in the various operating units in Shell, to meet the different business needs and
operating environments. A critical requirement is to identify the relevant solutions from the outset. Retrofitting is far more
complex and costly, and is only possible for some of the solutions.
Real Time Monitoring and Optimisation of Wells
An example of business value delivered in production optimisation is real time monitoring and virtual metering of wells. The Shell
proprietary FieldWare suite of tools, including the FieldWare Production Universe software (Goh, 2007), (Goh, 2008) has been
installed in a number of Operating Units around the world, with a coverage of about 60% of Shells total oil production. Its
capabilities include exception based surveillance and alerting, real time optimisation of well settings and virtual metering. Business
benefit is gained in production optimisation from faster identification and remediation of well events, fewer trips due to early
warning, real time gas lift distribution optimisation (Gerrard, 2007) and improved field management through better production
allocation over time.
A compelling example of the real time monitoring of wells is found in the the Salym group of oilfields in Western Siberia
(Diamond, 2010) and (Cramer, 2010). Salym Petroleum Development N.V. (SPD) is a Joint Venture with Shell participation
operating and developing Salym field. The production is artificially lifted, predominantly using variable speed drive ESPs for
over 300 wells. Pump controllers and well head instrumentation have been tied into a SCADA/Historian system. The basic control
system is being enhanced by progressively installing Shells integrated Smart Fields Foundation capability. Four FieldWare
modules have been installed:
Production Universe real time monitoring and oil, gas and water virtual flow measurement for all wells and real time
monitoring of ESP operating downhole parameters;
ESP real time pump efficiency curves, reports, surveillance and remote control complemented by Mikon echometer
fluid level measurement;
Production Universe EOR water injection optimisation and real time water flows from source to injection, including
real time monitoring of surface vessel levels, surface pumps and wells injection pressures and rates;
WellTest well test optimisation, enabling real time well test measurements screening, troubleshooting and automatic
transfer of test data to the hydrocarbon accounting system.

Sh ell Ex p lo r a tion & Pro d u ction

Pr o d u ctio n Un iv er se Rea l Tim e W ell Flo w s

Figure 1 Example of Production Universe screens for Real Time Well Monitoring

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FW PU is Salyms primary well flow and ESP downhole parameters monitoring tool. FW PU is a software application that
continuously estimates well oil, gas and water flows and displays trends of ESP operating parameters. FW PU is running on 2,000
wells producing a total of 2 million b/d in Shell companies. FW PU models are calibrated by well tests in which the wells are
tested at different rates and observing the related changes in real time parameters such as tubing and bottom-hole pressure and
temperature etc. The sum of the estimated well flow rates is continuously reconciled with real time process measurements of total
oil, gas and water. In Shell experience, this approach has a number of useful advantages:
Mature and well proven FW PU has been field operational for more than five years;
Sustainable FW PU models are based on well testing which is intrinsic with the culture of production operations;
Widely applicable Suitable for all sizes and most types of wells, and hence for standard application across entire fields
to, for example, hydrocarbon allocation;
Data-driven models facilitate well testing by exception why test a well if it has not changed? This can result in reduced
test frequency and reduced visits to remote sites;
Data-driven models can handle static and transient conditions, thus automatically account for produced fluids during
process start-up and upsets. In addition, data-driven models are used by operations to account for unexpected production
increases and decreases;
The daily reconciliation with overall comingled production meters allows a partial validation of the well by well
production estimates.
FW PU is operational on all of Salyms ESP wells covering 100% of the fields production. Salym are using FW PU for exceptionbased well surveillance any change in the wells performance is quickly identified and corrective action initiated. For example
low liquid production may indicate pump performance problems.
Well Testing in Salym makes use of a permanent 2-phase test separator, installed on each well pad with 16 wells. Each separator is
fitted with electronic instruments feeding liquid and gas flow signals into the SCADA system. FW WT automatically processes the
test measurements for all Salym wells and after validation automatically transfers the final test result to the hydrocarbon
accounting system. This eliminates time previously spent manually processing test data as well as reducing associated data
transcription errors.
ESP Monitoring and Control
FW ESP is a software application for continuous monitoring, surveillance and control of Electrical Submersible Pumps. FW ESP
comprehensively describes the well and pump assembly in terms of configurable parameters such as casing/tubing dimensions
completion details, fluid properties, pressures, flow rates, pump parameters and motor/controller details.
FW ESP is deployed on all 330 Salym producing wells. Monitoring is achieved with FW ESP by provision of pump efficiency
curves that immediately show if the pump is operating within the so-called sweet-spot area. Pump Control actions include stop,
start, slow-down, speed-up. For effective pump surveillance the engineer needs up-to-date, timely, meaningfulp real time
information at his fingertips. A FW ESP surveillance overview showing a combination of real time and static surveillance data for
a typical Salym well is shown in Figure 2 below.
Interfacing FW ESP with FW PU allows the engineer to relate well productivity to pump speed for continuous optimisation. The
well production rates shown in the above schematic may be automatically derived from PU to aid continuous pump surveillance
and optimisation. FW ESP also incorporates a two phase flow model which allows continuous derivation of the downhole pump
pressure profile and dynamic head, again as a surveillance and optimization aid, as shown in Fig. 3.

The FW ESP software application provides early warning of impending pump problems, recognises pump upsets or failures and
automatically captures detailed information at the time of the incident. This data can be replayed to facilitate quick, efficient
analysis of well or pump problems. If a new pump has to be installed, FW ESP data can be used to help optimise the design and
the operating envelope for increased ESP productivity and run-life. FW ESP has in-built alarm management, with some 40
preconfigured alarms. Examples include High Pump Intake Pressure, Low motor frequency, etc.

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Figure 2 FW ESP Surveillance screen

Figure 3 FW ESP Analysis Screen showing derived pump pressure profile and derived fluid level above the pump

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Water Injection Surveillance

In Salym, water injection flows are continuously measured, or estimated for all injection wells. A traffic light display is available
that at a glance informs the operator of the status of his entire injection system as shown in Figure 4.
FW EOR provides an overview of daily water injection for real-time monitoring of actual versus planned injection from the 90 day
plan. The traffic light system enables direct focus on problematic wells and aids determination of requisite remedial actions to
improve water injection performance. This enables production/injection optimisation within constraints, such as injection flow
distribution, choke-size, pressure drops etc. Optimisation is also enabled by Integrated Production/Injection System modeling
which is 100% developed for water injection production streams.

Figure 4 FW EOR Water Injection Surveilance traffic light display

Integrated Production System Modelling

Integrated production system modelling (IPSM) is widely spread in Shell assets. It has been used and has delivered value in field
development and in the production phase.
In the production phase, IPSM modeling has been used extensively for production optimisation. Regular surveillance is carried out
and opportunities for well interventions and well and reservoir performance optimisation are screened and optimised against the
integrated model (Sathyamoorthy, 2009). Examples include debottlenecking, re-routing of wells and changing of separator
pressure settings. In Salym, an integrated model has been developed covering the full West Salym field, for both the production
and the water injection system. The model is used to identify opportunities for production optimisation and for short term
forecasting of production and injection.

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In field development planning in Shell, the integrated model was used to optimise the design of the facilities to meet the
requirements over the field life and to cater for the uncertainties of the reservoir. Scenario modeling has been used to support
decision making around scope and timing of further investments.

Dynamic Optimisation & Control

Steady state optimisation with e.g. IPSM or PU as described sofar becomes more and more widely applied. Although not as widely
applied yet, also more and more value is being generated with dynamic optimisation and control. An example is the use of
automatic control of the gas to oil ratio (GOR) of oil wells (Nennie, 2009). Shell has equiped over a hundred wells with this type
of basic feedback controller leading to e.g. a higher average oil production, lower environmental impact due to reduced unwanted
gas production, improved reservoir pressure maintenance due to reduction of unwanted production of gas from the gas cap.
Additionally the operational effort is decreased because an intermittent production strategy of periodically opening and closing
wells is replaced by continuous automatic control. A similar automatic control strategy is used in Shell to control slugging
pipelines and risers.
A second example is the use of on-line dynamic models to improve the operational performance of gas trunkline systems (Hudson,
2009). Production deferment, off-spec gas, ramp up time, etc. can be greatly reduced by accurate control of the gas flow within
constraints on gas quality, pressure regime, liquid holdup, etc. The aim is to get even closer to the economic optimum by using an
operator advisory system based on dynamic optimisation and Advanced Process Control (APC) on the basis of the dynamic model
(Van Donkelaar, 2010).
A last example is the use of dynamic optimisation on the basis of (an ensemble of) reservoir models. In Shells efforts towards
closed loop reservoir management, we are aiming to generate injection and production strategies such that an economic objective
e.g. net present value or cumulative oil is optimised over the lifetime of the field (Jansen, 2010). By using the optimised long term
strategies during operation we will increase our ability to balance short term (production) against long term (recovery) objectives
and ultimately improve the ecomics of our fields.

Figure 5 Lagosa web interface for the pipeline system

Figure 6 Implementation of automatic well control

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Facilities Monitoring and Optimisation

Facilities monitoring and optimisation focuses on two main areas. Firstly, real time monitoring of the many compressors around
the world. Compressor down time is a significant contributor to deferment of production and is a key focus of surveillance and
maintenance activities. Condition Based Monitoring focuses on identifying the conditions under which damage can occur, such
that the situation can be rectified and damage can be prevented. Basic monitoring of the real time data has become standard.
Recent developments have built an advanced monitoring capability for rotating equipment with early warnings of potential
problems and advice for potential remediation or optimisation actions (Innes, 2009). In addition, a global support centre provides
expert advice for rotating equipment to assets around the world.
A next step will be the use of predictive tools, to identify potential sources of problems with equipment or production systems
before a mishap occurs. Such tools range from simple trend analysis to automatic alerts when operating points of complex
equipment start to deviate from previous trends, or when systems or equipment trend outside their defined operating envelope.

Figure 7 Example screens of Remote Advanced Compressor Monitoring

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Figure 8 Example screens of Remote Advanced Compressor Monitoring

Collaborative Work Environments
Collaborative Work Environments (CWEs) have been implemented in Shell with several different objectives. In a number of
countries, collaboration centres are in place for production operations. These provide improved office to field communication and
support the daily decision making around operations, maintenance and emergency response. Quantified benefits include reduced
need for field surveillance staff and avoidance of weather down time (3rd party experts not having to wait for flying weather to
provide advice). Increasingly, assets have implemented a CWE for production optimisation (Knoppe, 2008). Such a centre focuses
on the daily production surveillance and opportunities for production optimisation. Strong video communication and data sharing
facilities enable joint interpretation and decision making and improve the team spirit between office and field staff. In the CWE in
the Fahud asset in Oman, four different locations have been linked together, between the asset team, the on-site office, the field
control room and the well services office. Extensive attention has been paid to engaging, training and coaching the staff members
to embed of the new ways of working within the teams in a sustainable way (Anvar, 2010).

Figure 9 Example of Collaborative Work Environment

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Conclusions
Shell has implemented Smart Fields capabilities in some 50 Shell assets around the world over the priod of 2002 to 2009. Large
benefits of US$ 5 bln have been quantified from these implementations.
Remote and real time monitoring and optimisation of wells and facilities has become standard practice and delivers value both in
higher production and ultimately in higher oil and gas recovery.
In the Salym fields in Western Sibera, producer and injector wells and ESPs are monitored and optimised in real time. This has
resulted in increased oil production and improved operational safety.
A continued programme is ongoing, focusing on building the appropriate Smart Fields elements into new fields from the start, and
retrofitting technologies into existing assets where economically justified.
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