GEOLOGY & GEOPHYSICS COILED TUBING TECHNOLOGYFirst fiber-optic CT logging improveswater shut-off in Saudi ArabiaMANAGED PRESSURE DRILLINGRecord HTHP well in Norway reaches TDwith MPD flow detection and control REGIONAL OUTLOOK: INDIAFocus shifts to early productionand enhanced recoverySHALE ENERGY: FAYETTEVILLEExploiting remaining potentialwill have to await higher gas pricesMARCH 2012 / DEFINING TECHNOLOGY FOR EXPLORATION, DRILLING AND PRODUCTION / WorldOil.comWorld Oil/MARCH 20123 SPECIAL FOCUS: COILED TUBING TECHNOLOGY35Fiber-optic coiled tubing logging improves reliability of water shut-off in Saudi oil wellJ. Duarte / S.Haldar / R. Said / A. Burov / W. Kharrat / J. StukerSPECIAL SECTION: GEOLOGY & GEOPHYSICS44AAPG AT A GLANCE 47How local variations in thermal maturity affect shale oil economics and producibility J. Edman55Oil fingerprinting dramatically reduces production allocation costs M. A. Mccaffrey / D. K. Baskin / B. A. Patterson / D. H. Ohms / C. Stone / D. ReisdorfSHALE ENERGY62Fayetteville remaining potential awaits higher prices K. AbrahamABOUT THE COVERPGS seismic vessel Ramform Expedition leaves northern Greenland after completing the industrys most northerly 3D survey.70 35CONTENTSMARCH 2012 / VOL. 233 NO. 3COLUMNS7Editorial comment (Incentive + Faith) Momentum = Growth 15Energy issues Into the fracas17Whats new in exploration The great Alaska shale rush19Drilling advances Shrimp boats and icebreakers: No place but Louisiana21Whats new in production Shale gas development and the public mindEducating trogs and smart idiots23Oil & Gas in the Capitals Oil or eminent domain? China and the Spratlys25Executive Viewpoint Too many variables, too little time crafting strategy under ambiguity27Innovative thinkers Harry Smith: The journey to 83 well logging patentsNEWS AND RESOURCES9World of oil and gas29Industry at a glance32 Offshore rig activity93People in the industry94Companies in the news95New products and services96Advertisers index97Marketplace / Advertising sales offices98Meetings and events62REGIONAL REPORT: INDIA70After a flurry of discoveries in 2002-04, oil and gas operators in India now have twin aims: bring to early production new fields and enhance production from mature fieldsP. KulkarniMANAGED PRESSURE DRILLING77Record HPHT Norwegian well drilled with MPD flow detection and controlS.K. Naesheim / F. Lefdal / T. . Oftedal / B.G. Norge / H. SveinallREAL-TIME OPERATIONS83Smart upstream collaboration centers: Design, technology support and lessons learnedA. A. Al-Qahtani / M. F. Hogg / K. K. Lau / N. A. Al-NaserINDUSTRY REPORT: NATIONAL ENERGY TECHNOLOGY LABORATORY89Mobility and conformance control for carbon dioxide EOR Part 1Dr. R. Enick / J. Ammer / W. Schuller4MARCH 2012/WorldOil.comMailing Address: PO Box 2608Houston, TX 77252-2608, USAPhone: +1 (713) 529-4301 Fax: +1 (713) 520-4433 WorldOil.comPresident/CEOJohn RoyallVice PresidentRon HigginsBusiness Finance ManagerPamela HarveyPart of Euromoney Institutional Investor PLC. Other energy group titles include: Hydrocarbon Processing and Petroleum EconomistPublication Agreement Number 40034765Printed in USAPUBLISHERRon HigginsEDITORIAL EditorPramod KulkarniExecutive EditorKurt AbrahamSenior EditorPrint/OnlineNell LukosavichNews EditorHenry D. Terrell Offshore EditorJustin SmithContributing EditorsDayse Abrantes, Latin AmericaSaeid Mokhatab, LNGDr. A. F. Alhajji, Middle EastJeffrey M. Moore, Asia-PacificDr. Roger Bezdek, WashingtonDr. ystein Noreng, North SeaRobert Curran, Canada Leonard V. Parent, Natural Gas Dr. Ali Daneshy, Shale TechnologyNina M. Rach, ExplorationJerry Greenberg, At LargeJim Redden, Drilling Raj Kanwar, South Asia Jacques Sapir, FSUMAGAZINE PRODUCTION/+1 (713) 525-4633DirectorProduction and OperationsSheryl StoneManagerAdvertising ProductionCheryl WillisManagerEditorial ProductionAngela BatheArtist/IllustratorDavid WeeksContractorEditorial ProductionElizabeth Hansen ADVERTISING SALESsee Advertising sales officesCIRCULATION/+1 (713) 520-4440/Circulation@GulfPub.comDirectorCirculationSuzanne McGeheeEDITORIAL ADVISORY BOARDChairmanDr. William J. Pike, Managing Consultant and Contractor to the National Energy Technology Laboratory, US Department of EnergyWilliam Donald (Donnie) Harris III, President and CEO, Forrest A. Garb and AssociatesAlexander G. Kemp, Professor of Petroleum Economics, University of AberdeenDr. D. Nathan Meehan, Senior Executive Advisor, Baker HughesJohn T. Gremp, President and CEO, FMC Technologies, and Chairman, Petroleum Equipment Suppliers AssociationDouglas C. Nester, COO, Prime Offshore LLCDavid A. Pursell, Managing Director and Head of Macro Research, Tudor, Pickering, Holt and Co.Jack Moore, President and CEO, Cameron, and Chairman, National Ocean Industries AssociationRobert E. (Bob) Warren, Senior Partner, SOLIDexecutive Inc.World Oil is indexed by Business Periodicals Index, Engineering Index Inc., and Environmental Periodicals Bibliography. Microfilm copies are available through University Micro films International, Ann Arbor, Mich. The full text of World Oil is also available in electronic versions of the Business Periodicals Index.World Oil (ISSN 0043-8790), est. in 1916 as The Oil Weekly, is published monthly by Gulf Publishing Company, 2 Greenway Plaza, Suite 1020, Houston, TX 77046. Periodi-cals postage paid at Houston, Texas, and at additional mailing offices. 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Swages are available in any size or style of casing thread - just let us know what you need!Features of the IRI Swage Include: Dished Top Design Reduces Weight by up to 33% 1502 Union Easy to Maintain or Replace ACME readed Connections - No Pipe reads One-piece Design allows for High-Pressure Use Available for any size casing, with any style threadsIndustrial Rubber, Inc.'s Circulating Heads comple-ment the Industrial Rubber line of Cementing Heads. IRI Circulating Heads and Cementing Heads utilize a common Quick Connect sub that allows quick change out from Circulating Head to Cementing Head. is makes for a convenient circulating tool when used either in conjunction with an IRI Cementing Head or as a standalone unit.Features of the IRI Circulating Head Include: Quick Coupling Union allowsfast, easy connectionto Casing String Plugs can be dropped through theCirculating Head assemblyby simple removal of theCirculating Head Cap. Available for any size casing, withany style threadsOklahoma City, OKToll-Free: 1-800-457-4851 Fax: (405) 634-9637www.iri-oiltool.comEDITORIAL COMMENTPRAMOD KULKARNI, EDITORWorld Oil/MARCH 20127 (Incentive + Faith) Momentum = GrowthLook, ma! Ive come up with an equa-tionthatgovernseconomicgrowth.I dreamupsuchoff-the-wallconcepts between4and5a.m.U.S.Republican presidentialcandidateRickSantorum wouldperhapsattributethistodivine inspiration.SigmundFreudwouldprob-ablypointtoapsychologicaldisorderor blame my mother.Whatmyequationlacksisacademic flourish. Ill have to outsource this task to atop-flight,low-costthinktanktosprin-klesomeexponentsandintegralfunc-tions,toaddjustenoughobfuscationto confuse even Nobel Laureate and Energy Secretary Paul Chu. Here is an explanation of the variables involvedinthisequationwithexamples from our oil and gas industry. Incentive.Iamnotlikelytogetan argumentaboutthisvariableeco-nomic incentive.It is this factor that has fueledtheshalegasrevolution.When naturalgaspriceswereat$10/Mcfand the U.S. was expected to be a major mar-ketforLNGimports,therewasplenty of economic incentive for intrepid inde-pendentoperatorstoincreaserevenues through technological innovations, such ashorizontaldrillingandmulti-stage fracturing.Nowthatgaspriceshave droppedto$2.50/Mcf,thereisasub-stantial downturn in drilling activity. On the other hand, the uptick in oil-directed drilling is a consequence of the econom-ic incentive provided by oil prices climb-ing above $100/bbl.Faith.WhatIcallfaith-basedE&P isactivitythatisconducted,evenwhen thereisinsufficienteconomicincentive. Forexample,whilecompaniessuchas Chesapeake,aredownsizingtheirdry gasactivity,ExxonMobilhasvowedto continueallofitsgasoperations,based onthecompanysfaiththatthecur-rentdropingaspricesisashort-term phenomenon.Themajoroilcompany believes the long-term fundamentals will leadtohighernaturalgaspricesinthe near future.AnotherexampleistheObamaad-ministrationsfaithinthefutureofre-newableresourcesintheabsenceofan economicincentive.Billionshavebeen spent on new solar and wind projects be-foreanincentivizedmarkethasemerged forthesehigh-pricedandstill-evolving energy sources.Still another example would be that of a state-directed NOC that will have as its operating tenetfull employment for its workers in spite of negative economic conditions.Momentum.This is the variable that hasasignificantimpactongrowth.The best example of momentum is the mush-rooming of shale plays in North America. TheBarnettisthegranddaddyofU.S. shaleplaysandhowquicklytheshale familyhasgrownMarcellus,Haynes-ville,BakkenandEagleFord.Twoyears ago, World Oil decided to cover the shale plays in alternating months. This year, we doubled the coverage to 12 plays, one per month.Withthecontinuingemergence of new plays, such as the Mississippi Lime and the recent USGS assessment of both shale oil and shale gas in Alaska, we are at apointofaskingtheEarthtoslowdown its rotation around the Sun so that we can have at least 15 months in a year. Anexampleofadownwardshiftin momentumistheactivityintheGulf ofMexico.PriortotheMacondospill, drillingandproductionoperationshad reachedarecenthigh.ThePerdidospar hadjuststartedproduction,theindus-trywasmovingaheadonexploringthe Lower Tertiary plays, and there was even excitement about shallow-water potential with the discovery of the Davy Jones pros-pectbyMcMoran.TheObamaadminis-trationdisruptedthismomentumwith asix-monthmoratoriumandthesub-sequentpermitorium.Itwilltakesome timebeforeweareabletoreturntothe pre-Macondo optimism and enthusiasm.Suchisthestuffmydreamsaremade of.Arethereanyoilandgaspsychoana-lysts around?IN THIS ISSUE44Geology&Geophysics special section. World Oilis pleased to introduce a special section onthisleadingedgeoftheE&Pcycle. WeplantopublishthreeoftheseG&G sections each year in March, May and Oc-tobertocoincidewiththeAAPG,EAGE and SEG conferences. Each G&G special section will include a preview of each of the conferences and several technical ar-ticlescoveringdifferentaspectsofthe latestgeologicalandgeophysicaltech-nologies. In this issue, we are focusing on geochemical technologies with an article fromJanellEdmanonhowlocalvaria-tions in thermal maturity affect shale oil economicsandproducibilitywithspe-cific examples from the Eagle Ford play, and an article from Weatherford, BP and Alta Mesa authors on how oil fingerprint-ingcanachieveaccurategeochemical allocation at 1% to 5% of the cost of pro-duction logging.35Fiber-optic coiled tubing logginginSaudiArabia.SaudiAramcoandSchlumbergerau-thorsdescribetheworldsfirstapplica-tion of fiber-optic CT logging in an open-holecompletion.Theaccuratelogdata enabled the completion team to perform optimumevaluationofwellconditions for the proper placement of water shut-offfluidsinthetargetzoneandisolate water producing intervals.62ShaleEnergy:Fayette-ville.ExecutiveEditorKurt Abrahams report onthe Fayetteville shale play in Arkansas reveals a rollercoaster ex-istence for the dry gas producing region. Fullexploitationoftheremainingpoten-tial from what is the second oldest shale playintheU.S.willhavetoawaitanim-provement in natural gas prices. PRAMOD.KULKARNI@WORLDOIL.COMHALLIBURTON Solving challenges. 2012 Halliburton. All rights reserved.CEMENTING SERVICES What if, for cementing long horizontals, there were a predictive analysis service that let you simultaneously simulate uid interface and slurry viscosity?iCem service answers questions before the job.Find out how at www.halliburton.com/icemWorld Oil/MARCH 20129 WORLD OF OIL AND GASNELL LUKOSAVICH, SENIOR EDITOREXPLORATION //////////////////////////////////////////////// PRODUCTION /////UNCONVENTIONALS/////////////////////////////////////////Cyprus ofers seismic data for licensing roundAs the Republic of Cyprus opened its 13-block second licensing round, further steps were taken to provide compre-hensive data, including seismic, to potential bidders. Accordingly, Petroleum Geo-Services (PGS) is the official data provider and has furnished Cypriot officials with a dense multi-client (MC) seismic data grid. One component, the MC2D-CYP2006 survey, was acquired for the first licensing round and has 10-by-20-km coverage. In addi-tion, another survey, MC2D-CYP2008, infills the previous work, thus providing 5-by-5-km coverage, on average. The most recent survey offers the best possible data quality. Following reprocessing in 2011, the original conventional data grid also has high data quality. Block 3 has the greatest MC data coverage, with 3D-quality data in part of the block. Geological interpretation reports based on these data, as well as hydrocarbon assessments, are available through the Ministry of Commerce, Industry and Tourism. Chevron to explore for shale gas in ChinaChevron confirmed that it has signed a joint agreement to explore for shale gas in Chinas Qiannan basin. The company began seismic operations in July 2011. Chevron didnt disclose its partner, but local press outlets have reported that the agreement is with a unit of China Petrochemical Corp., known as Sinopec Group. Qiannan basin is in the southwestern province of Guizhou.Rosneft obtains licenses for three Barents Sea blocksRosneft has obtained licenses for geological survey, explora-tion and production of oil and gas at three blocks on Russias Barents Sea shelf. The blocks are named Tsentralno-Barentsevsky, Fedynsky and Perseevsky. The blocks hold an estimated total resource potential of 3.3 billion tonnes of crude oil and gas condensate and up to 98.89 Tcf of gas. Exploration of the blocks envisages the acquisition of 6,830 linear mi of 2D seismic data and 1.35 sq mi of 3D seismic data, as well as the drilling of five wildcat wells.Buccaneer granted permits ofshore AlaskaBuccaneer Energy has been granted two key permits for oil and gas exploration opera-tions at the Southern Cross and Northwest Cook Inlet units offshore Alaska in the Cook Inlet. The companys permitting plan was implemented approximately 18 months ago and is on schedule for completion prior to the arrival of jackup rig Endeavour-Spirit of Independence in the inlet.Australian land exploration doubles over last yearProfessional services firm Deloitte released its fourth-quarter, 2011, Drilling and Licensing Report, covering exploration and appraisal drilling, plus licensing and deal activity in Australia for the December quarter. The report states that onshore activity strengthened during 2011 as the year progressed, recovering from a spate of natural disasters that hampered drilling levels in the first quarter, to finish the year at close to pre-GFC (Global Financial Crisis) levels. Onshore activity continues to be dominated by smaller independents, with a 131% increase in wells spudded since 2010. Offshore activity has risen significantly, too, due largely to majors like Chevron and Woodside searching for further gas to feed their planned, floating and conven-tional LNG plants.Jubilee production misses output targetOil and gas production activities in Tullows Jubilee field, situated off Ghanas soutwestern coast, have been hit by problems, and, as a result, the projected output target for this year cannot be met. Last year, Tullow revealed that Ghana lifted 3.9 million bbl of crude, mak-ing over $444 million from its sale. The company said in January that it would not be able to meet its projected 120,000-bopd produc-tion target this year, but gave no reason why. Currently, the field is producing about 90,000 bopd.CNPC to begin eld development in western UzbekistanChina National Petroleum Corp. (CNPC) plans to begin develop-ment of Eastern Alat gas-conden-sate field in the Bukhara-Khiva region of western Uzbekistan. CNPC opened the Eastern Alat gas-condensate field in the Karakul investment block in 2011. In the first half of this year, the company must submit a report to the Uzbek government about Eastern Alat and natural gas reserves to ensure continued protection in the State Reserves Committee. According to preliminary estimates, the first three years of development could require an investment of about $150 million.Cascade, Chinook start producingBrazils Petrobras started pump-ing crude oil from two fields in the U.S. Gulf of Mexico on February 25. FPSO BW Pioneer is now connected the the Cascade 4 well about 155 mi offshore Louisiana. Petrobras had origi-nally expected to start output at Cascade and Chinook fields in 2010, but the project was delayed after the U.S. govern-ment banned deepwater drilling in the wake of the Macondo disaster.Polands PKN Orlen to intensify drilling for shale gas in 2012Polish state-controlled oil firm PKN Orlen plans to significantly intensify work on its shale gas concessions in Poland this year and has enough resources to continue exploration without partners, company executives said. PKN Orlen holds eight exploration licenses for shale gas in Poland, mostly in the countrys eastern area. The company finished vertical drilling on one of the licenses, Wierzbica, last year.KBR, JV partners sign EPC contract for Ichthys LNGKBR, along with its joint venture partners JGC and Chiyoda, signed a contract for engineering, procurement and construction activities on the Ichthys LNG project in northern Australia. The partners signed the $15-billion contract with Ichthys LNG project owners INPEX and Total. Gas from the Ichthys field, which is in the Browse basin about 124 mi off Western Australia, will be exported to onshore processing facilities in Darwin via a 552-mi subsea pipeline. The Ichthys project is expected to produce 389.5 Bcf of LNG and 18.9 million bbl of LPG per year, along with approximately 100,000 bcpd at its peak.India delays shale gas auction to 2013Indias Petroleum Ministry has again delayed its first-ever shale gas exploration round, and now plans to launch it in December 2013. The delays are attributed to regulatory regimes currently being put in place, including a resource assessment and policy framework for the upcoming rounds as well as the official identification of potential acre-age to be auctioned. Indias shale gas rounds, which will include the Cambay, Assam-Arakan, Gondawana, KG, Cauvery and Indo Gangetic basins, have been delayed since 2011. GE EnergyPower Conversionge-energy.com/electrifyingchangeelectrifying efciencyConverteam is now GE Energys Power Conversion business.And were at work. In the farthest reaches. On the roughest waters. Applying our power conversion expertise to help improve process efciency, infrastructure reliability, and environmental friendliness. Working with our oil & gas customers to meet the demands and opportunities of the new electric age. Were making change happenelectrifying change.WORLD OF OIL AND GASNELL LUKOSAVICH, SENIOR EDITORBUSINESS//////////////////////////////////////////////REGULATORY AFFAIRS/////////////////////////////////Mitsubishi to invest $2.9 billion in B.C. gas assetsEncana said that Japans Mitsubishi will invest about $2.9 billion to acquire a 40% stake in its undeveloped Cutbank Ridge natural gas assets in northeastern British Columbia. Calgary-based Encana had previously entered into a larger agreement to sell a 50% stake in shale gas assets in northeastern B.C. and northwestern Alberta to PetroChina Co. for $5.4 billion, but that deal fell through last year. Under the agreement, Mitsubishi will own 40% of the Cutbank Ridge partnership, which holds about 409,000 net acres of undeveloped Montney shale lands in B.C., plus additional develop-ment potential in the Cadomin and Doig geological formations.The Losseal* family of reinforcedcomposite mat pills cures staticand dynamic mud losses in naturallyfractured formations during drillingor prior to cementing once totaldepth is reached.In a South American carbonate formation, the use of Losseal mat pills reduced mud losses of 2,000 bbl during drilling without requiring an additional trip, and the cement job was successfully completed without losses.For more of the story, go towww.slb.com/losseal.Stop lost circulation in naturally fracturedformations*Mark of Schlumberger. 2012 Schlumberger. 11-CE-0054FAMILY OF REINFORCED COMPOSITE MAT PILLSLossealEl Paso to sell E&P company to Apollo, partnersEl Paso has entered into an agreement to sell its exploration and production business, EP Energy Corp., for $7.15 billion to affiliates of Apollo Global Management and Riverstone Holdings, which are joined by Access Industries and other parties. The sale of EP Energy is dependent upon comple-tion of the Kinder Morgan-El Paso transaction, which is expected to close in the second quarter of 2012. The sale of EP Energy is also expected to close around the same time.BG Group to invest $20 billion in Tanzania gas explorationBG Group plans to invest up to $20 billion to extract gas in Tanzania, Chairman Robert Wilson announced. BG has discovered huge reserves of natural gas in three wells in the Indian Ocean, including one in deep water. The firm invested $500 million in gas exploration in the country last year and plans to invest a similar amount this year. Wilson called on the government to join efforts to remove obstacles that challenge exploration and production activi-ties in the Indian Ocean, especially in dealing with Somali pirates. BG entered Tanzania last year with the purchase of 60% of Ophir Tanzania, which had an explora-tion contract with the government and the Tanzania Petroleum Development Corp.Petrobras signs deals for 26 deepwater rigsBrazils Petrobras has approved contracts for 21 offline deepwater rigs with Sete Brasil, at an average day rate of $530,000, and for five dual-activity rigs with Ocean Rig, at an average daily rate of $548,000, all with 15-year terms. These rates could be cut, if tax exemptions are granted, as well as if operating costs can be reduced. All of the rigs will be built in Brazil, with the first units scheduled for delivery in four years. The final rig will be delivered in 7.5 years. These contracts mean that Petrobras has fully implemented its plan to contract 28 rigs to be built in Brazil, to meet the long-term demands of its drilling program, primarily for pre-salt oil wells, as well as a further five rigs not originally plannedRepsol gets okay to develop gas elds in AlgeriaThe government of Algeria authorized Repsol YPF and its partners to develop gas fields in the North Reggane project. A Repsol-led consortium will invest more than $2.6 billion to develop 104 wells in six areas. The Spanish company has a 29.25% stake in the consortium, which also includes Algerian state energy company Sonatrach, and Italian and German firms. Repsol said that it plans to start producing in the middle of 2016 and carry on production for 25 years, with the first 12 years yielding stable production of 284 MMcfgd. Weatherford dismissed from all Macondo claimsAll claims against Weatherford International in the multi-district litigation over the cause of the Macondo blowout and oil spill have been dismissed.In June 2011, Weatherford announced that its U.S. subsidiaries had reached agreements with BP to settle any claims that may arise between the com-panies relating to the Macondo blowout and oil spill. Under the agreement, BP agreed to indemnify Weatherford for current and future compensatory claims resulting from the incident. The entire cost of the $75 million agreement with BP was funded by insurance policies that Weatherford had in place at the time of the incident. The change will do you goodSMweatherford.comControl Change5BLFDPOUSPMPGDIBOHJOHXFMMCPSFPXTBOEQSFTTVSFTXJUI8FBUIFSGPSEnTFYDMVTJWF.JDSPVYDPOUSPMTZTUFNOur automated system measures, analyzes and controls changing wellbore conditions in real time. Now you can drill wells that were once considered undrillable.Weatherfords .JDSPVY control system is more than managed pressure drilling. Its secure drilling.We call it Tactical Technology. Youll call it money in the bank. VisitXFBUIFSGPSEDPNNJDSPVY or talk to a Weatherford representative. We might change the way you look at all of your service needs. 2012 Weatherford. All rights reserved. Incorporates proprietary and patented Weatherford technology.DrillingEvaluationCompletionProductionInterventionClosed-loop drillingA|r dr||||ng6ompress|on serv|ces0ownho|e |so|at|on systemsF|u|d systemsK|ck dectect|on & contro|Hanaged pressure dr||||ngPressure-contro| equ|pmentRotat|ng contro| dev|cesUnderba|anced dr||||ng123453,2811,00006,5622,0009,8423,00013,1234,00016,4045,00019,6856,0000 20 40 60 80 100 120 140 160 180 200 22013-3/8 in.20 in.9-5/8 in.7 in.Depth (ft/m)Weatherfords Microflux control system enabled total depth to be reached ahead of schedule.DaysMicroflux system Conventional2 Lossesslow rate of penetration 3 Stuck bottomhole assemblyfishing4 Lossesstuck pipe5 Plugged and abandoned, sidetrack, lose well1 Wellbore ballooningWORLD OF OIL AND GASNELL LUKOSAVICH, SENIOR EDITORDISCOVERIES //////////////////////////////////////////Eni makes 7.5-Tcf gas nd ofshore MozambiqueEni made a new giant natural gas discovery at the Mamba North 1 prospect, in Area 4 offshore Mozambique, encountering a potential of 7.5 Tcf of gas-in-place. This new find, in addition to the Mamba South discovery from October 2011, further increases the potential of the Mamba complex to 30 Tcf. During 2012, Eni plans to drill at least five other wells in nearby structures to assess the upside potential of the Mamba complex.OGX makes shallow-water, presalt oil discoveryBrazilian independent OGX has confirmed a shallow-water oil find in Brazils presalt region, following an initial discovery in January, when drilling tapped a 3,280-ft column of oil that had net pay of 360 ft. Drilling was halted after a high-pressure zone was encountered.While the OGX discovery is in the same Santos basin where a cluster of presalt finds was made in the mid-2000s, it lies much closer to shore and in waters that arent nearly as deep. The prospect, dubbed Fortaleza, was made in roughly 500 ft of water with a well drilled to a TD of 20,125 ft. OGX owns 100% of the BM-S-57 block where the Fortaleza find was made, about 63 mi off the coast of Rio de Janeiro state. OGX estimates that its Santos basin blocks, including BM-S-57, hold 1.8 Bboe. Potential unconventional gas play discovered in PolandEuropean shale gas firm San Leon Energy has uncovered a new potential unconventional gas play in Poland, following completion of drilling at its Siciny-2 well in the SW Carboniferous basin of Poland. The stratigraphic test well reached a TD of 11,545 ft after penetrating more than 3,280 ft of Carboniferous section. A previously unseen, fourth potential Carboniferous shale section, and a fractured tight gas sandstone, were also encountered below 10,500 ft. Tight rock analysis will be performed on the core to evaluate the potential for commercial shale gas and tight gas sand production.ONGC hits two shallow-water gas discoveriesIndias Oil and Natural Gas Corp. (ONGC) has made two shallow-water gas discoveries offshore India. Exploratory well Alankari No. 1, in the KG basin, was drilled to a depth of 6,273 ft and is pro-ducing gas at a rate of 5.1 MMcfd. The second exploratory well, in the Saurastra basin, reached a depth of 16,033 ft and produced gas at a rate of 1.4 MMcfd. ONGC claims this discovery provides a significant lead to explore other sub-basalt Mesozoics in the area.Statoil, Exxon nd natural gas in Tanzanian reservoirStatoil, along with its partner ExxonMobil, con-firmed that the Zafarai-1 well in Block 2 offshore Tanzania has encountered indications of natural gas in a good-quality reservoir. Statoil said that drilling operations are ongoing and that it is too early to give any indication of size and commerciality. The well was spudded in early January 2012, and drilling operations are expected to take up to three months to complete. The well is being drilled by the drillship Ocean Rig Poseidon, about 50 mi off main-land Tanzania. It is the first exploration well that has been drilled in the 2,120-sq-mi license.Petrobras makes onshore Amazon, ofshore Franco discoveries Brazils Petrobras has discovered a new accumulation of oil and natural gas in a remote region of the Amazon rainforest. The discovery was made in the Solimoes basin, about 25 km from Urucu field that has been producing for 25 years. Testing showed the well, dubbed Igarape Chibata East, was capable of producing 1,400 bpd of light oil and 1.59 MMcfgd. Petrobras holds a 100% stake in the block. Petrobras also reported that it had completed drilling its first well at the Franco area in the pre-salt area of the Santos basin. Results confirm the extension of oil reservoirs northwest of the discovery well, informally known as Franco NW, which is situated in a water depth of 6,100 ft, 117 mi offshore Rio de Janeiro.Personnel and asset protection with the industry's frst APl 16RCD certifed rotating control deviceDetection and management with advanced kick/loss identifcation and pressure management systemsReservoir evaluation to obtain reservoir data that drive drilling and completion decisionsPerformance optimization using reservoir data and other resources for optimum life-of-well performanceFind out how to change to the secure way to drilla better way to drill.Secure DrillingSM Services Gain a sense of security with Weatherfords expanded range of services that minimize risk and optimize life-of-well performance.Tactical Technologyin action:The change will do you goodSMweatherford.comVisit XFBUIFSGPSEDPNNJDSPVY or contact your Weatherford representative. 2012 Weatherford. All rights reserved.Incorporates proprietary and patented Weatherford technology.Swagelok Pressure Regulators are now an even better choice for all your pressure regulator needs. Why? Well, alongside our proven experience and expertise, our range now covers sizes from 1/4 up to 4 in. and all your regulator needs high-ow capability, two-stage, back-pressure and vaporizing models. With our regulators you get accuracy, sensitivity and pressure stability. In short total predictability. Exactly what you would expect. Visit swagelok.com/pressure.Make the unpredictable totally predictable. 2012 Swagelok CompanyENERGY ISSUESDR. WILLIAM J. PIKE, EDITORIAL ADVISORY BOARD CHAIRMANWorld Oil/MARCH 201215 After several weeks of intense research inprint,broadcastandonlinemedia,I havediscoveredthathydraulicfracturing is not a new technology. In fact, it dates to thebeginningoftime.InventedbyBeel-zebub himself, it was initially intended to blow up, poison or otherwise do-in God-fearingfolksworldwide.Itsapplication toincreaseoilandgasproductionwas discoveredaccidently,eonslater,inthe late 1940s. That, of course, only increased thehideous,deadlypotentialoffractur-ingbyspreadingitsuse.Now,itappears, the entire fabric of the planet is at risk. Or, soonemayconclude,afterstudyingthe popular news media.This view has been refuted by a recent studyofhydraulicfracturingreleasedby theEnergyInstituteatTheUniversityof TexasatAustin(http://energy.utexas.edu).AccordingtotheEnergyInstitute, The goal of the research is to provide pol-icymakerswithafact-basedfoundation uponwhichtheycanformulaterational regulatory policies that ensure responsible shale gas development. The report exam-inesanumberofissuesrelatedtoshale gasdevelopment,includinggroundwater contamination,toxicityoffracturingflu-ids,surfacespills,atmosphericemissions, wateruse,drillingwastedisposal,blow-outs, and road traffic and noise. A bit more about these issues later.Perhapsthemostrevealinginforma-tionforthoseofusintheindustrycontainedwithinthereportdealsnot with HSE issues, but with public percep-tion. The report analyzes media coverage ofshalegasdevelopmentintheMarcel-lus,HaynesvilleandBarnettshales.The analysis,whilenotreallynewstomost ofus,iseye-opening.Thereportfinds that the tone of media coverage has been overwhelminglynegativeinallformsof media,byafactoroftwo-to-one.Much morerevealingarethesourcesusedby themedia.Researchersfoundthatless than20%ofnewspaperarticlesonhy-draulicfracturingmentionscientific researchrelatedtotheissue.Similarly, only25%ofbroadcastnewsstoriesex-amined made reference to scientific stud-ies,andonlyabout33%ofonlinenews coveragementionedscientificresearch ontheissue.Pickthewordyouwant tousehereabsurd,astounding,unac-ceptable,unprofessional,biased,s$&&y b#^@*^ds. The one phrase you may not use, however, is sound journalism.Now,offthesoapboxandontothe meatofthestudy.First,thisisnowhite-wash of hydraulic fracturing or oil and gas operations.Wherewartsexist,theyare identified.Forinstance,thestudynotes thatsurfacespillsoffracturingfluidap-pear to pose greater risks to groundwater sources than does fracturing, itself. There isnosuggestionthattheriskofground-watercontaminationdoesnotexist.In fact,thestudynotesmanyreportsof groundwatercontamination,mostof themoriginatingfromfailedcasingand/or cement rather than fracturing.Thestudyincludeskeyfindings inthreeareas,groundwatercontamina-tionandotherenvironmentalimpacts, regulationofshalegasdevelopmentand enforcementofstateregulations.With regard to environmental impacts, in addi-tion to the two discussed above, research-ers found:Noevidenceofaquifercontamina-tionfromhydraulicfracturingchemi-calsinthesubsurfacebyfracturing operations,andobservednoleakage from fracturing at depth.Methanefoundinwaterwells,within someshalegasareas,can,mostlikely, betracedtonaturalsources,andwas likely present before the onset of shale gas operations.Blowoutsarearareoccurrence,but subsurfaceblowoutsappeartobeun-der-reported.Concerning regulation of shale gas de-velopment, the study finds that:Primary regulatory authority for shale gasisatthestatelevel,andmanyfed-eralrequirementshavebeenrelegated to the states.Most state oil and gas regulations were writtenwellbeforeshalegasdevelop-ment became widespread.Somestateshaverevisedregulations specifically for shale gas development, with particular focus on three areas of concern: Disclosureofhydraulicfracturing chemicals Propercasingofwellstoprevent aquifer contamination Managementofwastewaterfrom flowback and produced waterGapsremainintheregulationofwell casingandcementing,waterwith-drawalandusage,andwastestorage and disposal.Regulationshouldfocusonthemost urgent issues, such as spill prevention, whichmayposegreaterrisksthathy-draulic fracturing, itself.Finally,researchers,whoreviewed stateagenciesenforcementcapabilities, concluded:Enforcementcapacityishighlyvari-ableamongthestates,particularly when measured by the ratio of staff to the number of inspections conducted.Mostviolationsrecordedareofthe typeassociatedwithconventional drilling,ratherthanbeingspecificto hydraulic fracturing and shale gas pro-duction.Enforcementactionstendtoempha-sizesurfaceincidentsmorethansub-surfacecontaminantreleases,perhaps because they are easier to observe.TheEnergyInstitutestrovetocreate a non-biased study, actively involving the EnvironmentalDefenseFund(EDF)in developing the scope of the work and the methodologyforthestudy.EDFalsore-viewed the final work products. WILLIAM.PIKE@CONTR.NETL.DOE.GOV/Bill Pike has 43 years experience in the upstream oil and gas industry and serves as Chairman of the World Oil Editorial Advisory Board. He is currently a consultant with Leonardo Technologies and works under contract in the National Energy Technology Laboratory (NETL), a division of the US Department of Energy. His role includes analyzing and supporting NETLs numerous R&D projects in upstream and carbon sequestration technologies. Into the fracasDeliver confident prospect selections*Mark of Schlumberger. Measurable Impact is a mark of Schlumberger. 2012 Schlumberger. 11-IS-0583Capture prospect uncertainty from the start; assess seal capacity and charge timing as you interpret seismic, make maps, andcalculate volumesin one application.Deliver confident decisionswith Petrel* software. www.slb.com/petrelGlobal Expertise | Innovative Technology | Measurable ImpactE&P SOFTWARE PLATFORMPetrelWHATS NEW IN EXPLORATIONNINA M. RACH, CONTRIBUTING EDITORWorld Oil/MARCH 201217 The great Alaska shale rushInlateFebruary2012,theU.S.Geo-logicalSurvey(USGS)issuedthefirst estimatesoftechnicallyrecoverableon-shoreoilandgasfromshalesonAlaskas NorthSlope,aspartoftheNationalOil and Gas Assessment Project. USGS finds there is a maximum potential of 2 Bbbl of oil and 80 Tcf of gas recoverable from ker-ogen-richshalesspanningtheNational Petroleum Reserve in Alaska. This makes Alaskanshaleoilthesecond-largestun-conventionalcruderesourceintheU.S., aftertheBakkenformationinNorthDa-kota. Alaskas conventional oil production inNov.2011was19.54MMbbl;natural gas production was 32.306 Bcf, almost all of which came from the North Slope. Methodology.Oilandgasgenerated in kerogen-rich rocks that remain trapped withintheoriginalsourcerockanddo notmigrate,areconsideredcontinuous resources.Thesearelargevolumesof rock,pervasivelychargedwithoilorgas, that do not depend on the buoyancy of oil or gas in water, and cannot be defined by down-dipwatercontacts.In2005,James W. Schmoker published a 10-page report, U.S. Geological Survey Assessment Concepts forContinuousPetroleumAccumulations, whichdescribesthefundamentalcon-ceptssupportingUSGSresourceassess-ments of continuous accumulations. The assessment is limited to the quantity of oil andgasthatcanbeaddedtoreservesin approximately one generation, defined as a forecast span of 30 years.Stackedsourcerocks.Therecent USGSstudyassessedthreemainsource rocks on the North Slope: Triassic Shub-likformation,thelowerpartofJurassic-LowerCretaceousKingakshale,and Cretaceouspebbleshaleunit-Hueshale, together called the Brookian shale.The Shublik formation contains mostly Type I kerogen (sapropelic, predominantly algal and highly likely to generate oil) and TypeIISkerogen(mixedterrestrialand marineplanktonicthatcangenerate waxyoil,withsulfur).Oilthatmigrates fromtheShublikintoconventionalac-cumulationsislowgravity(2339API) andcontainshigh(>1.5%)sulfur.Exam-plesincludetheKuparukRiver(21-27 API) and Northstar fields (43-45 API).TheKingakandBrookianshalescon-tain a mixture of Type II and Type III kero-gen(derivedfromwoody,terrestrialma-terialthatusuallygeneratesgas).Oilthat migratesfromthesesourcerocksishigh gravity(3542API)withlow( Contact Us:Lee NicholsPhone: +1 (713) 525-4626Fax: +1 (713) 525-4631Lee.Nichols@GulfPub.comWorld Oil RigStar provides access to comprehensive details for more than 1,050 mobile ofshore drilling units and their equipment. Day Rates Contract Status Newbuilds Equipment Specs Upcoming Contracts Rig Capabilities Location Operators Future Availability Equipment Manufacturers BOP Information> Discover World Oil RigStarEverything You Need to Navigate the Ofshore from One Convenient Sourcewww.WorldOil.com/RigStar GULFPUBLI SHI NGCOMPANYUnderbalanced Drilling: Limits and ExtremesThepresentcrudeoilandnaturalgasreservoirsaroundtheworld have depleted conventional production levels. In order to continue enhancing productivity for the remaining mature reservoirs, drilling decision-makerscannolongerrelyontraditionalbalancedor overbalanced methods. Enter underbalanced drilling: derived from conventionalairdrilling,theprocessisincreasinglynecessaryto meet todays energy and drilling needs.AuthorandexperienceddrillinglegendBillRehmfurtherexplains thisessentialdrillingprocedure,alongwithhisco-editors,in Underbalanced Drilling: Limits and Extremes.The book was written under the auspices of the IADC Technical Publications Committee. The perfect handbook for the drilling supervisor, this text includes: Real case studies shared by major service companies Questions and answers at the end of the chapters for upcomingengineers to test their knowledge Common procedures, typical and special equipment involved,and most importantly, the limits and challenges surrounding this technologyPre-Order Today!Underbalanced Drilling: Limits and ExtremesBy Bill Rehm, Arash Haghshenas, Amir Paknejad, Abdullah Al-Yami, Jim Hughes and Jerome Schubert600 pages Hardcover Publication date: April 2012ISBN: 978-1-933762-05-0 Price: $195To pre-order your copy: go to www.GulfPub.com, or call JNette Davis at +1 (713) 520-4426. This title is scheduled for publication in April 2012. BLI SHI NGCOMPANYNEW RELEASEDiscover how sound analysis can make a world of difference...Find out 2012 industry trends and access 2011 statistics and historical data in World Oil Forecast & Data 2012. Utilizing data collected from proprietary surveys of governments and operators in the U.S. and worldwide, the World Oil Forecast is renowned throughout the upstream industry for its thorough and reliable projections of spending and activity relating to the global E&P industry. Also included in this one-of-a-kind report are historical data for drilling, production and reserves taken from the World Oil library, dating back before 1900.Included in the 2012 edition: World Oils annual review of the past year and whatlies ahead in 2012 Estimates for U.S., Canadian and worldwide upstreamcapital expenditures during 2011, and projections ofplanned capital expenditures for 2012 U.S. and worldwide oil production gures for 2011 versus 2010 U.S. drilling forecast for 2012 versus 2011 well totals,including an analysis of the U.S. rig count A global drilling forecast for the year ahead, featuring abreakout of global offshore activity Active producing oil and gas wells in the U.S. during2011, broken out by state Worldwide crude/condensate production during 2011,broken out by regions and some countriesFrom the World Oil library: A history of U.S. drilling totals dating from 1859 to present U.S. wildcat wells history U.S. and world production historical data, starting from 1918 Proven reserves in the U.S., dating back before 1900 A 30-year history on international drilling, productionand reserves Canadian drilling and production historical data, from 1955 and 1947, respectively Mexican drilling and production historical data, from 1981 and 1901, respectivelyGeteverythingyouneedtotrackupstreamactivity,past, presentandfuture.WorldOilForecast&DataBook2012 enablesyoutorecognizehistoricalandemergingtrends, locate new opportunities and make informed decisions in the global upstream oil and gas industry for 2012 and beyond.Projections and Historical Statistics for Worldwide Drilling, Production and ReservesFORECAST &DATA BOOK 2012Order your copy today!Purchase online at GulfPub.com/WOForecast2012 or contact JNette Davis at 713-520-4426 or WOData@GulfPub.com. Price: $1,495 per single copy in print or digital format. Site licenses are also availableinquire for pricing.FORECAST & DATA BOOK 2012Projections andHistorical Statistics for WorldwideDrilling, Productionand ReservesWorldOil.comWORLD OILNOW AVAILABLE> Discover World Oil RigStarEverythingYou Need to Navigate the Ofshorefrom One Convenient SourceWorld Oil RigStar provides access to comprehensive details for more than 1,050 mobile ofshore drilling units and their equipment. Day Rates Contract Status Newbuilds Equipment Specs Upcoming Contracts Rig Capabilities Location Operators Future Availability Equipment Manufacturers BOP InformationWorldOil.com/RigStar> World Oil RigStar is designed to provide drilling managers and professionals in the global ofshore industry with the intelligence and tools they need to stay current with mobile ofshore rig activity. World Oil RigStar Empowers Users to: Recognize new opportunities Budget and organize drilling activities Plan strategically for future operations Gather market share for well controland drilling equipmentWorld Oil RigStar provides accurate, hard-to-get information for more than 1,050 mobile ofshore rigs and lists up to 300 data points per rig. Users rely on the accuracy and timeliness of the data for their planning, budgeting and marketing activity. By subscribing to RigStar, users get alerted to the latest updates in the ofshore drilling market, including changes in operating status, rig availability, equipment, rig capabilities and much more.World Oil RigStar is a powerful and fully searchable database designed to provide users with the tools they need to quickly and easily sort through an abundance of rig and equipment data. World Oil RigStar users can take control and customize a search, save it for future reference and access important market data at any time, from anywhere. Constellation: Receive this timely and insightful e-newsletter covering contracts, newbuilds and eld operations around the world, and stay up-to-date on the latest activity in the global ofshore rig industry.Advanced Search Functionality: Search by categories such as operating status, day rates andBOP information. Save yoursearch or export to Excel for future reference.> Powerful Technology Designed to Deliver Detailed Rig Information Quickly and ConvenientlyDetail: Access up to 300 data points for rigs and their equipment, including details about contract information, availability and equipment specications.With more than 1,050 searchable mobile ofshore rigs and information about their equipment, World Oil RigStar is the only resource you need to stay connected to the ofshore rig market.Accurate, Timely Information: Keep tabs on the movement of mobile rigs throughout the global ofshore market. More than 1,050 rigs are listed with up to 300 data points per rig.Contract Details: Stay current on where rigsare operating and for which operators. Learn the status, day rates and availability for hundreds of rigs.Newbuilds: Access a list of rigs under construction and recently added to the market. You will get updates with new details related to rig eet expansion or modernization.Rig Equipment: Access detailed specs and other information pertaining to well control and drilling equipment.Market Share Information: Gather crucial market share information on equipment.Constellation: Keep up-to-date on the latest ofshore rig activity and industry analysis with this weekly e-newsletter.Customized Research: Request customized reports directly from the World Oil RigStar research team.Site License Program: Multiple users or your entire organization can gain access via a site license program that provides tools to make smart decisions and recognize new opportunities in the global ofshore rig market.> Subscribe and Get All the Benets of World Oil RigStarSubscribe Online: WorldOil.com/rigstar-subscribeCall us: +1 (713) 525-4626> Contact Us:Lee NicholsPhone: +1 (713) 525-4626Fax: +1 (713) 525-4631Lee.Nichols@GulfPub.com>Take a Two-week Free Trial at: WorldOil.com/rigstar-freetrialWorld Oil/MARCH 201289 Mobility and conformance control for carbon dioxide EOR Part 1National Energy Technology Laboratory+1 (281) 494-2516netl.doe.govThe U.S. Department of Energys Of ce of Fossil Energy recently released an in-depth study reviewing over 40 years of carbon dioxide enhanced oil recovery (CO2-EOR) research related to mobility and conformance control. This is the rst of four articles based on that report.DR. ROBERT ENICK, University of Pittsburgh; JAMES AMMER, National Energy Technology Laboratory; WILLIAM SCHULLER, URS CorporationOver the past decades, the De-partmentofEnergyandits predecessororganizations supportedalargenumberof laboratoryandfieldresearchprojectsincludingadvancedreservoircharacter-ization,mobilitycontrolandCO2-EOR floodingconformanceinaneffortto improvetheoilrecoveryprocess.DOE recentlycommissionedaCO2mobility controlandconformancecontrollitera-ture review to stimulate interest in devel-opingadvancetechnologiestoovercome thegeologicandprocesslimitationsof CO2-EOR.Theselimitationsinclude poorsweepefficiency,unfavorablein-jectivityprofiles,gravityoverride,high ratios of CO2 to oil produced, early break-through and viscous fingering. Carbon dioxide enhanced oil recovery hasbeenusedcommerciallytorecover oilfromgeologicformationsforover 40years.Currently,CO2-EORprovides about280,000bopd,justover5%ofto-tal U.S. crude oil production, Fig. 1. This percentageislikelytogrowinupcoming years,duetohighcrudeoilprices,avail-ability of natural CO2, more in-field drill-ing, advances in drilling technologies, and thepotentialavailabilityoflarge,anthro-pogenic CO2 sources, Fig. 2. A revised national resource screening assessmentforCO2-EOR(July2011) prepared for DOE by Advanced Resourc-es International concluded: NextgenerationCO2-EORcanpro-vide 137 billion bbl of additional, tech-nicallyrecoverabledomesticoil,with abouthalf(67billionbbl)economi-cally recoverable at $85/bbl, Table 1. This volume of economically recover-able oil is sufficient to support nearly 4 million bpd of domestic oil production (1.35 billion bbl per year for 50 years), reducing oil imports by one-third.Federalandstatetreasuries,aswellas thegeneralU.S.economy,wouldbe largebeneficiaries.Totalrevenuesto federal/statetreasurieswouldequal $1.42trillion,whereastotalrevenues in the form of wages and material pur-chases would equal $1.72 trillion. Nearly20billionmetrictonsofCO2wouldneedtobepurchasedbyCO2-EOR operators to recover the 67 billion bblofeconomicallyrecoverableoil. Ofthis,atleast18billionmetrictons wouldneedtobeanthropogenicCO2 captured from industrial sources.Next-generationtechnologiesinclude increasing CO2 injection volumes by 50% or more, drilling horizontal wells for injec-tionorproduction,improvingmobility ratioandfloodconformance,extending theconditionsunderwhichmiscibility between the oil and CO2 can be achieved, and applying advanced methods for mon-itoring flood performance.Despitethewell-establishedabilityof CO2-EOR to recover oil, the process could beimproved,ifthehighmobilityofCO2relativetoreservoiroilandwatercanbe effectivelyandeconomicallyreduced. TheCO2-EORindustrycontinuestouse water-alternating-with-gas(WAG)asthe technologyofchoicetocontrolCO2mo-bilityand/ormechanicaltechniques(e.g., cement, packers, well control, infield drill-ingandhorizontalwells)tohelpcontrol theCO2floodconformance,Fig.3.Ifthe next generation CO2-EOR target of 67 bil-lion bbl is to be realized, new solutions will be needed to recover significantly more oil than the 1020% of the original oil-in-place associated with current flooding practices. Thepremiseoftheliteraturereview wastohighlightpriorresults,thuspro-vidingabaselineunderstandingofthe remainingchallengestoandresearchef-fortsrequiredforCO2-EORtechnology advancement.Thereviewhighlighteda number of successes. For example:INDUSTRY REPORT / NATIONAL ENERGY TECHNOLOGY LABORATORY 90MARCH 2012/WorldOil.comInthelab,therehasbeenconsider-ableprogressin(direct)thickening ofCO2toalevelcomparabletothat ofoilandbrineforimprovedmobil-ity control, but no field tests have yet been conducted. Manylab-scaletestsandoveradozen fieldtestsinvolvingwater-solublesur-factantscapableofstabilizingCO2-in-brinefoamshavebeenconducted, mostaimedatattainingconformance controlviathein-situgenerationof stronger foams in thief zones. The emergence of robust gel-based con-formance techniques (near wellbore) may have led to a decline in the use of foams as a conformance control technique, es-pecially in extremely high permeability flow paths such as vugs and fractures.Alargenumberoflab-scalestudies, butonlyafewfield-scaletests,were directed specifically at the design of in-depth(interwell)mobilitycontrolfoams wherein-situgenerationofweaker foams was intended to suppress finger-ingandenhancetherateandcumula-tive amount of oil recovery. Recently,CO2foamsgeneratedwith CO2-solublenonionicsurfactantswere successfullytestedinthelaband through an ongoing pilot test. Lab-scaletestingoffoamstabilization withwater-dispersiblenanoparticleshas beeninitiatedinanattempttocircum-ventissues,suchasadsorptionlosses andchemicalinstabilityofthesurfac-tant,associatedwithsurfactantsolu-tions flowing through a porous medium. The results of 40 years of research and field testing clearly indicate that mobility andconformancecontrolforCO2-EOR withthickeners,foamsandgelscanbe technicallyandeconomicallyattainable forsomefields.However,significantly moreresearchneedstobeconducted. Thefollowingtechnologieswererecom-mended as primary candidates for further research:CO2viscosifiers(directthickeners). An affordable CO2 thickener has been rec-ognizedasagame-changingtechnology for over 25 years, but has not yet been de-veloped.Thickenerdesignisachallenge, due to the very low CO2 solubility of high-molecular-weightpolymersandsmaller compoundsthatcontainthechemical groups responsible for viscosity-enhancing intermolecularassociations.Anexpensive (fluoroacrylate-styrene)copolymerhas beenshowntoeffectivelythickenCO2, butthecontinueddevelopmentofmore economicallyviableCO2thickenersisre-quired before field tests will be conducted.Near-wellboreconformancecontrol with CO2 foams and gels. The improved performanceofthegeltechnologiesin blockingflowpaths,enhancedgelrobust-ness, and the ability to apply gel treatments infracturedorhighlypermeableopen-flow-pathformationshasmadegelsthe popular choice of many operators for CO2floodingconformancecontrol.However, aconsensusexiststhatCO2conformance control foams are less expensive and more readilyreversible(viawaterinjection,if desired)thananyofthegeltreatments. Giventheabilityoffoamstobedesigned for conformance and/or mobility control, itmaybeprudenttocombinethetwo technologies, where gels are employed, for conformancecontrol,andCO2-in-brine foam (rather than WAG) is used for mobil-ity control. In-depthmobilitycontrolCO2 foams.Researchresultshavedemonstrat-edthatsurfactant-inducedCO2foamsare aneffectivemethodformobilitycontrol inCO2foamflooding,buthavepotential weaknesses. Because the foam is by nature ultimatelyunstable,itslong-termstabil-ity during a field application in oil-bearing zones is difficult to maintain. But CO2 mo-bilitycontrolviathealternatinginjection ofaqueoussurfactantsolutionsandbrine has not been fully explored in pilot tests. Foamgeneratedbythealternatingin-jectionofCO2-surfactantsolutionsand brineensuresthatthesurfactantwillbe Fig. 1. U.S. enhanced oil recovery with gases over past decades Flue gasNitrogenHydrocarbon miscible/immiscibleCO2 immiscibleCO2 miscible 1984Source: Koottungal, 2010050,000100,000150,000200,000250,000300,000350,000400,0001986 1988 1990 1992 1994 1996YearIncremental oil production, bpd1998 2000 2002 2004 2006 2008 2010Fig. 2. Schematic of CO2 from a thermoelectric power plant and renery being sequestered in various geologic formations, including CO2-EOR in oil reservoirs INDUSTRY REPORT / NATIONAL ENERGY TECHNOLOGY LABORATORYWorld Oil/MARCH 201291 present(andthefoamforms)wherethe CO2 flows. An ongoing field test indicates that the foam may provide some degree of conformanceandmobilitycontrol.The useofliquid,non-ionic,CO2-solublesur-factantsmaybeespeciallyadvantageous for operators who only employ continuous CO2 injection, and may reduce the size of the brine slugs for operators who choose a CO2andbrineinjectionscheme.Because the CO2-soluble surfactants are also water-soluble,thesurfactantcouldconceivably be added to both the CO2 and brine slugs. Newnanosciencetechnologiesmay alsoprovideanalternativetogeneration ofstableCO2foam.Nanoparticlesread-ilydisperseinwater,andthisdispersion readilyflowsthroughunconsolidatedpo-rousmedia.Usingnanoparticlesinstead ofsurfactanttostabilizeCO2foammay overcomethelong-terminstabilityand surfactant adsorption loss issues that affect surfactant-based CO2-EOR processes.DOEs Office of Fossil Energy, through the National Energy Technology Labora-tory(NETL),awardedanumberofnew researchprojectsin2010,seekingtofur-thernext-generationCO2EORtothe point of pilot (small) scale testing. Three oftheseactivitiesarerelatedtomobility control in CO2 flooding; two are focused onnanoparticletechnologies,andone onCO2-solublesurfactants.Afourthre-search activity is field-testing gels for con-formance control.Parts2,3and4ofthisserieswillcover CO2foamsformobilityandconformance control, field tests of CO2 foams and confor-mance control gels, and CO2 additives di-rectthickeners,foam-stabilizingsurfactant agents and nanoparticles. DR. ROBERT ENICK is the Bayer Research Professor of Chemical and Petroleum Engineering at the University of Pittsburgh, and has worked in various capacities with NETL scientists since 1987. He has developed numerous compounds designed to dissolve in CO2, including direct CO2 thickeners, for over 20 years. Enick led the team that designed the uoroacrylate-styrene copolymer (polyFAST) direct thickenerthe only compound identied to date capable of increasing CO2 viscosity by a factor of ~10 at a concentration of ~1wt% at minimum miscible pressure (MMP) conditions without the need for a co-solvent. In recent years he has identied numerous commercially available, non-ionic, CO2-soluble surfactants with the potential to form CO2-in-brine mobility control foams in-situ as CO2-surfactant solution is injected into the formation.JAMES AMMER is the Director of the Natural Gas & Oil Project Management Division at the National Energy Technology Laboratory, which manages external R&D projects funded through the Department of Energys Of ce of Fossil Energy Natural Gas and Oil Program. Previously he served as a project manager for 10 years, managing projects in drilling, stimulation, production optimization, natural fracture detection and prediction, and gas storage. Ammer also conducted reservoir engineering and simulation studies for over 10 years, including studies on CO2 ooding, gas migration analysis, horizontal drilling evaluation and gas storage ef ciency. He received his BSc degree in Petroleum and Natural Gas Engineering from Pennsylvania State University in 1983. Ammer has been employed at NETL for over 27 years.WILLIAM SCHULLER is a Senior Scientist with URS Corporation (Energy and Construction Services Division, Global Management and Operations Services Business Unit) providing technical support to DOEs National Energy Technology Laboratorys (NETL) Of ce of Research and Development. Additionally, he is the Oil and Gas Program Lead for Team KeyLogic (KeyLogic, Inc. and URS joint venture) providing project execution and integration services support to the Natural Gas and Oil Project Management Division at NETL. Schuller has a BS in Geology from West Virginia University and has over 35 years of oil and gas experience in reservoir characterization and production enhancement.REFERENCESKootungal, L, 2010 worldwide EOR survey, Oil and Gas Journal, April 19, 2010, Vol. 108, No. 14, pp. 4560.Kuuskraa, V. A., T. Van Leeuwen, and M. Wallace, Improving domestic energy security and lowering CO2 emissions with next generation CO2-enhanced oil recovery (CO2-EOR), DOE/NETL 2011/1504, June 20, 2011, pp. 1113. Available at: www.netl.doe.gov/energy-analyses/refshelf/PubDetails.aspx?Action=View&Source=Main&PubId=391Lindley, J., Series of enhanced oil recovery, drilling and waterfood illustrations, U.S. Bureau of Mines and succeeding organizations Energy Research Develop-ment Administration and U.S. Department of Energy, Bartlesville, OK, ca. 1960.Fig. 3. Simplied illustration of a CO2 oodTable 1. Oil recovery and CO2 storage from next generation CO2-EOR technologyOil recovery*CO2 demand/storage(Billion bbl)(Million mt)Reservoir settingTechnicalEconomic**TechnicalEconomic**1. Miscible CO2-EORLower-48 onshore104.460.332,25017,230Alaska8.85.74,1102,330Ofshore6.00.91,770260Sub-total119.266.938,13019,8202. Near Miscible CO2-EOR1.20.28001103. Residual oil zone***16.3n/a6,500n/aTOTAL136.767.145,43019,930* Includes 2.6 billion bbl already produced or being developed with miscible CO2-EOR and 2.3 billion mt of CO2 from natural sources and gas-processing plants.** At $85/bbl oil price and $40/mt of CO2 market price, with rate of return (ROR) of 20% (before taxes).*** Residual oil zone (ROZ) resources below existing oil elds in three basins; economics of ROZ resources were beyond study scope.Its the ONLY WAY to take full advantage of World Oil.Discover the benets of a premium subscription to World Oil and gain full, unlimited access to WorldOil.com.WorldOil.com is a powerful source of exploration, drilling and production technical content and industry data, featuring: An archive of World Oil magazine issues datingback to 1998, searchable by keyword or topic The Engineering Data Tables/Toolkit featuring the Drill Bit Classier, Casing Table and TubingReference Table An archive of industry data and statistics forproduction, oil/gas prices and rig-related activity World Oil forecast statistics for drilling, productionand reserves, as published annually in the magazineWorl dOi lDECEMBER201 1ENVI RONMENTALANDREGULATORYI SSUES GULFPUBLI SHI NGCOMPENVIRONMENT REGULATION2012 OUTLOOK What industry leaders expectduring the upcoming yearRIG ADVANCES Innovations focus on improvedsafety and reliabilityPREVENTING GAS MIGRATION How to use annual packers toensure hydraulic integrityREGIONAL REPORT: CHINA Worlds largest shale potential, but new environmental issuesENVRDECEMBER 2011 / DEFINING TECHNOLOGY FOR EXPLORATION, DRILLING AND PRODUCTION / WorldOil.comADVANCES IN EXPLORATIONLATIN AMERICA REPORTNew opportunities draw investmentsINTERNATIONAL FORECAST D&P data indicates solid global E&P growthSUBSEA PRODUCTIONSeafloor systems push offshore envelope SEPTEMBER 2011 / DEFINING TECHNOLOGY FOR EXPLORATION, DRILLING AND PRODUCTION / WorldOil.comRIG ADVANCES NCES Innov Innov Innov ovation ation ation ation on f s foc s foc s foc s foc focus us on us on us on us on us on iim impr impr impr impr impr p o d oved oved oved oved oveds f t safet safet ety a d y and y and li reli reliabili ability tyPPPR REVENTING GAS MIGRATION How to use annual packers toensure hydraulic integrityREGIONAL REPORT: CHINAREGIONAL REPORT: CHINA WWWorlds largest shale potential, bbut new environmental issuesSUBSCRIBE TODAY!Log on to WorldOil.com/subscribe.aspx or call +1 (713) 520-4440. World Oil/MARCH 201293 PEOPLE IN THE INDUSTRYNELL.LUKOSAVICH@WORLDOIL.COMNoble Corporation promoted Bernie G. Wolford to senior VP-operations. Wolford previously served as the companys VP-operational excellence. He initially joined Noble through the Transworld acquisition in 1991 and has held division manager positions in both the Middle East and Brazil divisions. PetroFrontier Corp. has appointed Earl Scott as COO of PetroFrontier and president of its two wholly-owned Australian subsidiaries, PetroFrontier Ltd. and Texalta Ltd. Based in Adelaide, South Australia, Scott will be responsible for all opera-tions of the two Australian subsidiaries.Emerson Process Management announced that Curt Terje Espedal has become the new European regional manager for Roxar Software Solutions. Espedal joins Emerson from E&P software com-pany Landmark Graphics, where he has worked for the past 13 years, and his last role was managing director of the companys Norwegian operations.Seanic announced the addition of three key personnel to its team. Godik Gyldenege joins the company as a manager of special projects and brings more than 40 years of experience in the subsea industry. Derek Chaplin joins the company as a mechanical design engineer with more than seven years of subsea project management and mechanical engineering experience. Lastly, Adam Padilla has been appointed tool pool manager.Shell announced that Malcolm Brinded has agreed to step down as its executive director of Upstream International. The company has appointed Andrew Brown as Upstream International director. He will be a member of the Executive Committee and will be based in the Netherlands. Brown is currently execu-tive VP Qatar. Kuwait has appointed Hani Hussein, a former CEO of Kuwait Petroleum Corp. (KPC), as oil minister. Hussein, who was appointed KPC chief in 2004, originally had decided in early January 2007 to step down and take early retirement. Kuwait, a member of OPEC, frequently reshuffles its cabinet, but replacing oil ministers usually doesnt affect the countrys energy policy, which is set by the Supreme Petroleum Council.AquaTerra Training Ltd. has appointed Charlie Cameron as operations manager. Previously, Cameron was cur-riculum manager at Angus College, as well as a fire and rescue crew manager. Adira Energy Ltd. has named Jeffrey Walter as CEO, and the transition of Hezi Kugler from CEO to strategic consultant to the company. Walter previously held positions with Noble Energy for 27 years, where he led the team respon-sible for the largest gas dis-covery at the time in Israel. He directed programs increasing international oil reserves from 29% to 69% and gas reserves from 6% to 61% of overall corporate reserve base.Reservoir Group has appointed Wade McCutcheon as COO. McCutcheon steps up to the role from his previous position as VP, responsible for the companys forma-tion evaluation activity. McCutcheon will oversee all operational matters, accelerating the groups growth and maximizing synergies between exist-ing member companies.ABCO Subsea announced that Jeffrey T. Glattly has joined the company as director of sales and marketing. Glattly brings over 30 years of experi-ence in strategic marketing and planning, sales, and business and market devel-opment to the company. Glattly previously worked in a consultative capacity at ABCO Subsea. In his new role, he will oversee the growing companys marketing, customer service, advertising and sales. Glattly previously worked as director of sales at Noble Biomaterials and oversaw a sales and marketing team at Bayer Pharmaceuticals.Murphy Oil Corporation promoted Bill Stobaugh to executive VP, corporate planning & business development, and Tom Mireles to VP of the same unit. Stobaugh joined Murphy Oil in May 1995 as VP, corporate planning, in El Dorado, Arkansas. In his new position Stobaugh will report to Murphy Oil president and CEO David Wood. Mireles joined Murphy Exploration & Production Company in August 2005 as senior staff analyst in the Frontier E&P department in Houston. In his new posi-tion, Mireles will continue to report to Stobaugh.Anadarko Petroleum Corp. CEO Jim Hackett plans to step down in May and will be suc-ceeded by COO Al Walker. Hackett, who has been CEO for more than eight years, will become executive chairman a new positionthrough the companys annual shareholder meeting next year. He plans to retire in June 2013. Walker, a 30-year industry veteran, has been with Anadarko for more than six years, currently serving as a director of Centerpoint Energy, Inc. and Western Gas Holdings, a subsidiary of Anadarko, and general partner to Western Gas Partners LP. Clariant Oil & Mining Services has named Graham Gammack head of marketing for the Oil Services business line. Gammack previously serving as director of business development. Prior to joining Clariant, Gammack served as the manager of process and capability improvement at Baker Hughes. He has 25 years of experience in oil and gas. During his career, he has held a number of positions in technical sales, opera-tions support and P&L management.Imtech Marine has appointed Sytze Voulon to the position of regional director, North West Europe (Rotterdam). Voulon has held several senior management posi-tions in the international maritime industry. Most recently he was regional directormarine Europe until 2008 and regional directormarine Europe & Africa/VP services Europe & Africa.Guy M. Oliver has been named president of Fugro Robertson Inc. Based in Houston, Olivers respon-sibilities include overall management of company performance, technical marketing support of sales and business develop-ment, and the implemen-tation of quality, health, safety and environment (QHSE) policies. Oliver began his career with Fugro Robertson (formerly Robertson Research International Ltd.) in 1997 as a sedimentologist, and has served as a director of the company since 2004.ITS Energy Services appointed Joe Chandler as COO. He was also named a member of the board of directors. Chandler joined ITS in January 2003, previously serving as VP for North and South America.KBR appointed Darrell Hargrave to president of KBRs Industrial Services business unit. A 30-year veteran of KBR, Hargrave previously served as senior VP of KBR Industrial Services.Xodus Group has created a new chief technology officer position to lead its integration of surface and subsurface services. Stephane Constant, who became a non-executive director last year, has taken up the full-time post. Constant was co-founder and technical director of subsurface consultancy, Horizon Energy Partners, which he built to 100 people and sold to SGS in 2008. He started his career with ELF (now TOTAL) in 1991 as a reservoir engineer responsible for various UK-operated assets.94MARCH 2012/WorldOil.comCOMPANIES IN THE NEWSNELL.LUKOSAVICH@WORLDOIL.COMExpro has opened its new operations base in Paradise, Newfoundland, Canada.It will support the provision of well testing, subsea and downhole video services for offshore Newfoundland.The new base accommodates a team of 30 people, the majority of whom are local employees. There is alsoa four-bay workshop with 8,400 sq ft of warehouse area, including an office annex with 6,000 ft of office space.Shell Brasil was named the winner of the Excellence in Project Integration Award at the 2012 International Petroleum Technology Conference.The award was in recognition of the significant and unique achieve-ments made by Shell Brasils BC-10 Parque das Conchas Team, in successfully managing and directing an integrated oil and gas project from discovery to production, using breakthrough technology solutions.Artificial Lift Company (ALC) successfully installed the first rigless electrical submersible pump (ESP) string in the Middle East. The installation was performed in one of Saudi Aramcos fields and comprises of a 134-hp Rigless ESP system with a 6,000-bpd pump. The system includes the ALCs proprietary Permanent Magnet Motors and Wet Connect system. The unit was installed at a depth of 6,119 ft and includes a downhole ESP gauge, packer and subsurface safety valve assemblies.HB Rentals, a Superior Energy Services company, has completed a three-month project to install seven ABS/USCG building pack-ages on a compliant tower in the Green Canyon area of the Gulf of Mexico. The package consisted of three 12-man sleepers, two eight-man sleepers with office capabilities, and an eight-man sleeper and recreation room. In addition to accommodations, HB Rentals provided stairs, platforms, slings, cords, power distribution/transformer, gas detection, VSAT communications, sewage treat-ment, lift pumps, pressure sets and a water manifold.IBM has been selected for a global research project to develop the worlds first inte-grated environmental monitoring system aimed at helping oil and gas companies minimize the environmental impact of their operations. IBM researchers, developers and a team from IBMs Centre of Excellence for Oil and Gas in Stavanger, Norway, are collaborating with experts from Statoil, Kongsberg Group and Det Norske Veritas (DNV) on developing a solution that will use industry frameworks, combined with advanced streaming analytics technology to enable real-time monitoring of environmental data, and early detection of, and response to, operational events surrounding offshore installations. Sonardyne International has taken its first order for a Dynamic Positioning Inertial Navigation System.Vantage Drillings new 12,000-ft, water-depth-rated drillship, Dragonquest, is set to become the first deepwater drilling unit in the world to be equipped with the new system when it begins operations in the Gulf of Mexico for Petrobras later this year. Ulterra set a new bit record in the Granite Wash with its 12.25-in., U616M, six-blade matrix PDC bit with 16-mm cutters.The Ulterra bit drilled 7,065 ft from surface casing, down to a depth of 8,115 ft in Roger Mills County, in western Oklahoma. The operation saved the operator an estimated $44,500 versus the closest offset, and $88,500 versus the average of five offset wells.North Star Shipping, a division of global shipping and energy services firm, The Craig Group, has been awarded a major new contract with Talisman Energy (UK) Ltd. Under the contract, the company, which provides offshore support vessels to the industry, will build two new platform supply vessels to support Talismans North Sea operations. The contract, which is for five years with multiple options thereafter, will create 50 new jobs.WorleyParsons has begun work after being awarded a front-end engineering and design (FEED) phase contract in November for the Hess Equus gas fields development project offshore Western Australia. The Equus project involves developing natural gas fields in permit area WA-390-P, about 300 km west of Karratha in the northern Carnarvon basin. Under the contract, WorleyParsons and INTECSEA will provide the design of a semisubmersible produc-tion facility, including risers and moorings.Global NuTech has acquired 100% of the stock of Houston-based Texas Gulf Oil & Gas. The acquisition from private equity firm Corporate Strategies Merchant Bankers includes indi-vidual oilfield producing assets and options throughout the Austin Chalk and near the Eagle Ford shale play in Texas. These assetsinclude leases, options andand workinginterests in 19 oil wells throughout the area and additionaloptions to invest in wells to be drilled or re-entered in three leases identified as Tilmon, Lay and Rodenberg.TAM International Inc. announced that it will build a new manufac-turing facility in the Houston area. Plans call for 126,000 sq ft of manufacturing space and 17,000 sq ft of office space. The facility will house up to 300 employees directly involved in the manufac-turing process, which will increase capacity for the production of packers more than 40 ft long and 26 in. in diameter.Seadrill has secured new contracts for the three jackup rigs Offshore Mischief, Offshore Defender and West Leda. The aggregated revenue potential is estimated at $311 million. Offshore Mischief has been awarded a contract by Equion Energia Limited in Colombia. West Leda has been, in association with local partner IPS, awarded a contract by ExxonMobil E&P Malaysia, Inc., for development drilling offshore Malaysia. Offshore Defender has been awarded a contract by Brunei Shell Petroleum Company for drilling offshore Brunei.Technip was awarded a 5-year contract from Petrobras for the supply of around 870 mi of flexible pipe. The contract is effective immediately and orders are estimated to be worth around$2.1 billion. The scope of the contract includes the manufacture of over 150 types and diameters of risers, flowlines and associated equipment and accessories.World Oil/MARCH 201295 NEW PRODUCTS AND SERVICESNELL.LUKOSAVICH@WORLDOIL.COMCurve rotary steerable system drills multiple sections in one run Baker Hughes introduced its AutoTrak Curve Rotary Steerable System, a tool that can drill vertical, curve and horizontal sections in one fast run to maximize available pay zones and reduce the number of trips. The system has resulted in new drilling records across most of the important uncon-ventional basins in the U.S. The tool is a closed-loop drilling system that takes commands from the surface to place the wellbore in the desired direction and inclination. The programmable system has been through more than 10,000 hours of rigorous field testing in some of the toughest unconventional environments in North America. Combining an optimized bottomhole assembly (BHA) and drill bit to maximize drilling efficiency and reservoir exposure, the system achieves high build rates of more than 15/100 ft. Tolerant to the presence of lost-circulation material in the mud system, the technology does not require special pressure drop between the pipe inside diameter and the annulus to operate. The advanced technology saves time, given there is no need to change the bend angle of a motor, resulting in faster well construction. Given the improved hole quality, completion time also is enhanced and casing can be run to total depth faster and easier.www.bakerhughes.comClamp spectrometer validates life of UV quartz sleevesThe new Jaz clamp spec-trometer from Aquion-ics enables customers to conduct on-location testing of their UV disinfection systems quartz sleeves. The Jaz accurately validates the life of quartz sleeves, potentially extending their usable life, and ensures UV disinfection systems are op-erating effectively. The spectrometers special adapter clamps onto a quartz sleeve, utilizing fiber optics to transmit UV light between 200 and 400 nm. By measuring the transmittance of light through the quartz sleeve, customers can verify the proper construction of new quartz sleeves and assess the level of fouling and/or solarization of used sleeves. The device is lightweight and compact, with 1,500 hr of lamp life powered by a convenient battery or A/C plug adapter. A USB port al-lows data transfer to a PC for data storage and analysis.www.aquionics.comPortable system manages training activities, infoThe International Association of Drilling Contractors has introduced its IADC SkillSTICK, a manpower development tool for the oil and natural gas drilling and completion industry. IADC SkillSTICK is a standardized, por-table training management utility. Developed by Houston-based Indaptive Technologies, Inc., the device is a specially designed USB drive that allows workers to manage information and activities related to training performance anywhere in the world, regardless of Internet quality. The device can be used off-line for training from pre-loaded e-Learning courses. It can store student progress and assessments associated with those courses. When an Internet connection becomes available, the IADC SkillSTICK syncs back to an online data repository, upload-ing information recorded on the device while working off-line; for example, on a remote rig. www.SkillSTICK.com/IADC Two items added to HT reservoir characterization servicesSchlumberger announced the availability of its new PressureXpress-HT reservoir pressure service and MDT Forte-HT qualified, rugged, high-temperature formation sampling and pressure system. These two services are the latest HT additions to the firms reservoir characteriza-tion portfolio of services. Rated to 450F, the PressureXpress-HT tool provides accurate pressure gradients and overall data quality not achievable by conventional HT formation tester tools. The tools dynami-cally controlled, pressure pretest system in the PressureXpress-HT tool enables precise control of volume and drawdown rates. This makes pressure testing possible in tight formations that are common in HPHT reservoirs. The tool design also eliminates the need for gauge tempera-ture stabilization, thus significantly improving operational efficiency.The new MDT Forte-HT system provides greater all-around robustness in formation sampling and testing operations up to 400F (204C).www.slb.comPDC reamer eliminates shale drilling wiper tripsStabil Drill, a Superior Energy Services company, has developed the Stabil Drill Ghost Reamer for horizontal shale drilling. The Ghost Reamer, an eight-bladed polycrystalline diamond compact (PDC) reamer, allows the wellbore to be cleaned and cleared, either by back-reaming on rigs that have a top driver or on rigs without top-drive, by pulling out to the top of the curve and then rotating forward until reaching TD. This flexible solution elimi-nates wiper trips, thus saving time and money.www.stabildrill.comUltrasonic device detects sources of pressurized gas leaks The Gassonic Observer-H Ultrasonic Gas Leak Detector from General Monitors is ideal for gas leak detection in pressurized systems. The new device features HART communications, Modbus with single and block transfer modes, Emerson AMS Intelligent Device Manager support, and event logging. The detector is ATEX, IECEx, FM and CSA hazardous-area certified and SIL 3-suitable. The unit detects gas leaks by sensing the airborne ultrasound emitted from leaking gas at high pressure. It is suitable for gas detection in open, well-ventilated areas, where traditional methods may be unsuitable or dependent on ventilation. Since this gas leak detector responds to the source of a gas release rather than the dispersed gas, it is unaffected by changing wind directions, gas dilution, and the direction of the leak.www.generalmonitors.comDeepwater LED doubles as spot or oodlight Remote Ocean Systems has introduced the ROS Lightning deepwater LED Light. Using the latest technology electronics software, this new LED offers 10,000 lumens output and can have input powers of 18-30 VDC and 108-132 VAC to match user needs. In addition, the light offers a complete dimming range and can be configured as a spot or floodlight. The light is depth-rated to 6,000 m (19,685 ft) and offers a variety of connectors for fast, and easy change-out or service.www.rosys.comADVERTISERS IN THIS ISSUEBaker Hughes ........................................................... 26www.bakerhughes.com/rogerBoots & Coots ................................................... 64-65www.halliburton.com/boots-cootsCameron ....................................................................99www.CameronAcquiresLeTourneauDrilling.comCameron ...................................................................... 5www.c-a-m.comCansco Dubai LLC .................................................... 81www.canscodubai.comCNPC GWDC ............................................................. 18www.cnlc.cnCougar Drilling Solutions...................................... 38www.cougarDS.comCudd Energy Services ...........................................34www.cudd.comDaneshy Consultants Intl ...................................... 56www.daneshy.comDevin International ..................................................41www.DevinDevin.comDragon Products, Ltd ............................................ 67www.dragonproductsltd.comFMC Technologies................................................... 24www.fmctechnologies.comForum Energy Technologies, Inc. ....................... 39www.f-e-t.comFraser Suites River Valley, Singapore ...............46www.frasershospitality.comGardner Denver ......................................................... 6www.pumpingperfected.comGastech ....................................................................... 61www.gastech.co.uk/WorldOilGE Energy Power Conversion ..............................10www.ge-energy.com/electrifyingchangeGEA Westfalia Separator Group ......................... 59www.westfalia-separator.comGulf Publishing CompanyBooks - Underbalanced Drilling ...................... 87www.GulfPub.comEvents - ShaleEnergy TechnologyConference ............................................................49www.GulfPub.com/ShaleEnergyConferenceGulf Research Workforce Survey ....................96www.GulfPub.com/WorkforceSurveyWorld Oil - Forecast DataBook ....................... 88www.GulfPub.com/WOForecast2012World Oil - RigStar ..............................................86www.WorldOil.com/RigStarWorld Oil - Subscriptions .................................. 92www.WorldOil.com/subscribe.aspxWorld Oil - Webcast.......................................... 85www.WorldOil.com/webcastsWorld Oil Marketplace ....................................... 97Halliburton ............................................................. 66aHalliburton .................................................................. 8www.halliburton.com/icemHalliburton ................................................................43www.halliburton.com/hydraulicfracturingIndustrial Rubber ...................................................... 4www.iri-oiltool.comManaged Pressure Operations ............................ 79www.managed-pressure.comMax Streicher GmbH ............................................... 51www.streicher.deNational Oilwell Varco ........................................... 33www.nov.com/CTES/CerberusNational Oilwell Varco ............................................. 2www.nov.com/qualitytubingNewpark Drilling Fluids LP .................................... 31www.newparkdf.com/evolutionOil India Limited ...................................................... 73ONS .............................................................................54www.ons.noOTC ............................................................................. 82www.otcnet.org/2012Packers Plus .............................................................20www.packersplus.comPCC Energy Group.................................................18aPGS ............................................................................. 22www.pgs.comSchlumberger ............................................................ 11www.slb.com/lossealSchlumberger ...........................................................16www.slb.com/petrelSchlumberger ........................................................100www.slb.com/ArcherSPE .............................................................................. 76www.spe.org/trainingSupreme Services .................................................. 40www.supremeservices.comSwagelok ....................................................................14www.swagelok.com/pressureTarget Logistics .......................................................69www.targetlogistics.netTenaris ........................................................................ 28www.tenaris.com/tenarishydrilTesco Corporation .................................................. 37www.tescocorp.comThuraya Telecomm CO .......................................... 36www.thuraya.com/XTVarel International ..................................................42www.varelintl.comVolant Products Inc. ...............................................68www.volantproducts.caWeatherford .........................................................12-13www.weatherford.comWell Control School ............................................... 78www.wellcontrol.comThis index and procedure for securing additional information are provided as a service to World Oil advertisers and a convenience to our readers. Gulf Publishing Company is not responsible for omissions or errors. PEOPLE PERSPECTIVES:An Oil & Gas Workforce Report and OutlookIn todays competitive work environment, its more important than ever to separate your company from the pack when it comes to recruiting and retaining top talent. Gulf Research surveyed nearly 900 global oil and gas professionals to measure job satisfaction, motivation, morale, compensation and future plans in this one-of-a-kind workforce outlook.This exclusive report features: A breakdown of the current global and US oil and gas workforce by labor type (local orimported), contractor status, gender, age and ethnicity An employment forecast by various survey and analyst indicators: budget, construction,drilling and development, and workforce age Current attitudes on job satisfaction and security, morale and motivation, future plans,safety and the industry as a whole Existing workforce compensation current global and US compensation analysis andforecasted changes in compensation Hiring dynamics relating to the availability of potential workers and competition forexisting and future workforce A blank copy of the Gulf Research survey so readers can conduct a similar study withintheir own companies or organizationsPurchase this report today to: Gain a deeper understanding of employee attitudes, beliefs and needs Establish workforce benchmarks and determine how your company measures up againstthe industry as a whole Recognize global trends and discover how to attract and retain the brightest employees