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Petrel Resources - moderated discussion/research part II
Krebensis - Sat, 22 Oct 05 :
One major challenge in maintaining, let alone increasing, oil production capacity, was Iraq's battle with water cut, especially in the south. In 2000, Saybolt International had reported that NOC and SOC were able to increase their oil production through use of short-term techniques not generally
considered acceptable in the oil industry (i.e., injection of refined oil products into crude reservoirs). The Saybolt report now appears to have been largely accurate. In addition, a U.N. report in June 01 said that Iraqi oil production capacity would fall sharply unless technical and infrastructure
problems were addressed. Others have pointed to the need for water injection in order to maintain pressure and to avoid reservoir damage in the southern fields. Already, U.N. oil experts have estimated that some reservoirs in southern Iraq have been so badly managed that their ultimate recovery rates might be only 15 percent-25 percent, well below the 35 percent-60 percent usually seen in the oil industry......
Seven other sizable fields remain damaged or partially mothballed. These include Zubair, Luhais, Suba, Buzurgan, Abu Ghirab, and Fauqi. Generally speaking, oilfield development plans were put on hold following Iraq's invasion of Kuwait, with Iraqi efforts focused on maintaining production at existing fields.
Speculation on my part, but if the S+L fields have been found to be substantially damaged by injecting oil into the reservoirs then perhaps fast tracking a PSA to drill deeper makes sense with infrastructure in place.
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