Class of 2010 Petroleum Engineering |
On March 22, 2010, a field trip to Lloydminster had been organized for the fourth year petroleum engineering students. The students were given opportunity to discover and explore the Canadian’s heavy oil industry within Lloydminster region with tour to Tangleflags and Pikes Peak fields. Visit to well site, rig, battery, thermal site project of SAGD and CSS, sand cavern, steam generation plant accompanied by few Husky Oil’s employees were parts of the trip. Husky Oil Ltd is the main player in Lloydminster’s oil industry and the company has heavily contributed to the development of the region since 1950’s and this will continue for the next few decades with still large amount of oil is available to be extracted and produced.
Lloydminster is a very unique and special city. It is the only municipality in Canada that is situated within two provinces, where half of the city is in Saskatchewan and the other half of the city is in Alberta. Not only that, Lloydminster also is blessed with huge amount of oil reserves. It is estimated that the total reserves range as high as 30 billion barrels of oil in place in all formations within the area. This has attracted oilmen and oil companies to Lloydminster since 1900’s in effort to make fortune of the oil. Although the city was primarily an agricultural based centre, but today the city accepts oil industry as part of its economic prosperity.Husky Oil Ltd is the major operator in Lloydminster’s oil industry. The company built their first oil refinery back in 1947 and since that, they have made a lot of changes to increase the capacity of the plant production. With the latest upgrade that was done in 1992, the refinery plant is capable to process 82 000 barrels per day of heavy oil and most of oil is shipped for United State’s market.
The trip started with a tour to one of the well sites in Tangleflags field. Overview of the field operation was given to our group by three Husky Oil’s employees. Then we were shown to a new well site. The drilling process was just finished and perforation for the completion of the well was going on when we arrived there. The oil rig for the well is quite small and the blowout preventer that is used for the operation is the smallest that I ever seen. This is due to the small risk for blowout to happen in heavy oil operation. The target formation for the operation is unconsolidated sandstones where usually big amount of sand will be produced. In order to reduce the amount of sand produced, progressive cavity pump is used for most of the operation in the field area. The progressive cavity pump is specially developed in Lloydminster due to the natural characteristic of oil formation in the area. The pump can tolerate extremely large amount of sand and viscous oil. However, other problem raises, high wear associated to sand production causes pump to wear out or damage. This leads to frequent services and work over for replacement of worn or damaged pump.
The trip then continued to Tangleflags battery. The facility is a cleaning and treating plant for the heavy oil that is produced within the field area. Heavy oil that is extracted from the formation is brought to the facility by using truck. In heavy oil operation, trucking is the main operating cost. Pipelines are not suitable for heavy oil operations due to the extremely viscous oil, which is hard to mobile. The facility cleans and treats the heavy oil by removing all the unwanted impurities, utilizing both an atmospheric and pressure treating system. This facility cleans about 3000 m3/day of emulsions and disposes about 1500 m3/day of produced water from the well sites. The resulting products from the process are then injected into the earth formation to reduce the environmental impact.
After that, our group was brought to the next field tour, Pikes Peak. Pikes Peak field is the most successful heavy oil operation with Steam Assisted Gravity Drainage (SAGD) and Cyclic Steam Stimulation (CSS) method. Due to the extremely high value of viscosity, oil in this area is basically immobile. In order to produce the oil, viscosity needs to be reduced to a certain value where the oil will start to move. This can be done by thermal process such SAGD and CSS. These two types of technology are heavily being exploited due to the increased oil prices.
SAGD is considered as an advanced form of steam stimulation technique. In this method, a pair of horizontal wells is drilled into the targeted formation, one about 4 to 6 meters above the other. Through the upper wellbore, low pressure steam is continuously injected to heat the oil resulting the oil viscosity to reduce. This then will cause the heated oil to drain into the lower wellbore, where it is pumped out to the surface. SAGD actually is a costly method due to the horizontal wells that need to be drilled, but it is preferred in this area as horizontal wells could reduce sand production and this will reduce the need for treatment of oil which finally help to decrease the cost in a long term period.
On the other hand, CSS which also known as “Huff and Puff” method, consists of three stages: Injection, soaking and production. In the first stage, steam if injected into a well from an injector for a certain amount of time to heat the oil in the surrounding reservoir to a temperature at which the oil will flows. After that, the steam is usually left to “soak” for certain period of time. For the final stage, the oil is produced out to the surface, at first by natural flow since the steam injected will increase the reservoir pressure. Once the oil stops being produced naturally, artificial lift then might be used. Production will drop as the oil cools down, and once production reaches the economically limit, the steps of this method are repeated again.
Besides thermal process, other types of enhanced oil recovery (EOR) such as water flooding and solvent flooding are also being applied in certain area of the field where the well characteristics might be suitable. For example, well with viscosity about 24000 cp, solvent flooding would be preferred, while water flooding would suit well that contains oil with viscosity ranges 100cp to 700 cp.
The trip ended with a tour to the sand cavern, which is located south of the Husky Lloydminister Upgrader. The facility is used to dispose the sand and waste produced from the heavy oil production. Mixing with water, the disposal will be injected 1500 meters below the earth surface into caverns created in a salt formation. This will help to prevent the waste polluting the fresh water sources and soil, resulting less environmental impacts.
Overall, the field trip was a huge success. I have learned so much about Canada’s heavy oil industry from the trip to Lloydminster. The industry is a big industry especially in Alberta and Saskatchewan provinces, which has become the main driving force for the development of this region. The technologies used in the industry too are advanced and evolve from time to time for a better change.