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Heavy Oil and Natural Bitumen—Strategic Resources

Introduction The estimated volume of technically Heavy oil and natural bitumen are Because conventional light oil can recoverable heavy oil (434 billion barrels) present worldwide (table 1). Each cate- typically be produced at a high rate and a and natural bitumen (651 billion barrels) in gory is dominated by a single extraordi- low cost, it has been used before other types known accumulations is about equal to the nary accumulation. The largest extra- of oil. Thus, conventional oil accounts for a Earth’s remaining conventional (light) oil heavy oil accumulation is the Venezuelan declining share of the Earth’s remaining oil reserves (table 1, fig. 1). Orinoco heavy oil belt, which contains endowment. In addition to assessing con- In spite of an immense resource base, 90 percent of the world’s extra-heavy oil ventional oil resources, scientists of the heavy oil and natural bitumen accounted when measured on an in-place basis. U.S. Geological Survey’s Energy Resources for only about 3 billion barrels of the 25 Eighty-one percent of the world’s known Program collect data on the abundant energy billion barrels of crude oil produced in recoverable bitumen is in the Alberta, resources available as heavy oil (including 2000. Compared to light oil, these resources , accumulation. Together the two extra-heavy oil) and natural bitumen; see are generally more costly to produce and deposits contain about 3,600 billion definitions in sidebar on page 2. The data in transport. Also, extra-heavy oil and natural barrels of oil in place. this Fact Sheet are compiled from commer- bitumen must usually be upgraded by In addition to extra-heavy Orinoco oil, cial databases (NRG Associates, I.H.S. reducing their carbon content or adding South America has an estimated 40 billion Petroconsultants), unpublished government hydrogen before they can be used as feed- barrels of technically recoverable heavy oil, data, and the published literature. stock for a conventional refinery. The extra so that, in total, 61 percent of the known Natural bitumen (often called tar sands production, transportation, and upgrading technically recoverable heavy oil is in or ) and heavy oil differ from light costs explain why development and produc- South America. oils by their high viscosity (resistance to tion of extra-heavy oil and bitumen are still Of the 35 billion barrels of heavy oil flow) at reservoir temperatures, high limited. Their abundance, strategic geo- estimated to be technically recoverable in (low API gravity), and significant contents graphic distribution, quality, and costs will North America, about 7.7 billion barrels of nitrogen, oxygen, and sulfur compounds shape their role in the future oil supply. are assigned to known producing accu- and heavy-metal contaminants. They mulations in the lower 48 States, and 7 resemble the residuum from the refining of Geographic Distribution billion barrels are assigned to the North light oil. Most heavy oil is found at the The Western Hemisphere has 69 per- Slope of Alaska. margins of geologic basins and is thought cent of the world’s technically recoverable The U.S. bitumen accumulations are to be the residue of formerly light oil that heavy oil and 82 percent of the technically largely in Utah. No U.S. accumulations are has lost its light-molecular-weight com- recoverable natural bitumen. In contrast, the being produced commercially, although, in ponents through degradation by bacteria, Eastern Hemisphere has about 85 percent total, they are estimated to contain 6.1 billion water-washing, and evaporation. of the world’s light oil reserves. barrels of recoverable bitumen.

Table 1. Regional distribution of estimated technically recoverable heavy oil and natural bitumen in billions of barrels (BBO).

Heavy oil Natural bitumen Region Recovery Technically Recovery Technically factor* recoverable BBO factor* recoverable BBO North America 0.19 35.3 0.32 530.9 South America 0.13 265.7 0.09 0.1 W. Hemisphere 0.13 301.0 0.32 531.0 Africa 0.18 7.2 0.10 43.0 Europe 0.15 4.9 0.14 0.2 Middle East 0.12 78.2 0.10 0.0 Asia 0.14 29.6 0.16 42.8 Figure 1. Distribution of the world’s known 0.13 13.4 0.13 33.7** recoverable oil resources and reserves by E. Hemisphere 0.13 133.3 0.13 119.7 type. Technically recoverable oil in known World 434.3 650.7 heavy oil and natural bitumen accumulations is about equal to reserves of light oil (API *Recovery factors were based on published estimates of technically recoverable and in-place oil or bitumen by accumulation. Where unavailable, recovery factors of 10 percent and 5 percent of gravity greater than 22°) in known conven- heavy oil or bitumen in place were assumed for sandstone and carbonate accumulations, respectively. tional accumulations. BBO, billion barrels **In addition, 212.4 billion barrels of natural bitumen in place is located in Russia but is of oil. either in small deposits or in remote areas in eastern Siberia.

U.S. Department of the Interior USGS Fact Sheet FS–070–03 U.S. Geological Survey August 2003 Definitions Natural bitumen is so viscous that it is immobile in the reservoir. For oil sand Petroleum Types: deposits less than 225 feet deep, bitumen is Light oil, also called conventional oil, has an API recovered by mining the sands, then sepa- gravity of at least 22° and a viscosity less than 100 centipoise (cP). rating the bitumen from the reservoir rock Heavy oil is an asphaltic, dense (low API gravity), by processing it with hot waters, and final- and viscous oil that is chemically characterized by ly upgrading the natural bitumen onsite to its content of asphaltenes (very large molecules a synthetic crude oil. In deeper oil sand incorporating most of the sulfur and perhaps 90 deposits, where the bitumen is commonly percent of the metals in the oil). Although variously less viscous, steam is injected into the defined, the upper limit for heavy oil has been set reservoir to mobilize the oil for recovery at 22° API gravity and a viscosity of 100 cP. by production wells. The product may be Extra-heavy oil is that portion of heavy oil having upgraded onsite or mixed with diluent and an API gravity of less than 10°. transported to an upgrading facility. Natural bitumen, also called tar sands or oil sands, shares the attributes of heavy oil but is yet Production Projections Figure 3. Stacked pair of horizontal wells for more dense and viscous. Natural bitumen is oil steam-assisted gravity drainage (SAGD), a nat- In the Orinoco heavy oil belt, hori- having a viscosity greater than 10,000 cP. ural bitumen recovery process. Steam injected zontal wells and lateral branches that are Other Terms: through the upper well mobilizes bitumen, and optimally positioned and equipped with Viscosity is a measure of the fluid’s resistance to gravity causes the mobilized fluid to move improved electrical submersible or pro- flow. It varies greatly with temperature. Viscosity toward the lower well, where the bitumen is gressing cavity pumps can deliver up to matters to producers because the oil’s viscosity pumped to the surface. Graphic copyright 2,000 barrels of oil per day. Such horizon- at reservoir temperature determines how easily Schlumberger “Oilfield Review”; used with tal well costs have been reduced in recent oil flows to the well for extraction. permission. From Carl Curtis and others, 2002, years, and thus this extra- Density is a measure of mass per unit volume and Oilfield Review, v. 14, no. 3, p. 50. interests refiners because it is an indicator of yield is commercial. However, the costs associ- from distillation. Oil density is expressed in degrees In conventional production, reservoir ated with the diluents for reservoir injec- of API gravity, a standard of the American Petroleum pressure from gas and water associated tion and for facilitating transport to an Institute. API gravity is computed as (141.5/sp g) – with the oil is generally sufficient to cause upgrading facility are still significant. 131.5, where sp g is the specific gravity of the oil light oil to flow to a production well. If nat- Concession operators plan to increase at 60°F. ural reservoir pressure becomes depleted, Orinoco production to 600,000 barrels of then oil flow may be enhanced by injecting extra-heavy oil per day by 2005 and to gas or water into the reservoir to push the sustain that rate for 35 years (Petroleum residual oil to the production well. Review, 2001, v. 55, no. 653, p. 30). Historically, heavy oil was found inci- Natural bitumen is extracted from dentally during the search for light oil and Alberta oil sand deposits that are too deep was produced by conventional methods to surface mine by a process known as when economically feasible. However, to steam-assisted gravity drainage (SAGD); sustain commercial well production rates, see fig. 3. Production wells could produce heavy and extra- in excess of 2,000 barrels of bitumen per almost always requires measures to reduce day. In 2001, about 735,000 barrels per day oil viscosity and to introduce energy into were extracted by mining and by in-situ Figure 2. Cumulative percentage of annual the reservoir. When super-heated steam is production from Alberta oil sands, account- production (blue) and cumulative percentage injected into a reservoir, oil viscosity is ing for 36 percent of Canada’s total oil pro- of technically recoverable resources (brown) reduced and reservoir pressure is increased duction. Projected 2011 production is 2.2 of heavy oil as a function of oil density (API million barrels per day (Alberta Energy gravity) in 2000. Less than 10 percent of the through displacement and partial distillation of the oil. Steam may be injected continu- and Utility Board, 2002, Alberta’s Reserves heavy oil produced annually is extra-heavy oil 2001 and Supply/Demand Outlook (API gravity of 10° or less), whereas 33 per- ously to form a flood or it may be injected 2002Ð2011, Statistical Series 2002Ð98, cent of the technically recoverable heavy oil in cycles so wells are used alternately for has an API gravity of 10° or less. injection and production. p. 2Ð8 to 2Ð9). Extra-heavy oil commonly requires the For more information, please contact: Current Production Technology addition of diluents (gas condensate, natural Richard F. Meyer Currently, producers target heavy oil gas liquids, or light crude) to enable the oil to Emil D. Attanasi accumulations having better quality oil in be transported by pipeline. Extra-heavy oil U.S. Geological Survey terms of chemistry and density. About 66 must also be chemically upgraded to reduce 956 National Center percent of the heavy oil produced annually density and remove contaminants before it Reston, VA 20192 is lighter than 15¡ API gravity, but about can be used as refinery feedstock. In recent Telephone: 703Ð648Ð6502 50 percent of the estimated technically projects in the Venezuelan Orinoco heavy oil 703Ð648Ð6129 recoverable heavy oil is denser (less than belt, 1 barrel of diluents is required for every E-mail: [email protected] 15¡ API gravity) (fig. 2). 3 or 4 barrels of extra-heavy oil produced. [email protected]