To develop the wells in the new reservoir, there are several factors that need to be

considered, including the distance from the existing reservoir and field facility, the oil in
place, and the number and type of wells needed.

1. Subsea Tie-Back Option: If the new reservoir is within a reasonable distance from the
existing field facility, a subsea tie-back option could be considered. This involves
connecting the new wells to the existing facility through subsea pipelines. This option is
typically more cost-effective and faster to implement compared to developing a green
field.

To implement a subsea tie-back option, the following steps can be considered:

 Conduct a detailed feasibility study to assess the distance, seabed conditions, and
potential obstacles (e.g., existing infrastructure, marine traffic) that may affect the
subsea tie-back.
 Determine the required subsea infrastructure, including subsea pipelines, umbilicals, and
subsea control systems.
 Assess the potential impact on the existing field facility and ensure it has the capacity to
handle the additional production from the new reservoir.
 Design and drill the required producer and injector wells in the new reservoir, taking
into account the reservoir characteristics, such as pressure, temperature, and oil
properties.
 Install the subsea infrastructure, including the pipelines and control systems, to connect
the new wells to the existing facility.
 Conduct thorough testing and commissioning to ensure the integrity and functionality
of the subsea tie-back system.
 Monitor and optimize the production from the new reservoir, continuously assessing the
performance of the wells and the subsea infrastructure.
2. Green Field Development Option: If the new reservoir is located far away from the
existing field facility, developing it as a green field may be a more suitable option. This
involves establishing a new facility closer to the new reservoir to process and export the
produced oil.

To develop the new reservoir as a green field, the following steps can be considered:

 Conduct a detailed reservoir evaluation to assess the potential size, quality, and
productivity of the new reservoir.
 Determine the optimum location for the green field facility, taking into account factors
such as proximity to the new reservoir, access to transportation infrastructure, and
environmental considerations.
 Design and drill the required producer and injector wells in the new reservoir,
considering the reservoir characteristics and the estimated oil in place.
 Establish a new facility with the necessary processing and export infrastructure,
including storage tanks, pipelines, and export terminals.
 Conduct thorough testing and commissioning of the wells and the facility to ensure the
smooth operation of the green field.
 Implement a comprehensive monitoring and surveillance system to continuously assess
the reservoir performance, production rates, and facility integrity.
 Regularly review and optimize the production and reservoir management strategies to
maximize recovery and minimize operating costs.

Ultimately, the choice between a subsea tie-back and green field development will
depend on various factors, including the distance from the existing field facility, the cost
implications, the technical feasibility, and the overall project economics. A detailed
analysis and evaluation of these factors will help determine the most suitable
development approach for the new reservoir.

To develop the wells in the new reservoir, there are two main options to consider: subsea tie-back or
as a green field.

1. Subsea Tie-Back:
 In this approach, the new reservoir will be connected to the existing field facility through subsea
infrastructure.
 A subsea production system will be installed in the new reservoir, which includes subsea wellheads,
flowlines, and umbilicals.
 The subsea production system will be tied back to the existing field facility using subsea flowlines.
 This option is suitable when the distance between the new reservoir and the existing facility is
relatively short, in this case, 5 km.
 The existing infrastructure, such as the FPSO and production wells, can be utilized for the new
reservoir.
2. Green Field Development:
 In this approach, a new production facility will be constructed near the new reservoir to process and
transport the oil.
 The new reservoir will have its own production wells, processing facilities, and storage infrastructure.
 This option is suitable when the distance between the new reservoir and the existing facility is
significant, and it is not feasible to connect them through subsea tie-back.
 It provides more independence and flexibility in managing the production and operations of the new
reservoir.
 However, it involves higher initial investment and longer lead time for construction.

In the given scenario, with the new reservoir being 5 km away from the existing reservoir and field
facility, a subsea tie-back option would be more suitable. This approach allows for the utilization of
existing infrastructure and reduces the overall capital expenditure. However, a detailed feasibility
study, including cost analysis, technical considerations, and environmental impact assessments,
should be conducted to make a final decision on the development approach.

To develop the wells in the new reservoir, there are two possible options: subsea tie-
back or green field development.

1. Subsea Tie-back: In a subsea tie-back development, the new reservoir would be

connected to the existing field facility using subsea infrastructure. This option is suitable
if the distance between the new reservoir and the existing field facility is within the
technical and economic feasibility.

To implement a subsea tie-back, the following steps can be taken:

a) Conduct a feasibility study: Assess the technical and economic viability of connecting
the new reservoir to the existing field facility through subsea infrastructure. This study
should consider factors such as water depth, distance, terrain, and existing
infrastructure.

b) Design subsea infrastructure: Develop a detailed design for the subsea infrastructure,
including subsea wellheads, flowlines, umbilicals, and risers. This design should be based
on the specific requirements of the new reservoir and the existing field facility.

c) Drilling and completion: Drill and complete the 5 producer wells and 1 injector well in
the new reservoir. This process involves selecting appropriate well locations, designing
wellbore trajectories, and installing wellheads and completion equipment.

d) Subsea installation: Install the subsea infrastructure, including flowlines, umbilicals,

and risers, to connect the new reservoir to the existing field facility. This may involve
using specialized vessels and equipment for subsea installation.
 e) Testing and production: Conduct well testing to evaluate the productivity of the new
reservoir. Once the wells are deemed productive, start production and monitor the
reservoir performance.

2. Green Field Development: If the distance between the new reservoir and the existing
field facility is too far or if it is not technically feasible to connect them through subsea
tie-back, a green field development can be considered. In this case, a new production
facility would be established near the new reservoir.

To implement a green field development, the following steps can be taken:

a) Conduct a feasibility study: Assess the technical and economic viability of developing
a new production facility near the new reservoir. This study should consider factors such
as reservoir characteristics, infrastructure requirements, and project economics.

b) Design production facility: Develop a detailed design for the new production facility,
including production wells, processing equipment, storage facilities, and export
infrastructure. This design should be based on the specific requirements of the new
reservoir.

c) Drilling and completion: Drill and complete the 5 producer wells and 1 injector well in
the new reservoir. This process involves selecting appropriate well locations, designing
wellbore trajectories, and installing wellheads and completion equipment.

d) Production facility construction: Construct the new production facility near the new
reservoir. This may involve building processing facilities, storage tanks, utilities, and
export infrastructure.

e) Testing and production: Conduct well testing to evaluate the productivity of the new
reservoir. Once the wells are deemed productive, start production and monitor the
reservoir performance.

Both options have their advantages and disadvantages, and the choice between them
would depend on various factors such as distance, technical feasibility, economic
viability, and project timeline. A detailed evaluation of these factors should be
conducted to determine the most suitable development approach for the new reservoir.
 To develop the wells in the new reservoir, there are two options to consider: subsea tie-
back or green field development.

1. Subsea Tie-back: In this option, the new reservoir will be connected to the existing field
facility through subsea infrastructure. This approach offers several advantages, including
reduced cost and time compared to building a new field facility.

To implement a subsea tie-back, the following steps can be taken:

a. Conduct a thorough feasibility study: Evaluate the technical and economic viability of
the subsea tie-back option. Consider factors such as reservoir characteristics, distance
between the reservoirs, seabed conditions, and flow assurance.

b. Design subsea infrastructure: Develop a detailed plan for the subsea infrastructure,
including subsea wells, flowlines, and umbilicals. Consider the reservoir pressure,
temperature, and fluid properties in the design.

c. Subsea well drilling and completion: Drill and complete the producer wells and
injector well in the new reservoir. Ensure that the well design and completion techniques
are optimized for the reservoir's characteristics.

d. Installation of subsea infrastructure: Install the subsea flowlines and umbilicals to

connect the new reservoir to the existing field facility. Consider the distance, water
depth, and seabed conditions during installation.

e. Tie-in and commissioning: Connect the subsea infrastructure to the existing field
facility and commission the new wells. Perform thorough testing and verification to
ensure proper functionality.

2. Green Field Development: In this option, a new field facility will be built near the new
reservoir to process the oil. This approach allows for independent operation and
potentially better optimization of production.

To implement a green field development, the following steps can be taken:

a. Conduct a field assessment: Evaluate the reservoir characteristics, such as pressure,

temperature, fluid properties, and oil in place. Determine the optimal well configuration
and facility design based on these factors.
b. Facility design and construction: Design and build a new field facility near the new
reservoir. Consider factors such as production capacity, storage capacity, processing
capabilities, and environmental considerations.

c. Well drilling and completion: Drill and complete the producer wells and injector well
in the new reservoir. Optimize the well design and completion techniques based on the
reservoir's characteristics.

d. Installation of production infrastructure: Install the necessary production

infrastructure, including flowlines, separators, and storage facilities. Ensure that the
infrastructure can handle the expected production rate and fluid properties.

e. Commissioning and start-up: Commission the new field facility and conduct thorough
testing to ensure its proper functioning. Start production and monitor the reservoir
performance for optimization opportunities.

The choice between subsea tie-back and green field development depends on various
factors, including cost, time, reservoir characteristics, and the overall development
strategy of the operator. A detailed feasibility study should be conducted to determine
the most suitable option for developing the new reservoir.

To estimate the economic values for the decision, we need to consider the costs and potential
benefits associated with the different components and strategies.

i) FPSO cost: $24,000,000 This cost is associated with the Floating Production, Storage, and
Offloading vessel. It is important for storing and processing the produced crude oil. The estimated
economic value would be the potential revenue generated from the increased production capacity of
the field.

ii) Cost of subsea Christmas trees: $1,500,000 per unit Christmas trees are essential for controlling the
flow of fluids from the wells. The estimated economic value would be the potential increase in
production and revenue resulting from the improved well control.
 iii) Cost of manifold units: $800,000 per unit Manifold units are used to distribute the produced fluids
to the processing facilities. The estimated economic value would be the potential increase in
production and revenue resulting from the improved fluid distribution.

iv) Cost of procurement of offshore jacket and installation: $12,000,000 Offshore jackets provide
support for the subsea equipment and structures. The estimated economic value would be the
potential increase in production and revenue resulting from the improved stability and longevity of
the subsea equipment.

Recommendation for artificial lift strategy: To support the producing wells in the adjoining reservoir,
a recommended artificial lift strategy would be Electric Submersible Pumps (ESPs).

Technical reasons for the recommendation:

1. Depth: ESPs are capable of handling the high water depth of 1200m in the reservoir.
2. Flow rate: ESPs can handle the high flow rate of 50,000 Bopd production capacity field wide.
3. Pressure: ESPs can handle the reservoir pressure of 2600 psia.
4. Temperature: ESPs can operate at high reservoir temperature of 142°C.
5. GOR: ESPs can handle the fluid GOR of 1324 scf/stb at single stage flash.
6. Efficiency: ESPs have high efficiency in lifting fluids, resulting in increased production.
7. Reliability: ESPs have proven reliability in deepwater and offshore applications.
8. Cost-effectiveness: ESPs can provide cost-effective artificial lift solution compared to other methods
like gas lift or rod pump.

The estimated economic value of implementing ESPs would be the potential increase in production
and revenue resulting from the improved well performance and extended well life.

To estimate some economic values for the decision, we can consider the following:

i) FPSO cost: Given that the FPSO has a storage capacity of 1,200,000 barrels, we can
calculate the cost per barrel of storage as follows: FPSO cost per barrel = FPSO cost /
Storage capacity FPSO cost per barrel = $24,000,000 / 1,200,000 barrels = $20/barrel

ii) Cost of subsea christmas trees: Since the number of producing wells is 6, we can
calculate the total cost of subsea christmas trees as follows: Total cost of subsea
christmas trees = Cost per unit * Number of units Total cost of subsea christmas trees =
$1,500,000 * 6 = $9,000,000
iii) Cost of manifold units: Since the number of producing wells is 6, we can calculate the
total cost of manifold units as follows: Total cost of manifold units = Cost per unit *
Number of units Total cost of manifold units = $800,000 * 6 = $4,800,000

iv) Cost of offshore jacket procurement and installation: The cost of offshore jacket
procurement and installation is given as $12,000,000.

Based on the provided data, it is recommended to apply a new strategy for artificial lift
to support the producing wells in the adjoining reservoir. This recommendation is based
on the fact that the reservoir is a deepwater oil field with a water depth of 1200 m. In
such deepwater environments, traditional artificial lift methods like rod pumps or
electric submersible pumps may not be feasible or cost-effective due to the logistical
challenges of installation and maintenance.

One potential strategy for artificial lift in this scenario is the use of subsea multiphase
pumps. Subsea multiphase pumps can handle the high gas-oil ratios (GOR) and produce
a mixed-phase fluid directly from the reservoir to the surface, bypassing the need for a
traditional artificial lift system. This can improve production rates and reduce the
reliance on costly offshore infrastructure such as FPSOs and surface facilities.

Implementing subsea multiphase pumps would require upfront investment in the

procurement and installation of the pumps, but it can lead to significant long-term cost
savings and increased production efficiency. Additionally, subsea multiphase pumps are
suitable for deepwater environments and can handle the specific challenges associated
with the OML 816 oil field.