Study quantifies Powder River coal seam properties
Gas Research Institute (GRI) is funding an ongoing study to understand why operators have been so successful at producing gas from Powder River basin, Wyoming, coal gas reservoirs. This article summarizes results from the study aimed at quantifying coal seam properties. In the early 1990s, conventional wisdom concluded that large-scale, commercial natural gas production from these coals was not possible. The coals were recognized as high-permeability aquifers that could not be sufficiently
Coalbed methane production shows wide range of variability
This well, located in the "fairway" of the San Juan basin, northern New Mexico, just finished a procedure in which the pipe rams were shut-in to pressurize the coal seams. After a period of time, the rams are opened and the pressure is vented through the blooie line at surface. This process of cavitation creates an underground chamber that expands the contact of the cleat system with the well bore, increasing its near well-bore permeability (Fig. 3).
Appraisal drilling focuses on Ordos basin coal seams
A multiyear pilot and appraisal program is under way to assess the potential of the Hedong coalbed methane prospect in the Ordos basin of China. The targeted coals are of Permo-Carboniferous age, consisting of 10 seams distributed over a 150-200 m interval. Geologic and engineering data acquired from 23 recently drilled wells show good cumulative coal thickness varying from 8 to 20 m, adequate gas content ranging from 12 to 18 cu m/metric ton, and potentially high permeability ( The program
New Mexico Raton basin coalbed methane development resumes
Raton basin coalbed methane development is reviving in the Vermejo Park Ranch area, in northeast New Mexico. A PennzEnergy Co. and Sonat Exploration Co. joint venture recently announced a project in a 700,000-acre area, mostly in Colfax Co., N.M. (Fig. 1) [135,778 bytes] . According to the joint venture, this acreage position represents the largest leasehold in the Raton basin. The last few years have also seen a pick-up in coalbed methane activity in the Colorado portion of the Raton basin
India's ONGC accelerates global investment strategy as competition heats up at home
The Sagar Samrat jack up, recently upgraded and refurbished at India's Cochin shipyard, is shown on location in the Bombay High area off Mumbai. State oil company Oil & Natural Gas Corp. is stepping up offshore exploration in a bid to stem India's accelerating oil production decline. Photo courtesy of ONGC. [35,570 bytes] India's biggest state oil company, Oil & Natural Gas Corp. (ONGC), is accelerating a global investment strategy in response to increasing domestic competition
Peru slates Camisea tender for May
Peru will call a new tender for the world-class Camisea natural gas project in May. A scheme proposed by units of Royal Dutch/Shell and Mobil Corp. to develop the fields in Peru's central southern jungle and market about 9 tcf of gas collapsed last year, over disagreements on gas prices, marketing/distribution, and other issues (OGJ, July 27, 1998, p. 20). The government disclosed last month that it would organize a new tender for the project this year (OGJ, Apr. 5, 1999, p. 34).
Oil price defies gravity
Like a magician's levitation act, the behavior of crude oil prices has appeared to defy gravity since producers slated output cuts in March. At the close of London trading on Apr. 19, both dated Brent crude and June delivery Brent stood at $16.09/ bbl, a rare equilibrium and the first time in more than 1 year that Brent has topped $16/bbl.
The editorial of Apr. 12 incorrectly referred to "auspices of the United Nations" in a statement about military conflict in Yugoslavia (OGJ, Apr. 12, 1999, p. 21). The reference should have been to the North Atlantic Treaty Organization. Chevron U.S.A. Production Co. decided not to form a 50-50 joint venture with ARCO Permian (OGJ, Feb. 15, 1999, Newsletter). The combination would have joined the two companies' production operations in the Permian basin of West Texas and Southeast New
With great fanfare early each year, a U.S. presidential administration announces its budget for the fiscal year beginning the following Oct. 1. Reporters and lobbyists crowd auditoriums at federal agencies to witness cabinet secretaries make flashy presentations of budgets 8-9 months in the making. The White House's Office of Management and Budget has reviewed each of them, and often requires the agencies to adjust their spending proposals to conform to the administration's priorities.
PanCanadian, Gulf launch heavy oil joint venture
PanCanadian Petroleum Ltd. and Gulf Canada Resources Ltd., both of Calgary, are combining heavy oil assets on the Alberta/Saskatchewan border in a new $400 million (Canadian) joint venture. The companies said combining operations on properties in the Lloydminster region will cut costs and share expertise while creating one of Canada's biggest heavy oil producers. The deal is expected to close in early May. The deal is also seen as another sign of resurgence in the heavy oil business in