He also said that operations had begun for the development of the joint Sohrab field in Khuzestan Province for an investment of about $1 billion.

Khojasteh-Mehr said development of the South Pars Oil Layer (SPOL) would begin in December. “The beginning of development of the Sohrab field, SPOL, the South Yaran and North Yaran fields, the Belal field as well as two trains of the SP14 refinery is indicative of the firm determination and fast decision-making by the 13th administration.”

He also said:” NIOC Board of Directors had given the go-ahead for the operation of an EOR/IOR center in Khuzestan’s provincial capital Ahvaz. He described the decision as a step towards upgrading the upstream oil sector.

Laying emphasis on the necessity of deep and conscious relationship between the petroleum industry and university, he said: “The Petroleum Ministry has signed agreements worth IRR 12 trillion plus €65 million for 40 megaprojects with universities and scientific centers, mostly pertaining to oil fields.”

Underscoring the necessity for consortium activity, he referred to the integrated development of the Azadegan oil field with $7 billion investment provided by a consortium of 12 entities including 6 Iranian banks and 6 E&P companies.

Khojasteh-Mehr said easy oil production was no longer an option, adding: “Today, the petroleum industry shoulders a heavy burden because timing and economy are key elements. We need to be able to increase the rate of recovery from wells with minimum costs and in the shortest possible time.”

Stressing the need for engaging knowledge-based companies in the projects aimed at boosting the recovery of wells, he said: “In the first step, we should provide attractive, easy-to-access and low-risk jobs to knowledge-based companies. If we start with simple and low-risk tasks, we may overcome difficult and complex issues in the future.”

Recovery Rate

Karim Zobeidi, NIOC corporate planning chief, said EOR/IOR methods may help increase recovery 5-15%.

Emphasizing the necessity of enhanced oil and gas recovery, he said: “Before the [1979 Islamic] Revolution, in some fields like the Ahvaz Amsari field, oil production even reached 1 mb/d. But now wells are in their second half of theirlifecycle, thereby requiring investment, technological measures as well as cooperation with universities with a view to enhancing output from old fields like Ahvaz, Gachsaran, Maroun, Aghajari, Rag Sefid and Parsi among others.”

Hormoz Qalavand, NIOC chief supervisor on oil and gas production, said there were 600-700 low-efficient wells in the petroleum industry, adding: “Soon, contracts to enhance productivity of oil and gas wells will be signed with local companies, and if the goals are met, it will be extended to all oil and gas wells with low productivity.”

Overcoming Challenges

Vahid-Reza Zeidifard, deputy minister of petroleum for engineering, research and technology affairs, said enhanced oil recovery would help boost wells’ output. “One advantage of reclaiming low-efficient wells is to use the potential of knowledge-based companies as well as petroleum industry technology to overcome real challenges.”

He said in case such projects become operational, Iran would see its oil production capacity increase significantly every year.

Oil Age Not Over

Reza Dehqan, NIOC director of development and engineering, said the age of oil was not over as this energy carrier was welcomed in the world.

“According to the statistics of future studies institutes of the world's most prestigious companies, crude oil will turn from a strategic commodity into a common commodity in the future, in other words, the golden and attractive era of selling oil is now, not the future,” he said.

“The oil industry has faced many ups and downs during its life, and despite more than 110 years of oil production in Iran, only a little more than a third of the oil reserves has been recovered; while over the past five decades, an average of 4mb/d have been produced in the country,” he added. Dehqan said: “According to the latest annual statistical report of BP, this year, holding 156 billion barrels of oil in place, which accounts for 9% of the world's oil resources, Iran has been able to rank the fourth amongthe world’s oil reserves holdersfollowing Venezuela, Saudi Arabia and Canada. At the same time, with an average production of 8% of the world's crude oil, we are in the eighth place in terms of production.”

NISOC Output at 3.28 mb/d

Ali-Reza Daneshi, CEO of National Iranian South Oil Company (NISOC), said the company had set an objective to reach 3.28 mb/d output over five years.

“Operating 254 development wells and working over 546 wells would be part of our plans to that end,” he said.

“That would help us reach 1.86 mb/d,” he added.

South Azadegan

Abuzar Sharifi, CEO of Petroleum Engineering and Development Company (PEDEC), said Phase 1 development of the South Azadegan oil field would come online in the second half of next calendar year.

Regarding other fields operated by PEDEC, he said: “We are currently developing Sepehr and Jofair fields in partnership with Pasargad Oil and Gas Company. We hope to produce 21,000 b/d from them by the end of the current [calendar] year. Meantime, development of the Cheshmeh-Khosh, Dalpari and East Paydar is under way in partnership with a Russian company.”

Sharifi said a Russian company was involved in the Aban and West Paydar fields, adding that PEDEC was following up on the integrated development of Yaran field with Persia Oil and Gas Industry Development Company.

He touched on the Sohrab field and said: “The second phase of Yadavaran field, the second phase of Azar, the integrated development of Azadegan and the third phase of Darquain are among other projects for which we are seeking permission. Talks are in the final stage.”

He said PEDEC-run fields held more than 90 billion barrels of oil in place. “In the Azadegan field, 30 more wells are planned to be drilled.”

Asked about PEDEC-owned fields which are eligible for EOR/IOR, Sharifi cited Cheshmeh-Khosh, East Paydar, West Paydar, Aban, Azar, Yadavaran and South Azadegan.

“For EOR, we are cooperating with some knowledge-based companies and we need these companies in other fields, too.” he said.

13 ICOFC Fields

Mehdi Heydari, CEO of Iranian Central Oil Fields Company (ICOFC), said the company was ready for maximum gas production in the winter. He added that ICOFC was ready for cooperation with knowledge-based companies and any students developing new ideas. 

“The NIOC Board of Directors has given the go-ahead for the development of 13 new fields plus development of the Farashband gas refinery and establishment of gas compressor stations at the Sarkhun and Shanul fields,” he said.

By winter 2027, he added, about 100 mcm/d of gas and 102,000 b/d of condensate would be produced to be delivered to the Fajr Jam, Parsian, Sarkhun, Farashband, Ilam, Hasheminejad and South Pars gas refineries.

West Karoun Output Capacity

AbdollahOzariAhvazi, CEO of Arvandan Oil and Gas Production Company (AOGPC), referred to methods of boosting output from the West Karoun fields, saying: “In the South Azadegan field, by workover and reclamation of 10 wells and conducting downhole operations using liner hanger we managed to boost output by a record 18%.”

Regarding North Azadegan field, he said: “By working over and reclaiming 8 wells in this field over the past one year we have seen output hike. With AOGPC cooperation, a wastewater treatment facility was launched in order to use treated water for irrigation and development of the greenery there.”

IOOC

Ali-Reza Mehdizadeh, CEO of Iranian Offshore Oil Company (IOOC), said: “In the IOR/EOR sector, 21 wells were chosen and introduced to NIOC. Soon, they will be assigned to knowledge-based companies.”

“Other projects in the field of production increase, gas extraction and installation of downhole pumps are being pursued, and the project of supplying gas to the wells of Doroud, Abouzar and Forouzan fields and installing downhole pumps in the wells of Nowruz, Esfand and Sivand fields is being carried out.”

Mehdizadeh said: “IOOC eyes lifting from 146 wells for an additional 52,000 b/d production.”

35 Wells in South Pars

Shobeir Nabavi, a top manager with Pars Oil and Gas Company (POGC), touched on the development of the Kish gas field, saying: “Based on planning, the first phase of development of this field will be over with a production capacity of 28.3 mcm/d next calendar year after 14 wells have been drilled.”

He said that engineering studies were under way in the North Pars gas field. He also referred to the Belal gas field, saying: “An appraisal well is being drilled currently in the offshore sector of this field. That along with eight new wells would bring production from this field to 14.1 mcm/d.”

He also said that plans were under way for drilling 35 wells in the gas platforms of the South Pars gas field for enhanced recovery. He said drilling these wells would take two to three years.

By

Baran Mohammadi

Courtesy of Iran Petroleum