Feasibility of Creating Gas Underground Storage in Frame ...members.igu.org/old/IGU...

24
Feasibility of Creating Gas Underground Storage in Frame Gas Development of The Bolivarian Republic of Venezuela. IGRC 2014 - WO8-3_LOPEZ ---- PETROLEOS DE VENEZUELA, S.A. Feasibility of Creating Gas Underground Storage in Frame Gas Development of The Bolivarian Republic of Venezuela. WO8-3_LOPEZ By: Yilsa Lilibeth López Pérez - Petróleos de Venezuela, SA. Bolivarian Republic of Venezuela , Septiembre 2014.

Transcript of Feasibility of Creating Gas Underground Storage in Frame ...members.igu.org/old/IGU...

Page 1: Feasibility of Creating Gas Underground Storage in Frame ...members.igu.org/old/IGU Events/igrc/igrc-2014... · By: Yilsa Lilibeth López Pérez - Petróleos de Venezuela, SA. Bolivarian

Feasibility of Creating Gas Underground Storage in Frame Gas Development of

The Bolivarian Republic of Venezuela.

IGRC 2014 - WO8-3_LOPEZ ---- PETROLEOS DE VENEZUELA, S.A.

Feasibility of Creating Gas Underground Storage in Frame Gas

Development of The Bolivarian Republic of Venezuela.

WO8-3_LOPEZ

By: Yilsa Lilibeth López Pérez - Petróleos de Venezuela, SA.

Bolivarian Republic of Venezuela , Septiembre 2014.

Page 2: Feasibility of Creating Gas Underground Storage in Frame ...members.igu.org/old/IGU Events/igrc/igrc-2014... · By: Yilsa Lilibeth López Pérez - Petróleos de Venezuela, SA. Bolivarian

Feasibility of Creating Gas Underground Storage in Frame Gas Development of

The Bolivarian Republic of Venezuela.

IGRC 2014 - WO8-3_LOPEZ ---- PETROLEOS DE VENEZUELA, S.A.

Content

• Objetive

• Geographical Location of the Bolivarian Republic of Venezuela

• Antecedents of the project

• Expectations of the project

• Technical Premises

• Methodology

• Forecast Volumes of Gas Needed for ASG in Bolivarian Republic of

Venezuela.

• Technical Criteria for the Selection Object Creation.

• Relative Location of ASG in the Bolivarian Republic of Venezuela.

• Economic Fundamentals Evaluated

• Conclusions

• Recommendations

Page 3: Feasibility of Creating Gas Underground Storage in Frame ...members.igu.org/old/IGU Events/igrc/igrc-2014... · By: Yilsa Lilibeth López Pérez - Petróleos de Venezuela, SA. Bolivarian

Feasibility of Creating Gas Underground Storage in Frame Gas Development of

The Bolivarian Republic of Venezuela.

IGRC 2014 - WO8-3_LOPEZ ---- PETROLEOS DE VENEZUELA, S.A.

Give an overview of the only study of its kind

undertaken by the Venezuelan state company

“Petróleos de Venezuela,S.A.” in the Bolivarian

Republic of Venezuela on the feasibility of

creating Underground Storage of Gas as part of

gas development the nation to long term.

Objetive

Page 4: Feasibility of Creating Gas Underground Storage in Frame ...members.igu.org/old/IGU Events/igrc/igrc-2014... · By: Yilsa Lilibeth López Pérez - Petróleos de Venezuela, SA. Bolivarian

Feasibility of Creating Gas Underground Storage in Frame Gas Development of

The Bolivarian Republic of Venezuela.

IGRC 2014 - WO8-3_LOPEZ ---- PETROLEOS DE VENEZUELA, S.A.

Geographical Location

Bolivarian Republic of Venezuela

Page 5: Feasibility of Creating Gas Underground Storage in Frame ...members.igu.org/old/IGU Events/igrc/igrc-2014... · By: Yilsa Lilibeth López Pérez - Petróleos de Venezuela, SA. Bolivarian

Feasibility of Creating Gas Underground Storage in Frame Gas Development of

The Bolivarian Republic of Venezuela.

IGRC 2014 - WO8-3_LOPEZ ---- PETROLEOS DE VENEZUELA, S.A.

Venezuela has large proven reserves of natural gas ranking as

the country with the eighth largest proven reserves of natural gas

and the first in Latin America.

Proven gas reserves in Venezuela totaled 151 Billion Cubic Feet

of gas (PCBs) and have a volume of 40 billion possible reserves

and resources base about 196 billion PCBs, for a total volume of

427 trillion cubic feet of gas.

Location of Major Gas Reserves in the Bolivarian Republic of Venezuela.

Antecedents of the Projects

TECHNICAL SUPPORT BY

RUSSIAN COMPANY

GAZPROM UNDER THE

COOPERATION BETWEEN

THE BOLIVARIANA

REPUBLIC OF VENEZUELA

AND THE RUSSIAN

FEDERATION.

Page 6: Feasibility of Creating Gas Underground Storage in Frame ...members.igu.org/old/IGU Events/igrc/igrc-2014... · By: Yilsa Lilibeth López Pérez - Petróleos de Venezuela, SA. Bolivarian

Feasibility of Creating Gas Underground Storage in Frame Gas Development of

The Bolivarian Republic of Venezuela.

IGRC 2014 - WO8-3_LOPEZ ---- PETROLEOS DE VENEZUELA, S.A.

Expectations of the Project

As part of the study on the gas development of the nation was analyzed the technical feasibility of the creation of Underground Storage of Gas ( ASG ), on the basis of:

• Generate sustainable and harmonious gas development based on growth plans of the nation.

• Environmental conservation.

• To position Venezuela as a reliable and secure supplier nationally and internationally to long term.

Page 7: Feasibility of Creating Gas Underground Storage in Frame ...members.igu.org/old/IGU Events/igrc/igrc-2014... · By: Yilsa Lilibeth López Pérez - Petróleos de Venezuela, SA. Bolivarian

Feasibility of Creating Gas Underground Storage in Frame Gas Development of

The Bolivarian Republic of Venezuela.

IGRC 2014 - WO8-3_LOPEZ ---- PETROLEOS DE VENEZUELA, S.A.

Technical Premises

• Develop draft technical feasibility of creating ASG in the

Bolivarian Republic of Venezuela merited the analysis of the

structure of gas consumption in Venezuela.

• To determine the required volume of gas reserves in the ASG by

variant P -50 Development of Gas Industry and justify the

geographical location of the storages, for it was necessary to

analyze:

1.- The spatial structure of the demand for gas according to

the forecast schemes gas demand as the peak and moderate

variant.

2.- Technical features, existing and planned transport of

gas.

3.- To determine the volumes of gas reserves required by

province in the country.

Page 8: Feasibility of Creating Gas Underground Storage in Frame ...members.igu.org/old/IGU Events/igrc/igrc-2014... · By: Yilsa Lilibeth López Pérez - Petróleos de Venezuela, SA. Bolivarian

Feasibility of Creating Gas Underground Storage in Frame Gas Development of

The Bolivarian Republic of Venezuela.

IGRC 2014 - WO8-3_LOPEZ ---- PETROLEOS DE VENEZUELA, S.A.

The main sources of

energy.

Gas production in the

country and comparing

production rates of oil

and gas.

Use of the capacity of

the Gas Transportation

System of Venezuela.

The gas market in

Venezuela.

The balance of

production and

distribution of gas.

The Study Merited to Analyze:

Methodology

Justification

to create

active gas

volume in

the

Bolivarian

Republic of

Venezuela.

Prognostic

schemes gas

demand

fluctuations

and rates of

consumption

to long term

according to

variants and

moderate

peak.

To select the

storage

reservoir and

perform the

economic

evaluation of

the creation of

ASG in

Venezuela

Page 9: Feasibility of Creating Gas Underground Storage in Frame ...members.igu.org/old/IGU Events/igrc/igrc-2014... · By: Yilsa Lilibeth López Pérez - Petróleos de Venezuela, SA. Bolivarian

Feasibility of Creating Gas Underground Storage in Frame Gas Development of

The Bolivarian Republic of Venezuela.

IGRC 2014 - WO8-3_LOPEZ ---- PETROLEOS DE VENEZUELA, S.A.

Definitions and causes of

production irregularity

gas in Venezuela

by fields, regions,

and at the country level

Definitions and causes of

Consumer irregularity

gas in Venezuela

by customers, regions

and at the country level

Irregularity of Use

of capacity

Gas Transportation System

of Venezuela by fields,

Companies, regions

and at the country level

DETAILED ANALYSIS

INFORMATION

HISTORICAL

Methodology

3000

4000

5000

6000

7000

EN

E

FE

BM

AR

AB

R

MA

YO

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MA

RA

BR

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DIC

2002 2003 2004 2005 2006 2007

MMPCD

400

600

800

1000

1200

1400

1600

1800

2000

2200

2400

2600

2800

3000

EN

EF

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MA

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2002 2003 2004 2005 2006 2007

Pro

du

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e c

ru

do

, M

BD

4000

4200

4400

4600

4800

5000

5200

5400

5600

5800

6000

6200

6400

6600

Pro

du

cc

ión

re

al d

el g

as

, M

MP

CD

Producción real del crudo Producción real del gas

año 2007

11,3%

3,0%

6,2%

0,3%1,6%

4,7%

2,8%

25,0%

45,1%

Necesidades del campo Venteo

Mermas Clientes locales

Necesidades del procesamiento Inyeccion

Gas-Lift LGN

Suministro en el STG

año 2005

11,8%

2,7%

5,4%

0,2%

4,6%

2,8%

25,6%

1,5%

45,3%

Necesidades del campo Venteo

Mermas Clientes locales

Necesidades del procesamiento Inyeccion

Gas-Lift LGN

Suministro en el STG

Page 10: Feasibility of Creating Gas Underground Storage in Frame ...members.igu.org/old/IGU Events/igrc/igrc-2014... · By: Yilsa Lilibeth López Pérez - Petróleos de Venezuela, SA. Bolivarian

Feasibility of Creating Gas Underground Storage in Frame Gas Development of

The Bolivarian Republic of Venezuela.

IGRC 2014 - WO8-3_LOPEZ ---- PETROLEOS DE VENEZUELA, S.A.

A basis of retrospective analysis

were analyzed the main causes

of the irregularities in the Gas

Industry in Venezuela.

The balance of the gas rates in

Venezuela are affected by two

Independent Gas Transportation

Systems (East and West).

The parameters of irregular

consumption of gas in

Venezuela were analyzed

separately for each region so:

East, West, Central and Central-

Western and country levels.

Aspect Considered in the Analysis of

the Balance of Gas and Gas Distribution

in the Bolivarian Republic of Venezuela

Manufacture of gas;

Own production needs;

Gas losses:

- Venting,

- Reductions,

- Injection.

Local customers;

Gas Lift;

Gas processing;

Supply Gas System Transport and

Distribution.

Methodology

Page 11: Feasibility of Creating Gas Underground Storage in Frame ...members.igu.org/old/IGU Events/igrc/igrc-2014... · By: Yilsa Lilibeth López Pérez - Petróleos de Venezuela, SA. Bolivarian

Feasibility of Creating Gas Underground Storage in Frame Gas Development of

The Bolivarian Republic of Venezuela.

IGRC 2014 - WO8-3_LOPEZ ---- PETROLEOS DE VENEZUELA, S.A.

Forecast Volumes of Gas Needed for ASG

in Bolivarian Republic of Venezuela

Forecast volumes of gas reserves needed for

underground storage of gas in Venezuela until 2030

(МMMPC).

Región de

ubicación de

ASG

2015 2020 2025 2030

de

pico

básic

o

de

pico

básic

o

de

pico

básic

o

de

pico

básic

o

Occidental 20,5 11,6 25,4 13,6 29,5 14,1 33,0 16,9

Central 22,0 15,7 32,3 22,0 32,4 22,1 32,5 22,2

Oriental 48,7 28,9 56,8 33,4 62,9 36,8 74,3 43,0

TOTAL: 91 56 114 69 125 73 140 82

Forecast necessary productivity of underground gas storage in Venezuela until 2030.

Región de

ubicación de

ASG

2015 2020 2025 2030

de

pico

básic

o

de

pico

básic

o

de

pico

básic

o

de

pico

básic

o

Occidental 659 665 817 778 948 806 1059 967

Central 757 723 1114 1012 1118 1017 1120 1021

Oriental 822 766 957 887 1060 975 1253 1141

TOTAL: 822 766 957 887 1060 975 1253 1141

Page 12: Feasibility of Creating Gas Underground Storage in Frame ...members.igu.org/old/IGU Events/igrc/igrc-2014... · By: Yilsa Lilibeth López Pérez - Petróleos de Venezuela, SA. Bolivarian

Feasibility of Creating Gas Underground Storage in Frame Gas Development of

The Bolivarian Republic of Venezuela.

IGRC 2014 - WO8-3_LOPEZ ---- PETROLEOS DE VENEZUELA, S.A.

Technical Criteria for the Selection Object

for the Creation Underground Gas Storage (ASG)

in the Bolivarian Republic of Venezuela.

• Major geological criteria considered for selection of the reservoirs to be

intended as ASG is the impermeability of the object.

– Seals fluid must guarantee insulation of the object in operation under

conditions of increased interstitial pressure.

– The impermeability of the object must be studied to avoid unpleasant

consequences during the gas injection and the possible migration of gas to

underlying and overlying horizons.

Page 13: Feasibility of Creating Gas Underground Storage in Frame ...members.igu.org/old/IGU Events/igrc/igrc-2014... · By: Yilsa Lilibeth López Pérez - Petróleos de Venezuela, SA. Bolivarian

Feasibility of Creating Gas Underground Storage in Frame Gas Development of

The Bolivarian Republic of Venezuela.

IGRC 2014 - WO8-3_LOPEZ ---- PETROLEOS DE VENEZUELA, S.A.

V-366.4

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Technical Criteria for the Selection Object

for the Creation Underground Gas Storage

in the Bolivarian Republic of Venezuela.

Page 14: Feasibility of Creating Gas Underground Storage in Frame ...members.igu.org/old/IGU Events/igrc/igrc-2014... · By: Yilsa Lilibeth López Pérez - Petróleos de Venezuela, SA. Bolivarian

Feasibility of Creating Gas Underground Storage in Frame Gas Development of

The Bolivarian Republic of Venezuela.

IGRC 2014 - WO8-3_LOPEZ ---- PETROLEOS DE VENEZUELA, S.A.

• The second important technical and

economic criteria in the feasibility study of

creating ASG is the depth of the geological

object, which impacts on the following

aspects:

– The less deep that the object the

better the relationship

between the working gas and

the buffer gas.

– It will be easier to control the

tightness of the object.

– Increased productivity of wells.

– Low cost drilling and well

maintenance.

Technical Criteria for the Selection Object

for the Creation Underground Gas Storage (ASG)

in the Bolivarian Republic of Venezuela.

Page 15: Feasibility of Creating Gas Underground Storage in Frame ...members.igu.org/old/IGU Events/igrc/igrc-2014... · By: Yilsa Lilibeth López Pérez - Petróleos de Venezuela, SA. Bolivarian

Feasibility of Creating Gas Underground Storage in Frame Gas Development of

The Bolivarian Republic of Venezuela.

IGRC 2014 - WO8-3_LOPEZ ---- PETROLEOS DE VENEZUELA, S.A.

The advantages of creating ASG based gas fields and condensate and gas are:

• -Well-study of the object.

• -Tightness proven geological object.

• -Infrastructure.

• - Ability to use old wells.

Additional requirements in

choosing objects based ASG gas

fields and condensate and gas:

• - Absence of aggressive

components (СО2, Н2S) in the

gas.

• -Original booking (recovered)

optimal gas in the reservoir.

• - Isolation reservoir of underlying

and overlying layers and aquifers

productive horizons.

• -Tightness of old wells

(exploration, operation, injection,

etc.) and the possibility to use

them for the purposes of ASG.

Technical Criteria for the Selection Object

for the Creation Underground Gas Storage (ASG)

in the Bolivarian Republic of Venezuela.

Page 16: Feasibility of Creating Gas Underground Storage in Frame ...members.igu.org/old/IGU Events/igrc/igrc-2014... · By: Yilsa Lilibeth López Pérez - Petróleos de Venezuela, SA. Bolivarian

Feasibility of Creating Gas Underground Storage in Frame Gas Development of

The Bolivarian Republic of Venezuela.

IGRC 2014 - WO8-3_LOPEZ ---- PETROLEOS DE VENEZUELA, S.A.

Relative Location of ASG

Bolivarian Republic of Venezuela

ASG comercial Región Occidental.

ASG Asociado al Petróleo Región Oriente

ASG Comercial Región Central.

Page 17: Feasibility of Creating Gas Underground Storage in Frame ...members.igu.org/old/IGU Events/igrc/igrc-2014... · By: Yilsa Lilibeth López Pérez - Petróleos de Venezuela, SA. Bolivarian

Feasibility of Creating Gas Underground Storage in Frame Gas Development of

The Bolivarian Republic of Venezuela.

IGRC 2014 - WO8-3_LOPEZ ---- PETROLEOS DE VENEZUELA, S.A.

Study of technical and economic feasibility of the

establishment of priority facilities ASG

The technological and geological properties of each

object influence the basic original indices require

separate storage and distribution costs, depending

on:

1.- The creation of the active storage volume of gas.

2.- Injection necessary volume of gas-buffer.

3.- Number of operating wells and wells to be drilled.

4.- The amount of conditioning technological objects.

Economic Fundamentals

Evaluated

Page 18: Feasibility of Creating Gas Underground Storage in Frame ...members.igu.org/old/IGU Events/igrc/igrc-2014... · By: Yilsa Lilibeth López Pérez - Petróleos de Venezuela, SA. Bolivarian

Feasibility of Creating Gas Underground Storage in Frame Gas Development of

The Bolivarian Republic of Venezuela.

IGRC 2014 - WO8-3_LOPEZ ---- PETROLEOS DE VENEZUELA, S.A.

Economic Fundamentals

Evaluated

Gas-búfer

5%

Perforación de pozos

47,7%

Cabezal de los

pozos gasíferos

0%

Sistema de

deshidratación,

limpieza y medición

de gas y ERP

12%

Planta Compresora

12%

Gasoductos de

conexión

5,2%

Instalaciones

adicionales

3%

gasoducto menor

9%

Otros

6%

Acondicionamiento

47,3%

The structure of investment includes the

following chapters:

1.-Gas-buffer;

2.-Drilling:

Operating;

Additional;

Restoration of wells.

3.-Facilities conditioning Gas:

- Equipment installed in the mouths of gas wells;

- Dehydration system, cleaning, gas

measurement and ERP;

- Compressor Plant;

- Gas connection;

- Additional facilities;

- Lower pipeline;

- Other.

As a basic technological parameter for

calculating capital investment was accepted

active volume of gas in storage.

Page 19: Feasibility of Creating Gas Underground Storage in Frame ...members.igu.org/old/IGU Events/igrc/igrc-2014... · By: Yilsa Lilibeth López Pérez - Petróleos de Venezuela, SA. Bolivarian

Feasibility of Creating Gas Underground Storage in Frame Gas Development of

The Bolivarian Republic of Venezuela.

IGRC 2014 - WO8-3_LOPEZ ---- PETROLEOS DE VENEZUELA, S.A.

Operating expenses for extraction, storage and injection of gas in the UGS

Economic Fundamentals

Evaluated

Gastos

operativos:

2,5%

Gastos salariales

5,8%

Aportes para

reparación

general

0,7%

Otros gastos

0,9%

Impuesto sobre

elconsumo propio

de gas

0,1%

Amortización de

los fondos

principales

90,0%

The structure of operating

expenses include the

following costs:

material costs;

salary costs;

overhaul;

other expenses;

taxes;

amortization of the

principal funds.

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Feasibility of Creating Gas Underground Storage in Frame Gas Development of

The Bolivarian Republic of Venezuela.

IGRC 2014 - WO8-3_LOPEZ ---- PETROLEOS DE VENEZUELA, S.A.

Conclusions

Once analyzed the gas demand forecast as the P-50 variant of

the development of the Gas Industry in Venezuela and creating

different scenarios of gas consumption: the peak; values based

on fluctuations in gas consumption during the historical

period, and moderate; determined by the average value of gas

consumption per month during the historical time period

considered for determining the necessary volumes of gas

reserves because of its scope and objectives, and conclude the

following:

– Venezuela is a big producer of hydrocarbons with excellent

positioning worldwide.

Page 21: Feasibility of Creating Gas Underground Storage in Frame ...members.igu.org/old/IGU Events/igrc/igrc-2014... · By: Yilsa Lilibeth López Pérez - Petróleos de Venezuela, SA. Bolivarian

Feasibility of Creating Gas Underground Storage in Frame Gas Development of

The Bolivarian Republic of Venezuela.

IGRC 2014 - WO8-3_LOPEZ ---- PETROLEOS DE VENEZUELA, S.A.

– Predicted changes are currently facing with increased

consumption of natural gas as fuel in various industrial processes

aligned with the development and balance of resources. This

condition requires performing projects in the medium and long

term to ensure the supply of gas to customers in the domestic

market of the country and to strengthen Venezuela's position in

the global energy market.

– The feasibility of existence and availability of Underground Gas

Storage strengthen the supply of gas to customers in the domestic

market of the country and secure gas exports abroad.

Conclusions

Page 22: Feasibility of Creating Gas Underground Storage in Frame ...members.igu.org/old/IGU Events/igrc/igrc-2014... · By: Yilsa Lilibeth López Pérez - Petróleos de Venezuela, SA. Bolivarian

Feasibility of Creating Gas Underground Storage in Frame Gas Development of

The Bolivarian Republic of Venezuela.

IGRC 2014 - WO8-3_LOPEZ ---- PETROLEOS DE VENEZUELA, S.A.

– The Underground Gas Storage are the main and most effective technical means to ensure the supply of gas to customers.

– The required volume of gas reserves in Venezuela forms of commercial reserves, compensation for partial delivery of gas if stoppages and breakdowns and planned maintenance (unplanned), the country's strategic reserve and reserve securely export.

– Values of harvesting gas supply to the Customer fully insure the supply of gas in case of breakdowns, and gas supply due to market conditions.

– Existing Gas Transportation System, considering the future expansion and new projects are sufficient to supply gas to the ASG while no limit to Customers located in different regions of the country and ensure the supply of gas ASG Customers of the Central, East and West regions of the country in the event of unforeseen circumstances beyond its control.

Conclusions

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Feasibility of Creating Gas Underground Storage in Frame Gas Development of

The Bolivarian Republic of Venezuela.

IGRC 2014 - WO8-3_LOPEZ ---- PETROLEOS DE VENEZUELA, S.A.

– All countries should put their grain of sand in saving the planet and the human species on the planet, make efficient use of energy is the challenge we all have ahead. The gas is an energy source that should be used well sheltered and underground gas storage facilities are a safe haven option.

– All companies must conduct studies aligned commitment to minimize the impact to the environment that could be causing any of the activities developed.

The planet needs all of us, do not disappoint !!!!!!

Recommendations

Page 24: Feasibility of Creating Gas Underground Storage in Frame ...members.igu.org/old/IGU Events/igrc/igrc-2014... · By: Yilsa Lilibeth López Pérez - Petróleos de Venezuela, SA. Bolivarian

Feasibility of Creating Gas Underground Storage in Frame Gas Development of

The Bolivarian Republic of Venezuela.

IGRC 2014 - WO8-3_LOPEZ ---- PETROLEOS DE VENEZUELA, S.A.

Thank you for your attention

If you want more information about the specif topic of the project you can write to

me by email:

[email protected]