PEN596 Energy Project Proposal Form

The purpose of the research is to discuss the major aspects involved in the exploration and production of the Browse Basin  ¹ which lies offshore of the northwest margin of the Australian mainland in water depths from 20m to more than 2,000m. The liquefied natural gas (LNG) resources comprises three gas and condensate fields, Torosa, Brecknock and Calliance fields lying in water depths of 35m to 700m as shown in Figure 1.

Figure 1: Browse and Bonaparte basins oil and gas resources¹

Recent advances in the floating liquefied natural gas (FLNG) technology and subsea umbilicals, risers and flowlines (SURF) have driven Royal Dutch Shell² to announce in 2009 the design and construction of the world’s first FLNG vessel to explore the Prelude and Concerto fields off the North West Shelf (NWS) of Australia.

This technology is set to be fully operational by 2017 and it will mark the very first oil and gas exploration program which will be able to process natural gas in the same floating vessel that explores these reservoirs.

This technology dramatically reduces the environmental footprint usually required by a conventional liquefied natural gas (LNG) exploration and production (E&P) program where offshore platforms are connected via pipelines to a large footprint onshore processing facility.

It also enables commercial exploration of remotely located gas fields which would have not been otherwise explored, due to distance to consuming centres and large distances to major infrastructure required by E&P Capex programs.

Following the far advanced Royal Dutch Shell sponsored Prelude FLNG project, Woodside Petroleum Ltd (an Australian company in which Royal Dutch Shell is a major partner) has announced in 1^st July 2015³ that agreement was reached to enter the front-end engineering and design (FEED) phase for the Browse FLNG development.

This announcement confirms that in relatively short future, Australia, or more particularly, Western Australia might be set to be the world’s second largest LNG producer, following Qatar.

9. Explanation for the motivation for doing the research and how the proposed research is original:

Coming from a subsea engineering background, the interest and motivation for researching this topic can be justified by the following reasons:

1. The FLNG technology is on its infant stages and it is very likely the Browse FLNG project will be a global benchmark with regards to deployment of the FLNG technology which enables commercial exploration of LNG in remotely located offshore areas;
2. The oil and gas (O&G) industry sees this breakthrough as a potential improved version which is likely to incorporate lessons learnt from the Shell Prelude pioneering enterprise;
3. The author has worked for the upstream O&G industry and it is very likely this technology will be repeatedly implemented in other offshore LNG remotely located reservoirs;
4. The Browse reservoir is expected to deliver 4.7 trillion cubic feet (4.7 Tcf) of dry gas and 138.6 million barrels (138.6 MMbbl) of condensate³. The size of the reserves also justifies the motivation for the research;
5. The Torosa field is a typical example of a gas reservoir field in which the WA domestic gas reservation policy might be implemented.

10. Statement of your learning objectives for this Project:

Learning objectives for the project include:

a. Understanding why this concept design option was the preferred field development layout among the five originally considered options;
b. Familiarization with field development and production rates;
c. Discuss the key design objectives and engineering and technical tasks;
d. Familiarisation with the FLNG technology;
e. Overview and discussion of major risks and opportunities;
f. Provide project costing overview 

11. List of references used in preparing this document:

1. http://www.petroleum-acreage.gov.au/files/files/2014/documents/regional-geology/Regional_Geology-Browse.pdf
2. http://www.shell.com/global/aboutshell/major-projects-2/prelude-flng.html?gclid=CNTdsJW0y8cCFYkrvQodzHgLaA&gclsrc=aw.ds
3. http://www.woodside.com.au/Investors-Media/announcements/Documents/1.07.2015%20Feed%20Phase%20Entered%20for%20Browse%20FLNG%20Development.pdf
4. Browse LNG Factsheet May2013.pdf
5. 2006 Acreage Release Caswell Factsheet.pdf
6. Well impairment by fines migration in gas fields – Abbas Zeinijahromia, Alexandre Vazb, Pavel Bedrikovetskya – a The University of Adelaide, Australia – b State North Fluminense State University of Rio de Janeiro UENF, Brazil- doi:10.1016/j.petrol.2012.02.002
7. History Browse http_www.hydrocarbons-technology.pdf
8. http://www.dsd.wa.gov.au/docs/default-source/default-document-library/browse_sar_part_2_process_1210?sfvrsn=12
9. Australian Energy Resource Assessment – Gas.pdfhttp://www.ga.gov.au/webtemp/image_cache/GA21116.pdf
10. Van Dongen, M., & van der Velde, H. (2013, October 22). FLNG Lean – A Natural Development. Society of Petroleum Engineers. doi:10.2118/165855-MS
11. Kim, J. S., Nam, K., Park, J., Kim, T. J., & Kim, Y. C. (2013, May 6). Introduction to FLNG FEED Study. Offshore Technology Conference. doi:10.4043/24247-MS
12. Fagan, C., Sele, H. O., & Oestvold, T. K. (2010, January 1). FLNG Design Issues – Building on known technology. Offshore Technology Conference. doi:10.4043/20513-MS
13. O’Loughlin, C. D., White, D. J., & Stanier, S. A. (2015, June 22). Novel Anchoring Solutions for FLNG – Opportunities Driven by Scale. Offshore Technology Conference.
14. El Mazni, A., Hussein, H., Rigoni, F., & Ragnacci, F. (2011, January 1). Study On FLNG Technology Application: An Upstream Perspective. Offshore Mediterranean Conference
15. Lee, S.-W., Kwen, Y.-W., Kim, Y.-M., & Kim, M.-S. (2013, June 30). Introduction of Structural Design and Construction of FLNG. International Society of Offshore and Polar Engineers
16. Van der Velde, H., & Boekhorst, A. (2014, December 10). FLNG: Technological Breakthrough and Innovative Application of Existing Technologies. International Petroleum Technology Conference. doi:10.2523/18041-MS
17. Bunnag, M., Amarutanon, N., Nitayaphan, S., & Aimcharoenchaiyakul, M. (2011, January 1). FLNG Development: Strategic Approaches to New Growth Challenges. International Petroleum Technology Conference. doi:10.2523/14548-MS
18. Hellesmark, S. B., Andersen, P. G., & Thorsen, T. B. (2015, June 22). Development and Qualification of a Tandem FLNG Loading Terminal for Conventional LNG Carriers. Offshore Technology Conference
19. Franklin, D., Reeve, H., & Hubbard, B. (2010, January 1). Converting Existing LNG Carriers for Floating LNG Applications (FLNG, FSRU, FSO). Offshore Technology Conference. doi:10.4043/20683-MS
20. Cohen, B., & Caymo, M. F. D. (2012, January 1). Prelude FLNG Development Environmental Footprint and Conditions of Approval in a Post Montara and Macondo World. Society of Petroleum Engineers. doi:10.2118/156178-MS
21. Paris, L., & Cahay, M. (2014, May 5). Challenges in a Multi-Disciplinary Approach for Explosion Design of FLNG. Offshore Technology Conference. doi:10.4043/25230-MS
22. Park, J. J., Seo, J. H., Kim, M., Kim, B. W., & Suh, Y. S. (2013, June 30). Coupled Sloshing and Motion Analysis of FLNG in Side-by-Side Arrangement. International Society of Offshore and Polar Engineers
23. Boekhorst, A., Steenson, B., & van der Velde, H. (2015, May 4). FLNG: Applying Advanced Technology to Bring More Natural Gas to Market. Offshore Technology Conference. doi:10.4043/25907-MS
24. Parshall, J. (2011, September 1). Shell to Build World’s First Floating LNG Facility. Society of Petroleum Engineers. doi:10.2118/0911-0042-JPT
25. Ha, M. K., Ha, D. J., & Lee, D. H. (2013, June 30). Challenges and New Technologies for World’s Largest Floating LNG. International Society of Offshore and Polar Engineers
26. Faulkner, A., & Pek, B. J. J. (2008, January 1). Floating LNG – Has Its Time Come? International Petroleum Technology Conference. doi:10.2523/12911-ABSTRACT
27. Eisbrenner, K., Srinivasan, V., Davison, S., van Vliet, R., Eisbrenner, R., & Puga, A. (2014, May 5). The Past and Future of Floating LNG. Offshore Technology Conference
28. Choi, M. S. (2014, January 1). Floating LNG Chain – Finally a Reality. Society of Petroleum Engineers
29. Lund, T. J., Wichstrøm, F., Pepperell, R., & Sparby, B. (2004, January 1). Floating LNG Production Facility. Offshore Technology Conference. doi:10.4043/16155-MS
30. Teles, A. P. F., de Abreu, A. da S., Saad, A. C., de Mello, D. C., Campos, F. B., Silva, J. P., Ferreira, M. D. A. da S. (2010, January 1). Evaluation of Floating Liquefied Natural Gas Units for Brazilian Scenarios. Offshore Technology Conference. doi:10.4043/20677-MS
31. Xia, J., & D'Souza, R. B. (2012, January 1). Floating Production Platform Selection for Developing Deepwater Gas Fields off North West Australia. Society of Petroleum Engineers. doi:10.2118/158717-MS
32. Pastoor, L. W., Lund, K., & Tveitnes, T. (2009, January 1). SS “Floating Offshore LNG” – “The LNG Producer – a generic design with great adaptability.” Offshore Technology Conference. doi:10.4043/19845-MS
33. Bybee, K. (2011, April 1). Investigation of a Floating-Liquefied-Natural-Gas Unit for Brazilian Waters. Society of Petroleum Engineers. doi:10.2118/0411-0077-JPT
34. Cho, B., Lee, S., Lee, C., Choe, K., Park, C., Cha, G., & Gwon, Y. (2015, July 27). Development of LNG-FPSO pre-FEED with KSMR Process. International Society of Offshore and Polar Engineers
35. Ahmad, H., Abdul Wahab, I. R., & Suaib, M. H. (2014, March 25). Floating LNG Development – Challenges and Achievements. Offshore Technology Conference. doi:10.4043/25000-MS
36. Renard, M.-F., Gourdet, G., & Toderan, C. (2013, March 20). Offshore Floating LNG Projects Main Challenges. Offshore Mediterranean Conference.

Supervisor: Dr. D. Carneiro (Wood Group Kenny Pty Ltd)

Email: daniel.carneiro@woodgroupkenny.com
Direct: 08 6314 2319
Mobile: 0406 258 566

12. Date: 28/08/2015

13. Supervisor approval:

Since this form is completed electronically it does not have to be signed by the student or the supervisor. However some evidence of acceptance by the supervisor that they have discussed the project with the student will supervise the project must accompany the electronic project proposal form. This will usually be in the form of an email sent by the supervisor to the unit coordinator. Suggested format:

I {supervisor name} have discussed with {student name} their Energy Studies Project {project title} as detailed in the Project Proposal Form and agree to supervise the project. I also agree that I may be asked by the Unit Coordinator to read the final report and seminar slides and submit a short report that comments on the quality of the work. My contact details are: {supervisor contact details including email where possible}

References

1. “2006 Acreage Release Caswell Factsheet.” (2006).
2. Abbas, Zeinijahromia, Vazb Alexandre, and Bedrikovetsky Pavel. “Well Impairment by Fines Migration in Gas Fields.” The University of Adelaide, Australia – State North Fluminense State University of Rio de Janeiro UENF, Brazil (2012).
3. Ahmad H., Abdul Wahab I. R., and Suaib H. “Floating Lng Development – Challenges and Achievements.” Offshore Technology Conference  (2014, March 25).
4. Australian Government. “Australian Gas Resource Assessment ” http://www.ga.gov.au/webtemp/image_cache/GA21116.pdf.
5. Australian Government Department of Industry. “Offshore Petroleum Exploration Acreage Release | Australia 2014.” http://www.petroleum-acreage.gov.au/files/files/2014/documents/regional-geology/Regional_Geology-Browse.pdf.
6. Boekhorst A., Steenson B., and van der Velde “Flng: Applying Advanced Technology to Bring More Natural Gas to Market.” Offshore Technology Conference  (2015, May 4).
7. Bunnag M., Amarutanon N., Nitayaphan S., and Aimcharoenchaiyakul “Flng Development: Strategic Approaches to New Growth Challenges.” International Petroleum Technology Conference  (2011, January 1).
8. Bybee K. “Investigation of a Floating-Liquefied-Natural-Gas Unit for Brazilian Waters.” Society of Petroleum Engineers (2011, April 1).
9. Cho B., Lee S., Lee C., Choe K., Park C., Cha G., and Gwon “Development of Lng-Fpso Pre-Feed with Ksmr Process.” International Society of Offshore and Polar Engineers  (2015, July 27).
10. Choi M. S. “Floating Lng Chain – Finally a Reality.” Society of Petroleum Engineers (2014, January 1).
11. Cohen B., and Caymo F. D. “Prelude Flng Development Environmental Footprint and Conditions of Approval in a Post Montara and Macondo World.” Society of Petroleum Engineers  (2012, January 1).
12. Eisbrenner K., Srinivasan V., Davison S., van Vliet R., and R. Eisbrenner, & Puga, A. . “The Past and Future of Floating Lng.” Offshore Technology Conference (2014, May 5).
13. El Mazni A., Hussein H., Rigoni F., and Ragnacci F. “Study on Flng Technology Application: An Upstream Perspective.”. Offshore Mediterranean Conference (2011, January 1).
14. Fagan C., Sele O., and Oestvold T. K. “Flng Design Issues – Building on Known Technology.”. Offshore Technology Conference. (2010, January 1).
15. Faulkner A., and Pek B. J. J. “Floating Lng – Has Its Time Come? .” International Petroleum Technology Conference (2008, January 1).
16. Franklin D., Reeve H., and Hubbard “Converting Existing Lng Carriers for Floating Lng Applications (Flng, Fsru, Fso).” Offshore Technology Conference  (2010, January 1).
17. Government of Western Australia. “Browse Lng Precinct: Browse Liquefied Natural Gas Precinct Strategic Assessment Report (Draft for Public Comment).” http://www.dsd.wa.gov.au/docs/default-source/default-document-library/browse_sar_part_2_process_1210?sfvrsn=12.
18. Ha M. K., Ha D. J., and Lee H. “Challenges and New Technologies for World’s Largest Floating Lng.” International Society of Offshore and Polar Engineers  (2013, June 30).
19. Hellesmark S. B., Andersen P. G., and Thorsen B. “Development and Qualification of a Tandem Flng Loading Terminal for Conventional Lng Carriers.” Offshore Technology Conference  (2015, June 22).
20. hydrocarbons-technology.com. “Today on Hydrocarbons Technology.” http://www.hydrocarbons-technology.com/.
21. Kim J. S., Nam K., Park J., Kim T.J., and Kim Y.C. “Introduction to Flng Feed Study.” Offshore Technology Conference (2013, May 6).
22. Lee S.-W., Kwen Y.-W., Kim -M., and Kim  M.-S. “Introduction of Structural Design and Construction of Flng.” International Society of Offshore and Polar Engineers  (2013, June 30).
23. “Lng Factsheet.”
24. Lund T. J., Wichstrøm , Pepperell R., and Sparby  B. “Floating Lng Production Facility.” Offshore Technology Conference  (2004, January 1).
25. K., Ha, Ha D. J., and Lee D. H. “Challenges and New Technologies for World’s Largest Floating Lng.” International Society of Offshore and Polar Engineers  (2013, June 30).
26. O’Loughlin C. D., White J., and Stanier  S. A. “Novel Anchoring Solutions for Flng – Opportunities Driven by Scale.” Offshore Technology Conference.  (2015, June 22).
27. Paris L., and Cahay “Challenges in a Multi-Disciplinary Approach for Explosion Design of Flng.” Offshore Technology Conference  (2014, May 5).
28. Park J. J., Seo J. H., Kim M., Kim B. W., and Suh S. “Coupled Sloshing and Motion Analysis of Flng in Side-by-Side Arrangement.” International Society of Offshore and Polar Engineers  (2013, June 30).
29. Parshall “Shell to Build World’s First Floating Lng Facility.” Society of Petroleum Engineers  (2011, September 1).
30. Pastoor L. W., Lund K., and Tveitnes “Ss “Floating Offshore Lng” – “the Lng Producer – a Generic Design with Great Adaptability.”.” Offshore Technology Conference  (2009, January 1).
31. Renard M.-F., Gourdet , and Toderan  C. “Offshore Floating Lng Projects Main Challenges.” Offshore Mediterranean Conference  (2013, March 20).
32. Shell global. “Prelude Flng: A Revolution in Natural Gas Production.” http://www.shell.com/global/aboutshell/major-projects-2/prelude-flng.html?gclid=CNTdsJW0y8cCFYkrvQodzHgLaA&gclsrc=aw.ds.
33. Teles A. P. F., de Abreu A., da , Saad  A. C., de Mello D. C., Campos  F. B., Silva J. P., and Ferreira M. D. A. “Evaluation of Floating Liquefied Natural Gas Units for Brazilian Scenarios.” Offshore Technology Conference  (2010, January 1).
34. Van der Velde H., and Boekhorst A. “Flng: Technological Breakthrough and Innovative Application of Existing Technologies.” International Petroleum Technology Conference (2014, December 10).
35. Van Dongen M., and van der Velde H. “Flng Lean – a Natural Development.” Society of Petroleum Engineers (2013, October 22).
36. Woodside Petroleum Ltd. “Feed Phase Entered for Browse Flng Development ” http://www.woodside.com.au/Investors-Media/announcements/Documents/1.07.2015%20Feed%20Phase%20Entered%20for%20Browse%20FLNG%20Development.pdf.
37. Xia J., and D'Souza R. B. “Floating Production Platform Selection for Developing Deepwater Gas Fields Off North West Australia.” Society of Petroleum Engineers (2012, January 1).