This reference is for an abstract only. A full paper was not submitted for this conference.

Abstract

Produced water volumes from E&P operations are on the rise world wide. This is generally due to premature water production with oil in fractured reservoirs or due to mature fields undergoing a strong water drive or due to water breakthrough from waterflooding. The management of produced water is an important part of cost effective field development over the entire life cycle. However, all too often the economic impact of water production is not fully realized until late in the field life when the cost of mitigating such high water volumes has become prohibitive. What is needed is a better understanding, early in the field development stage, of the likely total cost of handling produced water over the life of a field. Using a total cost of ownership framework, produced water handling costs will be discussed for different water management options including well completions options, water shut-off, produced water treating, and various ultimate destination options such as overboard discharge, waterflood injection, subsurface disposal, constructed wetlands (reed beds), evaporation ponds, and beneficial use options. Examples from offshore locations such as Brazil, US Gulf of Mexico, the North Sea, and on-shore locations such as Oman, and Saudi Arabia, will be discussed. Experiences from these several different regions represent a wide range of water management strategies, water cut, produced water handling practices, and environmental challenges. Comparison and contrast between the practices of different regions will be used to identify best practices. Analysis of real costs will be used to determine if the same concept can be applied regionally and water management practices can be sustainable. Ultimately, economic analysis of currently producing fields is used to predict the total cost of ownership of produced water, on a risked-basis over the life of a new project.

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