Earth Observation for Oil and Gas Geo-Information Requirements (Deliverable 1: ESRIN/AO/1-7568/13/I-AM – Value Added Element) July 2014 Prepared for: European Space Agency EARTH OBSERVATION FOR OIL AND GAS GEO-INFORMATION REQUIREMENTS (DELIVERABLE 1: ESRIN/AO/1-7568/13/I-AM – VALUE ADDED ELEMENT) Prepared for: EUROPEAN SPACE AGENCY VIA GALILEO GALILEI I – 00044 FRASCATI (RM) ITALY Prepared by: HATFIELD CONSULTANTS PARTNERSHIP #200 – 850 HARBOURSIDE DRIVE NORTH VANCOUVER, BC CANADA V7P 0A3 In association with: ARUP RPS ENERGY C-CORE CENTRUM BADAŃ KOSMICZNYCH (POLAND) JULY 2014 ESA6503.12 #200 - 850 Harbourside Drive, North Vancouver, BC, Canada V7P 0A3 • Tel: 1.604.926.3261 • Toll Free: 1.866.926.3261 • Fax: 1.604.926.5389 • www.hatfieldgroup.com ESRIN/AO/1-7568/13/I-AM HATFIELD TABLE OF CONTENTS LIST OF TABLES .............................................................................................ii LIST OF FIGURES ............................................................................................ii LIST OF APPENDICES ....................................................................................ii LIST OF ACRONYMS ..................................................................................... iii 1.0 INTRODUCTION .................................................................................1 2.0 PURPOSE ...........................................................................................1 3.0 SCOPE ................................................................................................1 4.0 APPROACH ........................................................................................2 4.1 Expert review ............................................................................................... 3 4.2 Interviews .................................................................................................... 3 4.3 Online Questionnaire ................................................................................... 4 4.4 Synthesis ..................................................................................................... 4 5.0 COUNTRY OVERVIEW AND ISSUES ................................................4 5.1 Australia ...................................................................................................... 4 5.2 Canada ........................................................................................................ 6 5.3 Indonesia, Malaysia, Brunei ........................................................................ 8 5.3.1 Indonesia ................................................................................................................ 8 5.3.2 Malaysia .................................................................................................................. 8 5.3.3 Brunei ..................................................................................................................... 9 5.4 Kenya ........................................................................................................ 10 5.5 Papua New Guinea ................................................................................... 12 5.6 Peru ........................................................................................................... 13 5.7 Poland ....................................................................................................... 14 6.0 OPERATIONAL CHALLENGES ...................................................... 16 6.1 Land Seismic Survey ................................................................................. 16 6.2 Surface Geology Characterization ............................................................. 17 6.3 Land Surface Deformation ......................................................................... 18 6.4 Environmental Management ...................................................................... 19 6.5 Logistics Planning and Operations ............................................................ 20 7.0 SYNTHESIS: OIL AND GAS INFORMATION REQUIREMENTS ............................................................................. 21 8.0 NEXT STEPS AND CANDIDATE SOLUTIONS ............................... 23 i ESRIN/AO/1-7568/13/I-AM HATFIELD LIST OF TABLES Table 1 Base geo-information requirements. ....................................................................... 21 LIST OF FIGURES Figure 1 Specific countries addressed in geo-information requirement assessment. ............ 2 Figure 2 Base geo-information requirements required by theme (based on a total of 82 documented challenges). ................................................................................... 22 LIST OF APPENDICES Appendix A1 Industry Geo-information Challenges and Requirements ii ESRIN/AO/1-7568/13/I-AM HATFIELD LIST OF ACRONYMS AV Audio Visual Bbl Barrels of oil bbl/d Barrels-per-day Bcf Billion cubic feet CAPP Canadian Association of Petroleum Producers CARD Centre for Arctic Resource Development CCS CO2 Capture and Sequestration CNOOC China National Offshore Oil Corporation DRC Democratic Republic of Congo DRD Design Requirements Document EAGE European Association of Geoscientists and Engineers EARSC European Association of Remote Sensing Companies EIA US Energy Information Administration EO Earth Observation EOMD Earth Observation Market Development ESA European Space Agency ESIA Environmental and Social Impact Assessment ETM+ Landsat-7 sensor FEED Front End Engineering Design GeolSoc Geological Society of London GIS Geographic Information Systems GRSG Geological Remote Sensing Group Hatfield Hatfield Consultants Partnership IFC International Finance Corporation InSAR Interferometric Synthetic Aperture Radar IPIECA International Petroleum Industry Environmental Conservation Association ISG In Salah Gas ISO International Organization for Standardization ITT Invitation To Tender KO Kick off LAPSSET Lamu Port Southern Sudan-Ethiopia Transport Corridor iii ESRIN/AO/1-7568/13/I-AM HATFIELD LiDAR Airborne Laser Scanning LNG Liquefied Natural Gas O&G Oil and Gas OGEO Earth Observation Oil and Gas working group OGP Oil and Gas Producers Association OPEC Organization of the Petroleum Exporting Countries PNG Papua New Guinea PRCI Pipeline Research Council International PS Permanent Scatterer RSPSoc Remote Sensing and Photogrammetry Society PS-InSAR Persistent Scatterer Interferometry PUG Petroleum GIS Conference RCM RADARSAT Constellation Mission SAR Synthetic Aperture Radar Sonatrach Entreprise Nationale Sonatrach SRC Space Research Centre of the Polish Academy of Science SPOT Satellite for Observation of Earth SWIR Short-Wave Infrared SWOT Strength Weakness Opportunity Threat TIR Thermal Infrared VNIR Visible/near-infrared iv ESRIN/AO/1-7568/13/I-AM HATFIELD 1.0 INTRODUCTION The oil and gas industry is changing dramatically with the discoveries of unconventional oil and gas, and shale gas in particular. Several new countries may enter the ranks of oil and gas exporters, which represent an important shift in oil and gas geo-politics. Major shale oil and gas resources are found across a range of geographies, but these new resources present technical challenges for their development in terms of geological complexity, water supply, infrastructure, and environmental issues. In the context of this new era of onshore oil and gas development, the Earth Observation for Oil and Gas (EO4OG) project was established by the European Space Agency (ESA) and Oil and Gas Producers Association1 (OGP) to provide a base for the potential development of earth observation (EO) guidelines for the on-shore oil and gas sector. EO technology includes satellite sensors that can provide regular, repeated observations of large areas of the Earth’s surface at different spatial scales. Satellite EO data complement and extend data acquired through in situ observations and make an important contribution to oil and gas development across the project life cycle. The EO4OG project commenced in March 2014 with a three-month consultation phase to assess the oil and gas industry geo-information requirements in five major thematic areas: seismic planning, surface geology mapping, subsidence monitoring, environmental monitoring, and logistic operations and survey planning. This report summarizes the preliminary geo-information requirements identified through a process of expert review and industry consultation through interviews and an online questionnaire. This report is accompanied by a detailed list of geo-information requirements, which are found online in the OGEO Portal2 – comments on this report and the detailed requirements are encouraged using the OGEO Portal. The geo-information requirements will be used in the next phase of the project to assess the existing mature and available EO-based products and services that can address industry requirements. The project will evaluate the current gap between requirements and EO capabilities, including technologies that are expected to become operational within five years. The EO4OG project findings will be presented at an EO4OG Industry Workshop on November 18, 2014, in London. 2.0 PURPOSE The purpose of the EO4OG project is to establish a base for the potential development of EO guidelines for the on-shore oil and gas sector. The purpose of this report is to document the challenges posed by conventional and unconventional oil and gas development and to establish a standard set of geo-information requirements in seismic planning, surface geology mapping, subsidence monitoring, environmental monitoring,