1. Peregrino Development Project
Rio Oil and Gas Conference
September 14th 2010
Charlotte B. Tjølsen – Peregrino Subsurface Manager
1- Classification: Internal 2010-09-13
2. This is Statoil
• Energy company present in 40 countries with 30,000 employees
• Producing 1.95 million barrel of oil equivalent (boe) pr day
• Booked reserves of 5.6 billion boe
• One of the world’s largest net sellers of crude oil
• The world's largest operator in waters deeper than 100 metres
• World leader in the use of deepwater technology
• World leader in carbon capture and storage
• The second largest exporter of gas to Europe
• Biggest retailer of oil products in Scandinavia
2- Classification: Internal 2010-09-13
3. From Norway to the international scene…
…1974
Statfjord Gullfaks/ Oseberg Angola Troll Lufeng
2010 →
Grane Ormen Lange Peregrino Marcellus Arctic
3- Classification: Internal 2010-09-13
4. Building growth from a firm strategy
Deliver
international growth Harsh environments
Deep water
Heavy oil
Build Maximise
new the NCS
energy values
Gas value chains
4- Classification: Internal 2010-09-13
5. Statoil in Brazil
• Offices in Rio de Janeiro and Niterói with
200 employees
• More than 500 offshore contractors
(Peregrino)
• Operator for the Peregrino Field in the
Campos Basin
• Diverse exploration portfolio
Main office: Argentina Building - Botafogo
5- Classification: Internal 2010-09-13
6. Peregrino Brazil
• Located in Campus Basin - 85 km off the
coast of Brazil at 100 m depth
• Operated by Statoil Rio de Janeiro
• Production begins early 2011. Estimated
Peregrino
recoverable reserves 300 - 600 million
barrels
• Build on Statoil’s strengths in extraction and
reservoir management
1994 Petrobras discovery well (1-RJS-498) 2006 Norsk Hydro acquired EnCana 50% share
2000 EnCana 100% in 2nd bid round 2006 Anadarko acquired Kerr McGee
2001 Seismic 3D survey 2007 PoD approved, new seismic and new well
2002 Seismic 3D survey 2007 Statoil merged with Norsk Hydro Oil & Gas division
2003 Kerr McGee 33.3% farm-in 2007 BM-C-47 awarded
2004 2 new wells drilled 2008 StatoilHydro acquired Anadarko’s 50% equity share
2005 Kerr McGee increase equity to 50% 2009 StatoilHydro renamed to Statoil
2005 2 new wells drilled 2010 Sinochem acquires 40% share of Peregrino pending gov.approval
6- Classification: Internal 2010-09-13
7. Peregrino Field development solution
Development strategy Well requirements
• Phased development • 30 horizontal OP with OHGP and screens
• High liquid handling capacity
• ESP & topside booster pumps
• High level of reservoir penetration
• 7 vertical water injection wells with screens
• Produced water re-injection
• Drilling rigs and large number of spare slots (23)
• Fuel: Produced gas and crude oil
7- Classification: Internal 2010-09-13
8. Producing the Peregrino Field
bopd
350 000
• Oil density: 14°API
300 000
• Viscosity: 163 cp
250 000
• GOR: 13 Sm³/Sm³
200 000
Oil • Porosity: 30%
150 000 Water
• Permeability: ~7000 mD
Liquid
100 000
• Rock compressibility: 25 msips
50 000
• Reservoir temperature 78 °C
0
1 4 7 10 13 16 19 22 25 28 • Reservoir pressure 234 bar
Years
High liquid handling capacity is one of
the keys to high recovery ~ 20 %
8- Classification: Internal 2010-09-13
9. Phased Development Strategy
• Phase I Development
− Additional 3D seismic (1Q 2007)
-
− Southwest well 2Q 2007 (3-PRG-1)
− 2 drilling platforms + FPSO
− Development drilling Q3 2010 BM-C-47
BM-C-7
− Production start-up Q1 2011
• Phase II & III Development Main
− Development drilling N
− Increased Oil Recovery South
− Depletion of additional reservoirs
-west
− Development of southern area
South
10 km
9- Classification: Internal 2010-09-13
11. Peregrino project milestones
• Modules fabricated in Corpus Christi (Texas) and towed to Brazilian waters
• Peregrino jackets installed and lifting jobs completed
• Wellhead plattforms installed
• Offshore construction and commissioning currently ongoing
11 - Classification: Internal 2010-09-13
13. Sailing route from Texas to Brazil
Equipment Barge
LQ A&B, Deck B and DR2
HERMOD Under Tow
Jacket A MWB403
Piles A L-400
Deck A H405 DR1
DR1 Marti J
Jacket B H541 Deck A Piles B
Piles B Juli B
Deck B H406 Jacket B
Piles A Hermod
DR2 C455-3
LQ's A&B C420
Jacket A
13 - Classification: Internal 2010-09-13
20. Macaé
Heliport
Main Office Brasco Shore Brasco pipe yard
Base
Ma
caé
airp
2 Helicopters
ort
Niteroi
(12
0
Rio de Janeiro
km
Bras
co s
hore
)
bas
e (2
00 km)
4 x Supply
vessels
Peregrino Field
20 - Classification: Internal 2010-09-13
21. HSE training of 1100 offshore personnel
• High safety standard is top priority
• Multicultural working environment
21 - Classification: Internal 2010-09-13
22. Testing the upside potential in Peregrino
Peregrino South Peregrino South Pre-salt potential North Extension
Drill in 2010 Drill in 2010 Prospect mapping 2010 Mature well proposal in 2010
(BM-C-37) (BM-C-47) Drill from platform
Peregrino
South Peregrino
Southwest Peregrino
Main Field
Peregrino Southwest Isolado Macae Carbonate
Drill in 2011 Mature well proposal 2010 Mature well proposal 2010
Drill from platform Production test from platform
22 - Classification: Internal 2010-09-13
23. IOR – Increasing the recovery from Peregrino
Identified opportunities: Main objective:
• Chemical flooding • Optimise field recovery from 20% to 30%
• AICD (Autonomous inflow control device) • Reduce field water production/injection
• MLT (Multilateral technology)
• ESP improvements
Short term (- 2010) Mid term (2010 - 2015) Long term (2015+)
Displacement stability
Water
Polymer
• Gain ESP experience • MLT pilot in suitable well • Full-field polymer flooding
• Screening of polymers • Polymer pilot-test • Full scale AICD
• Evaluate AICD potential • AICD valve pilot in suitable well • Drill MLT wells
23 - Classification: Internal 2010-09-13
24. MLT – Multilateral wells
• Increase reservoir exposure
• Two branches gravel packed with optional branch control
• The additional cost of the lateral is approx 1/3 of a normal well
• Main risk is to combine ESP and Gravel Pack (GP) with the MLT technology
• First installation planned Q4 2011
24 - Classification: Internal 2010-09-13
25. AICD – Autonomous inflow control valves
• Self adjusting valves restricting the inflow of
water in every screen joint
• Wells with high water production and good
pressure support shows ~10 % increase in
production 100
50
• Main risks/challenges: 0
− Valve design (avoid erosion or 1st Qtr 2nd 3rd 4th Qtr
plugging) Qtr Qtr
− Combination with gravel packing East West North
• First installation planned Q1 2012
25 - Classification: Internal 2010-09-13
26. Summing up
• Brazil a country with opportunities
• Experience transfer from Norway to the
international scene
• Proven ability to execute mega projects
• Project on track to start up early 2011
• Peregrino upsides
− Field development
− Increased oil recovery
26 - Classification: Internal 2010-09-13
27. Visit www.statoil.com/riooil2010 and stay
up to date with Statoil’s activities,
presentations, vacant positions and more.
27 - Classification: Internal 2010-09-13
