The last Darcy Forum specifically focused on EOR solutions for Unconventional Reservoirs was in 2018, so with this Q&A with George Grinestaff, CEO and Reservoir Engineering Manager of Shale IOR, we would like to see if Darcy members are interested in following the conversation in the future. George will comment on some common pitfalls while trying to implement an EOR project and how to overcome them!

What is the main differences between IOR and EOR processes for shale and what can they offer to an Operator? By definition SPE calls EOR tertiary and IOR everything else. So for shale, EOR is the component exchange from oil to gas but IOR might be larger spacing and lower cost of development.

Why focus on Gas and not other types such as Chemical EOR for Shale? We focus on what is commercial, many other solutions exist like CO2, Ethane, and surfactant/nano, but may not be commercially viable. Wellsite gas is commercial in almost all basins.

How is the field set up to optimize gas usage in terms of the gas leftover once it is flashed in the facilities, do you need to be constantly purchasing new gas? or you reach a certain plateau in which you just recycle the already bought gas cushion? Cyclic gas projects require a small make up gas above recycle, however many basins will not achieve cyclic process and the gas metrics will be totally different.

When should an Unconventional EOR process be studied for a certain field/reservoir? Beginning of development, before peak production of the field at least! or when there are no more options?  When you understand the base depletion decline and recovery of a basin or area. Ideally integration with drilling and in the early well life.

Simulation vs Testing: some Operators think that reservoir characterization and lab work takes too much time versus Field Piloting that can give answers right away. What are Shale IOR's thoughts on this, and what is your screening, testing, and piloting process?  We have seen a number of ineffective pilots which did not have PVT, subsurface design, and process understanding. Companies are using grad students at universities to give field pilots designs. We have a very pragmatic approach to pilots and design that builds in cost through 3 or more phases. Pilot design and objectives are usually not the same, and we also have a staged PVT approach to optimize the project time/cost.

Are failures primarily due to Technical, Operational, or Management reasons? They usually start with management having a cavalier attitude toward technology and Basis of Design is not sought after, however a successful technical project can easily be mismanaged operationally.

How many projects fail because a compressor is bought before doing sufficient prefac, lab, and conceptual studies? It appears that approximately half of the projects have been approached in this way. We have seen again and again that Operators/Companies will attempt to buy equipment without a subsurface design basis because they want to inject and see what happens. In almost every case we have seen it was a dismal failure.

Why is PVT data indispensable and when is the right time and way to get it? Fluid characterization is the first step in gas injection EOR so that process between gas and oil is accounted for then implemented in compositional models for an accurate prediction of the process when used correctly.

What is Reservoir Engineering worth in IOR/EOR type of projects and how can we make the difference? We find that Unconventional EOR requires significant RE experience directly with the process or miscible gas related projects.

Should gates be better staged, that is: no parallelization? Should each gate have its own budget and what this should be? A phased approach to the technical work can bring huge savings and secure a robust project and each phase can be budgeted based upon the other.

At what stage do we say a project is a Go/no-go, for example after a failed study, test, field pilot? After management is convinced there is a good prospect towards a robust economic solution. This is where proper screening comes in with sound PVT and basis of design.

What is the most valuable information to be obtained for an EOR project in Shale?  The ability to achieve design pressures.

Figure showing the scale of a typical Compressor needed to achieve it (image courtesy of Shale IOR)

What is the most challenging problem yet to be solved by Upstream Operators in Unconventional Enhanced Oil Recovery applications? Seeing the prize and knowing how to get it. The technology is not a primary issue but operators are missing the potential because they have very limited experience. This is the reason why Shale IOR LLC offers a best of class EOR service provider solution. The operators need only focus on operating the process while we provide the design from pilot to commercial operations.

What are the dimensions of Shale EOR projects? Time, phases, money: orders of magnitude involved. We have a complete document showing phases, time, etc. in Gantt Chart form. A small project can turnkey in one year. Just contact us and we can have a conversation.

What are Shale IOR's differentiators from other advisory companies? We have drilled, operated, and managed independent oil shale operations along with having the most advanced team of gas injection REs in the industry who designed and started gas EOR projects since 1985 like Prudhoe Bay Alaska and many others around the globe.

When do you think EOR will be widely adopted? It can only be adopted if the investment shows a worthy return. As with base depletion and the Shale revolution, EOR must undergo a substantial effort to apply existing technology.

How can you help in this adoption? Shale IOR LLC's screening work can be very short and sweet to determine a pilot location, then more detailed work can begin to determine equipment/compressor needs. It is very important from the start of our discussions about EOR that we make sure Operating Companies know that a commercial EOR solution is not known. As EOR experts, we believe we need to perform a proper job piloting and not pre-determine or just try one solution like cyclic process. We have carefully thought through the pilot stages for a new project and are prepared to provide an excellent staged work plan which saves companies millions of dollars. Each stage should build upon itself so that all the PVT/labs, engineering, and equipment flows into the next stage without wasted time and cost.

Do you have anything else you would like to add? We have also talked about starting a JIP or consortium of companies to help fund and get screening/pilots off the ground. Shale IOR LLC is well connected with equipment providers, midstream operations, and local experts to turnkey a solution for a consortium pilot program in new prospects.

Thanks George for all the insights, lets see if Darcy Members are interested!

Comment bellow if you would like to follow the discussion here or go to Shale IOR's Storefront to contact George and if you want Darcy to advance the research on EOR for Unconventionals please Like this article, it will let us know this topic is of interest to you!