The project objective was to detail better ways to assess and exploit intelligent oil and gas field information through improved modeling, sensor technology, and process control to increase ultimate recovery of domestic hydrocarbons. To meet this objective we investigated the use of permanent downhole sensors systems (Smart Wells) whose data is fed real-time into computational reservoir models that are integrated with optimized production control systems. The project utilized a three-pronged approach (1) a value of information analysis to address the economic advantages, (2) reservoir simulation modeling and control optimization to prove the capability, and (3) evaluation of new generation sensor packaging to survive the borehole environment for long periods of time. The Value of Information (VOI) decision tree method was developed and used to assess the economic advantage of using the proposed technology; the VOI demonstrated the increased subsurface resolution through additional sensor data. Our findings show that the VOI studies are a practical means of ascertaining the value associated with a technology, in this case application of sensors to production. The procedure acknowledges the uncertainty in predictions but nevertheless assigns monetary value to the predictions. The best aspect of the procedure is that it builds consensus within interdisciplinary teams The reservoir simulation and modeling aspect of the project was developed to show the capability of exploiting sensor information both for reservoir characterization and to optimize control of the production system. Our findings indicate history matching is improved as more information is added to the objective function, clearly indicating that sensor information can help in reducing the uncertainty associated with reservoir characterization. Additional findings and approaches used are described in detail within the report. The next generation sensors aspect of the project evaluated sensors and packaging survivability issues. Our findings indicate that packaging represents the most significant technical challenge associated with application of sensors in the downhole environment for long periods (5+ years) of time. These issues are described in detail within the report. The impact of successful reservoir monitoring programs and coincident improved reservoir management is measured by the production of additional oil and gas volumes from existing reservoirs, revitalization of nearly depleted reservoirs, possible re-establishment of already abandoned reservoirs, and improved economics for all cases. Smart Well monitoring provides the means to understand how a reservoir process is developing and to provide active reservoir management. At the same time it also provides data for developing high-fidelity simulation models. This work has been a joint effort with Sandia National Laboratories and UT-Austin's Bureau of Economic Geology, Department of Petroleum and Geosystems Engineering, and the Institute of Computational and Engineering Mathematics.
This report is an independent assessment of the potential for karst dissolution in evaporitic strata of the Rustler Formation at the Waste Isolation Pilot Plant (WIPP) site. Review of the available data suggests that the Rustler strata thicken and thin across the area in depositional patterns related to lateral variations in sedimentary accommodation space and normal facies changes. Most of the evidence that has been offered for the presence of karst in the subsurface has been used out of context, and the different pieces are not mutually supporting. Outside of Nash Draw, definitive evidence for the development of karst in the Rustler Formation near the WIPP site is limited to the horizon of the Magenta Member in drillhole WIPP-33. Most of the other evidence cited by the proponents of karst is more easily interpreted as primary sedimentary structures and the localized dissolution of evaporitic strata adjacent to the Magenta and Culebra water-bearing units. Some of the cited evidence is invalid, an inherited baggage from studies made prior to the widespread knowledge of modern evaporite depositional environments and prior to the existence of definitive exposures of the Rustler Formation in the WIPP shafts. Some of the evidence is spurious, has been taken out of context, or is misquoted. Lateral lithologic variations from halite to mudstone within the Rustler Formation under the WIPP site have been taken as evidence for the dissolution of halite such as that seen in Nash Draw, but are more rationally explained as sedimentary facies changes. Extrapolation of the known karst features in Nash Draw eastward to the WIPP site, where conditions are and have been significantly different for half a million years, is unwarranted. The volumes of insoluble material that would remain after dissolution of halite would be significantly less than the observed bed thicknesses, thus dissolution is an unlikely explanation for the lateral variations from halite to mudstone and siltstone. Several surficial depressions at WIPP, suggested to be sinkholes, do not have enough catchment area to form a sinkhole, and holes drilled to investigate the subsurface strata do not support a sinkhole interpretation. Surface drainage across the WIPP site is poorly developed because it has been disrupted by migrating sand dunes and because precipitation is not focused by defined catchment areas in this region of low precipitation and low-dip bedding, not because it has been captured by sinkholes. There are no known points of discharge from the Rustler Formation at WIPP that would indicate the presence of a subsurface karst drainage system. The existing drillholes across the WIPP site, though small in diameter, are sufficient to assess the probability of karst development along the horizontal fractures that are common in the Rustler Formation, and the area of investigation has been augmented significantly by the mapping of four large-diameter shafts excavated into the WIPP repository. The general absence of dissolution, karsting, and related conduits is corroborated by the pumping tests which have interrogated large volumes of the Rustler Formation between drillholes. Diffusion calculations suggest that separate isotopic signatures for the water found in the fractures and the water found in the pores of the matrix rock between fractures are unlikely, thus the isotopic evidence for ancient Rustler formation waters is valid. Geophysical techniques show a number of anomalies, but the anomalies do not overlap to portray consistent and mutually supporting patterns that can be definitively related to karst void space at any given location. The coincidence of the Culebra and Magenta potentiometric heads between Nash Draw and the WIPP site is the inevitable intersection of two non-parallel surfaces rather than an indication of karst-related hydraulic communication between the two units. The proponents of karst in the Rustler Formation at the WIPP site tend to mix data, to take data out of context, and to offer theory as fact. They do not analyze the data or synthesize it into a rigorous, mutually supporting framework. They assume that the existence of an anomaly rather than the specific characteristics of that anomaly proves the existence of intra-stratal karst in the Rustler Formation. In most cases, the interpretations of karst offered are non-unique interpretations of data for which more plausible interpretations exist.
Natural gas is a clean fuel that will be the most important domestic energy resource for the first half the 21st centtuy. Ensuring a stable supply is essential for our national energy security. The research we have undertaken will maximize the extractable volume of gas while minimizing the environmental impact of surface disturbances associated with drilling and production. This report describes a methodology for comprehensive evaluation and modeling of the total gas system within a basin focusing on problematic horizontal fluid flow variability. This has been accomplished through extensive use of geophysical, core (rock sample) and outcrop data to interpret and predict directional flow and production trends. Side benefits include reduced environmental impact of drilling due to reduced number of required wells for resource extraction. These results have been accomplished through a cooperative and integrated systems approach involving industry, government, academia and a multi-organizational team within Sandia National Laboratories. Industry has provided essential in-kind support to this project in the forms of extensive core data, production data, maps, seismic data, production analyses, engineering studies, plus equipment and staff for obtaining geophysical data. This approach provides innovative ideas and technologies to bring new resources to market and to reduce the overall environmental impact of drilling. More importantly, the products of this research are not be location specific but can be extended to other areas of gas production throughout the Rocky Mountain area. Thus this project is designed to solve problems associated with natural gas production at developing sites, or at old sites under redevelopment.
Natural fractures in Jurassic through Tertiary rock units of the Raton Basin locally contain conjugate shear fractures that are mechanically compatible with associated extension fractures, i.e., they have a bisector to the acute angle that is parallel to the strike of associated extension fractures, normal to the thrust front at the western margin of the basin. Both sets of fractures are therefore interpreted to have formed during Laramide-age thrusting from west to east that formed the Sangre de Cristo Mountains and subsequently the foreland Raton Basin, and that imposed strong east-west compressive stresses onto the strata filling the basin. This pattern is not universal, however. Anomalous NNE-SSW striking fractures locally dominate strata close to the thrust front, and fracture patterns are irregular in strata associated with anticlinal structures within the basin. Of special interest are strike-slip style conjugate shear fractures within Dakota Sandstone outcrops 60 miles to the east of the thrust front. Mohr-Coulomb failure diagrams are utilized to describe how these formed as well as how two distinctly different types of fractures can be formed in the same basin under the same regional tectonic setting and at the same time. The primary controls in this interpretation are simply the mechanical properties of the specific rock units and the depth of burial rather than significant changes in the applied stress.
Hanks, C.L.; Wallace, W.K.; Atkinson, P.K.; Brinton, J.; Bui, T.; Jensen, J.; Lorenz, John C.
Fractures and other mesoscopic structures formed at different times during the evolution of individual detachment folds in Lisburne Group carbonates of the northeastern Brooks Range. These structures provide clues to the mechanism of folding, the conditions under which folds evolved and the paragenesis of fractures in the fold-and-thrust belt as a whole. The earliest fractures strike NNW and probably represent orogen-normal extension fractures that developed in the foreland basin in advance of the fold-and-thrust belt. These rocks and fractures were later incorporated into the thrust belt, where they were thrust-faulted and folded. Later fractures, strained markers and dissolution cleavage developed during detachment folding as a result of flexural slip and homogeneous flattening. Fracturing associated with flexural slip occurred early in the development of folds. These early fractures were commonly overprinted or destroyed by ductile strain as later homogeneous flattening accommodated additional shortening. This penetrative strain was in turn overprinted by late extension fractures that formed during flexural slip in the waning phases of folding or after folding due to unroofing of the orogenic wedge. Early fracturing, overprinting by ductile structures and subsequent later fracturing in detachment-folded Lisburne Group emphasizes the importance of understanding the unique character and history of each fold-and-thrust belt in a successful hydrocarbon exploration effort. In particular, the mechanical stratigraphy and conditions of deformation play an important role in the type of fold that develops, the fold mechanisms that are active and the subsequent distribution and character of fractures and other mesoscopic structures.
The Cretaceous strata that fill the San Juan Basin of northwestern New Mexico and southwestern Colorado were shortened in a generally north-south to north northeast-south southwest direction during the Laramide orogeny. This shortening was the result of compression of the strata between southward indentation of the San Juan uplift at the north edge of the basin and northward to northeastward indentation of the Zuni uplift from the south. Right-lateral strike-slip motion was concentrated at the eastern and western margins of the basin to form the Hogback monocline and the Nacimiento uplift at the same time. Small amounts of shear may have occurred along pre-existing basement faults within the basin as well. Vertical extension fractures, striking north-south to north northeast-south southwest (parallel to the Laramide maximum horizontal compressive stress) with local variations, formed in both Mesaverde and Dakota sandstones under this system, and are found in outcrops and in the subsurface. The less-mature Mesaverde sandstones typically contain relatively long and irregular vertical extension fractures, whereas the underlying quartzitic Dakota sandstones contain more numerous, shorter, sub-parallel, closely spaced extension fractures. Conjugate shear fractures in several orientations are also present locally in Dakota strata.
Sandstones that overlie or that are interbedded with evaporitic or other ductile strata commonly contain numerous localized domains of fractures, each covering an area of a few square miles. Fractures within the Entrada Sandstone at the Salt Valley Anticline are associated with salt mobility within the underlying Paradox Formation. The fracture relationships observed at Salt Valley (along with examples from Paleozoic strata at the southern edge of the Holbrook basin in northeastern Arizona, and sandstones of the Frontier Formation along the western edge of the Green River basin in southwestern Wyoming), show that although each fracture domain may contain consistently oriented fractures, the orientations and patterns of the fractures vary considerably from domain to domain. Most of the fracture patterns in the brittle sandstones are related to local stresses created by subtle, irregular flexures resulting from mobility of the associated, interbedded ductile strata (halite or shale). Sequential episodes of evaporite dissolution and/or mobility in different directions can result in multiple, superimposed fracture sets in the associated sandstones. Multiple sets of superimposed fractures create reservoir-quality fracture interconnectivity within restricted localities of a formation. However, it is difficult to predict the orientations and characteristics of this type of fracturing in the subsurface. This is primarily because the orientations and characteristics of these fractures typically have little relationship to the regional tectonic stresses that might be used to predict fracture characteristics prior to drilling. Nevertheless, the high probability of numerous, intersecting fractures in such settings attests to the importance of determining fracture orientations in these types of fractured reservoirs.
A set of vertical extension fractures, striking N-S to NNE-SSW but with local variations, is present in both the outcrop and subsurface in both Mesaverde and Dakota sandstones. Additional sets of conjugate shear fractures have been recognized in outcrops of Dakota strata and may be present in the subsurface. However, the deformation bands prevalent locally in outcrops in parts of the basin as yet have no documented subsurface equivalent. The immature Mesaverde sandstones typically contain relatively long, irregular extension fractures, whereas the quartzitic Dakota sandstones contain short, sub-parallel, closely spaced, extension fractures, and locally conjugate shear planes as well. Outcrops typically display secondary cross fractures which are rare in the subsurface, although oblique fractures associated with local structures such as the Hogback monocline may be present in similar subsurface structures. Spacings of the bed-normal extension fractures are approximately equal to or less than the thicknesses of the beds in which they formed, in both outcrop and subsurface. Fracture intensities increase in association with faults, where there is a gradation from intense fracturing into fault breccia. Bioturbation and minimal cementation locally inhibited fracture development in both formations, and the vertical limits of fracture growth are typically at bedding/lithology contrasts. Fracture mineralizations have been largely dissolved or replaced in outcrops, but local examples of preserved mineralization show that the quartz and calcite common to subsurface fractures were originally present in outcrop fractures. North-south trending compressive stresses created by southward indentation of the San Juan dome area (where Precambrian rocks are exposed at an elevation of 14,000 ft) and northward indentation of the Zuni uplift, controlled Laramide-age fracturing. Contemporaneous right-lateral transpressive wrench motion due to northeastward translation of the basin was both concentrated at the basin margins (Nacimiento uplift and Hogback monocline on east and west edges respectively) and distributed across the strata depth.
Between 1965 and 1979 there were five documented and one or more inferred attempts to stimulate the production from hydrocarbon reservoirs by detonating nuclear devices in reservoir strata. Of the five documented tests, three were carried out by the US in low-permeability, natural-gas bearing, sandstone-shale formations, and two were done in the USSR within oil-bearing carbonates. The objectives of the US stimulation efforts were to increase porosity and permeability in a reservoir around a specific well by creating a chimney of rock rubble with fractures extending beyond it, and to connect superimposed reservoir layers. In the USSR, the intent was to extensively fracture an existing reservoir in the more general vicinity of producing wells, again increasing overall permeability and porosity. In both countries, the ultimate goals were to increase production rates and ultimate recovery from the reservoirs. Subsurface explosive devices ranging from 2.3 to about 100 kilotons were used at depths ranging from 1208 m (3963 ft) to 2568 m (8427 ft). Post-shot problems were encountered, including smaller-than-calculated fracture zones, formation damage, radioactivity of the product, and dilution of the BTU value of tie natural gas with inflammable gases created by the explosion. Reports also suggest that production-enhancement factors from these tests fell short of expectations. Ultimately, the enhanced-production benefits of the tests were insufficient to support continuation of the pro-grams within increasingly adversarial political, economic, and social climates, and attempts to stimulate hydrocarbon reservoirs with nuclear devices have been terminated in both countries.