rio oil and gas peregrino field development

1 - Classification: Internal 2010-09-13

Peregrino Development Project

Rio Oil and Gas Conference

September 14th

2010

Charlotte B. Tjølsen –

Peregrino Subsurface Manager


This is Statoil•

Energy company present in 40 countries with 30,000 employees

•

Producing 1.95 million barrel of

oil

equivalent

(boe) pr day

•

Booked reserves of 5.6 billion boe

•

One of the world’s largest net sellers of crude oil

•

The world's largest operator in waters deeper than 100 metres

•

World leader in the use of deepwater technology

•

World leader in carbon capture and storage

•

The second largest exporter of gas to Europe

•

Biggest retailer of oil products in Scandinavia


From Norway to the international scene…

Statfjord Gullfaks/ Oseberg Angola Troll Lufeng

Grane Ormen

Lange Peregrino Arctic Marcellus

…1974

2010 →


Harsh environments

Deep water

Heavy oil

Gas value chains

Building growth from a firm strategy

Deliver international growth

Buildenergy

new Maximisethe NCS

values


Statoil in Brazil

•

Offices in Rio de Janeiro and Niterói

with 200 employees

•

More than 500 offshore contractors (Peregrino)

•

Operator for the Peregrino Field in the Campos Basin

•

Diverse exploration portfolio

Main office: Argentina Building - Botafogo


Peregrino

•

Located in Campus Basin -

85 km off the coast of Brazil at 100 m depth

•

Operated by Statoil

•

Production begins early 2011. Estimated recoverable reserves 300 -

600 million barrels

•

Build on Statoil’s strengths in extraction and reservoir management

Brazil

Rio de Janeiro

Peregrino

1994

Petrobras discovery well (1-RJS-498)

2000

EnCana 100% in 2nd

bid round

2001

Seismic 3D survey

2002

Seismic 3D survey

2003

Kerr McGee 33.3% farm-in

2004

2 new wells drilled

2005

Kerr McGee increase equity to 50%

2005

2 new wells drilled

2006

Norsk

Hydro acquired EnCana 50% share

2006

Anadarko acquired Kerr McGee

2007

PoD

approved, new seismic and new well

2007

Statoil merged with Norsk

Hydro Oil & Gas division

2007

BM-C-47 awarded

2008

StatoilHydro

acquired Anadarko’s 50% equity share

2009

StatoilHydro

renamed to Statoil

2010

Sinochem

acquires 40% share of Peregrino pending gov.approval


Peregrino Field development solution

Development strategy

•

Phased development

•

High liquid handling capacity

•

High level of reservoir penetration

•

Produced water re-injection

•

Drilling rigs and large number of spare slots (23)

•

Fuel: Produced gas and crude oil

Well requirements

•

30 horizontal OP with OHGP and screens

•

ESP & topside booster pumps

•

7 vertical water injection wells with screens


Producing the Peregrino Field

•

Oil density: 14°API

•

Viscosity:

163 cp

•

GOR: 13 Sm³/Sm³

•

Porosity: 30%

•

Permeability: ~7000 mD

•

Rock compressibility:

25 msips

•

Reservoir temperature

78 °C

•

Reservoir pressure

234 bar

High liquid handling capacity is one of the keys to high recovery ~ 20 %

0

50 000

100 000

150 000

200 000

250 000

300 000

350 000

1 4 7 10 13 16 19 22 25 28

Years

bopd

Oil

Water

Liquid


Phased Development Strategy

•

Phase I Development

−

Additional 3D seismic (1Q 2007)

−

Southwest well 2Q 2007 (3-PRG-1)

−

2 drilling platforms + FPSO

−

Development drilling Q3 2010

−

Production start-up Q1 2011

•

Phase II & III Development

−

Development drilling

−

Increased Oil Recovery

−

Depletion of additional reservoirs

−

Development of southern area

-

10 km

-

Main

South

-west

N

South

BM-C-47BM-C-7


Main Development contractors

Platform Installation

FPSO

Platforms

PipelinesFlex Risers Power/Signal Cable

Drilling Rigs

Drilling & completion


Peregrino project

milestones

•

Modules

fabricated

in Corpus Christi

(Texas) and towed

to Brazilian

waters •

Peregrino jackets installed

and lifting jobs

completed

•

Wellhead

plattforms installed•

Offshore construction and commissioning currently ongoing


Drilling platform


Sailing route from Texas to Brazil

Jacket A

HermodPiles AJacket B

Piles BDeck A

LQ A&B, Deck B and DR2

DR1

Equipment Barge

HERMOD Under Tow

Jacket A MWB403

Piles A L-400

Deck A H405

DR1 Marti J

Jacket B H541

Piles B Juli B

Deck B H406

DR2 C455-3

LQ's A&B C420


Drilling rig


Installation vessel (Hermod)


Jacket A installation


Platforms installed

Peregrino B with Dan Swift Vessel Peregrino A


FPSO modules installed at Keppel FELS


Main Production contractors

http://www.lideraviacao.com.br/index.php

http://www.woodgroup.com/

http://www.seawellcorp.com/

http://www.woodgroup.com/

http://www.fmctechnologies.com/

http://www.siemconsub.com.br/

http://www.seawellcorp.com/


Brasco Shore Base

4 x Supply vessels

2 Helicopters

Main OfficeHeliport

Peregrino Field

Brasco shore base (200 km)

Macaé airport (120 km)

Rio de Janeiro

Macaé

Niteroi

Brasco pipe yard


HSE training of 1100 offshore personnel

•

High safety standard is top priority

•

Multicultural

working

environment


PeregrinoMain Field

Peregrino Southwest

Peregrino South

Peregrino SouthDrill in 2010(BM-C-47)

IsoladoMature well proposal 2010Drill from platform

North ExtensionMature well proposal in 2010Drill from platform

Macae CarbonateMature well proposal 2010Production test from platform

Peregrino SouthwestDrill in 2011

Peregrino SouthDrill in 2010 (BM-C-37)

Pre-salt potentialProspect mapping 2010

Testing the upside potential in Peregrino


Identified opportunities:•

Chemical flooding•

AICD (Autonomous inflow control device)•

MLT (Multilateral technology)•

ESP improvements

Short term (- 2010) Mid term (2010 - 2015) Long term (2015+)Displacement stability

Water

Polymer

•

Gain ESP experience•

Screening of polymers •

Evaluate AICD potential

•

Full-field polymer flooding•

Full scale AICD•

Drill MLT wells

•

MLT pilot in suitable well•

Polymer pilot-test•

AICD valve pilot in suitable well

Main objective:•

Optimise field recovery from 20% to 30%•

Reduce field water production/injection

IOR –

Increasing the recovery from Peregrino


MLT –

Multilateral wells

•

Increase reservoir exposure

•

Two branches gravel packed with optional branch control

•

The additional cost of the lateral is approx 1/3 of a normal well

•

Main risk is to combine ESP and Gravel Pack (GP) with the MLT technology

•

First installation planned Q4 2011


AICD –

Autonomous inflow control valves

•

Self adjusting valves restricting the inflow of water in every screen joint

•

Wells with high water production and good pressure support shows ~10 % increase in production

•

Main risks/challenges:

−

Valve design (avoid erosion or plugging)

−

Combination with gravel packing

•

First installation planned Q1 2012

050100

1st Qtr 2ndQtr

3rdQtr

4th Qtr

East West North


Summing up

•

Brazil a country with opportunities

•

Experience transfer from Norway to the international scene

•

Proven ability to execute mega projects

•

Project on track to start up early 2011

•

Peregrino upsides

−

Field development

−

Increased oil recovery


Visit www.statoil.com/riooil2010

and stay up to date with Statoil’s activities, presentations, vacant positions and more.

http://www.statoil.com/en/NewsAndMedia/Calendar/Pages/ROG2010.aspx

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