carbon dioxide flooding in central kansas reservoirs g. paul willhite tertiary oil recovery project...

Carbon DioxideCarbon DioxideFlooding in Flooding in

Central Kansas Central Kansas ReservoirsReservoirs

G. Paul WillhiteG. Paul Willhite

Tertiary Oil Recovery Tertiary Oil Recovery ProjectProject

Tertiary Oil Recovery Advisory BoardOctober 19-20,2001

Minimum Miscibility Minimum Miscibility PressurePressure

Requirements for Carbon Requirements for Carbon Dioxide Miscible FloodingDioxide Miscible Flooding

Minimum miscibility pressure must Minimum miscibility pressure must be determined for Kansas crude be determined for Kansas crude oilsoils

Must be possible to re-pressure Must be possible to re-pressure reservoir to reach MMP during the reservoir to reach MMP during the displacement processdisplacement process

Carbon dioxide must be available Carbon dioxide must be available at a price that will make the at a price that will make the process economicprocess economic

Tertiary Oil Recovery Project

Minimum Miscibility Minimum Miscibility Pressure in Hall-Gurney Pressure in Hall-Gurney LKCLKC

Sample Information Average LabSlimtube Slimtube Measured

Field Field Sample Pressure Percent APIName Operator Location (psig) Recovery Gravity

Hall-Gurney Shields Oil Producers Letsch #10 1006 47.4 37.51208 85.31210 86.31297 90.2

Hall-Gurney Hallwood Petroleum Olson C#5 1225 89.1 38.4


Outline of PresentationOutline of Presentation

The Central Kansas InitiativeThe Central Kansas Initiative Field Demonstration Project Hall-Field Demonstration Project Hall-

Gurney FieldGurney Field The Carbon Dioxide SupplyThe Carbon Dioxide Supply New PartnerNew Partner Expanded DOE ProjectExpanded DOE Project


Central Kansas Initiative Central Kansas Initiative Overall ObjectiveOverall Objective

Verify technical and economic viability Verify technical and economic viability of the application of CO2 miscible of the application of CO2 miscible flooding to Central Kansas oil fieldsflooding to Central Kansas oil fields

Critical element: Demonstrate sufficient Critical element: Demonstrate sufficient field performance(oil in the tank) to field performance(oil in the tank) to justify the development of a carbon justify the development of a carbon dioxide pipeline into Central Kansasdioxide pipeline into Central Kansas


Components of Carbon Components of Carbon Dioxide ProgramDioxide Program

Phase I:Conduct a feasibility study Phase I:Conduct a feasibility study on Arbuckle and Lansing Kansas on Arbuckle and Lansing Kansas City Reservoirs(City Reservoirs(KTEC ContractKTEC Contract))

Phase II: Select a site and design Phase II: Select a site and design one or more field pilot COone or more field pilot CO22 miscible miscible floods(floods(DOE Class Program DOE Class Program RevisitedRevisited))


Components of Carbon Components of Carbon Dioxide Dioxide Program(Continued)Program(Continued)

Phase III: Construct and operate the COPhase III: Construct and operate the CO22 pilot(pilot(DOE Class Program RevisitedDOE Class Program Revisited))

Phase IV: Evaluate technical and economic Phase IV: Evaluate technical and economic performance of pilot(performance of pilot(DOE Class Program DOE Class Program RevisitedRevisited))

Phase V: Build a COPhase V: Build a CO22 pipeline into Central pipeline into Central Kansas(Kansas(Kinder MorganKinder Morgan))


Field Demonstration of COField Demonstration of CO22 Miscible Miscible Flooding in the L-KC, Flooding in the L-KC, Central KansasCentral Kansas

Field Demonstration of COField Demonstration of CO22 Miscible Miscible Flooding in the L-KC, Flooding in the L-KC, Central KansasCentral Kansas

Class II Revisited DE-AC26-00BC15124


MV Energy LLC

March 7,2000

L-KC Recoveries L-KC Recoveries in Hall-Gurney and Trappin Hall-Gurney and TrappL-KC Recoveries L-KC Recoveries in Hall-Gurney and Trappin Hall-Gurney and Trapp

> 8 MBO/acre> 8 MBO/acre

6-8 MBO/acre6-8 MBO/acre



Cumulative ProductionPrimary + SecondaryLansing-Kansas City

(Per Section Basis)

Cumulative ProductionPrimary + SecondaryLansing-Kansas City

(Per Section Basis)

Trapp

Hall-Gurney

P ilo t S ite

Kansas Geological SurveyKansas Geological Survey

Project EconomicsProject EconomicsProject EconomicsProject Economics Total Project – $5.4 millionTotal Project – $5.4 million

$2.0M – CO$2.0M – CO22 Purchase, transport, recycling Purchase, transport, recycling $1.5M – Research, Technology Transfer $1.5M – Research, Technology Transfer $1.1M – Capital Costs (wells, etc.)$1.1M – Capital Costs (wells, etc.) $0.8M – Operations (6 years)$0.8M – Operations (6 years)

FundingFunding $2.4M Kinder-Morgan CO$2.4M Kinder-Morgan CO22 Co. LP and Co. LP and

Murfin Drilling CompanyMurfin Drilling Company $1.9M U.S. Department of Energy$1.9M U.S. Department of Energy $1.0M KGS and TORP$1.0M KGS and TORP $0.1M Kansas Department of Commerce$0.1M Kansas Department of Commerce

Total Project – $5.4 millionTotal Project – $5.4 million $2.0M – CO$2.0M – CO22 Purchase, transport, recycling Purchase, transport, recycling $1.5M – Research, Technology Transfer $1.5M – Research, Technology Transfer $1.1M – Capital Costs (wells, etc.)$1.1M – Capital Costs (wells, etc.) $0.8M – Operations (6 years)$0.8M – Operations (6 years)

FundingFunding $2.4M Kinder-Morgan CO$2.4M Kinder-Morgan CO22 Co. LP and Co. LP and

Murfin Drilling CompanyMurfin Drilling Company $1.9M U.S. Department of Energy$1.9M U.S. Department of Energy $1.0M KGS and TORP$1.0M KGS and TORP $0.1M Kansas Department of Commerce$0.1M Kansas Department of Commerce

DOE Class Program DOE Class Program RevisitedRevisited

Central Kansas COCentral Kansas CO22 Demonstration Project Demonstration Project

Phase 1-Reservoir Characterization( 1 Phase 1-Reservoir Characterization( 1 Year)Year)

Phase 2-Field Demonstration(4 years)Phase 2-Field Demonstration(4 years)

Phase 3-Monitoring(1 year)Phase 3-Monitoring(1 year)

DemonstratiDemonstration Design on Design SummarySummary 55 acre, nine-spot55 acre, nine-spot 2 CO2 CO22 injectors injectors 7 Producers7 Producers 5 Containment Water 5 Containment Water

InjectorsInjectors 0.843 BCF CO0.843 BCF CO22

injected-WAGinjected-WAG 4.6 year operating life 4.6 year operating life >80,000 BO estimated >80,000 BO estimated

recovery during DOErecovery during DOE >20,000 BO in 3 years >20,000 BO in 3 years

after DOE Projectafter DOE Project

55 acre, nine-spot55 acre, nine-spot 2 CO2 CO22 injectors injectors 7 Producers7 Producers 5 Containment Water 5 Containment Water

InjectorsInjectors 0.843 BCF CO0.843 BCF CO22

injected-WAGinjected-WAG 4.6 year operating life 4.6 year operating life >80,000 BO estimated >80,000 BO estimated

recovery during DOErecovery during DOE >20,000 BO in 3 years >20,000 BO in 3 years

after DOE Projectafter DOE Project

Carbon Dioxide SupplyCarbon Dioxide Supply

Is the resource base in LKC Is the resource base in LKC reservoirs large enough to support reservoirs large enough to support a pipeline that could deliver CO2 at a pipeline that could deliver CO2 at $1.00/mcf?$1.00/mcf?

Can the “Golden Trend” in the Hall-Can the “Golden Trend” in the Hall-Gurney Field anchor a pipeline?Gurney Field anchor a pipeline?


Central Kansas LKC Pipeline

0.70

0.80

0.90

1.00

1.10

1.20

1.30

1.40

1.50

1.60

0 50 100 150 200 250 300

Guarantee/Risked CO2 Purchase Bcf

CO2 C

ost $

/mcf

220 Miles-->Hall-Gurney Field110 Miles to Lateral Fields

4" 6" 10"8"

Required VolumeHGHG

LKC LKC

William Flanders

LKC Pipeline ResultsLKC Pipeline Results

Risk weighted CO2 for LKC is ~60-65 Risk weighted CO2 for LKC is ~60-65 BCF +-10%BCF +-10%

CO2 oil potential from LKC ~15-CO2 oil potential from LKC ~15-16MMBO16MMBO

Not enough LKC resource base to Not enough LKC resource base to anchor pipelineanchor pipeline

Need ~184 BCF risk weighted CO2 to Need ~184 BCF risk weighted CO2 to deliver at $1.00/mcf at 10% IRR/10 deliver at $1.00/mcf at 10% IRR/10 year amortizationyear amortization

Carbon Dioxide PipelineCarbon Dioxide Pipeline

Need an additional 120 BCF risk Need an additional 120 BCF risk weighted CO2 potential to build 8” weighted CO2 potential to build 8” pipeline to Central Kansaspipeline to Central Kansas

Are Arbuckle reservoirs potential Are Arbuckle reservoirs potential carbon dioxide miscible flood carbon dioxide miscible flood candidates?candidates? Minimum miscibility pressure ~1600 psiMinimum miscibility pressure ~1600 psi Initial reservoir pressure~1050-1150 psiInitial reservoir pressure~1050-1150 psi Well connected to an aquiferWell connected to an aquifer



Gurney FieldGurney Field The Carbon Dioxide SupplyThe Carbon Dioxide Supply New PartnerNew Partner Expanded Pilot/DOE ProjectExpanded Pilot/DOE Project


Carbon Dioxide SupplyCarbon Dioxide Supply

ICM(U.S. Energy Partners, LLC) ICM(U.S. Energy Partners, LLC) announces ethanol plant to be announces ethanol plant to be constructed in Russell(February constructed in Russell(February 5,2001)5,2001)

On stream ~November 1,2001On stream ~November 1,2001 CO2 production 3.4 MMCFD(wet at CO2 production 3.4 MMCFD(wet at

atmospheric pressure) atmospheric pressure) 8.5 miles from CO2 demonstration 8.5 miles from CO2 demonstration

project project Tertiary Oil Recovery Project

Location of Location of Ethanol Plant Ethanol Plant & CO2 EOR & CO2 EOR SiteSite

Kansas Geological SurveyKansas Geological Survey

Field Demonstration of COField Demonstration of CO22 Miscible Miscible Flooding in the L-KC,Central KansasFlooding in the L-KC,Central KansasProject ExtensionProject Extension

Field Demonstration of COField Demonstration of CO22 Miscible Miscible Flooding in the L-KC,Central KansasFlooding in the L-KC,Central KansasProject ExtensionProject Extension



MV Energy LLC

http://www.kgs.ukans.edu/CO2/reports.html

October 1, 2001



Gurney FieldGurney Field The Carbon Dioxide SupplyThe Carbon Dioxide Supply New PartnerNew Partner Expanded Pilot/DOE ProjectExpanded Pilot/DOE Project


Expanded Pilot ProjectExpanded Pilot Project

Kinder Morgan reduced financial supportKinder Morgan reduced financial support CO2 available from ICM plant in RussellCO2 available from ICM plant in Russell Pilot size increased to provide acceptable Pilot size increased to provide acceptable

economic and technical risk to MV economic and technical risk to MV Energy, ICM and Kinder MorganEnergy, ICM and Kinder Morgan

Budget Period 1 extended to March 2002Budget Period 1 extended to March 2002 Additional funding obtained from DOE Additional funding obtained from DOE

effective October 1,2001effective October 1,2001 Project extended to 2008Project extended to 2008 ICM/Kinder Morgan to provide CO2ICM/Kinder Morgan to provide CO2

Expanded Project Expanded Project EconomicsEconomicsExpanded Project Expanded Project EconomicsEconomics

Total Project – $7.56 millionTotal Project – $7.56 million $2.34 M – CO$2.34 M – CO22 Purchase, transport, recycling Purchase, transport, recycling $2.21 M – Research, Technology Transfer $2.21 M – Research, Technology Transfer $1.33 M – Capital Costs (wells, etc.)$1.33 M – Capital Costs (wells, etc.) $1.68 M – Operations (8 years)$1.68 M – Operations (8 years)

FundingFunding $2.03 M MV Energy$2.03 M MV Energy $0.52 M Kinder-Morgan CO$0.52 M Kinder-Morgan CO22 Co. LP Co. LP $0.97 M ICM$0.97 M ICM $2.77 M U.S. Department of Energy$2.77 M U.S. Department of Energy $1.17 M KGS and TORP$1.17 M KGS and TORP $0.10 M Kansas Department of Commerce$0.10 M Kansas Department of Commerce

Total Project – $7.56 millionTotal Project – $7.56 million $2.34 M – CO$2.34 M – CO22 Purchase, transport, recycling Purchase, transport, recycling $2.21 M – Research, Technology Transfer $2.21 M – Research, Technology Transfer $1.33 M – Capital Costs (wells, etc.)$1.33 M – Capital Costs (wells, etc.) $1.68 M – Operations (8 years)$1.68 M – Operations (8 years)

FundingFunding $2.03 M MV Energy$2.03 M MV Energy $0.52 M Kinder-Morgan CO$0.52 M Kinder-Morgan CO22 Co. LP Co. LP $0.97 M ICM$0.97 M ICM $2.77 M U.S. Department of Energy$2.77 M U.S. Department of Energy $1.17 M KGS and TORP$1.17 M KGS and TORP $0.10 M Kansas Department of Commerce$0.10 M Kansas Department of Commerce

Expanded Expanded DemonstrationProjectDemonstrationProject

60 acre 60 acre 2 CO2 CO22 injectors injectors 6 Producers6 Producers 6 Containment Water Injectors6 Containment Water Injectors 0.85 BCF CO0.85 BCF CO22 injected-WAG injected-WAG 8 year operating life 8 year operating life >96,000 BO estimated recovery>96,000 BO estimated recovery Final pattern is still evolving Final pattern is still evolving

COCO22 Pilot Project Pilot Project TeamTeamCOCO22 Pilot Project Pilot Project TeamTeam

Kansas Geological SurveyKansas Geological Survey Alan P. ByrnesAlan P. Byrnes Marty DuboisMarty Dubois W. Lynn WatneyW. Lynn Watney Timothy R. CarrTimothy R. Carr Willard J. GuyWillard J. Guy John DovetonJohn Doveton Dana Adkins-HeljesonDana Adkins-Heljeson Kenneth StalderKenneth Stalder

Kinder-Morgan COKinder-Morgan CO22 Co. LP Co. LP Russell MartinRussell Martin Paul NunleyPaul Nunley William William

Flanders(consultant)Flanders(consultant)

U.S. Department of EnergyU.S. Department of Energy Edith C. Allison (Prgrm Edith C. Allison (Prgrm

Mngr)Mngr) Daniel Ferguson (Project Daniel Ferguson (Project

Mngr)Mngr)

Kansas Geological SurveyKansas Geological Survey Alan P. ByrnesAlan P. Byrnes Marty DuboisMarty Dubois W. Lynn WatneyW. Lynn Watney Timothy R. CarrTimothy R. Carr Willard J. GuyWillard J. Guy John DovetonJohn Doveton Dana Adkins-HeljesonDana Adkins-Heljeson Kenneth StalderKenneth Stalder

Kinder-Morgan COKinder-Morgan CO22 Co. LP Co. LP Russell MartinRussell Martin Paul NunleyPaul Nunley William William

Flanders(consultant)Flanders(consultant)

U.S. Department of EnergyU.S. Department of Energy Edith C. Allison (Prgrm Edith C. Allison (Prgrm

Mngr)Mngr) Daniel Ferguson (Project Daniel Ferguson (Project

Mngr)Mngr)

Tertiary Oil Recovery ProjectTertiary Oil Recovery Project G. Paul WillhiteG. Paul Willhite Don W. GreenDon W. Green Jyun-Syung TsauJyun-Syung Tsau Richard PancakeRichard Pancake Rodney ReynoldsRodney Reynolds Rajesh KunjithayaRajesh Kunjithaya Ed ClarkEd Clark

MV Energy LLCMV Energy LLC Dave MurfinDave Murfin Jim DanielsJim Daniels Larry JackLarry Jack Niall AvisonNiall Avison

State of Kansas State of Kansas (Dept. of (Dept. of Commerce)Commerce)

ICM, Inc. Dave Vander GriendICM, Inc. Dave Vander Griend

Tertiary Oil Recovery ProjectTertiary Oil Recovery Project G. Paul WillhiteG. Paul Willhite Don W. GreenDon W. Green Jyun-Syung TsauJyun-Syung Tsau Richard PancakeRichard Pancake Rodney ReynoldsRodney Reynolds Rajesh KunjithayaRajesh Kunjithaya Ed ClarkEd Clark

MV Energy LLCMV Energy LLC Dave MurfinDave Murfin Jim DanielsJim Daniels Larry JackLarry Jack Niall AvisonNiall Avison

State of Kansas State of Kansas (Dept. of (Dept. of Commerce)Commerce)

ICM, Inc. Dave Vander GriendICM, Inc. Dave Vander Griend

Kansas Geological SurveyKansas Geological Survey Tertiary Oil Recovery Project

Critical Issues RemainingCritical Issues Remaining

Pattern SelectionPattern Selection Recompletion of old wellsRecompletion of old wells Arbuckle reevaluationArbuckle reevaluation

Arbuckle potentialArbuckle potential Properties of oilProperties of oil

MMP-nitrogen contentMMP-nitrogen content

carbon dioxide flooding in central kansas reservoirs g. paul willhite tertiary oil recovery project...

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