Network Update Newsletter

        June 1994
        "...research, technology, information and networking for the upstream petroleum industry..."

        On behalf of Member companies, PSTI creates and maintains networks for technical collaboration across the industry-research interface. The Institutes goal is to improve the effciency of petroleum exploration and production through research and the transfer of information and new technology.

        Network update will appear three times a year and will complement the present Management and Technical Briefing for Members.

        Network Update will be distributed widely throughout our membership and research networks in order to improve the flow of up-to-date information on PSTI's plans and activities.

        Welcome to PSTI's growing research and technology Networks

        Robert Johnson


        To be placed on the mailing list for the paper version of the Network Update news letter please use this email link


        In This Issue

        • Industry evaluates PSTI research programme
        • New Members
        • Subscription-funded research project investments
        • ARIC out of time
        • Research news
          • Developments in reservoir stress state management
          • Diagenesis project gains further support
          • IPRD published
          • Actions in technology transfer
            • Kinematic model for 3-D fault geometry determination
            • FaMOUS - innovative reservoir modelling soft-ware tool
            • PSTI networking
              • ENeRG works to influence EC research agenda
              • European Coiled Tubing Technology Forum
              • Bullet points


              Industry evaluates PSTI research programme

              PSTI's 1990-93 subscription-funded research has been evaluated recently by the Institute's Science Advisory Committee (SAC).

              PSTI's investments in the Predictive Geoscience Unit (Edinburgh University) and the Horizontal Well Technology Unit (Heriot-Watt University) were also assessed.

              Scope: the SAC posed the following questions:

              1. have research projects achieved their objectives?
              2. how good were PSTI's selection, resourcing, monitoring and reporting processes?
              3. have Members obtained good value from the investments?
              4. are research products reaching application?

              Conclusions: the primary conclusions from the review are:

              1. the majority of funds were placed effectively;
              2. most projects had achieved their objectives;
              3. dissemination of results had been good

              On funds used for research, and assuming (conservatively) that each Member company had a real interest in only 25% of the portfolio, the SAC considered that Members had achieved a leverage factor of 10 on their investment in PSTI's research.

              Research Units: the Predictive Geoscience Unit was viewed as a good example of what PSTI-university collaboration could achieve and had the potential to be very useful to the industry. On the Horizontal Well Technology Unit, the SAC judged that a new centre of excellence had been established with effective links to industry.

              Recommendations: the SAC proposed that PSTI:

              1. improve processes for determining industry's research priorities;
              2. continue to develop knowledge of research capability;
              3. encourage cross-disciplinary collaboration; and,
              4. focus subscription-funds on fewer, larger projects in future.


              New Members

              PSTI has been active for some time, and with some success, in recruiting "technology delivery" companies to full membership of the Institute, notably in late 1993 in attracting the Norwegian company PGS Reservoir Services. However many important players in this technology delivery process are small and medium sized enterprises for whom a new Membership scheme has been introduced.

              With the support of Scottish Enterprise National, a pilot SME Membership Scheme has been launched which now has nine members:

              • CALtec
              • Edinburgh Petroleum Services
              • Nan Gall Technology
              • Oilphase
              • Petrotechnics
              • Prodrill
              • Reservoir Research
              • Sysdrill
              • Tristar Oilfield Services

              These companies are provided with R&D and market intelligence, and new industry contacts.

              Close links with technology delivery companies is of particular importance to PSTI's technology transfer process: we expect to see an increasing number of "technology delivery"companies recruited to membership in the future - both as SME Members and full Members.

              (For further information on membership contact Graham Stewart, PSTI's Business Development Manager on 031 451 5231)


              Subscription-funded research project investments

              The list below provides information on the active projects within PSTI's subscription-funded research portfolio.

              1. Simultaneous measurement of flow rate and concentration in multiphase flows using NMR methods (Cranfield: SE/92/12)
              2. Investigation of the energy-based planned maintenance of offshore drilling mud pumps (Robert Gordon Univ: SE/92/13)
              3. Multiphase flowmetering by stochastic methods (Imperial Col: SE/92/14)
              4. Characterisation of hetero-atomic compound compositions in heavy oils with emphasis on water retention (Newcastle Univ: SE/92/15)
              5. Application of acoustic cavitation to the petroleum industry (Cambridge/Southampton Univs: SE/92/16)
              6. Design and the function of environmentally acceptable corrosion and fouling inhibitors (Aberdeen Univ: SE/92/17)
              7. Development of subsea acoustic communications networks (Newcastle Univ: SE/92/18)
              8. Effect of solution gas in waterflooded reservoirs (Imperial Col: SE/92/2 0)
              9. Microscopic modelling of relative permeability in systems containing three phases (Heriot-Watt Univ: SE/92/23)
              10. Concrete testing in offshore structures (Kings Col: SE/93/25)
              11. Chemical and textural changes causing permeability reduction in fault zones (RHBNC: SG/92/16)
              12. Deformation and diagenetic studies around fault zones in neotectonic basins (Manchester Univ: SG/92/17)
              13. Application of object-oriented databases to hydrocarbon reservoir modelling (Aberdeen Univ: SG/92/18)
              14. Geological controls on well bore stability (Imperial Col: SG/92/20)
              15. Development of interface tracking methods for modelling of fluid flow in heterogeneous porous media (Imperial Col: SG/92/21)
              16. Sensitivity analysis of depositional architecture vs faulting on effective connectivity in clastic hydrocarbon reservoirs (Liverpool Univ: SG/92/22)
              17. Sensitivity of reservoir properties to production induced stress-state and diagenetic changes (Heriot-Watt/Edinburgh Univs: SG/93/27)

              Further information is available from Irene Hepburn, PSTI's Information Manager.


              ARIC out of time

              PSTI's Aberdeen Rock Imaging Centre in Aberdeen closed down in April after three years of operation using X-ray techniques to scan rock core.

              First established with the strong support of many companies in the core analysis and E&P sector in Aberdeen, ARIC had a reputation for the quality of its customised processing of images from both its C-T Scanner and Real-Time X-Ray Scanner. ARIC also promoted the concept of routine non-destructive core screening to optimise subsequent sub-sampling and analysis.

              However, ARIC failed to win sufficient funds to support research to advance the application of X-ray technology to core analysis - PSTI's original objective for the facility. Also, despite providing a scanning service for many industry clients, it was unable to operate successfully in a wholly commercial mode to achieve the capital investment required for the essential upgrading of the Centre's C-T Scanner to match the quality of the image processing capability.

              From an analysis of activity in scanning elsewhere, especially in Norway, we remain convinced in the technical importance to the industryof X-ray scanning in the future; our ARIC initiative was simply out of time.


              Research news

              Developments in reservoir stress state management

              The research team at Heriot-Watt and Edinburgh universities established to conduct the PSTI subscription-funded research on the effects within a production time frame of changing pore fluid chemistry and stress state on reservoir permeability, has won support to extend this research from the OSO/NERC Reservoir Sciences LINK scheme.

              Their project, "Recovery Enhancement and New Awareness of Injection from Simulation of Stress and Chemistry Effects" (Project RENAISSANCE), involves collaboration with Vector International Processing Systems (VIPS) Ltd and INTERA Ltd.

              The objective of the project is to provide industry with a stress sensitive reservoir simulator for predicting injectivity behaviour and for improved management of recovery operations. The new tool will be an essential aid to the application of reservoir stress state management.

              Funding commitments from two major companies have already been received to add to the LINK funds. Discussions are well advanced with another potential sponsor for the project.

              Diagenesis project gains further support

              The PSTI co-ordinated joint industry-funded research project on "Quantification of Fault-Related Diagenetic Variation of Reservoir Properties at Outcrop"being conducted at Heriot-Watt, Liverpool and Manchester universities has gained additional industry support. Begun in October 1993 with sponsorship from Amoco, British Gas, Mobil, Shell, and Total, the sponsor group has recently been joined by Amerada Hess and Exxon.

              The aim of the research is the identification and quantification of spatial diagenetic heterogeneity and scaling relationships from rigorous documentation of diagenesis around faults at outcrop.

              The outcrops selected for initial investigation are the Moab-Lisbon Valley fault system, Utah, USA.

              This project tackles technical issues flagged up as an industry priority by PSTI's Fluid Flow in Complex Reservoirs and Production Geoscience Technical Interest Groups in early 1993, and builds on PSTI's subscription-funded research within its Fluid Flow in Complex Reservoirs Programme.


              International Petroleum Research Directory published

              PSTI produced in March 1994 the 2nd edition of its Petroleum Research Directory now with international coverage of research projects (and known as the International Petroleum Research Directory, or IPRD). PSTI is now achieving the goal of producing the authoritative source of information on exploration and production research activity world-wide.

              The publication of the 2nd Edition also marks the first tangible product of a new joint venture with Longman, the international publishing house, whose affiliates already provide, for example, the BEST Database on UK research capability and the World Energy Database. This collaboration will allow PSTI to move more quickly and efficiently to provide and maintain the highest quality international research directory - that is to provide Members with more (and better) for less.

              The CD ROM format of the IPRD will be published in August 1994.


              Actions in technology transfer

              Commercial product development opportunities in fault analysis and modelling

              Kinematic Model for 3-D Fault Geometry Determination

              PSTI, in association with researchers in the Department of Earth Sciences, University of Cambridge, has recently announced an opportunity to develop commercial software from PSTI subscription-funded research conducted during 1991-93. The research project resulted in the development of a general 3-D kinematic model for determining the shape of any normal fault at depth from deformed hanging and footwall strata. The model was tested during the research on sand box models at the University of Rennes and on industry seismic data.

              A "technology delivery" company interested in seismic interpretation/fault analysis and modelling is being sought to bring this research to commercial application.

              FaMOUS - Innovative reservoir modelling software tool incorporating sedimentary architecture and faults

              FaMOUS (Fault Modelling of Uneven Stratigraphy) was conceived initially as a research tool in the PSTI subscription-funded project "Sensitivity Analysis of Depositional Architecture vs Faulting on Effective Connectivity in Clastic Hydrocarbon Reservoirs", being conducted in the Department of Geology and its Fault Analysis Group at Liverpool University, but quickly became recognised as a powerful new modelling tool for the reservoir geologist and engineer in industry.

              The research project within which FaMOUS was born, has the following objectives:

              1. To demonstrate the sensitivity, with respect to bulk permeability, of a range of North Sea analogue reservoir sedimentary architectures to sub-seismic faulting
              2. To establish ground rules for determining what sizes and densities of faults need to be considered when modelling and assessing continuity in clastic reservoirs with different types and scales of primary sedimentological heterogeneity
              3. To develop methods by which this modelling and assessment can be carried out on a routine basis.

              The present research project ends in March 1995 but already PSTI and the University are searching for a suitable "technology delivery"partner to bring FaMOUS to commercial application.


              PSTI Networking

              One key element underpinning PSTI's activities on behalf of Members is the continual process of building and maintaining networks of contacts in both industry and the R&D community. Often only in retrospect can the importance of such activity be evaluated when it has matured into an opportunity or hard deliverable evident to Members.

              To raise awareness of this activity, Network Update will include a regular section highlighting PSTI's networking activities.

              ENeRG works to influence EU research agenda

              The European Union is currently deciding on the shape and size of its Fourth Framework Programme (1995-98) in the field of Non-Nuclear Energy.

              To promote the case for investment in upstream oil and gas research, development and demonstration projects, PSTI joined forces with TNO (The Netherlands) and IFP (France) in forming the European Network for Research in Geo-Energy (ENeRG). Since its formation in early 1993, ENeRG has grown to include R&D organisations in Denmark, Germany, Greece, Italy, Norway and Portugal.

              In addition to its co-ordinated actions during the past six months to lobby the European Union over budget allocation, ENeRG is also making proposals on the scientific and technical content of the Programme. PSTI brings to this process information on Members' short and medium term R&D priorities gained from both Technical Interest Groups and from contact with individual companies.

              PSTI currently holds the Presidency of ENeRG.

              European Coiled Tubing Technology Forum An action on PSTI from the Drilling & Downhole Technology Technical Interest Group was to create a European Forum for Coiled Tubing Technology. The need for such a forum was also emphasised in a recent coiled tubing study carried out by PSTI on behalf of a third party.

              An independent steering committee has now been brought together consisting of representatives from PSTI, Rogaland Research, SPE-Continuing Education (Aberdeen Section) and Drexel (USA). The two-day event will take place on 18-19 October 1994 at the Aberdeen Exhibition & Conference Centre.


              Bullet points

              PSTI's High Pressure/High Temperature Technical Interest Group meeting in March 1994 was convened in conjunction with MTD Ltd to review research proposals for the proposed MTD/PSTI Managed Programme on HP/HT. In addition, the meeting heard presentations on technical capability and work in progress from the Materials Engineering Research Laboratory, Nan Gall Technology, Prodrill Engineering and Oilphase Sampling Services

              The Horizontal Well Technology Unit, the PSTI/Heriot-Watt University joint venture, held a successful Forum in Aberdeen in January 1994 attended by 110 international delegates. The next Forum focusing on horizontal well performance case studies is scheduled for 18-19 August 1994 in Edinburgh. for further information contact the Unit on 031 451 3163

              At PSTI's seminar on "The Fate of Drilling and Production Chemicals - is there a need for more research?" held in Edinburgh in April 1994, 30 delegates heard presentations from IOE, MAFF and UMIST on current research, and from Oil Plus, EOSCA, Aquateam and from a representative of the E&P Forum on current legislation and industry action in this area

              The PSTI co-ordinated project "Engineered Depressurisation of Water-flooded Reservoirs" started in April 1994. Supported by BP, Elf, Enterprise, Marathon, Mobil, Shell, Statoil, Total and the UK Department of Trade & Industry, the research will be conducted at AEA Technology, Heriot-Watt University and Imperial College


              To be placed on the NETWORK UPDATE mailing list, or for further information, please contact the Information Group at the Aberdeen office:

              Irene Hepburn - Colin Sanderson - Mandy Watson

              THE PETROLEUM SCIENCE AND TECHNOLOGY INSTITUTE

              Dunedin House, 25 Ravelston Terrace, Edinburgh EH4 3EX, UK. Tel: +44 (0)31 451 5231 Fax: +44 (0)31 451 5232

              Offshore Technology Park, Exploration Drive, Aberdeen AB23 8GX, UK. Tel: +44 (0)224 706600 Fax: +44 (0)224 706601