Post on 22-Jan-2016
description
Recent and Future
Developments in Facilities Engineering
By
Kenneth E. Arnold
Paragon Engineering Services
July 13, 2004
Paragon Engineering Services, Inc.
• History
• Job of a Production Facility
• Facilities Engineering Today
• Emerging Process Technology
• Project Management Technology
Separator and Tank, Titusville, PASeparator and Tank, Titusville, PA
Oil & Gas Journal(June 24, 1937)
First Test of Horizontal Two Phase Separator, 1940First Test of Horizontal Two Phase Separator, 1940
Offshore Field, 1940sOffshore Field, 1940s
Offshore Platform, 1950sOffshore Platform, 1950s
• After World War II demand for:
– Offshore facilities
– High pressure gas production
– Produced water treating
– Heavy Oil Steam Floods
• Led to:
– More complex facilities
– “Mechanical,” “Facilities” and “Construction” Engineering Departments introduced
Facilities EngineersFacilities Engineers
Facilities Engineering (1950s to 2000)Facilities Engineering (1950s to 2000)
• Money is made by discovering and exploiting reserves
– Reservoir engineering and management are critical
– Surface facilities are a necessary evil
• This means:
– Facilities engineering as recognized specialty didn’t even begin until 1960s
– Recent emphasis on “core competence” led to elimination of facilities training and R&D efforts
• Increased reliance on Engineering Companies to develop and implement design
• But… good corporate citizenship puts emphasis on:
– Safety
– Environment
• Design
– Larger, more complex projects
• Ten years ago – Hundreds of $1MM to $25MM projects
• Now several $500MM – $2B projects
– Facilities cost is becoming a large part of total field development cost
• A $4.2B North Sea Field Development Drilling - $1.0B 23 %
Topsides - $2.0B 47%
Hull - $0.8B 20%
Commissioning
& Operations Support - $0.4B 10%
Facilities Engineering TodayFacilities Engineering Today
• Construction
– Project cycle times significantly impact project profitability
– Construction options limited
– Construction execution plan critical to meeting profitability
Facilities Engineering Facilities Engineering TodayToday
Emerging Process TechnologyEmerging Process Technology
• Improved Separator Internals– Use of CFD– Centrifugal Devices
• Oil and water treating– De-oiling Hydrocyclones– De-watering Hydrocyclones
• Multiphase Technology– Meters– Pumps
• Absorption and Contact Towers– Improved Packing– Co-current Flow in Pipes
• Subsea and Downhole Systems
– Direct Water Injection/Disposal
– Direct Gas Injection
– Reduce Backpressure
• Stranded Gas and Alternatives to Flaring for Associated Gas (Especially Offshore)
– CNG Transportation
– Gas to Methanol
– Gas to Middle Distillates
– Gas to Hydrates
– Gas to Power
Emerging Process Technology (Continued)Emerging Process Technology (Continued)
Analysis of Operating Weights 75,000BOPD-GOMAnalysis of Operating Weights 75,000BOPD-GOM
• Total Equipment Weight 5,832 tons
• Excludes: Deck Structural Weight, Drilling Rig, Future Waterflood
• Savings Possible by Eliminating Need for All:
– HP, IP and LP Gas/Liquid Separation2.6% x 1.5 = 3.9%
– Bulk Oil/Water Separation2.5% x 1.5 = 3.8%
– Oil Treating8.0% x 1.5 = 12.0%
– Produced Water Treating2.2% x 1.5 = 3.3% Total = 23%
Choosing the Proper Technology – Choosing the Proper Technology – Innovative Process TechnologyInnovative Process Technology
• Each has applications and limitations depending on project specifics
• It takes a knowledgeable engineer to apply this known technology correctly
• New technology will help us reduce costs
• There is no “magic bullet” process concept that will results in a significant decrease in facilities costs
• But…. The way in which we manage a project has a potentially large impact on cost
17
Managing Upstream Oil & Gas Producing Assets
World Class Best PracticesCost Asset Growth
Best Practices
Ind. Average
Disasters
-25 0 25 50
-6%
10%
30%
Cost Consistently Better
Ref: Ed Merrow – IPA
Underrun Overrun
18
Managing Upstream Oil & Gas Producing Assets
World Class Best PracticesSchedule SlipRef: Ed Merrow – IPA
4%
10%
37%
Schedule Consistently BetterBest Practices
Ind. Average
Disasters
-25 0 25 50 75
Underrun Overrun
19
Managing Upstream Oil & Gas Producing Assets
World Class Best PracticesSchedule SlipRef: Ed Merrow – IPA
Underrun Overrun
80%
73%
38%
10 35 60 85 110
Operability Consistently BetterBest Practices
Ind. Average
Disasters
Project Management TechnologyProject Management Technology
A Project Requires:
• Basic Concept and Plan of Execution
• Efficient Design– Appropriate Choice of Equipment
– Simplicity
• Procurement Plan– What to Buy
– Where to Buy it From
– Management of Interfaces
– Quality Control
– Expediting
Project Management Technology (Continued)Project Management Technology (Continued)
• Construction Plan• Contractor vs. Owner Supply
• Managing Owner Supply
• Site Management Between Contractors
• Management of Interfaces
• Safety Management
• Quality Control
• Expediting
• Startup and Commissioning Plan• Mechanical Completion
• Instrument Check-out
• Initial Fall of Chemicals, etc.
• Purge
• Closeout
Developing Project Management TechnologyDeveloping Project Management Technology
• 1980s Engineering – Emphasis on Developing Training Materials and Automating Selection and Sizing of Equipment– Facilities Bookware Series (tutorials and sizing programs)– “Typical Facility Concept” (logic diagrams and standard P&ID modules)
• 1980s Design– AutoCAD – 2D
• 1990’s Engineering – Emphasis on Cost Estimating and Material Control– Automatic Time Entry and Billing– Estimating Tools and Databases– EMAC Procurement and Tracking Systems
• 1990s Design– PDMS
1.0
0.9
0.8
0.7
1 2 3 4
(AutoCAD)•
(PDMS)
(PDMS)
(PDMS)
Drafting
Engineering
• •
•
Project Management Emphasis TodayProject Management Emphasis Today
• Integration of Work Processes
– ISO Certification• Codify work processes• Assure consistency• Audit
– Full implementation of PDMS as design tool for all disciplines– Link in Engineering Work Processes (VPE)– Link in Smart P&ID (VPID)– Link in procurement and material control (VPRM)
• More efficient design
• Use design models for more effective human factors, operability and maintainability reviews
Project Management-The FutureProject Management-The Future
• Utilize work processes, standards, “typicals” to automate and reduce engineering man-hours/ton.
• Link multiple locations: design, fabrication, operations, maintenance. Take advantage of knowledge where it is.
• Use database to help schedule maintenance, reduce operating costs and manage change.
• Create a real time life cycle database.
ConclusionsConclusions
• We’ve come along way
• There are exciting new technologies becoming available
• We have to use them wisely
• New process technologies will surely help reduce costs and increase capabilities
• Large impacts are possible by applying developing project management technologies
How Does SPE Help Keep Facilities How Does SPE Help Keep Facilities Technology CurrentTechnology Current
• Publications
• Conferences and Symposia
• Forum Series
• Applied Technology Workshops
• Technical Interest Groups
Types of MeetingsTypes of Meetings
• Annual Technical Conference and Exhibition (ATCE) –F & C Programming Committee
• Regional Meetings & Symposia – Region plans and manages under SPE Meetings Policy. Held periodically
• Applied Technology Workshop (ATW) –Limited attendance focused on latest applications of a specific technology. One or two days with no formal papers.
• Forum Series –Brings together experts on specific topics to focus on future aspects. Usually one week with no formal papers
• Section Meeting –Held on periodic basis for benefit of section members. Often scheduled for lunch or dinner.
• Joint Meeting –Offshore Technology Conference
Future ProgrammingFuture Programming
• Facilities and Construction Committee
• Local Chapter Facility Study Group
• Facilities and Construction Volunteer Database
Future ProgrammingFuture Programming
• Join SPE– www.SPE.org
• Choose facilities and construction technical discipline
• Work with local section to develop F & C programming
• Work with Local Section to encourage more F & C membership – operators, vendors, consultants and contractors
• Volunteer to help with SPEI programming – Email me your interests Karnold@paraengr.com
• List your interests (Level 2 of TIL) and your expertise (Level 3 of TIL)
1. Process Systems and Equipment - 22 Sub-Categories
2. Gas Utilization - 3 Sub-Categories
3. Measurement and Control - 6 Sub-Categories
4. Electrical Systems - 9 Sub-Categories
5. Pipelines and Piping Design - 6 Sub-Categories
SPE’s Technical Interest ListSPE’s Technical Interest List
6. Material and Corrosion - 5 Sub-Categories
7. Solids Handling and Control - 5 Sub-Categories
8. Platforms and Floating Systems - 13 Sub-Categories
9. Subsea Systems - 5 Sub-Categories
10. Facilities Operations - 7 Sub-Categories
11. Facilities and ConstructionProject Management - 7 Sub-Categories
SPE’s Technical Interest ListSPE’s Technical Interest List
• The Facilities and Construction specialty is important
• This is a field that is growing in importance and complexity
• SPE has programming in place to help F & C engineers
• SPE wants to expand this programming
ConclusionsConclusions