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Economics show CO2 EOR potential in central Kansas

Carbon dioxide (CO 2 ) enhanced oil recovery (EOR) may be the key to recovering hundreds of millions of bbl of trapped oil from the mature fields in central Kansas. Preliminary economic analysis indicates that CO 2 EOR should provide an internal rate of return (IRR) greater than 20%, before income tax, assuming oil sells for \$20/bbl, CO 2 costs \$1/Mcf, and gross utilization is 10 Mcf of CO 2 /bbl of oil recovered. If the CO 2 cost is reduced to \$0.75/Mcf, an oil price of $17/bbl yields an IRR of 20%. Reservoir and economic modeling indicates that IRR is most sensitive to oil price and CO 2 cost. A project requires a minimum recovery of 1,500 net bbl/acre (about 1 million net bbl/1-mile section) under a best-case scenario. Less important variables to the economics are capital costs and non-CO 2 related lease operating expenses.

Kansas

Report list Arizona's oil, gas potential

This article is a summary of Arizona geological survey circular 29, which addresses the petroleum geology of Arizona, USA. Eight areas have been identified with fair to excellent oil and gas potential, and some Tertiary basins have evidence of source or reservoir rocks. The following are considered here: production history, lands status and services, regulation and permitting, petroleum geology, hydrocarbon indications, and areas with hydrocarbon potential and their petroleum geology and characteristics. The full report contains detailed figures of each of these basin areas, a descriptive tabulation of seeps and petroliferous rocks and extensive references.

Arizona

Salt deposits in Arizona promise gas-storage opportunities

Massive salt formations and their proximity to pipeline systems and power plants make Arizona attractive for natural gas storage. Caverns dissolved in subsurface salt are used to store LPG at Ferrellgas Partners LP facility near Holbrook and the AmeriGas Partners LP facility near Glendale. Three other companies are investigating the feasibility of storing natural gas in Arizona salt: Copper Eagle Gas Storage LLC, Desert Crossing Gas Storage and Transportation System LLC, and Aquila Inc. The most extensive salt deposits are in the Colorado Plateau Province. Marine and nonmarine salt deposits are present in Arizona.

Arizona

Petroleum systems succeed play basis in Appalachian basin resource estimate

The US Geological Survey (USGS) periodically conducts subjective probabilistic assessments of the technically recoverable undiscovered hydrocarbon resources of the US and of the world. In addition, the USGS prepares forecasts of that portion of the technically recoverable resources that may be economic under specified conditions of supply, demand, and price. Depending on priorities, regional hydrocarbon assessments of the US are revised every 5 to 10 years. These assessments of undiscovered hydrocarbons supplement the data on hydrocarbon reserves that are reported annually by the US Department of Energy, Energy Information Administration. In between assessments, USGS assessment geologists conduct research and compile geologic and production data that may be used to improve future assessments. This new information commonly effects changes in the way the USGS defines "plays" or "assessment units" from assessment to assessment. Furthermore, USGS assessment methodology is in a constant state of evolution and changes to some degree from assessment to assessment.

Oil & Gas Journal

US Rockies gas focus points up need for access, risk takers, infrastructure

The last 20 yr of the Rocky Mountains oil and gas exploration and production business have been turbulent. Most of the major companies have left; they have been replaced with, independents and small to larger private and public companies. Natural gas become the primary focus of exploration. A discussion covers the shift of interest from drilling for oil to gas exploration and development in the Rockies since 1980; resource pyramid, showing relative volumes, reserves, resources, and undiscovered gas; the Wyoming fields that boost US gas supply, i.e., Jonah (6-12 tcf), Pinedale Anticline (10-20 tcf); Big Piney-LaBarge (15-25 tcf), Madden (3-5 tcf), and Powder river (24-27 tcf); and the future.

Oil & Gas Journal

Afghan resource assessment fed positive outlook for exploration

Crude oil, natural gas and natural gas liquids/condensate resources are important for the redevelopment of Afghanistan's infrastructure. Improved living and economic conditions in Afghanistan require increasing the availability of energy particularly by exploitation of Afghanistan's petroleum resources. The four total petroleum systems are subdivided into units with homogeneous geologic traits and exploration efforts that include sufficiently homogeneous field-size populations for resource assessment. The greatest volume of undiscovered crude oil is estimated to be in the Afghanistan Eastern Suprasalt Thrusts and Folds Assessment Unit. The greatest volume of undiscovered natural gas is estimated to be in the Afghanistan Jurassic Evaporite Basin Subsalt Carbonates Assessment Unit.

Oil & Gas Journal

Northeast Kansas well tests oil, gas possibilities in Precambrian rocks

Tests for oil and gas prospects in Precambrian rocks in Northeast Kansas is currently being undertaken by WTW Operating LLC. It drilled in late 2005 the no.1 Wilson well with a depth of 5,772ft, 1,826ft into the Precambrian basement on a venture testing the possibility of oil and gas in the crystalline rocks. The basin extends northeast into Nebraska and Iowa and is a shallow cratonic basin filled with Paleozoic segments. The rocks have been previously though as not a potential for oil and gas due to the rocks' crystalline and nonporous character with the exception of the Midcontinent rift system (MRS). Later, though, small quantities of oil have been produced on the Central Kansas uplift from granite wash while the wells also produced low-Btu with swabbing operations. The recovered gas contained considerable nonflammable components of nitrogen, carbon dioxide and helium which equates to a low btu content of 283.

Kansas

Fall may be imminent for Kansas Cherokee basin coalbed gas output

Natural gas production in the Kansas portion of the Cherokee basin, Southeastern Kansas, for 2008 was 49.1 bcf. The great majority of Cherokee basin gas production is now coal-bed methane (CBM). The major producers are Quest Energy LLC, Dart Cherokee Basin Operating Co. LLC, and Layne Energy Operating LLC. Most CBM in Southeastern Kansas is from Middle and Upper Pennsylvanian high-volatile B and A rank bituminous coals at 800 to 1,200 ft depth. Rates of decline for the CBM wells generally decrease the longer a well produces. A gentler collective decline of 13.8% is calculated by averaging the number of new producing wells in a given year with that of the previous year. By the calculations using the gentler overall 13.8% decline rate, if more than 918 successful CBM wells are drilled in 2009, then gas production will increase from 2008 to 2009.

Kansas

Low-btu gas in the US Midcontinent: A challenge for geologists and engineers

Several low-btu gas plays can be defined by mapping gas quality by geological horizon in the Midcontinent. Some of the more inviting plays include Permian strata west of the Central Kansas uplift and on the eastern flank of Hugoton field and Mississippi chat and other pays that subcrop beneath (and directly overlie) the basal Pennsylvanian angular unconformity at the southern end of the Central Kansas uplift. Successful development of these plays will require the cooperation of reservoir geologists and process engineers so that the gas can be economically upgraded and sold at a nominal pipeline quality of 950 btu/scf or greater. Nitrogen is the major noncombustible contaminant in these gas fields, and various processes can be utilized to separate it from the hydrocarbon gases. Helium, which is usually found in percentages corresponding to nitrogen, is a possible ancillary sales product in this region. Its separation from the nitrogen, of course, requires additional processing. The engineering solution for low-btu gas depends on the rates, volumes, and chemistry of the gas needing upgrading. Cryogenic methods of nitrogen removal are classically used for larger feed volumes, but smaller feed volumes characteristic of isolated, low-pressure gas fields can now be handled by available small-scale PSA technologies. Operations of these PSA plants are now downscaled for upgrading stripper well gas production. Any nitrogen separation process should be sized, within reason, to match the anticipated flow rate. If the reservoir rock surprises to the upside, the modularity of the upgrading units is critical, for they can be stacked to meet higher volumes. If a reservoir disappoints (and some will), modularity allows the asset to be moved to another site without breaking the bank.

Oil & Gas Journal

Field tests prove microscale NRU to upgrade low-btu gas

The Kansas Geological Survey (University of Kansas) and the American Energies Corp., Wichita, have conducted field tests of a scalable, microscale, N 2 -rejection unit (NRU) to demonstrate its effectiveness to upgrade low-pressure ((<100 psig) and low-volume (=100 Mcfd) low-btu gas to pipeline quality. The tests aim to develop inexpensive NRU technology, which is designed for low- volume, low-pressure gas wells, to significantly increase the contribution of marginal low-btu gas to the gas supply of the US. The NRU uses two towers and uses three stages, namely, adsorption under pressure, venting to 2 psig, and desorption under vacuum. The modular design allows additional sets of towers to be added or removed to handle increases or decreases in feed volumes. The field tests also reveal that a strong compressor, which is capable of evacuating the tower (volume) as quickly as possible, should be employed to reduce process cycle time and increase plant throughput.

Oil & Gas Journal

The New Albany shale in Illinois: Emerging play or prolific source

The New Albany shale (Upper Devonian) in the Illinois basin is the primary hydrocarbon source rock for the basins nearly 4 billion bbl of oil production to date. The gas play is well-established in Indiana and Western Kentucky. One in-situ oil producing well was reported in a multiply competed well in the New Albany at Johnsonville field in Wayne County, Illinois. The Illinois gas and oil wells at Russellville, in Lawrence County are closely associated with the 0.6% reflectance contour, which suggests a higher level of thermal maturity in this area. Today, only one field, Russellville in eastern Lawrence County has established commercial production in the Ness Albany in Illinois. Two wildcat wells with gas shows were drilled in recent years in southern Saline County, where the New Albany is relatively deeply buried and close to faults associated with the Fluorspar District.

Illinois

Salym: potential W. Siberian oil giant

SALYM oil field is on the Lempa high of the Salym uplift in the eastern part of the Khanty-Mansiysk depression in the Middle Ob region of West Siberia. The Salym uplift is about 50 km long and 45 km wide and trends north. The Lempa high is 25 km long and 16 km wide; closure is 150 m. The Salym field is about 275 km west of the giant Samotlor field. Stratigraphy. The sedimentary cover overlying the Paleozoic Hercynide basement in the Middle Ob region consists of Jurassic, Lower and Upper Cretaceous, Paleogene, and Quaternary marine and continental sediments.

Salym, Siberia

Bakken, Three Forks largest continuous US oil accumulation

The recent reversal of the declining trend of US oil production is largely due to production from unconventional or "continuous" low-permeability reservoirs by use of multistage hydraulic fracturing of horizontal legs of exploration wells. The US currently produces about 7.4 million bo/d, and the increasing trend in domestic production has led to speculation that the US could become energy independent in oil in the near future. The US still imports an additional 11 million bo/d to meet consumption requirements).1 Critical to the discussion of energy independence are estimates of resources contained in low-porosity and low-permeability (or "tight") continuous oil and gas accumulations, which have formed a critical component of national energy policies in recent years.

Montana, North Dakota, South Dakota, Wyoming

To sell or not sell: Assessments of Bangladesh hydrocarbons

A decision by the government of Bangladesh to sell or not sell some of its natural gas reserves to neighboring countries in South Asia will be important in determining the economic future of Bangladesh, a country with an area about equal to Wisconsin. Bangladesh is a country of 150 million people, many of whom live at or below the poverty line. It is situated almost entirely on the great low-lying delta of the Ganges and Brahmaputra River systems. Folded Tertiary strata that form hill tracts in easternmost Bangladesh, adjacent India, and Myanmar provide a little relief above a monotonous deltaic terrain (Fig. 1).

Oil & Gas Journal

Multiple stacked plays to drive continued Permian development

The exploitation of unconventional (continuous) resource plays with horizontal drilling and fracturing techniques continues to spur renewed development in mature producing basins in the US. The Permian basin of west Texas has emerged as a particularly strong prospect due to the potential for multiple stacked resource plays in formations such as the Wolfcamp shale and Spraberry and Bone Spring formations. Production began in the Permian basin in the early 1920s, and more than 116,000 wells have been drilled in Midland basin alone. 1 2 In 2017, total Permian basin oil production climbed to nearly 1.7 million b/d. 3 The US Geological Survey (USGS) conducts geologic-based assessments of undiscovered, technically recoverable domestic hydrocarbon resources. The USGS recently assessed the Wolfcamp shale in the Midland basin portion of the Permian basin for continuous (unconventional) oil and gas resources, and completed a reassessment of the Spraberry formation for both continuous and conventional oil and gas. 4 5 Combined, the assessments of the Spraberry formation and underlying Wolfcamp shale in Midland basin comprise the largest domestic continuous oil assessment in the contiguous US (Fig. 1).

Texas

Open-source resources help navigate new IM regulations

The revision of federal safety regulations for integrity management of gas transmission pipelines to require explicit consideration of seismicity increases the importance for operators to be actively identifying high-consequence areas (HCAs), evaluating seismic-related threats, and choosing a risk model to support risk management decisions. To ensure equal access to information by both operators and inspectors, the authors have compiled publicly available data and tools for practical seismic risk assessments, such as Microsoft building footprints, the USGS National Seismic Hazard Models, and the USGS Ground Failure product.

Oil & Gas Journal