E-Week Chevron Competition Team G E-Week Chevron Competition 2016 Team G 1.Ahmed Bubshait 2.Mahshad Samnejad 3.Rayan Dabloul 4.Marjan Sherafati 5.Abdulrahman Bubshait 6.Magdalene Ante 7.Devang Dasani Field Development of Thermal Stimulation and Displacement Using steam injection

E-Week Chevron Competition Team G 2 Departments Responsible for: 1.Gas Handling Facility 2.Heat losses 3.Facility Size 4.Environmental issues 5.Assumptions 1 4 Responsible for: Innovations Responsible for 1.Option of EOR 2.Well Completion 3.Reservoir challenges 4.Assumptions 23 Responsible for: 1.Closed loop CO2 operation 2.Environmental issues 3.Water Management 4.Air Quality 5.Assumptions SROS S Surface R Reservoir O Operation S Solution 1.Abdulrahman Bubshait 2.Ahmed Bubshait 1.Rayan Dabloul 2.Marjan Sherafati 3.Magdalene Ante 1. Devang Dasani 2. Mahshad Samnejad All

E-Week Chevron Competition Team G Drilling Strategy Number of wells will be drilled Cost of drilling each well Drilling strategy (start with Location!) Challenges for steam flooding in this specific Completion design for both Steam wells and producer (or both) Reservoir Reservoir Challenges Simulation model Decline rate Heat required for steam 5 deg. Formation 10% kaolinite Production Completion Design Production forecast Rate of each well Production Decline Production Plateau Production facility Gas, oil, water separation Group: Reservoir Steam Facility Steam Generation Amount of steam Group: Surface facility Oil/water/gas production Sand production Combustion Facility Heat Generation Wellheads Steam injectors & oil producers Group: Operation Water Management Water treatment Steam Air Tie-in operation Gases Water Steam Gases Part of water CAPEX Air Quality Combustion CO2 Closed loop OPEX Process Integration

E-Week Chevron Competition Team G  Color codes represent yearly budgets for new wells. We will begin with a pilot for monitoring before expanding to the rest of the field.  Wells will be added incrementally and 5-spot may be converted to 9-spot pattern as we get more production data.  Plan includes combined steam flood and CSI. Steam Stimulation/Flood Design Primary production is huff and puff, followed by displacement with each injector steaming 5-acre pattern Prod. Strategies

E-Week Chevron Competition Team G  Producers from CSI will be converted to injectors for steam flooding.  Maximum surface injection will be below maximum allowable injection pressure.  Anticipated method of injection for producers will be to inject steam down the tubing.  5-acres per injector  30 years steam flood assuming frontal displacement and that injected steam is at reservoir pressure at 65% quality  Steam injection rate: 500 BPD  Cumulative injected steam-displaced oil ratio at the end of flood: 3.43 Steam Flooding Prod. Strategies

E-Week Chevron Competition Team G 6 Smart Completion Design Prod. Strategies  Pressure and temperature gauges on each well for daily monitoring.  Flow rate meters to ensure adjustable chokes are within operating design parameter.  Casing integrity monitoring and steam distribution monitoring via Mechanical Integrity Tests.  Use of 4-D and reservoir simulation to optimize sweep.

E-Week Chevron Competition Team G Air compression is very costly Requires extensive studies before implementation and knowledge of the field Requires lab analysis of the reservoir fluid to characterize the in-situ combustion (which is not provided to us) The reservoir pressure is not suitable for in-situ combustion. It usually requires high reservoir pressures >5000 psi 7 Comparison Aspect SIISC Oil gravity12 API H2S content1% Formation depth1500 ft 4000 ft Formation thickness uniform50 ft Formation permeability1000 md Porosity35% Envirnment gas emissions

E-Week Chevron Competition Team G 8 Water Disposal Producer Steam Inj Producer Steam Inj Separator Water treatment Storage Control Center Chemical Solvent Sales/Distribution Facility Design Water Gas Oil Steam Crude Signal Legend Pump Valve Control Disposal Producer Solar steam Generator GAS steam Generator Sales/Distribution CO 2 Air Treatment Compression Air Sales Distribution Steam Inj

E-Week Chevron Competition Team G 9 Steam Generation ZERO Emissions Scheme (Closed Loop)

E-Week Chevron Competition Team G 10 Water Disposal Producer Steam Inj Producer Steam Inj Separator Water treatment Storage Control Center Chemical Solvent Sales/Distribution Facility Design Water Gas Oil Steam Crude Signal Legend Pump Valve Control Disposal Producer Solar steam Generator GAS steam Generator Sales/Distribution CO 2 Air Treatment Compression Air Sales Distribution Steam Inj

E-Week Chevron Competition Team G 11 Crystasulf Amine Operation Gas Processing

E-Week Chevron Competition Team G 12 Challenges Emissions of H 2 S and CO 2 Governmental Regulations High Cost of Sequestration Design Sales-quality Sulfur CO 2 -Insulated Steam Injection Red Mud CO 2 Capture and conversion Opportunities Regulatory compliance Efficient reservoir stimulation Making B2B benefit Zero emissions and closed-loop CO2 Operation Gas Processing

E-Week Chevron Competition Team G Water Management and Handling  Main source of water:  Formation water  Steam injection: steam, In-situ combustion: combustion of hydrocarbons  Multi-stage treatment  First stage: OriginClear Technologies’ Electro Water Separation TM and TriSep Corporation’s iSep TM ultrafiltration (UF) membrane system  Activated carbon, NF, ion -exchange based on water quality Operation

E-Week Chevron Competition Team G  Desalination: mechanical vapor recompression  3 MVR units  Demineralized water to be reused for steam generation and distributed for agricultural use  Concentrated brine as drilling fluid or evaporated for solid disposal  Stage 1 : ~ USD 1.4 million for 5,000 BWPD facility  Desalination: $3-5/bbl for 3,000 – 6,000 BWPD  $725 million for water recycling projects (California state funding) Operation Water Management and Handling

E-Week Chevron Competition Team G  The CSS is quite effective, especially in the first few cycles providing quick payout  After number of cycles, the natural energy of the reservoir, as well as oil production, decreases and, oil production tends to decrease even more with decreasing pressure and increasing water production so SI will be implemented.  The method can maximize recovery with lowest cost  Solar steam minimizes gas emissions from the system considering applying closed loop within the facility level.  Injection CO2 will act heat insulator  The Implementation of Smart Steam stimulation and flooding via SCADA system optimizes the steam quality. Conclusion

E-Week Chevron Competition Team G E-Week Chevron Competition 2016 Team G Thank you