4-3-13 Celebrating Prudhoe Bay’s 12 Billion Barrel Milestone!

(See editor’s note, below)

 

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When valves were opened to allow the first Prudhoe Bay crude oil to flow into the 800-mile-long trans Alaska pipeline on the morning of June 20, 1977, everyone, including industry experts, didn’t expect that North America’s largest oil field would yield more than 9.6 billion barrels.

 

Today, 35 years after startup, more than 12 billion barrels have been produced. This is about 53 percent of the estimated 22.6 billion barrels in place–and it’s believed up to two billion more barrels are recoverable.

 

In cumulative production, the Prudhoe Bay field is now ranked number one in the U.S. and 20^th in the world.

 

In technical terms, the 12-billion-barrel figure includes only the Prudhoe Bay Ivishak production from the Initial Participating Area (IPA), and includes all liquids such as black oil, separator liquids, and natural gas liquids (NGLs).

 

“The 12-billion barrels figure that we reached in October 2012 is consistent with the figures used initially to describe the original Prudhoe discovery and development,” says Scott Digert, BP Alaska’s reservoir management team lead . ”It does not include the West End satellites (Aurora, Borealis, Orion, and Polaris), nor does it include the GPB fields that come in through the Lisburne Production Center (LPC) such as Lisburne, Greater Point McIntyre Area, (GPMA) and Niakuk”

 

Boosting production: Digert says that during the last three decades Prudhoe Bay has been a proving ground for oil field technology that has helped BP Alaska and other companies go beyond what was ever thought possible in maximizing production from the super-giant field.

 

“Advances in enhanced oil recovery (EOR) techniques boosted our overall oil recovery by about three billion barrels,” says Digert. “Large-scale gas cycling, water flooding around the periphery of the field, miscible gas injection (MI) and a technique called water-alternating gas (WAG) were effectively used.  Improved reservoir analysis and delineation; advanced drilling techniques, such as horizontal and multi-lateral drilling; and advanced well completion methods, also made significant contributions.”

 

To date, more than 1,000 wells and sidetracks have been drilled in the IPA, and with seven drilling rigs currently operating, BP Alaska plans to sustain its active drilling and sidetrack program in upcoming years.

 

“We’re now aggressively going after light oil in known accumulations,” says Digert.  ”We are using advance seismic imaging, reservoir simulation, and extensive surveillance and analysis of our current wells to identify further drilling targets.  We are continuing to deploy innovative methods such as Gas Cap Water Injection to support the reservoir pressure.  We are applying new technologies such as BrightWater to improve the sweep efficiency of our water injection, and pursuing new technologies that could similarly improve MI sweep.”

 

Digert adds that BP Alaska has increased its rig fleet capacity in 2013 to add more drilling and workover capability to refresh and maintain well stock.  He says the company is also working with other working interest owners, contractors, suppliers and with the State to sustain the financial health of BP Alaska’s base oil business.

 

“This will be needed to either maximize oil recovery as we head into the next 35 years of production, or to underpin future major gas sales,” he says.

 

Some fast facts about the Prudhoe Bay field:

 

·         Accounted for about 15-20 percent of America’s oil production for almost three decades; but is less 12% today;

 

·         Because of Prudhoe Bay, there are now 24 separate oil fields producing on the North Slope;

 

·         Mostly because of Prudhoe Bay, Alaska’s Permanent Fund Savings Account balance is more than $42 billion;

 

·         According to the University of Alaska’s Institute for Social and Economic Research (ISER), Alaska’s petroleum wealth (money in the bank and petroleum in the ground) is  valued at $160 billion;

 

·         Has accounted for about 126,000 jobs;

·         Continues to provide about 85-90% of the state’s annual revenues;

·         Imported technology to other BP assets across the world.

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