Heavy Crude Oil: A Global Analysis and Outlook

"I'd put my money on the sun and solar energy. What a source of power! I hope we don't have to wait until oil and coal run out before we tackle that." -- Thomas Edison, 1931

Tom may have been right … it may be that solar power will be our salvation. Plants have been on to solar power for billions of years. Until then, and while we transition to that future, we will need to find green ways to use the hydrocarbons that millennia of past generations of living organisms have bequeathed to us.

For those of us engaged in this endeavor, reports like the following will be useful …

“Hart Energy Consulting (http://www.hartenergyconsulting.com/) recently published its annual report “Heavy Crude Oil: A Global Analysis and Outlook”. Heavyoilinfo.com (http://www.heavyoilinfo.com/) spoke to Laura Atkins, one of its authors, about the background to the report and some of its key findings”
Hart Energy Consulting
1616 S. Voss, Suite 1000
Houston TX 77057
kklavers@hartenergy.com

Quotes of interest from the report description include …

“Hurdles to growth for heavy oil are much the same as for conventional oil production, but environmental issues are even more significant. GHG emissions from production and refining are double those for conventional oil production.wever, it is important to compare GHG emissions with other non-conventional sources, such as oil shale and coal to liquids (CTL), which are considerably higher (CTL emits twice the GHGs as the most energy intensive bitumen process). In Canada, the pressure to reduce GHG emissions may provide additional incentives to build new upgraders. Integrated upstream/upgrading projects have the capability of reducing both natural gas consumption and to capture CO2 for injection underground (sequestration). This requires significant investment, but there is growing realization that the causes of climate change need to be addressed.”

And …

“The report summarizes the major components of costs in different regions. Fiscal regimes are discussed in detail only where they are known to be a major issue or where they have recently changed or are expected to change. An example is the recent increase in royalty on Canadian oil sands, and how this is expected to affect development plans. In many countries, fiscal terms are project-specific and are established through negotiations between the government and the contractor.”

And …

“Looking ahead to the next 10 to 20 years, global production of light and medium crude oils will remain flat while heavy oil and non-conventional crude production will grow slowly. Demand will continue to increase. The balance between crude supplies and demand will be met by gas liquids, with small contributions from biofuels, GTL and CTL. Qualitatively, the report concludes that global average liquid supplies will not become heavier because it will be balanced by a higher portion of condensates and natural gas liquids. However, in some regions, additional heavy oil refining capacity will be required to handle the higher volumes.”

And …

“Technology is the big enabler that will facilitate change. For example, if the new processes such as toe-to-heel-air-injection (THAI®), vapor extraction (VAPEX), or electrical heating prove successful on a commercial scale, then the scenario could change significantly. Several alternative technologies suitable for deeper reservoirs are now being tested, such as injecting lighter hydrocarbons as a vapor, either on their own or with steam to make steam use more efficient. In Alaskan shallow reservoirs an immiscible rich water-alternating gas (WAG) scheme is being tested, where the gas is intended to swell the cold viscous oil enough to enable enhanced production by water sweep. The technologies being tested are at various levels of maturity, some are involved in pilot projects while others are still in the laboratory.”

Can you buy the report?

“Atkins states that, for operators with interest and/or expertie in heavy oil, the new report will point them towards new opportunities, including the resource potential, refining and disposition of heavy crude, and the technologies that may allow new and more challenging heavy oil developments in the future. It provides more than just data; it also offers integrated analysis that tries to pull it together, linking upstream to downstream. It gives companies an overview of the future of heavy oil and information useful to the strategic planning process.
Further information, and ordering details for Heavy Crude Oil: A Global Analysis and Outlook and other reports can be found here: http://www.hartwrfs.com/heavycrudeoil.php
Alternatively, contact Glenn Dubin gdubin@hartenergy.com
source: http://www.heavyoilinfo.com/feature_items/heavy-crude-oil-a-global-analysis-and-outlook

Visit Wikipedia for a good overview of the technologies mentioned in the report described above.

Oil sands
From Wikipedia, the free encyclopedia
6 Extraction process
6.1 Surface mining
6.2 Cold flow
6.3 Cyclic Steam Stimulation (CSS)
6.4 Steam Assisted Gravity Drainage (SAGD)
6.5 Vapor Extraction Process (VAPEX)
6.6 Toe to Heel Air Injection (THAI)
source: http://en.wikipedia.org/wiki/Oil_sands#Vapor_Extraction_Process_.28VAPEX.29

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