Objectives: Nigeria has a significant conventional and heavy oil resource base. Despite the fact that the bulk of conventional oil reserves have been produced since independence, heavy oil reserves have gone unexplored due to low primary production recovery and, as a result, worries about economic viability under the current budgetary framework. This chapter investigates the use of the Steam Flooding enhanced oil recovery (EOR) method utilising appropriate Nigerian heavy oil reservoirs as a case study, aims to construct a diagnostic model to predict performance, and assesses the economics to determine the EOR method's viability. As heavy oil is developed, Nigeria's oil reserves and production will grow.
Study Design: Following a non-disclosure agreement, data for two heavy oil reservoirs in Nigeria was acquired from two oil corporations (NDA)
Studying at the Emerald Energy Institute at the University of Port Harcourt in Nigeria from 2016 to 2021.
Methodology: To select steam flooding for the examined reservoirs, the screening criteria of commercially effective EOR technologies were used. The Design of Experiment (DoE) method was used to analyse the reservoirs and operational parameters, as well as to find their optimum values, which were then utilised to forecast reservoir performance. Using Discounted Cash Flow Analysis, the economics of the steam flood technique recommended for the reservoirs in question were also assessed (DCFA).
Results: The steam flooding technique was shown to be technically and economically viable for the heavy oil reservoirs studied. In comparison to the water flooding approach, which had a 13 percent OOIP and natural depletion of 9 percent for the offshore reservoir, the steam flood had an excellent recovery efficiency of 24 percent. The recovery efficiency for the onshore reservoir was 20% for steam flood and 4% for natural depletion. The project was found to be viable even at a worst-case heavy oil price of US$15, according to the economic analysis.
Conclusion: Steam flooding is a viable method for developing heavy oil reservoirs in Nigeria that match the screening criteria, hence increasing the country's oil reserves and production.
Recommendation: Fiscal policy should be changed, particularly the petroleum profit tax, which should be reduced from 85% to 50% to encourage operators and investors to pursue steam flooding and other EOR approaches.Author(S) Details
Okoro Emmanuel Evans
Emerald Energy Institute, University of Port Harcourt, Nigeria.
Mike Onyekonwu
Emerald Energy Institute, University of Port Harcourt, Nigeria.
Joseph Ajienka
Emerald Energy Institute, University of Port Harcourt, Nigeria.
View Book:- https://stm.bookpi.org/IST-V3/article/view/5459
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