A Perspective on Experience on U.S-Norwegian Co-operation on EOR at COREC Centre at Rogaland and University of Bergen

1. APerspective on Experience on U.S-Norwegian Co-operation on EOR at COREC Centre at Rogaland and University of Bergen David R. Zornes Manager – Reservoir Mechanisms Group Bartlesville Technology Center

2. Outline of Presentation • History of COP and Norway • Primary Areas of Research – Technical Needs and Issues are Primary Drivers • Why Cooperation is Our Practice

3. Ekofisk Research Timeline Initiate Waterflood in Tor Fm. Based on Initial Characterization. Preliminary EOR Lab Tests Ekofisk II EOR Screening. Subsidence Observed. Start Rock Mechanics Testing & Modeling Expand Waterflood with Updated Lab & Modeling Results.

4. Key Research Directions • Improved Recovery Methods. • Mechanisms and Endpoints. • CO2, HC WAG, MIOR, Imbibition Enh., Air • Subsidence and Compaction. • Recognition and Forecasting. • Field Monitoring & Fully Coupled Modeling • CO2 Sequestration – CH4 Production from Hydrates.

5. Improved Waterflood Performance • Initial Studies Suggested Waterflood Would NOT Be Very Successful. • After Successful Pilot – Lab and Theoretical Studies Focused on Mechanisms and Endpoints. • Recovery Factor Improvements.

6. A B MRI Imaging of Fluids Crossing Fracture in Chalk • Mechanism for Crossing Strongly Dependent Upon Chalk Wettability. • How and When Crosses Fracture to Next Block is Critical Information in Simulation Model. Water Wet Less Water Wet

7. EOR Evaluation Studies Laboratory & Reservoir Simulation 1998 Study for NPD • HC WAG6% Recovery Inc. Most Feasible in Current Environment. • N2 WAGNot Economical. • CO2 WAG6% Recovery Inc. Requires CO2 Source. Current COREC Project. • Air InjectionGood Recovery – Last Stage. EU Thermie Project Involving Rogaland, Bath and Contractors. • MEORLow Recovery but Inexpensive.

8. Subsidence of Ekofisk Field • Recognized in 1984. • Engineering Response – Jack Up Platforms. • Research – Fundamentals of Chalk Compressibility Subsidence Modeling/Forecasts. 1978 1986

9. 44% 7x Strain 30% Chalk Rock Mechanics • Laboratory Stress / Strain Tests Determine Extent of Potential Compaction. • Incorporated into Subsidence Model. • BTC – HiS Laboratory Collaboration.

10. Subsidence Modeling North Sea Ultimate Subsidence - 2029

11. CO2 Sequestration – Hydrate Production Research • University of Bergen – ConocoPhillips Collaborative Laboratory and Theoretical Study. • State-of-Art Research Draws on Expertise from Each Group. • Form and Produce Gas Hydrates in Lab. • MRI Monitor Reaction Rates and Paths. Water-Saturated Core Hydrate CH4 Gas

12. Collaboration and Training with Norwegian Universities • Students Worked on Ekofisk-Related Projects at BTC Since 1980’s – Numerous MS/Dipl. Degrees, 8 Ph.D.’s (Including Several Current Faculty). • NTNU – Dept. of Petroleum Engineering. • University of Bergen – Dept. Physics. • Høgskolen i Stavanger – Dept. Petrol. Eng.

13. Industry-Supported Research • Joint Chalk Research. (1970’s – Current). Broad-Based Programs with Emphasis on Industry-University Collaboration. Phillips/CoP as Major Participant in All Stages. • University Research Centres • CIPR (University of Bergen) • COREC (University College Stavanger) • Ekofisk Area PL018 Co-Venturers Sponsored Internal Research.

14. Lessons from Ekofisk-Related Research on Improved Recovery • Well-Defined Goals:Problems Linked to Fundamental Questions. • Long-Term:Allowed for False Starts, Change in Direction. • Multi-Disciplinary:Left “Business as Usual” Behind, Overcame Tradition and Bias.

15. Advantages of Cooperation • Develop Additional Expertise • Multi-Discipline Approach • Longer Term Possible on Fundamentals • Potential for Lower Costs With Students • Leverage Our Internal Resources • Network of Researchers/Relationships • Norwegian Institutes Increasingly Involved

16. Acknowledgements • ConocoPhillips Management • Reservoir Recovery Mechanisms Staff– Past and Present • U. of Bergen, Rogaland University • Numerous COP Employees

17. The EndQuestions???