EH223 6C
ECCLES FIELD
TEAM MEMBERS
CHAPTER 2: INTRODUCTION
This report is about feasibility study of Eccles field development project that is
located at a remote area. This field development project part of work consists of production
forecast, subsurface development plan, economical evaluation and health, safety and
environment. The main objective of this project is to maximize the profit at the cost effective
manner. To achieve that objective, all departments have cooperated in deciding the decision
of every action taken for this field development.
This report will discuss about the drilling costing for this field. For Subsurface
development plant, they were responsible for detail the design of the facilities for the field.
The main objective of this department is to prepare the flow diagram of the facilities and to
prepare the most suitable separation system, compression system and utilities for the whole
well in the Eccles field. Facilities department also responsible to designs the most
economical supporting structure such as platform, process flow lines and choose the best
evacuation method of crude oil from Eccles field to crude oil terminal. All the design should
support and give the optimum production rates and the most economical for Eccles field for
long period of time.
This report also explained about the economical evaluation for this field. For the
economical evaluation, there are three part of work which is the comparison in term of
Economical and Technical Consideration, Economical evaluation for CAPEX and OPEX and
the technical evaluation in term of advantages and limitation of supporting structure and
topside module. The amount of hydrocarbon initial in place including oil (OOIP) is the best
guideline to choose which scenario has the most priority to be developed. Eccles Field is an
oilfield consists of 30 MM STB of oil. By using data from development team, a cash flow
model based on Malaysian Production Sharing Contract (PSC) 1997 has been developed.
The health, safety and environment factor also included in this report. It covers the part of
DOE regulation, NFPA and safety features in the Eccles field.
CHAPTER 3: PRODUCTION FORECAST
The Eccles Fields reservoir is an Under-Saturated Oil Reservoir with Initial Reservoir
Pressure higher than the Bubble Point Pressure (pi>pb). It is assumed that the reservoir is
under Black Oil Reservoir as the Initial Gas Oil Ratio, Rsi, is less than 1300 scf/bbl.
Initially, since there is no gas cap in the reservoir, the primary drive mechanism of the
reservoir is under-saturated oil drive with 1 to 2% recovery factor. After two years, the water
breakthrough is expected that will boost the recovery factor. Dake (20xx, p. 97) has
mentioned that during this stage, expansion of aquifer water will limit the pressure decline in
the reservoir and the recovery from this reservoir will very high in excess of 50%. It is
estimated that the Peak Crude Oil Production Rate occur during this stage. When the
reservoir pressure is less than bubble point pressure (4,300 psia), the first drop of gas will
come out and solution gas drive will take place together with water drive. This stage is
estimated to occur after the fifth year of production. An assumption has been made that the
Peak Crude Oil Production Rate is equal to Peak Gas Production Rate, but occur in different
timeframe. The estimated lifespan of the reservoir is 19 years with technical recovery
estimated as 30 MMbbl.
No of Well Required
No of well =
30
= 5
= 6 Wells
SEPARATION SYSTEM
The principle of the separator for this separation system are combination of the Gravity,
Coalescence and Momentum. The options selected for Eccles Field are:
Option 1 : 3 Phase Vertical Separator for Stage 1, 3 Phase Horizontal Separator for
Stage 2
Option 2 : 3 Phase Horizontal Separator for stage 1, 3 Phase Vertical Separator for
Stage 2
Option 3 : 3 Phase Vertical Separators for Stage 1, 3 Phase Vertical Separators for
Stage 2
. Since the production forecast expected after 3 year only, gas and water production will be
produced. Horizontal separator is primarily used to separate oil and water effectively while
vertical separator is used because of its price and size is suitable for offshore platform. The
purpose of Separation System is to stabilize and dewater the hydrocarbon to meet the export
specification.
Liquid retention time is dependent on fluid properties and should be verified by testing on
actual fluid at operating conditions (pressure and temperature). The retention time to be
calculated from normal levels in the separator. Horizontal separator can handle fluid that has
very low retention time better than vertical separator. Liquid retention time also affected by the
flowrate of the fluid and gas. At the beginning of the production, the main purpose was to get
as much oil as possible. But after gas produced, the amount of gas quite high so the gas is also
taken for sale. Therefore separator need to be able to separate oil, water and gas.
Retention time is very important for separation of liquid-liquid. The longer the retention time,
the better the separation process.
Liquid levels
In the sizing of the separators, the equivalent retention time between normal operating and
alarm level and between alarm level and trip level shall not be less than 30 seconds or
100mm, whichever is greater, for both high and low ranges, however the major guiding factor
will be a reasonable time for the operator to check reasons for operating outside the normal
level. Motion effect shall also be considered. So, the level controller are installed especially
in vertical separator.
Separator internals
Because of the properties of the production fluid contains gas,oil and water, so installation of
the gas demisters or inlet cyclones is appropriate to increase the efficiency of the separation
process, the turndown of the equipment is important for its performance. In such cases, both
minimum and maximum liquid, crude oil, water and gas rates must be considered. Internals
for motion damping shall be applied as necessary. All internals shall be removable and
installable through the manways without welding. Increased internal pressure drop caused by
fouling shall be considered for all relevant scenarios, including, but not necessarily limited to
drain pipes (from gas outlet arrangement). On floating installations motion/wave-dampening
internals shall be installed. The separator shall operate such that undesired channelling, non-
plug flow or short circuit flows do not occur in both liquid and gas phase.
Gas outlet nozzles shall be provided with demister arrangements. Pressure tappings should be
installed upstream and downstream gas outlet device, for continuous measurement of
differential pressure to detect clogging. The liquid collected by the gas outlet device are
collected and drained by a drain pipe to the bottom of the separator. The pipe must be
submerged below the LALL. Sufficient drainage head must be assured, so that liquid carry-
over through the drain pipe does not occur under any circumstances. The drainage is
normally internal, into the vessel bottom, but should be routed externally in case of
insufficient drainage height. The total differential pressure over the demisting section,
measured in liquid height, shall not be more than 50% of the available drainage height related
to LAHH.
Internals in the liquid phase should be minimised due to potential clogging. Internals for
improved efficiency of liquid / liquid separation shall be applied based on knowledge about
emulsifying and separability characteristics, and a thorough understanding of fouling
tendencies (through all relevant mechanisms such as scaling, sand accumulation and deposits
of heavy hydrocarbons). Liquid outlet nozzles shall be provided with vortex breakers. The
bottom of the separator shall be possible to inspect with as little dismantling of internals as
possible for access.
Solids removal
All separators shall, as a minimum, have nozzles for sand removal installed. When solid
production is likely the following requirements apply:
All separators shall have sand pans.
Internal jet water headers shall have nozzles for high volume / low driving pressure
with a fan spray pattern which is overlapping between each nozzle
The headers shall be spaced sufficiently for efficient sand removal by unidirectional
jets towards the sand pan.
Sand removal shall be based upon sand fluidization rather than sand displacement.
Consideration shall be given towards efficient sand removal along the entire length of
the separator.
Nozzles to be protected against damage or misalignment by human activity during
normal vessel inspection/maintenance.
Nozzles
Manways shall be minimum 24 and installed to prevent trapped volumes when the separator
is drained.
Instrument nozzles shall be located outside the sand accumulation area. Gas nozzles to flare
shall be located such that liquid carry-over is avoided. Separator inlet and outlet process
nozzles (gas, oil, water) shall be sized a minimum of one standard dimension larger than the
connected pipe work.
System capacity
In design and sizing of the system, a complete set of data on the predicted variations in the
inlet/wellstream quantities and characteristics shall be considered. Simulation data shall be
available to cover all known operating cases over the lifetime of the field. From the
simulation results, sizing cases should be tabulated for each equipment item. In selecting the
design cases it is important to consider the:
Maximum total liquid rate with corresponding highest gas rate.
Maximum oil rate with corresponding highest gas rate.
Maximum water rate with corresponding highest gas rate.
Maximum gas rate with corresponding highest liquid rate.
Operating temperature (including variations in temperature) and pressure in all the
above cases.
The crude oil export specifications are dictated by the downstream facilities/requirements.
System configuration
Normally a single train shall be employed. However, two trains should be used in cases
where:
Vessel sizes exceed normal fabrication and/or transportation constraints.
Increased oil production regularity justifies multiple trains.
There is a substantial quality/price difference in the crude oils to be processed thus
providing an economic justification for separate processing and offloading.
HP and LP separation trains are required to process feeds from wells operating at very
different pressures.
Pressure control
Test separator
The test separator and its system shall be designed to operate both in parallel to the inlet
separator and to lower pressure levels. The size shall as a minimum cater for the maximum
production from any well, GOR and pressure level.
Maintenance requirements
Test separator
Flow measuring devices that will require frequent maintenance, shall be provided with
isolation valves.
Layout requirements
The following lay-out considerations generally applies to the crude oil separation and
stabilization system:
Level control valves should be located to avoid flashing upstream the valves, and to
minimize slugging in the lines downstream such valves.
The lay-out shall allow for gravity draining of the separators (without pockets in the
drain lines) to the closed drain system.
An electrostatic coalescer, if included in the separation train, shall operate liquid
filled.
Where a plate exchanger is used for oil cooling, the lay-out should be such that
flashing will not occur in the cooler.
Inlet piping to all separators shall be arranged to avoid high shear forces.
Interface requirements
Individual injection points for anti-foam chemicals shall be installed on test and separation
manifolds and upstream all separator inlets. Injection points for emulsion breaker and
potentially other chemicals shall be provided for on the production and test manifolds.
Emulsion breaker chemicals may also be required upstream all separators. Consider injection
of emulsion breaker and scale inhibitor upstream choke for improved efficiency. When two
or more chemicals are injected into the same stream, it must be checked whether a minimum
distance is required between the injection points to allow in mixing of one chemical before
the next is added.
Commissioning requirements
Piping shall be fitted with high point vents and low point drains.
Safety requirements
In designing the separation and stabilization system, the following safety aspects apply as a
minimum:
The separators hold large quantities of hydrocarbons in liquid and gaseous phase. Fire
protection insulation on the vessels in order to ensure their integrity in the event of a
fire shall be considered.
Relief cases to be considered for sizing of relief valves shall include fire relief,
blocked outlet, and gas blowby.
During a process or emergency shutdown, the system should be segmented by use of
actuated isolation valves. It is normal practice to treat each separator as an individual
section and isolation valves shall be provided to automatically isolate each vessel in
the event of a process or emergency shutdown.
DESIGN SELECTION
Horizontal separators are smaller and less expensive than vertical separators for a given gas
capacity. In the gravity settling section of a horizontal vessel, the liquid droplets fall
perpendicular to the gas flow and thus are more easily settled out of the gas continuous phase.
Also, since the interface area is larger in a horizontal separator than a vertical separator, it is
easier for the gas bubbles, which come out of solution as the liquid approaches equilibrium,
to reach the vapor space. Horizontal separators offer greater liquid capacity and are best
suited for liquid-liquid separation and foaming crudes.
Thus, from a pure gas/liquid separation process, horizontal separators would be preferred.
However, they do have the following drawbacks, which could lead to a preference for a
vertical separator in certain situations:
1. Horizontal separators are not as good as vertical separators in handling solids. The liquid
dump of a vertical separator can be placed at the center of the bottom head so that solids will
not build up in the separator but continue to the next vessel in the process. As an alternative, a
drain could be placed at this location so that solids could be disposed of periodically while
liquid leaves the vessel at a slightly higher elevation. In a horizontal vessel, it is necessary to
place several drains along the length of the vessel. Since the solids will have an angle of
repose of 45 to 60, the drains must be spaced at very close intervals. Attempts to lengthen
the distance between drains, by providing sand jets in the vicinity of each drain to fluidize the
solids while the drains are in operation, are expensive and have been only marginally
successful in field operations.
2. Horizontal vessels require more plan area to perform the same separation as vertical
vessels. While this may not be of importance at a land location, it could be very important
offshore.
3. Smaller, horizontal vessels can have less liquid surge capacity than vertical vessels sized
for the same steady-state flow rate. For a given change in liquid surface elevation, there is
typically a larger increase in liquid volume for a horizontal separator than for a vertical
separator sized for the same flow rate. However, the geometry of a horizontal vessel causes
any high level shut-down device to be located close to the normal operating level. In a
vertical vessel the shutdown could be placed much higher, allowing the level controller and
dump valve more time to react to the surge. In addition, surges in horizontal vessels could
create internal waves that could activate a high level sensor.
It should be pointed out that vertical vessels also have some drawbacks that are not process
related and must be considered in making a selection. These are:
1. The relief valve and some of the controls may be difficult to service without special
ladders and platforms.
2. The vessel may have to be removed from a skid for trucking due to height restrictions.
Overall, horizontal vessels are the most economical for normal oil-gas separation, particularly
where there may be problems with emulsions, foam, or high gas-oil ratios. Vertical vessels
work most effectively in low GOR applications. They are also used in some very high GOR
applications, such as scrubbers where only fluid mists are being removed from the gas.
Therefore, the selection for this project would be the Options 1 which are 3 Phase Vertical
Separator for Stage 1 and 3 Phase Horizontal Separator for Stage 2.
COMPRESSION SYSTEM
Main function to use the compressor in the oil and gas process is to increase the pressure of
the gas so that the gas can flow with the enough energy or flowrate. Simultaneously, the
compressor reduce the volume of the gas.
We provide the 3 suitable options of the compressor type that available to be use at the Eccles
Field.
I. AXIAL
Best operate in the large flow with low pressure gas.
II. RADIAL
Suitable to be use in the large to medium flow and high pressure condition of the gas.
III. PISTON
VENT DESIGN
The size of the vent stack must consider radiation, velocity and dispersion.
Elevated Flare
I. Jack Up Rig
II. FPSO
PLAN A: FIXED PLATFORM (JACKET PLATFORM) WITH SUBSEA PIPELINE
In Eccles Field, the estimated recoverable oil and gas are 30 MMbbl. The oil will be
transported to Export Terminal which 250 km away from the fixed platform (Jacket Platform)
while for gas transportation to Gas Processing Plant is 100 km. By using pipeline. Some criteria
are needed to be analysed which are type of material, size, distance, length and also the design
structure.
The steel jacket platform on a pile foundation is by far the most common kind of
offshore structure. This platform are vertical sections made of tubular steel members, and
usually piled into the seabed.
PLAN B: SEMI-SUBMERSIBLE
This is called floating platform. It recently used at water depth 200 to 10,000 ft and
also a place where heavy weather. It can be movable or remain at one place. Once it reached
the target point (drill point), it released its anchors that attached to seabed.
Semi-submersible has caisson or column which create buoyant force (from buoyant
pontoons). The vessel is ballast down in order to make sure the pontoons are submerged,
thus giving a substantial buoyancy.
PLAN C: FLOATING, PRODUCTION, STORAGE AND OFFLOADING (FPSO)
This kind of floating unit vessel used by the offshore industry for the processing of
hydrocarbons and for the storage of oil. It received hydrocarbons produced from the nearby
platforms or subsea template, process them, and store oil until it can be offloaded onto a
tanker or transported through a pipeline.
PLATFORM SELECTION
A jacket platform will be installed at Eccles Field. Due to the shallow water (250 m),
jacket platform is chosen. This platform has concrete three legged that attached to the seabed
and also easily to decommissioning.
The factor of choosing this platform:
Stable work platform
Availability
Permanent accommodation for 80 120 persons
Easily use in shallow water
The choosing of platform must not be too expensive as the objective is to rise the profit with
lower operational cost. Thus, some criteria are considered such as:
A. Environmental Forces
This force cannot be control by the operator or the driller. To avoid this, we design the
platform in order to make the operation run smoothly. Certain criteria are applied:
PIPELINE SELECTION
Subsea pipeline is broadly used to transfer considerable amounts of oil pipeline around
the seabed through the closed tubes, which are key parts of the offshore oil (gas) area
development and production system. At present, it is the fastest, the safest and the most reliable
and economic mode of transporting offshore gas and oil.
Depending on the transmitter, subsea pipeline can be divided into undersea oil
pipelines, submarine gas pipelines, undersea gas and oil mixed transportation pipelines and
underwater aqueduct. However, based on the structure, offshore pipes are divided into double
insulation pipes and single pipes. There are pros and cons of using subsea pipeline.
The Advantages of Subsea Pipeline
Little influence of environment conditions
Transport oil and gas continuously
Efficiency of transportation is high
Low cost operation
Easily to manage and operate
PLATFORM DESIGN
From the discussion, we agreed with plan A, to install one steel jacket platform with
pipeline as transportation. Generally, this steel jacket platform are consist of two decks (upper
and lower). This platform are fully equipped with production processing equipment that will
process the hydrocarbon from Eccles Field. Moreover, this platform are install with sufficient
and comfortable accommodation in order to make sure that all workers are work efficiently.
Generally, this platform are categorized into some characters: accommodation, detail design of
facilities, compression system, structure and transportation.
Characters description:
i. Accommodation Module
a. Living Quarters
There are 40 rooms for 80 to 120 persons with four floor living quarter. All
rooms are fully air conditioning and the office are located at the first floor. All
the safety features like exit door and assembly point are provided.
b. Galley
Kitchen with fully furnished tools for the sea chefs to serve 80 persons at once
c. Recreations
d. Medical Service
A medical facility with 24 hours operation and it provide minor treatment such
as fever, normal sprains and bruises.
Two unit of diesel fuel power generators will be installed in platform to supply
electricity. Each generator is able to generate 250 MW. One gas turbine is installed to
support the generation of electricity. Gas turbine used processed gas from Eccles Field
to generate electricity.
Platform Design Structure
Structure
CHAPTER 5: ECONOMICAL & TECHNICAL EVALUATION
Oil and gas industry can be considered as the most risky business as it involve a huge
amount of money which determine whether a huge profit can be made or a huge loss occurred.
Therefore, economic evaluation must be done for engineers to have a wide view of project cost
and the risk that they should take in making any decision for every phase especially during
development phase that will be occurred. This section discusses the economic evaluation for
three different cases to determine which plan will give the most profit to the project. Eccless
field have OOIP about 30MMStb so, the economic evaluation will only focus on oil
development. There are few assumption for this oil development.
Commonly the cost are divided into two main part which is Capital expenditure (CAPEX) and
operating expenditure (OPEX). Capital expenditure will usually covers the cost related to the
phase before production which are the exploration, acquisition and development phase while
OPEX covers from development to the production phase together with the abandonment phase.
In any economics evaluation, the economist will divide the cost calculation based on
the phases stated above. Firstly is the supporting structure which is on the rig and on the topside
module which covers the cost of drilling, production, utilities, accommodation and
transportation.
SAMPLE CALCULATION
Production= 30MMbbl
= MMUSD 1491.6
CASE I: Jacket Platform via FPSO to Export Terminal
Calculation:
Total OPEX:
3
= 1177.9 19
100
= $ USD 671.4 MM
CASE I: Jacket Platform via Pipeline to Export Terminal
Calculation:
Total OPEX:
3
= 100 623.9 19
= $ USD 355.62 MM
Cost Evaluation Summary
Inspection and Maintenance. All fire protection equipment shall be properly maintained
and periodic inspections and tests shall be done in accordance with both standard practice
and equipment manufacturer's recommendations. Maintenance and operating practices at
tank storage facilities shall control leakage and prevent spillage of liquids. Ground areas
around tank storage facilities shall be kept free of weeds, trash, or other unnecessary
combustible materials. Access ways established for movement of personnel shall be
maintained clear of obstructions to permit orderly evacuation and ready access for manual
fire-fighting. Combustible waste material and residues in operating areas shall be kept to a
minimum, stored in covered metal containers, and disposed of daily.
PIPING SYSTEM
Performance Standards. The design, fabrication, assembly, test, and inspection of piping
systems shall be suitable for the expected working pressures and structural stresses.
Compliance with applicable sections of ASME B31, Code for Pressure Piping, and the
provisions of this chapter shall be considered prima facie evidence of compliance with the
foregoing provisions.
Tightness of Piping. Piping systems shall be maintained liquid tight. A piping system that has
leaks that constitute a hazard shall be emptied of liquid or repaired in a. manner acceptable
to the authority having jurisdiction.
Material Specifications. Pipe, valves, faucets, couplings, flexible connectors, fittings, and
other pressure-containing parts shall meet the material specifications and pressure and
temperature limitations of ASME B31 & Code for Pressure Piping.
Valves at storage tanks shall be permitted to be other than steel or ductile iron where the
chemical characteristics of the liquid stored are not compatible with steel or where the
valves are installed internally to the tank. Valves installed externally to the tank shall be
permitted to be other than steel or ductile iron if the material of construction has a ductility
and melting point comparable to steel or ductile iron and is capable of withstanding the
stresses and temperatures involved in fire exposure or the valves are otherwise protected
from fire exposures, such as by materials having a fire resistance rating of not less than 2
hours.
SAFETY FEATURES
SAFETY SYSTEM MANAGEMENT
1 Health and Safety Plan - Oil and Gas Companys vision and approach towards Health and
Safety
2 Administration Organizational - hierarchy Key details of persons responsible for managing
health and safety plans
3 Work Area Management - Proper demarcation and management of workplace according
to processes, activities, design, etc. Worksite inspections Implementation of best practices
and lessons learned from the past experiences at workplace
4 H&S Risk Management - Set of systems and processes for managing Health & Safety risks
Job Hazard analysis Hazard ranking/risk matrix Corrective action plans Risk control levels
analysis
5 Inventory Management - Maintenance of hazardous substance database
6 Task and Workflow Management - Calendar management Role assignments - Involving
and informing workers, safety officers and others about their roles and responsibilities,
allocated tasks, etc. Automated notifications
7 Health & Safety Maintenance Systems - Performance and monitoring of H&S activities
and corrective action as needed
8 Incident Management - Recording, processing, investigation, reporting and root cause
analysis of any report ted incident/accident/near miss/safety observations Following key
components should be encompassed in an active occupational Safety and Health
Management System: Occupational Safety and Health Management System is one of the
critical factors whose successful execution confirms operational safety in upstream,
midstream and downstream segments of Oil and Gas industry.
9 Occupational Health Management - Health protocols Medical appointments Injury/Illness
management Drug, alcohol and other medical testing
10 Management of Change - Identification of new hazards Introduction of new equipment
Process change new regulatory requirements
11 Emergency Response - Plan Disaster management/Emergency response plan for all the
potential predicaments based on predictive risk analysis Alarm system
12 Compliance Management - Comply with the obligations under pertinent
local/national/global H&S regulations
13 Competency Management - Track capabilities/skills of workforce Trainings for
employees, contractors and visitors Assessments
14 Content Management - Management of SOP, SDS, Health and safety documents
15 Contractor Management - Managing and coordinating activities of contractors
16 Rehabilitation Management - Tracks number of compensation days, rehabilitation
information of workers
17 Statistics, Reporting and Dashboard - Relevant report generation from health and safety
data Interactive dashboards for higher management view and decision making
18 Audit and Review - Audit and review programs to check and improve the effectiveness of
implemented Safety and Health Management System.
CHAPTER 7: CONCLUSION
Based on feasibility study, it clearly shows that all the scenario is acceptable. However in the
field development plan, we have to choose the best planning that will bring the higher profit
based on the investment. The study to best options for development concept with fixed
subsurface plan was successfully conducted. All the required and expected facilities to be
use throughout the production were choosen for example the standby separator. Another
important utilities that need to consider also selected which are water handling and water
disposal options according to the regulations conducted by certain agencies. All the facilities
selected was based on situational and economics reasons so that the maximum profit will
be obtain.