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HomeMy WebLinkAbout2022 Oooguruk-Kuparuk Oil PoolV.,Q r7M 2rn1� us operaC�nng 2022 Annual Reservoir Surveillance Report Oooguruk-Kuparuk Oil Pool (OKOP) Oooguruk Field April 1, 2023 Table of Contents SUBJECT PAGE 1.0 Progress of the Enhanced Recovery Project.............................................................................1 2.0 Results and Analysis of Reservoir Pressure Surveys within the Pool .......................................... 3 3.0 Results and Analysis of Production and Injection Log Surveys, Tracer Surveys, Observation Well Surveys and Any Other Special Monitoring....................................................................................... 3 4.0 Review of Pool Production Allocation Factors and Issues Over the Year....................................4 5.0 Reservoir Management Summary..........................................................................................5 ATTACHMENT OKOP Well Location Map....................................................................................7 ATTACHMENT B 2022 OKOP Voidage Balance by Month................................................................8 ATTACHMENT C 2022 OKOP Pressure Report, Form 10-412............................................................9 ATTACHMENT D OKOP Reservoir Pressure Map — December 2022................................................ 10 ATTACHMENT E OKOP Annual Reservoir Properties Report, Form 10-428...................................... 11 Eni Petroleum, Alaska 1.0 Progress of the Enhanced Recovery Project The Oooguruk Field (OF) is one of two Eni US Operating Co. Inc. (Eni) offshore -operated fields in Alaska. Three oil pools, the Torok, Kuparuk, and Nuigsut, are currently under development within the OF. The development consists of an offshore man-made gravel island, the Oooguruk Drill site (ODS), located just east of the Colville River Delta in Harrison Bay. ODS production is delivered to the Oooguruk Tie-in Pad (OTP) via a buried subsea flowline bundle and onshore flowlines, metered, then transferred to Kuparuk River Unit (KRU) facilities, operated by ConocoPhillips Alaska, Inc. (CPAI), for final processing and transportation to the sales line. The Oooguruk-Kuparuk Oil Pool (OKOP) development includes nine wells: ODSN-06 Kuparuk, ODSK-13i, ODSK-14, ODSN-29 Kuparuk, ODSK-33, ODSK-35Ai, ODSK-38i, ODSN-40i Kuparuk, and ODSK-41. The locations of the OKOP, the OKOP wells, the current OU, and Oooguruk Kuparuk Participating Area (OKPA) are shown in Attachment A. Currently three producers, ODSN-06 Kuparuk, ODSK-14, and ODSK-41, and one injector, ODSK-38i, are active. The ODSK-33 well is inactive due to high water cut, ODSK-13i remains shut-in for long term pressure fall -off monitoring, ODSK-35Ai is shut-in and secured due to multiple tubing leaks, ODSN-29 Kuparuk has been isolated to produce from the Nuiqsut, and the ODSN-40i Kuparuk is shut-in due to limited injection capacity. During 2022, OF engineering performed an internal operations and maintenance assessment to ensure compliance with corporate requirements. Additionally, Eni's corporate operations team performed a cold -eye review of the Oooguruk plant to identify bottlenecks, efficiencies and production improvement opportunities. An internal corporate assessment was also performed to ensure compliance with internal procedures on safety and environmental critical elements. Engineering work commenced on an integrated model to connect the reservoir, wells and surface production equipment to facilitate production optimization. An engineering study for revamping the 2-phase separator also started. Operations included general maintenance and replacement of critical oil, water, and gas piping and valves. Additional field -wide maintenance was also performed, including mechanical integrity inspections of piping, tanks, pressure vessels and other safety systems. Routine maintenance was performed on the three power generation turbines and two gas injection compressors at OTP. Compressors A and B were inspected to identify potential design flaws and asset integrity improvements. Major overhauls were performed to Compressor B as well as Turbine C. In addition, cathodic protection inspections were completed on the sub -sea production flowline from ODS to OTP to ensure mechanical integrity of the pipelines. A detailed monitoring plan for injection system microbes was established with systematic biocide treatments conducted during 2022. Capital projects included eight (8) well work overs, 7 producers and 1 injector. Four (4) ESPs were installed in production wells. The ODS control room was relocated into the camp during the summer 2022, followed by a design study to relocate the OTP control room in 2024. Capital Eni Petroleum, Alaska Page 1 projects included the upgrade of the Fire and Gas software, mandatory tank and vessel inspections, lift/injection compressor PLC upgrade and module lifecycle upgrade. The ODS exterior camera system was upgraded to allow enhanced warning of nearby polar bears, seawater injection line pig trap upgrades and adding a corrosion coupon to the ODS subsea diesel flowline. A conversion from the existing Siemens PCS7 Distributed Control System (DCS) to Emerson DeltaV has been developed with detailed engineering study supporting implementation during the 2024 maintenance turnaround. Finally, a revamping of the Rig Support Complex (RSC), in order to support the Well work Over campaign and future drilling campaign was started and will be complete in 2023. Design and fabrication work continued with the OTP Partial Gas Processing project. Expected startup is December 2023. Similarly, the Electrical Power Sharing project continued with design and procurement, with startup scheduled for 2025. As planned in 2022, rig mobilization and recommissioning of the Rig Support Complex (RSC) was completed, and Oooguruk rig activity was initiated in May 2022. Two rig interventions (RWO) and six rigless interventions (RLWO) were conducted in five OKOP wells through December 2022. Two RWOs were conducted in ODSK-41 due to the ESP installed in August failing in November; the well was recompleted in December with another ESP. Action # Well Name Well type Reservoir Action t e Objectives/Description Completion Date 1 ODSN-29 OP Kuparuk RLWO Isolate Kuparuk and Open Nuiqsut 3-May-22 2 ODSK-33 OP Kuparuk RLWO SSSV brush & flush 7-Jul-22 3 ODSK-41 OP Kuparuk RLWO Pre- RWO preparations 16-Jul-22 4 ODSK-41 OP Kuparuk RWO IESP Replacement 3-Aug-22 5 ODSN-40 WI Kuparuk RLWO Passport test 5-Oct-22 6 ODSK-14 OP Kuparuk RLWO Static pressure and temperature survey 5-Dec-22 7 ODSK-33 OP Kuparuk RLWO Passport test 23-Dec-22 8 1 ODSK-41 I OP I Kuparuk I RWO ESP replacement 27-Dec-22 Table 1: 2022 OKOP Well Interventions As a result of the 2022 rig program and sustained water injection, OF oil production has increased 37% from 4,987 bopd in December 2021 to 6,825 bopd in December 2022. Water rates are up 20% from 3,053 bpd to 3,667 bpd, and total gas rates, formation plus lift gas, have decreased from 23 MMSCFPD to 17 MMSCFPD. However, the OF production network remains hydraulically constrained and only 13 of the 22 available wells were on-line on December 31, 2022. Annual average daily OKOP oil production for 2022 was 933 BOPD, a 68% increase from 2021. Total oil production during 2022 was 340,429 barrels for a cumulative 10,430,692 barrels since field start- up in 2008. The 2022 annual average producing gas oil ratio (GOR) and watercut were 968 SCF/STBO and 54%, respectively. The December 2022 average GOR was 604 SCF/STBO and the watercut was 50%. Average annual daily water injection for 2022 was 1,140 BWPD with average daily rates ranging from 0 bpd to 8,000 bpd. Total water injection in 2022 was 415,918 barrels and 16,330,513 Eni Petroleum, Alaska Page 2 barrels since the start of injection in 2009. Attachment B details the 2022 monthly and cumulative voidage for the OKOP. 2.0 Results and Analysis of Reservoir Pressure Surveys within the Pool Five pressure surveys were reported from five OKOP wells; the pressure survey results are presented in the OKOP Pressure Report, Form 10-412 (See Attachment C). The OKOP Reservoir Pressure Map, Attachment D, depicts the estimated OKOP average pressures for December 2022 including all wells, shut-in and producing. Overall, the pressures in the main development continue to show pressure equalization due to historical voidage replacement, excluding the ODSK-41 area, which continues to show limited communication to offset wells. Pressures from the ODSK-13i injection and fall off test continue to demonstrate the western Ivik block has relatively low transmissibility and is not in hydraulic communication with the main development area including the ODSN-29 Kuparuk completion to the east. The 2022 ODSN-06 Kuparuk recompletion showed pressures consistent with ODSN-29 and ODSK-38 confirming expected reservoir connectivity in the area.The December 2022 OKOP pressure at 6,050 ft. TVDss is estimated at 2,500 psi (refer to Attachment E, Kuparuk Annual Reservoir Properties Report Form 10-428). 3.0 Results and Analysis of Production and Injection Log Surveys, Tracer Surveys, Observation Well Surveys and Any Other Special Monitoring A chemical tracer program was initiated in May 2012 and completed in 2014. Tracers were injected into ODSK-35Ai and ODSK-38i. Within 20 months of initial injection tracer concentrations were observed in ODSK-33 and ODSK-14 from ODSK-35Ai. To date, ODSK-38i tracer has only been seen in minor amounts in ODSK-33. Produced water samples for ODSN-29 Kuparuk have not shown signs of either tracer. During unplanned 2022 well interventions a static bottomhole pressure survey was conducted in ODSK-14. No additional surveillance logging or surveys were conducted in 2022. Eni Petroleum, Alaska Page 3 4.0 Review of Pool Production Allocation Factors and Issues Over the Year Production from the Oooguruk-Torok Oil Pool (OTOP), Oooguruk-Kuparuk Oil Pool (OKOP) and Oooguruk-Nuiqsut Oil Pool (ONOP) is commingled at the surface into a common production line. Allocation between the pools is based on the ratio of total production for a pool to the total production for the Oooguruk Unit. The pool oil allocation factors for 2022 are: ONOP: 84.5% OKOP: 15.5% OTOP: 0.0% Theoretical production for individual wells for all pools is calculated daily. During 2022 wells were produced with chokes at 100% most of the time due to the capacity of the production line. Daily theoretical production for a well was calculated using the data from the most current well test and the amount of time a well was on production for a given day: Minutesproduced 1440Minut7 day xDailyRate(BOPD)wernesr = TheoreticalDaily Production The daily allocation factor for the unit is calculated by dividing the actual total production for the day by the sum of the theoretical daily production for each individual well. Daily allocated production is assigned to each well by multiplying its theoretical daily production by the daily allocation factor. The average daily allocation factor for 2022 was 0.9301. Eni Petroleum, Alaska Page 4 5.0 Reservoir Management Summary The AOGCC issued pool rules under Conservation Orders No. 645A, 596 and 597 for the OTOP, OKOP and the ONOP, respectively. While there is no subsurface commingling, unitized substances produced from the three oil pools are commingled on the surface. Area injection orders (AIOs) authorizing the injection of fluids for enhanced oil recovery in the OTOP, OKOP, and ONOP reservoirs were issued by the AOGCC as AIO No. 37A, 33 and 34, respectively. Injection commenced into the OKOP in 2009. The OKOP reservoir management targets maximizing oil production, managing producing gas oil ratios (GOR) and maximizing long term reservoir performance and value through enhanced recovery while minimizing the project risks and maintaining the highest environmental and safety standards. Flood throughput and reliable water supply are critical to long-term OKOP recovery. Consequently, Eni implemented SWIS in 2020 and 2021 to avoid injecting KRU produced water, improve water supply reliability, and increase available injection pressures. SWIS uptime has been very high, successfully meeting OF reservoir injection targets and increasing supply pressure. Additionally, once the ODS booster pump is placed in-service, water injection supply pressures can be boosted from 3,300 psi to 3,700 psi, which will significantly increase injectivity and flood throughput in certain low injectivity wells. The AOGCC has approved increasing the pressure limit to 3,700 psi from 2,800 psi for both the ONOP and OKOP; however, the OTOP limit currently remains at 2,800 psi consistent with Rule 4 of AIO 37A. Typically higher injection pressures are not needed for Kuparuk reservoir injection; however, one well ODSN-40 with limited injectivity may benefit. Because the OKOP development area is a very mature flood, in a dual porosity system, with highly variable matrix permeability and open fracture networks, voidage replacement has been purposely reduced to minimize waterflood by-pass while stabilizing the reservoir pressure and the GOR. As a result, the producing Kuparuk water oil ratio and oil production have remained stable and ultimate recovery is projected to exceed expectations. However, during the extended 2019-2020 water injection shutdown, the OKOP producing GOR increased from 3,200 SCF/STBO to 4,800 SCF/STBO. Subsequently, injection and offtake have been managed and the December 2022 GOR has declined to 604 SCF/STBO and the watercut was at 54%. At the end of 2022 OKOP cumulative voidage replacement was at 58%, refer to Attachment B. As planned, in 2022 OKOP production from the ODSN-29 well was shut-in and isolated in March 2022 and the ODSN-06 well was recompleted in the Kuparuk with production initiated in June 2022 and averaging 1,807 bopd, 917 bwpd (34%) with a GOR of 799 SCF/STBO in July. Prior to shutting in the ODSN-29 Kuparuk it's production was at 272 bopd, 1,119 bwpd (80%) with a GOR of 2,095 scf/stbo. Prior to the ODSN-06 Kuparuk uphole recompletion the Nuiqsut production was at 267 bopd, 9 bwpd (3%) with a GOR of 441 SCF/STBO; uptime from the well was limited due to a non-competitive TGOR. The recompletion will allow future access to the Nuiqsut in the wellbore. Following diagnostics and a RWO to isolate the Kuparuk in ODSN-29, Nuiqust Eni Petroleum, Alaska Page 5 production was reestablished in November 2022 with December ODSN-29 Nuigsut production averaging 1,033 bopd, 94 bwpd (8%) with a GOR of 130 SCF/STBO; the Nuigsut in the well had been shut-in and isolated since 2017. The recompletions successfully expanded the developed OKOP area to the north and more distal to the ODSK-38 injection well, improving OKOP performance and ultimate recovery. Reopening the Nuiqsut in ODSN-29 has improved ONOP production and will improve recovery as offset injection is provided by ODSN-27. The original plan was to convert the ODSN-06 Nuigsut well to injection but the targeted offset producers have not been approved to drill. The ODSK-14 well 2022 production was limited to 30 days (8% uptime) due to its non-competitive TGOR. The ODSK-41 well was recompleted with an ESP in August and December, 2022 allowing sustained production from the well. Eni Petroleum, Alaska Page 6 50000 6045000 6040000 6035000 6030000 6025000 6020000 6015 m: O O r_ (L 0 W (A 0 (t) 0 4) ir a. 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'i Q. O L a L •O i w a a Y v m a From:Roby, David S (OGC) To:Carlisle, Samantha J (OGC); Guhl, Meredith D (OGC); AOGCC Reporting (CED sponsored) Subject:FW: Eni"s 2022 Oooguruk Reservoir Surveillance Reports Date:Monday, April 17, 2023 3:23:18 PM Eni has dropped the confidentiality request. Please add a copy of this email chain to the PDFs of the reports. Dave Roby (907)793-1232 From: Province Robert <Robert.Province@eni.com> Sent: Monday, April 17, 2023 2:55 PM To: Roby, David S (OGC) <dave.roby@alaska.gov> Subject: Eni's 2022 Oooguruk Reservoir Surveillance Reports Dave, Regarding Eni’s recently submitted 2022 Reservoir Surveillance Reports for both Nikaitchuq and Oooguruk Units, please disregard Eni’s request for confidentiality stated in our transmittal letter dated March 31, 2023. If you need an amended transmittal letter for the record, let me know. Please accept our apologies for this oversight. Thanks, Robert A. Province Manager – Land & Public Relations Eni US Operating Co. Inc (907) 865-3350- Office (907) 947-3793 – Cell Email: robert.province@eni.com From: Roby, David S (OGC) <dave.roby@alaska.gov> Sent: Thursday, April 13, 2023 1:16 PM To: Province Robert <Robert.Province@eni.com> Subject: RE: [EXTERNAL] RE: Eni's 2022 Oooguruk Reservoir Surveillance Reports Hi Robert, No worries. Because you made a claim of confidentiality, one that we disagree with, we’re not going to make the documents available to the public until we resolve the issue. Waiting until early next week is no big deal but if it drags on too long we may take other steps, like scheduling a hearing on the matter. Regards, Dave Roby (907)793-1232 From: Province Robert <Robert.Province@eni.com> Sent: Thursday, April 13, 2023 12:53 PM To: Roby, David S (OGC) <dave.roby@alaska.gov> Subject: RE: [EXTERNAL] RE: Eni's 2022 Oooguruk Reservoir Surveillance Reports Dave, Thank you for the helpful information below. I am suspecting early next week, to revoke Eni’s request for the RSRs be held Confidential. I will contact you as soon as I hear back from HQs. Again, thank you in advance for your patience in this regard. Robert A. Province Manager – Land & Public Relations Eni US Operating Co. Inc (907) 865-3350- Office (907) 947-3793 – Cell Email: robert.province@eni.com From: Roby, David S (OGC) <dave.roby@alaska.gov> Sent: Wednesday, April 12, 2023 3:49 PM To: Province Robert <Robert.Province@eni.com> Subject: RE: [EXTERNAL] RE: Eni's 2022 Oooguruk Reservoir Surveillance Reports Hi Robert, Yes, but it’s a little convoluted. 20 AAC 25.517 requires and initial reservoir development plan and then annual updates to said plan, so submitting an annual plan is a regulatory requirement. However, that requirement is usually superseded, as it is in the case of Eni’s operations, when pool rules are issued that prescribe slightly different requirements for a reservoir surveillance report (for example, Rule 12 of CO 631 prescribes the rules for Nikaitchuq’s report). The pool rules are issued in accordance with 20 AAC 25.520 and thus the rules in the orders have the same effect (i.e. it is a requirement the operator has to follow and the AOGCC could take an enforcement action against an operator if they do not abide by the conditions of the rule) as if they were written directly in the regulations themselves. In reference to why we’re saying these reports should be public information, 20 AAC 25.537(a) states: The commission will routinely make available to the public, by means of records or reports, in its offices or elsewhere, or by means of regular publication, the following information: …(3) all reports and information required by this chapter [this refers to 20 AAC 25] for development and service wells,… So, since the reports are required by an order issued under the chapter it’s our position the reports should be public. Hope this helps. Regards, Dave Roby (907)793-1232 From: Province Robert <Robert.Province@eni.com> Sent: Wednesday, April 12, 2023 2:48 PM To: Roby, David S (OGC) <dave.roby@alaska.gov> Subject: RE: [EXTERNAL] RE: Eni's 2022 Oooguruk Reservoir Surveillance Reports Dave, I probably won’t be able to get a final response to you until next week. Also, Headquarters had asked how AOGCC makes the request for these reports. It’s a regulatory requirement, correct? I am attempting to convince Headquarters to remove their confidentiality request. Eni has never requested confidentiality status on the RSRs. Robert A. Province Manager – Land & Public Relations Eni US Operating Co. Inc (907) 865-3350- Office (907) 947-3793 – Cell Email: robert.province@eni.com From: Roby, David S (OGC) <dave.roby@alaska.gov> Sent: Monday, April 10, 2023 2:13 PM Security Warning: This email originated from outside of the organization. Do not click links or open attachments unless you have verified the sender’s email address and know the content is safe. To: Province Robert <Robert.Province@eni.com> Cc: Guhl, Meredith D (OGC) <meredith.guhl@alaska.gov>; Carlisle, Samantha J (OGC) <samantha.carlisle@alaska.gov>; Brooks, James S (OGC) <james.brooks@alaska.gov> Subject: [EXTERNAL] RE: Eni's 2022 Oooguruk Reservoir Surveillance Reports Hi Robert, I haven’t heard anything back on the confidentiality issue. Have you had a chance to think about this? Regards, Dave Roby (907)793-1232 From: Roby, David S (OGC) Sent: Monday, April 3, 2023 2:47 PM To: Province Robert <Robert.Province@eni.com> Cc: Guhl, Meredith D (OGC) <meredith.guhl@alaska.gov>; Carlisle, Samantha J (OGC) <samantha.carlisle@alaska.gov>; Brooks, James S (OGC) <james.brooks@alaska.gov> Subject: RE: Eni's 2022 Oooguruk Reservoir Surveillance Reports Hi Robert, I understand there’s been some back and forth this morning about additional submittals. What we need are Excel spreadsheet versions of the 10-412 reports that are attachment C in the ARSs and the 10-428 that is Attachment E in the reports to facilitate loading this information into our database. Attached is your submittal of the 412s from last year for reference. Also, on the Annual surveillance reports and the Polymer Injection project report on the cover letters you request that the reports be held confidential. Many moons ago you submitted ARSs marked as confidential and at that time you said that was done in error and Eni wasn’t seeking to have the reports held confidential (see attached email). Has Eni’s position on this matter changed? If so you will need to provide justification for the AOGCC to consider for why these documents should be held confidential. Generally speaking, information that the AOGCC requires to be submitted, as is the case for the ARSs and the polymer injection report since those were required by orders issued by the AOGCC, is considered public information unless it is entitled to confidentiality under some other provision of state or federal law. In which case the specific information that is entitled to confidentiality can be redacted from the report but the bulk of the report will be made available to the public. CAUTION: This email originated from outside the State of Alaska mail system. Do not click links or open attachments unless you recognize the sender and know the content is safe. Regards, Dave Roby (907)793-1232 From: Carlisle, Samantha J (OGC) <samantha.carlisle@alaska.gov> Sent: Monday, April 3, 2023 12:08 PM To: Roby, David S (OGC) <dave.roby@alaska.gov>; Brooks, James S (OGC) <james.brooks@alaska.gov> Cc: Guhl, Meredith D (OGC) <meredith.guhl@alaska.gov> Subject: FW: Eni's 2022 Oooguruk Reservoir Surveillance Reports From: Province Robert <Robert.Province@eni.com> Sent: Monday, April 3, 2023 12:05 PM To: Carlisle, Samantha J (OGC) <samantha.carlisle@alaska.gov> Cc: Zuber Joshua <Joshua.Zuber@eni.com> Subject: Eni's 2022 Oooguruk Reservoir Surveillance Reports Sam, Attached please find the subject reports (digital copies) that I dropped off at AOGCC on Friday March 31st. Remainder of reports to follow in next email. Robert A. Province Manager – Land & Public Relations Eni US Operating Co. Inc (907) 865-3350- Office (907) 947-3793 – Cell Email: robert.province@eni.com ------------------------------------------------------------------------------------------------------------------------- ----------------------------------------------- Message for the recipient only, if received in error, please notify the sender and read http://www.eni.com/disclaimer/