Technology Focus: Reservoir Surveillance (September 2023)

In the contemporary landscape of the oil and gas industry, the imperative to improve safety performance and enhance sustainability practices has become increasingly salient. This paper delves into the emerging concept of the Circular Economy of Safety (CES) as a strategic framework that intertwines incident prevention with sustainability initiatives within oil and gas operations. The CES framework represents a paradigm shift that transcends traditional approaches by integrating principles from circular economy models with established safety management systems. Central to the CES framework is the recognition that safety and sustainability are not disparate objectives but interconnected facets of organizational resilience and responsible stewardship. At its core, CES seeks to minimize waste, optimize resource utilization, and improve safety outcomes simultaneously. By leveraging circular economy principles such as reduce, reuse, recycle, and recover, oil and gas companies can not only mitigate risks associated with accidents and incidents but also achieve significant environmental and economic benefits. Drawing upon case studies, empirical research, and industry best practices, this paper elucidates the practical applications and potential advantages of embracing CES strategies in oil and gas operations. Through a comprehensive analysis, it highlights the synergies between safety and sustainability efforts, demonstrating how proactive incident prevention measures can yield substantial long-term benefits in terms of operational efficiency, cost savings, and environmental impact reduction. Moreover, the paper identifies key challenges and opportunities inherent in the adoption of CES principles, including regulatory compliance, organizational culture transformation, and technological innovation. While implementing CES strategies may require initial investments and organizational restructuring, the long-term benefits far outweigh the costs, positioning companies for sustained success in an evolving industry landscape. Ultimately, this paper advocates for a holistic approach to safety and sustainability management in the oil and gas sector, wherein CES serves as a guiding framework for fostering a culture of continuous improvement, innovation, and collaboration. By embracing the Circular Economy of Safety, oil and gas companies can not only mitigate operational risks and enhance their social license to operate but also contribute meaningfully to the transition towards a more sustainable energy future.

Digital transformation is reshaping the oil and gas industry, offering powerful tools to enhance sustainability while maintaining operational efficiency. This review examines how digital technologies such as artificial intelligence (AI), the Internet of Things (IoT), and data analytics contribute to reducing environmental impact, improving resource management, and driving innovation in oil and gas operations. The sector faces increasing pressure to transition towards more sustainable practices due to regulatory demands, stakeholder expectations, and the global shift towards a low-carbon economy. In response, companies are adopting digital solutions to optimize energy use, minimize emissions, and enhance safety and transparency. Key technologies like AI and machine learning are instrumental in predictive maintenance, helping companies to foresee equipment failures and reduce operational downtime. IoT devices enable real-time monitoring of energy consumption and emissions, allowing companies to adjust operations to meet environmental standards more efficiently. Data analytics further enhances decision-making by providing insights into energy use, waste reduction, and resource allocation. These digital tools support a shift toward more circular economy models, where waste is minimized, and energy efficiency is maximized. Moreover, blockchain technology is being employed to ensure transparency and traceability in supply chains, enabling more sustainable procurement and resource management. Digital twins—virtual replicas of physical assets—are used to simulate processes, reduce risks, and improve performance while reducing environmental impacts. This integration of digital technologies not only helps companies meet regulatory compliance but also opens new avenues for innovation and competitiveness in a sustainable market. As oil and gas companies navigate the complexities of digital transformation, it is evident that these technologies are key to achieving long-term sustainability goals. This study highlights how digital transformation is crucial for creating a more sustainable future in the oil and gas industry by enhancing operational efficiency, reducing emissions, and fostering innovation.

The Application of Precision Ultrasonic Technologies to Diagnose and Identify Crossflow between Formations, Flow behind Pipe and Casing Leaks Mahmoud Zakaria; Mahmoud Zakaria Seawell Search for other works by this author on: This Site Google Scholar Ayedh Al-Shehri; Ayedh Al-Shehri Saudi Aramco Search for other works by this author on: This Site Google Scholar Hassan Tammar Hassan Tammar Saudi Aramco Search for other works by this author on: This Site Google Scholar Paper presented at the SPE/DGS Saudi Arabia Section Technical Symposium and Exhibition, Al-Khobar, Saudi Arabia, April 2010. Paper Number: SPE-136922-MS https://doi.org/10.2118/136922-MS Published: April 04 2010 Cite View This Citation Add to Citation Manager Share Icon Share Twitter LinkedIn Get Permissions Search Site Citation Zakaria, Mahmoud , Al-Shehri, Ayedh , and Hassan Tammar. "The Application of Precision Ultrasonic Technologies to Diagnose and Identify Crossflow between Formations, Flow behind Pipe and Casing Leaks." Paper presented at the SPE/DGS Saudi Arabia Section Technical Symposium and Exhibition, Al-Khobar, Saudi Arabia, April 2010. doi: https://doi.org/10.2118/136922-MS Download citation file: Ris (Zotero) Reference Manager EasyBib Bookends Mendeley Papers EndNote RefWorks BibTex Search Dropdown Menu toolbar search search input Search input auto suggest filter your search All ContentAll ProceedingsSociety of Petroleum Engineers (SPE)SPE Kingdom of Saudi Arabia Annual Technical Symposium and Exhibition Search Advanced Search Abstract Investigating the integrity of a casing, with the tubing in place, has always presented a challenge to operators worldwide. Even more challenging, is taking on an investigation into cross flow between formations & identifying regions of flow behind pipe, all while the tubing is still in place.Flow behind pipe has always been a well debated subject amongst industry professionals; most advancement in this matter has been subjective, based on well educated speculation and largely dependent on temperature profiles and changes in the geothermal gradient. Saudi Aramco have recently utilized a new ultrasonic based, diagnostic technology, in order to map regimes of flow behind pipe, identify cross flow between downhole formations, locate casing leaks with a pin-point accuracy, all while the tubing is in place, and while using conventional Electric Line logging.This technology exploits the innate physical properties of ultrasound. The capacity of ultrasonic waves to propagate through numerous and varied media, including steel, liquids & compressed gas; allows a radial investigation of up to 3m. Unlike several technologies that utilize ultrasound, this diagnostic tool, is a passive listener, with no transmitters. It is designed to pick up the sonic energy fluctuations created by the turbulent flow of fluids over a specific spectrum within the ultrasound frequencies window. A window that is so uniquely suited for precision wellbore diagnostics.This paper presents the basic physics behind the technology chosen by Saudi Aramco to address the aforementioned issues. It will highlight the possible applications of these tools and more specifically discuss the recent case studies successfully performed in Saudi Aramco. Keywords: crossflow, intervention, pipe, ultrasound, frequency, production monitoring, differential pressure, application, integrity issue, reservoir surveillance Subjects: Wellbore Design, Well & Reservoir Surveillance and Monitoring, Formation Evaluation & Management, Wellbore integrity, Production logging, Open hole/cased hole log analysis Copyright 2010, Society of Petroleum Engineers You can access this article if you purchase or spend a download.

Carbon emissions due to oil and gas exploration and production activities remains significant. In general, the industry widely continues its conventional operations, while it slowly navigates its way through energy transition towards net zero carbon emissions. This paper presents a suggestion on the importance of incorporating a sustainable risk assessment register and matrix in all current operations planning to address carbon footprint before the industry fully transitions itself into a net zero modest of operandi. Due to the growing demand in considering socially responsible criteria's in managing day-to-day oil and gas business through the principals of Environment, Social and Corporate Governance (ESG), carbon emissions are the key focus area in this implementation of a sustainable risk assessment register and matrix for the oil & gas industry. The five different risk assessment categories which oil and gas companies should consider when addressing carbon emissions through a dedicated sustainable risk assessments register and matrix for each operational activity are classified as: qualitative, quantitative, generic, site-specific and dynamic risk assessments. Actual quantification of expected carbon emissions which is not commonly in practice [CM1]now becomes utmost important as an input to define mitigating actions, working towards carbon capture and/or eliminating carbon emissions. Creative problem solving such as through the adaptation of new technologies, process improvement and revamping well unloading program to reduce carbon emissions [CM2]through a sustainable risk assessment register and matrix, will allow the industry to demonstrate actual data and efforts in addressing climate change issues as the industry transitions to net zero carbon. The Reservoir, Wells and Facility Management (RWFM) organization becomes crucial to pull together and facilitate different stakeholders’ involvement throughout the lifecycle of a project to ensure every aspect of the project planning takes into consideration risks exclusively associated to carbon emission and work towards minimizing or eliminating them. The development of this sustainable risk assessment register and matrix will contribute to social implications by acting as a reference point for all oil and gas operators and service providers in the world to produce sustainably and responsibly at the current moment while the industry makes a shift to net zero emission. This initiative will also provide an opportunity for the oil and gas industry through the collaboration of RWFM to work in accordance and embrace Sustainable Development Goal 7 and Goal 13 (SDG 7 and SDG 13) of the United Nations.

Aim: This paper examines the concepts of oil and gas production, effects of the operations on the environment and relevant environmental protection technologies to make the industry a sustainable one. Problem Statement: Reports show environmental pollution and ecosystem disruption emanating from oil and gas operations which are majorly exploration, production and distribution to end-users. This makes the environment to be unhealthy for living and causes breakage in food chain. Significance of Study: High relevance of oil and gas industry to the economic growth of a Nation has made it imperative to critically address the adverse effects attributed to the operations involved. Tackling the accorded problems via current environmental protection technologies will prevent operational accidents and minimize environmental pollution. With this, lives are protected, environment is kept safe, and the industry is enhanced for future sustainability. Discussions: The upstream, midstream and downstream operations that make up the oil and gas value chain were discussed. The philosophy of sustainability and sustainable development as pertained to environmental pollution and disruption of ecosystem by the operations of oil and gas industries were discussed. Reasons why round table talk should be conducted from time to time by all stakeholders as related to environmental sustainability of Oil and Gas industries in years to come were discussed. The adopted technologies to ensure there is safety and environmental protections were stated within. Conclusion: In conclusion, there is need for further research on effective technologies to improve the existing ones in terms of making safety and environmental protection from oil and gas industry a sustainable one.

Ret-ro-spec-tion (n): the act or process of surveying the past. What does retrospection have to do with multilateral (ML) and extended reach (ER) wells? By the time this issue of JPT is published, I will have retired from 31 years of active duty in the oil patch. Reaching this milestone made me think about the past and the advances in drilling technology and practices. Approximately 25 years ago, directional drilling was used predominantly to develop reserves, mostly offshore, that could not be accessed any other way. Around 1980, horizontal wells changed that mindset and directional drilling became a reservoir-management tool. The idea of horizontal wells or drain holes was not new; successful applications of the technique were reported as early as 1929.1 Instead of discussing why horizontal wells took 50 years to catch on, let us look at some key well-construction technologies that made it a reality. By the late 1980s, several technologies—measurement while drilling, steerable motors, top drives, and polycrystalline diamond compact bits2—combined to increase drilling efficiency and reduce drilling and reservoir risk. When first introduced, these technologies were sold as time savers—through connections, surveys, trips, or increased rate of penetration. We know these efficiencies are tangible, but the real value is the drilling system that made horizontal wells an effective reservoir-development tool. The industry first considered ER technology in the early 1980s to access reserves beyond the original development area from offshore platforms—many of these developments were based on pre-1980s directional-drilling limits of 60°. In these cases, ER wells were more cost-effective than a second platform or subsea completions. However, it was not long before ER wells became an option in the development of offshore reserves from an onshore pad or the basis of a new development plan. The one-trip retrievable whipstock is considered an enabling technology for MLs. Introduced in the early 1990s, it was considered a timesaving tool. But when combined with Technology Advancement of Multilaterals Level 1, 2, or 3 junctions, this technology resulted in the economical development of several heavy-oil projects. Once again, the real value was in effectiveness, not efficiency. World-class wells of 10 years ago are considered routine today. What will a world-class well look like 10 years from now? I cannot answer that question. But I am confident that value-adding technologies will be those that break current paradigms, not those that enable us to do things faster or cheaper. I will be watching these pages for the answer.

Inspection, repair, and maintenance operations are of crucial importance for the safety and survival of marine renewable energy devices. Current ROV manipulator technology used for subsea operations in offshore oil and gas industry is not adequate for offshore renewables. Target devices for inspection and monitoring operations in oil and gas are close to static, unlike their marine energy counterparts which are in motion due to a highly dynamic environment in which they operate. In this paper we describe motion analysis methods for marine energy devices implemented on the OC3-Hywind floating wind turbine in order to understand the conditions in which inspection and intervention operations are to be performed. Additionally, we present experiments carried out on a laboratory rig which is able to replicate the motion of the OC3-Hywind floating platform, and which will be used in future research on control systems for automated visual inspection and intervention using ROV manipulators.

Tax compliance and Value-Added Tax (VAT) management are critical components of financial reporting in the oil and gas industry, given its complex regulatory landscape, cross-border transactions, and high-value capital investments. Failure to comply with tax regulations can result in severe financial penalties, legal risks, and operational inefficiencies. This paper presents a structured framework for developing a tax compliance and VAT management system tailored to oil and gas operations, ensuring financial accuracy, regulatory adherence, and enhanced reporting efficiency. The proposed framework integrates automation, data analytics, and artificial intelligence (AI) to optimize tax processes, reduce errors, and improve compliance. AI-driven tax engines process real-time financial data, identify tax liabilities, and generate accurate VAT reports, minimizing manual intervention. Blockchain technology is incorporated to enhance transparency in financial transactions, preventing tax fraud and ensuring secure data management. Additionally, predictive analytics is utilized to assess potential tax risks, enabling proactive financial planning. A key feature of this framework is its ability to harmonize tax compliance across multiple jurisdictions, addressing the complexities of global oil and gas operations. By implementing standardized tax reporting mechanisms and real-time monitoring systems, companies can ensure adherence to evolving tax regulations and mitigate financial risks. The model also emphasizes strategic VAT recovery and optimization, enabling firms to reclaim eligible tax credits and improve cash flow efficiency. Furthermore, regulatory compliance modules are embedded within the system to align with international tax laws, including OECD guidelines, IFRS standards, and country-specific VAT policies. The framework also promotes seamless integration with enterprise resource planning (ERP) systems, allowing efficient data exchange and reducing reporting discrepancies. The study underscores the significance of digital transformation in tax compliance and financial reporting. By adopting a technology-driven approach, oil and gas companies can enhance tax governance, reduce operational costs, and improve audit readiness. Future research will focus on refining AI algorithms for enhanced tax prediction, exploring the role of big data in tax analytics, and expanding the framework’s applicability across different energy sectors.

Distributed Temperature Sensing (DTS) was used to evaluate a novel sandstone stimulation treatment based on exothermic reaction. The technology is based on injecting in-situ heat generating fluid (IHGF) that generate in-situ heat i.e., ~>400F and nitrogen pressure to mobilize and remove near well bore damage in sandstone formations. Distributed temperature sensing (DTS) in real-time was used for fluid placement, treatment optimization and evaluation. Coiled Tubing (CT) real-time downhole flow measurement tool was used to conduct injection profiling before and after pumping the IHGF. Application of exothermic reaction downhole is very challenging as generated pressure can exceed will head pressure, and generated heat can exceed well completion rating. To have advanced assessment of the technology, generated temperature and pressure increase was captured in real-time with distributed temperature sensing (DTS) coiled tubing telemetry. Hence, CT with fiber optic real-time telemetry was used to pump the IHGF in two injection wells to increase their injectivity. These real-time measurements provided the benefits of recording DTS and enabled recording the injection profile through its real-time downhole flow measurement tool. DTS and the CT real-time downhole flow measurement tool was used to acquire initial and post-treatment injection profiling of two water injection wells. The results were used in conjunction to optimize the IHGF placement. DTS was also conducted during and after pumping the IHGF to understand the heat generation in real-time and optimizing the treatment as needed. After the treatment, the injection profiling was conducted to evaluate the treatment. The paper describe the application of CT with fiber optic real-time telemetry for unique treatment involving exothermic reaction for sandstone stimulation. The successful treatment will positively impact sandstone stimulation in oil and gas industry. Results will enlighten the heat generation through IHGF resulted in removing the nearby well damage, followed by increase in injectivity and the effect of real-time measurements have in better treatment execution and evaluation.

The energy transition is a gradual journey, but it must begin now with small, concrete actions. We cannot entirely abandon current oil and gas operations if we aim for a greener future. Transitioning from existing oil and gas practices to lower carbon emission methods can be achieved through corporate strategies focused on fuel consumption efficiency, optimizing rig days, and enhancing energy efficiency. This can be facilitated through collaborative efforts among operators in shared working areas, fostering Borderless synergy. The transition from separate drilling and production schemes stand-alone PHSS and PEP to a collaborative approach has led to significant savings in drilling fuel and rig days. Furthermore, this synergy reduces the need for opening new land for drilling sites, thereby minimizing environmental impact. Additionally, the implementation of RTWHS (Real-Time Wellhead Surveillance) solar technology for well monitoring is crucial in advancing the shift towards renewable energy. The carbon footprint from this drilling operation is assessed and compared both before and after the implementation of borderless operations, allowing us to estimate the impact of this actionable strategy. By integrating these cooperative strategies and advanced technology, both companies can effectively reduce its carbon footprint average 622 tons CO2 per well while maintaining operational efficiency. This transition not only supports environmental sustainability but also drives innovation within the energy sector. With 11 borderless well drills completed from 2023 to now, the program has successfully reduced carbon emissions by 6,835 tons of CO2. Additionally, it has achieved diesel fuel savings of 2.4 million liters, resulting in a cost efficiency of USD 3.3 million. As companies embrace these changes, they set a precedent for responsible resource management and pave the way for future advancements in green technology. Additionally, installing solar panels can decrease CO2e emissions by approximately 1.2 tons from 11 wells. The collaborative efforts between cross operators exemplify how joint operations can lead to more sustainable practices, demonstrating that progress in energy efficiency is both achievable and necessary in the pursuit of a more sustainable future

_ This article, written by JPT Technology Editor Chris Carpenter, contains highlights of paper IPTC 21182, “The Road to Zero Routine Gas Flaring: A Case Study From Saudi Arabia,” by Majed Alsuwailem, KAPSARC. The paper has not been peer reviewed. Copyright 2021 International Petroleum Technology Conference. Reproduced by permission. _ The complete paper discusses Saudi Arabia’s progress in gas flaring, the measures the government has taken, and how operators have adapted. It also identifies many lessons learned and technological solutions that could be scaled up on a national or a corporate level to reduce gas flaring to achieve zero routine flaring targets, especially in cases where the state owns hydrocarbon assets and leases them to private operators. History of Gas Flaring in Saudi Arabia Following the discovery in 1948 of Ghawar, Saudi Arabia’s largest oil field, oil production in the country increased and more associated gas was produced and flared. The national oil company, Saudi Aramco, had no interest in capturing gas produced from its oil operations. No local or regional market for it existed, and exporting the gas would have required substantial infrastructure investments. This coincided with periods of low crude oil prices that made gas projects uneconomical. However, as the 1960s and ’70s passed, gas came to be increasingly regarded as an essential part of a broader attempt to diversify the Saudi economy. This, in return, allowed the creation of jobs in new frontiers, including the refining and petrochemical industries. In the early 1970s, the Saudi Ministry of Petroleum and Minerals contracted the Texas Eastern Corporation to conduct a technical and economic feasibility study. It evaluated the benefits of establishing a massive refining and petrochemical industry in the city of Jubail on the Arabian Gulf and Yanbu on the Red Sea, with gas as an important feedstock. The study required major capital expenditures on midstream oil operations. Saudi Aramco, on the other hand, proposed exploiting associated gas to generate electricity. Because the price of oil did not exceed $3/bbl before the 1970s, the Saudi government opted for the first option. Saudi Aramco, however, only foresaw an opportunity in this development if the government contributed major capital to the midstream, resulting in a positive outcome for both the stakeholders and the operator, which turned out to be the case. Master Gas System (MGS) The government gave Saudi Aramco a contract to establish the $12 billion MGS to capture, process, and use gas as fuel and feedstock for the petrochemical plants. Most of this project was paid for by the government. By the fall of 1982, the key components of the MGS (gas-gathering and -processing facilities and pipelines) were fully operational. The MGS saved 4.2 billion scf of gas from being flared, which prevented 80 million tonnes of carbon dioxide from being emitted into the atmosphere annually. Over time, the MGS has been expanded as more oil and nonassociated gas fields have been placed onstream and as demand has risen for dry gas in the power sector. By 2018, the MGS had gathered almost 3.5 trillion ft3/yr and is one of the world’s largest single hydrocarbon networks. It includes 4,000 km of pipelines, 50 gas/oil separation plants (GOSPs), seven gas plants, and two natural gas/liquid units.

Plastics and climate change—Breaking carbon lock-ins through three mitigation pathways

Technology Focus The oil- and gas-production industry has experienced dramatic price swings over the past year. Crude-oil (spot) prices have varied from more than USD 120/bbl to less than USD 40/bbl since the third quarter of 2014. In high-price environments, technology can be developed economically to exploit additional resources. In low-price environments, technology must be deployed selectively to optimize production. New technology may still be developed and applied, but it is likely to be very focused on reducing operating costs; on the other hand, existing technologies may be revisited, to be applied more effectively. At all times, industry seeks to improve well productivity. Well productivity is critical during low-price cycles; it is directly related to cash flow and to reserves calculations. Major advances in inflow-control-device (ICD) design and installation have occurred over the past few years. These devices generally are used to manage water breakthrough or to improve the production profile across a large interval. The goal is to minimize workover requirements while optimizing hydrocarbon production costs. Paper SPE 171836 discussed results of an extensive study to compare actual well performance to design with ICDs. The study includes results of failure analyses, which showed that material selection is important for a device to reach its design life. System operation affects field productivity. Slugging flow in subsea flowlines and risers, leading to pressure surges and excessive liquid levels in the first stage separator, is a major contributor to downtime and suboptimal performance in offshore production facilities. Production facilities operate most efficiently when flows are fairly stable. Slug-suppression technology has been applied historically in shallow water and onshore facilities. Paper SPE 170731 described the successful use of active slug-suppression technology in a deepwater facility. This is an example of integrating existing technologies— slug suppression and process-simulation/ process-control theory. The number of subsea wells is continuing to increase. These wells typically are designed to higher standards than onshore or platform wells because interventions are difficult and costly. However, lower-cost options are needed in the event that an intervention is required. Paper SPE 173647 described a case study in which a contingency riserless (light) intervention plan was implemented. Although this technology may not be applicable to all subsea well- intervention needs, it demonstrates that lighter (lower-cost) options should be considered on the basis of an engineering assessment. The oil and gas industry is a cyclical business. Technology progress can be made during the high- or the low-price phase. As engineers, we have the responsibility to identify and apply appropriate technologies throughout all phases of the business cycle. Let us rise to the challenge. JPT Recommended additional reading at OnePetro: www.onepetro.org. SPE 170780 Autonomous Inflow-Control Valves—Their Modeling and Added Value by Eltazy Eltaher, Heriot-Watt University, et al. SPE 172776 Integrated Approach to Liquid Management for Deepwater Gasfield Developments by S. Ahmed, BG Group, et al. OTC 25656 Pipeline Repair Using Epoxy Technology by Kenneth Bryson, Subsea 7, et al.

Drilling and Workover activities generate a lot of information that can be further used to improve the optimization of future activities and reduce: costs, drilling time and the time drilling engineers require to prepare a drilling program. To address this concern, Saudi Aramco developed the Well Planning Engineering Integrated Tools (WellPlanET). The well planning process is the most critical activity during drilling and completion. It starts by capturing the requirements from Exploration & Reservoir Engineering, and ends with a drilling program outlining the drilling execution plan. Supplements and revisions of the original plan may occur during the execution. This planning process involves consideration of many data types, including: formation pressures, offset well data, reservoir location, time, cost, etc. Overlooking any single data aspect could lead to severe drilling problems and time losses, especially for an Oil & Gas Operator like Saudi Aramco, where the Drilling & Workover agenda includes a large number of wells, of different types, and the operational involvement of many stakeholders. For that reason, Saudi Aramco has recently commissioned a new Well Planning Engineering Integrated Tools (WellPlanET) environment as a one box solution for drilling engineers to facilitate, plan, manage and streamline the well design in a simple, yet smart way. This involves a new re-engineering D&WO Planning Systems environment and workflows from desktop- based to a more integrated web-based environment that employs Aramco data repositories (structured, unstructured, file systems, etc.), application portfolio (in-house, vendor, real-time, historical, Drilling, Exploration, PE, etc.) and workflows to deliver users requirements and address the Drilling & Workover strategic goals and plans. It also provides a systematic way of generating, validating, simulating and optimizing the Drilling Program during both pre-drilling, execution and post-drilling phases. WellPlanET is a comprehensive integrated knowledgebase that ultimately facilitates well planning engineering, and advanced well design optimization. The system automates capturing all Drilling Program planning data (over 14 different data types such as Trajectory, Mud designs, Wellhead designs, etc.) in a structured manner to establish a complete integrated well planning repository to enable many advanced engineering modules such as Prediction, Simulation and Artificial Intelligence analysis features, using historical and planning data with full integration with key industry standards systems such as Geo- Pressure & Geomechanics analysis tools, Drilling Fluids and Well Hydraulics optimization tools, BHA/Wellhead/CrossSection designing tools to optimize the overall drilling program. This paper shares Saudi Aramco’s experience in building and deploying WellPlanET as a smart and efficient way of generating the drilling well program.

Introduction Although petroleum engineering as a profession is relatively new timewise, it has matured rapidly and become a recognized and essential element in the financing of oil and gas operations. Most oil operators have become accustomed to working with the bank petroleum engineer and know that certain requirements must be met to obtain loans. It is worth noting that petroleum engineers have found bank work to be interesting, varied and rewarding. For the alert, competent and ambitious, there are ample opportunities for advancement and promotion to officer status. The main objectives in this discussion are to comment on financing oil and gas operations by banks and to discuss in some detail the importance, content and usefulness of the engineering report in establishing the value of a property as collateral and in forecasting production for repayment of a loan. It may seem contradictory to the popular idea of conservative bank practice that a bank would accept as collateral for loans oil and gas still in the reservoir rock-commodities that are fluid, mobile, cannot be inspected or insured and must be produced from wells and sold in order to make payments on the loans. However, experience with loans based on properly engineered reserves has been most satisfactory and many oil-minded banks claim they have never had a bad oil loan. Oil loans are not new to banks; they were started in the early thirties, increased noticeably after 1935 and especially since 1945. In the meantime, banks have made hundreds of oil loans and found them not only safe and profitable, but helpful in developing the growth of important relationships in regard to deposits and use of other bank services. The acceptability of the oil loan to commercial banks is due primarily tolegislation that regulates oil production to prevent waste,recognition of correlative rights,increased engineering ability to estimate with reasonable accuracy reserves and forecasts of production andadvanced production technology. These factors have tended to stabilize prices and substantially improve reliance on reserve estimates and forecasts of revenue.