Enabling Integration of Core Work Processes in Upstream Oil and Gas Kaare Finbak & Pål Rylandsholm Det Norske Veritas, Ray Verhoeff, OSIsoft Topics Covered • Integrated Information Platform (IIP) project – Background • The new operation concept Integrated Operations (IO) • OLF’s strategy for Quality Information – Purpose and deliverables • Objectives • Deliverables – Take-up process • OLF’s Daily Production Reporting project • OSIsoft RtPM for Production Data Exchange in Upstream Oil & Gas OLF = Norwegian Oil Industry Association Copyright © 2006 OSIsoft, Inc. Company Confidential. All rights reserved. 2 DNV - Det Norske Veritas • Independent foundation • Objective: To “Safeguard life, property, and the environment” • Established in 1864 in Norway • Top 3 certification body world- wide • Top 4 ship classification society world-wide • Global representation • 6095 employees Copyright © 2006 OSIsoft, Inc. Company Confidential. All rights reserved. 3 DNV – Information Quality Management • Business Information Services – Requirements – Governance – Architecture • Information Quality Assessment and Rating • Information Training and Education – Standards • Information Models & Data Standards • Test Center Managing risk by – Compliance to Standards (Software) managing information – Validation according to Standards (Data) • Independent Data and Information Hosting Copyright © 2006 OSIsoft, Inc. Company Confidential. All rights reserved. 4 According to OLF, IO increases revenue and reduces costs Trondheim Bergen Vendor’s onshore Expert Expert operation center center centre Stavanger Aberdeen Control room Operator’s onshore operation centre Expert center Source: OLF, 2005 Copyright © 2006 OSIsoft, Inc. Company Confidential. All rights reserved. 5 OLF predicts that IO will be implemented in two main steps Automatic IO Generation 2 optimization Vendor • Integrated operation centers of operators and vendors • Heavily instrumented Operator facilities • Heavy automation and multi- Intelligent domain optimization of facilities Real-time Vendor processes pipeline Real-time Reservoir & collaboration production IO Generation 1 rooms management • Integrated onshore and offshore centers Drilling & completion • Intra-domain optimization of work processes Traditional Operation & facilities maintenance Source: OLF, 2005 Copyright © 2006 OSIsoft, Inc. Company Confidential. All rights reserved. 6 OLF intends to establish an information pipeline that supports both IO generations Automatic optimization Vendor Web portals Processes Field data Web services • Health, safety, environment Operator • Drilling & completion Schemas for automatic • Reservoir & exchange of data production management Vendor • Operation & maintenance Terminology Taxonomy Ontology Semantic oil & gas web Source: OLF, 2005 Copyright © 2006 OSIsoft, Inc. Company Confidential. All rights reserved. 7 Terminology, taxonomy and ontology? Reservoir & production optimization Services Well Reservoir Production monitoring monitoring monitoring XML HSE Drilling Completion Reservoir Production Operation Maintenance Terminologies Taxonomies Ontologies Project Copyright © 2006 OSIsoft, Inc. Company Confidential. All rights reserved. 8 The IIP project delivers required terminologies, taxonomies and ontologies Automatic Generation 2 optimization • Complete ontologies supporting automated reasoning or inference of data using logical rules Intelligent • Taxonomies for multiple facilities Oil & gas domains ontology Real-time collaboration rooms Generation 1 • Terminologies for single domains • The basis for XML schemas for automatic transferal of data between Traditional applications in same domain facilities Copyright © 2006 OSIsoft, Inc. Company Confidential. All rights reserved. 9 The project targets key business domains Develops terminologies based on solid business knowledge Production – Input from project participants – Other projects specifications – Domain specific standards Prepares approval of the Drilling terminologies by international standardization bodies Geometry and – ISO and W3C topology – POSC Caesar and POSC Addresses short term … – Terminologies and XML schemas Reservoir characterization for real-time exchange of data Condition … as well as long term business monitoring needs – Taxonomy and ontology supporting Equipment optimization of processes across domains Safety and Automation System Copyright © 2006 OSIsoft, Inc. Company Confidential. All rights reserved. 10 Deliverables will be available on the Internet Publicly available from www.posccaesar.com during Q2 2006 Copyright © 2006 OSIsoft, Inc. Company Confidential. All rights reserved. 11 Visualization Terms Definition http://ht.vestforsk.no/demo/production/index.html Copyright © 2006 OSIsoft, Inc. Company Confidential. All rights reserved. 12 The project is supported by many key players POSC Caesar Association Copyright © 2006 OSIsoft, Inc. Company Confidential. All rights reserved. 13 Project schedule and budget Total current budget: Project Duration: 24 MNOK (3 MEUR) 16.06.04 – 30.06.07 The project is partly funded by The Norwegian Research Council program PETROMAX and by the project participants. Copyright © 2006 OSIsoft, Inc. Company Confidential. All rights reserved. 14 OLF’s Daily Production Reporting project One of several fast-track take-up projects initiated by OLF Daily Production Report - Project details • Scope: Develop ontology and common XML schemas for daily production report • Participants: All major operating companies on the Norwegian Continental Shelf • IIP contribution: Terminology and standard XML • Pilots: Åsgard and Valhall • Implementation: Started January 1, 2006 Source: OLF, 2005 Copyright © 2006 OSIsoft, Inc. Company Confidential. All rights reserved. 16 Daily Production Report - System overview Operator ISO LicenseWeb Authorities, operator 15926 & partners Internal Excel reports prod. XML Std. reports data file License Web system Non-std. reports Prod. XML Valhall report file Åsgard • Benefits: Efficient exchange of production data and daily production reporting Source: OLF, 2005 Copyright © 2006 OSIsoft, Inc. Company Confidential. All rights reserved. 17 A Daily Production Report XML based on standard XSD Standard report Source: OLF, 2005 Copyright © 2006 OSIsoft, Inc. Company Confidential. All rights reserved. 18 OSIsoft RtPM And The IIP Project Provides terminologies, Provides framework taxonomies and ontologies for collecting, to be used for real-time structuring, storing optimization of reservoir and analyzing real- and production for heavily time field data from instrumented oil and gas heavily instrumented fields oil and gas fields May enable Reliable real-time information pipeline supporting G1 and G2 integrated operations Copyright © 2006 OSIsoft, Inc. Company Confidential. All rights reserved. 19 OSIsoft RtPM in Upstream • About the upstream business… • Problems & Solutions • Exchanging data • The ProdML Initiative Copyright © 2006 OSIsoft, Inc. Company Confidential. All rights reserved. 20 Priorities in Upstream • Cambridge Energy Research Associates (CERA) polled leading E&P firms in 2006: – “Total Asset Awareness” • better sensor technology • better in-field communication systems • advanced data mgmt solutions – Visualization & Analytics • automated model updating • improved visualization • system-wide optimization (both surface and subsurface) Copyright © 2006 OSIsoft, Inc. Company Confidential. All rights reserved. 21 OSIsoft in Production & Refining • 37% of the world’s refined products are monitored by PI • Installed in 26% of the world’s refineries • 15% -20% of the world’s oil fields are monitored by PI Copyright © 2006 OSIsoft, Inc. Company Confidential. All rights reserved. 22 OSIsoft RtPM in Upstream • Green field, brown field, offshore • Production is a complex business… – Few free flowing wells – Most done by injection of steam or gas Copyright © 2006 OSIsoft, Inc. Company Confidential. All rights reserved. 23 Injection Production Controller or Wing & Master Valve Casing Choke Flowline Choke 10 11 20 12 21 22 25 26 27 13 3 14 15 4 16 5 Separator Compressor 1 From Well 23 To Well Compressor 2 Production Header 24 Gas Header Compressor 3 From Well Gas Lift Valve To Well Tubing Valve Casing Choke Packer Measurement # 1 Perforations 1 2 Gas Lift Well Copyright © 2006 OSIsoft, Inc. Company Confidential. All rights reserved. 24 Upstream Data Management Problems • Frequently changing flow network configurations • Hard-to-measure data – “3 phase” flow meters rare • Data reconciliation and estimation needed • Back-allocation • Optimization • Reporting must be accurate Copyright © 2006 OSIsoft, Inc. Company Confidential. All rights reserved. 25 Interaction of Applications • “Chaining” of applications needed in the field – Measured data feeds estimated algorithms – Estimated feeds enter back-allocation algorithm – Allocated data fed to modeling software – Modeling software drives optimization – … Copyright © 2006 OSIsoft, Inc. Company Confidential. All rights reserved. 26 Solutions abound • Many vendors offer analytical solutions • Data exists, but from a variety of sources • This suggests a data exchange standard! Copyright © 2006 OSIsoft, Inc. Company Confidential. All rights reserved. 27 Full Production Facility Copyright © 2006 OSIsoft, Inc. Company Confidential. All rights reserved. 28 Rendering in XML <unit> <name>A</name> <flow> <name>…</name> <kind> … </kind> <port> <direction>inlet</direction> <temp> … </temp> <pres> … </pres> <product> <period> <kind> … </kind> <dTimStart>