SPE-198096-MS Coiled-Tubing Gas Lift System Doubled Oil Production From Al-Wafa Field

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SPE-198096-MS

Coiled-Tubing Gas Lift System Doubled Oil Production from Al-Wafa Field

Ayoub Sherik and Mohamed Ben Abdalla, Schlumberger Oilfield Services; Abdoallah Abdoalqader, Gumah
Abusninah, Abdaldaem Ateya Abdaldaem, and Ahmed Nagim Ben Ayad, Mellitah Oil&Gas B.V – Gas Division

Copyright 2019, Society of Petroleum Engineers

This paper was prepared for presentation at the SPE Kuwait Oil & Gas Conference and Show held in Mishref, Kuwait, 13 - 16 October 2019.

This paper was selected for presentation by an SPE program committee following review of information contained in an abstract submitted by the author(s). Contents
of the paper have not been reviewed by the Society of Petroleum Engineers and are subject to correction by the author(s). The material does not necessarily reflect
any position of the Society of Petroleum Engineers, its officers, or members. Electronic reproduction, distribution, or storage of any part of this paper without the written
consent of the Society of Petroleum Engineers is prohibited. Permission to reproduce in print is restricted to an abstract of not more than 300 words; illustrations may
not be copied. The abstract must contain conspicuous acknowledgment of SPE copyright.

Abstract
Recompleting the wells with an artificial lift system requires a large capital investment in addition to rig
intervention, a capital which was not made available due to worsening security condition in Libya in the
period between 2014 − 2017, therefore, rig-less gas lift system via Coiled Tubing was chosen as the most
efficient, reliable and cost-effective technique to revive oil production from 12 dead wells. The results of
this pilot project were very satisfactory.
The technique involves running coiled tubing inside the production tubing of a dead oil well, the coiled
tubing is then hung over an additional special tubing hanger, made specifically for this project, fixed on
the Xmas Tree. The gas is injected down continuously through a single point at the end of coiled tubing
which is mixed with the oil in the production tubing annulus and helps lifting the liquid to the surface.
Since compression system was not made available, due to cost cutting procedures implemented by MOG,
the injection rate and injection pressure were supplied through a 2″ pipe connected to a gas well which had
high wellhead pressure.
Since the wells had been dead for a couple of years, there was a high uncertainty in the design due to the
lack of fresh data, therefore, N2 lifting with downhole slickline gauges and surface testing were utilized to
obtain reliable and fresh data for the final design. Since, the Coiled Tubing Gas Lift System CTGL technique
was implemented in Libya for the first time, two wells among 12 dead wells only were selected for the Pilot
project. The results of the two wells were satisfactory. Oil production from the first two wells increased
significantly from 0 BOPD to 4500 BOPD, which increased the overall total field oil production by 100%
from 4500 BOPD to 11,000 BOPD. Since the reservoir communication is extremely high, nearby wells’
production was positively impacted as well, and overall field production increased from 4500 BOPD to
nearly 11000 BOPD in two months.
The novelty of the technique comes from the utilization of the wellhead pressure of nearby gas wells as
a source of injection pressure and injection rate which made reviving dead wells possible without investing
in compression systems, seen as uneconomic for a pilot project.
2 SPE-198096-MS

Introduction
Al-Wafa field in Libyan Sahara has been producing since 2004. Initially, all oil wells produced naturally at
more than 20,000 B/D of oil. The reservoir pressure has been in decline since the field was put on production
due to weak support from the aquifer; the pressure decline rate is measured to be about 120 psi/yr. Current
average reservoir pressure ranges from 1,400 to 1,600 psi depending on location of the wells, down from
an original pressure of 3,000 psi. The reservoir is presently below the bubblepoint pressure of 3,400 psi.
The Reservoir is moderately deep and is a sandstone formation with good porosity and permeability. The
reservoir is a pinchout that contains gas condensate at the top with an oil leg immediately below.
The field has 55 wells: 21 producing oil and the rest producing gas. The high gas production from the field
contributed to pressure decline in the absence of aquifer support. Measurements with a reservoir saturation
tool indicated that the gas-oil contact (GOC) has been moving up, causing gas-oil ratio (GOR) of oil wells
to decline. Currently, oil wells have GOR in the range between 500 scf/bbl and 1500 scf/bbl, depending
on well location and current GOC.
As the reservoir pressure and GOR continued to decline and water production was observed in some
wells, natural flow from oil wells was no longer possible for many wells, and 12 wells died in the past
few years.
Numerous attempts, such as N2 kickoff and extension perforation above GOC to increase GOR, have
been carried out without success because production did not last long before the wells died again.
A review of different lift techniques was conducted. The wells are already completed with 3.5-in or 4.5-
in production tubing. Recompletion was not feasible because it requires rig intervention, which was not
available due to security issues in the area. In addition, recompletion was anticipated to add extra capital
cost, likely rendering many artificial lift projects uneconomic. Coiled tubing gas lift (CTGL) was selected
as a cost-effective artificial lift option for these shut in wells.
Gas lift had not been previously implemented in the field but was identified as a likely feasible project.
In Al-Wafa field, there is huge resources of gas, and the range of current reservoir pressure, GOR, and
productivity indexes suggests there would be economic benefit from gas lift.
The opportunity to use a high-pressure compressed gas stream was not available, but we could use
wellhead pressure from nearby gas wells to test the concept without requiring new compression facilities.
However, expansion of the project beyond the pilot scale would require additional compression capacity.
Results from this pilot project were expected to help adequately size any future compression facilities.
All wells currently have 3.5-in. or 4.5-in. production tubing with packer; 1.5-in. CT was inserted within
the production tubing, and gas was injected through the CT. The bottomhole assembly of the coil includes
a dual check valve to prevent backflow from the wellbore into the CT.
The modeling was primarily performed using a steady state multiphase flow simulator including nodal
analysis to estimate the rate increase due to gas lift. The modeling accurately predicted the field-measured
incremental productivity of between 1,000 to 2,500 BOPD per well. This equates to an approximate 100%
increase in oil production across the field from only two pilot wells.
The pilot project was implemented to provide real data to test modeled data such as required injection
rates, required kickoff pressure, and incremental oil production due to gas lift. These results are to be used
to help decide if there is potential to extend the project to other oil producers of this field.

Project Background
A screening study performed showed that gas lift is a viable option in the Al-Wafa field to increase oil
rates and reserves recovery. Based on this study, approximately 12 dead wells were identified as potential
candidates for gas lift.
SPE-198096-MS 3

The first stage of the full field gas lift project was to implement a pilot project on two wells. Static
bottomhole pressures of candidates were found to range from 800 to 1,200 psig. Productivity indexes (PI)
range from 2 to 8 BOPD/psi. The well selection process is discussed in more detail below.
A few published examples of other CTGL projects exist in literature (See the References); these examples
were useful in the first states of design. As an initial step in testing the CTGL technology, a trial on two
wells was executed. The key goal of this trial was to test the completion strategy, demonstrate injection
capability and test productivity improvement. To our knowledge, this pilot was a Libya first for 1.5-in. CT-
deployed gas lift.
The pilot project for Al-Wafa field CTGL in the two wells was undertaken from August 2017 to February
2018. The results of this pilot project give support to progressing with additional gas lift installation in more
candidate wells.
Details of the Al-Wafa CTGL pilot and results below.

Candidate Selection
Several wells in Al-Wafa field were suitable for this type of completion. After initial screening of candidates,
two wells were selected for the pilot project based on these selection criteria:
1. Shut in oil wells unable to produce naturally
2. No existing wellbore access or integrity issues
3. Have enough recoverable reserves to justify the costs
4. PI test via N2 for an accurate CTGL design
From the above criteria, two wells were selected, A52 and A20, as a pilot project. These wells had been
producing oil for years with a 4.5-in. tubing and had reached the point where they would flow naturally
for only a few days after each N2 kickoff. An extended nitrogen-lift test was conducted that confirmed that
these two wells would flow on continuous gas lift.
4 SPE-198096-MS

Figure 1—Field Map and Candidate Wells Location

Completion Design and Specification


CTGL uses 1.5-in. CT inserted into the 4.5-in. production tubing. The bottom-hole-assembly BHA of CTGL
consists of external dimple connector, dual flapper check valves, Cross Over and nozzle. (See figure 2
"Complete Schematic of Coiled Tubing String") The CT is hung above the wellhead using a special CT
hanger, which is then connected to gas lift line. The gas is injected through CT and then mixed with reservoir
fluid; the fluids flow to the surface through the annulus between the tubing and CT.

Figure 2—Complete Schematic of Coiled Tubing BHA


SPE-198096-MS 5

CT Selection. In the pilot phase 1.5-in.-diameter CT was installed. The standard size used in the field for
FT work was 1.5 in. and was preferred because the units were set up to handle the 1.5-in. CT. After the pilot
success, further evaluation will be done comparing different sizes and material of CT.
The selection of one outside diameter allows for a standard size to be implemented for all candidates and
enables using the CT in either 4.5-in. or 3.5-in. production tubing. Further, utilizing a single size allows
reuse of the CT and wellhead equipment in any additional candidates when a well is abandoned.
Calculation by simulation runs with industry software did not indicate any excessive friction loss during
injection down the CT or during production in the tubing/tubing annulus.
A corrosion prediction study performed on the CT showed that the CT can survive up to 1 year in the
Al-Wafa field wells. However, actual results of one year, after pulling out, showed no integrity issues such
as thichness reduction or pitting in the CT.

Coiled Tubing Material Selection


In this project 1.5″ Coiled Tubing diameter was installed. The standard size used in the field for Coiled
Tubing work was 1.5″ and was preferred since the unit was set up to operate the 1.5″ coiled tubing. This CT
size would also enable more gas rate to be injected at lower velocity than other Slim CT. However, upon
completing this polit project, further evaluation will be performed comparing different sizes and material
of CT due to the sour environment.
The selection of one outside diameter allows for a standard size to be implemented for all candidates.
Further, utilizing a single size allows the reuse of the Coiled Tubing and wellhead equipment in any
additional candidates when wells are unable to flow naturally.
Calculations by simulation runs with industry software did not indicate any excessive friction loss either
during injection down the CT or during production in the tubing/tubing annulus. (Figure 7: Expected
Erosional Velocity Inside CT at gas injection rate of 2 MMSCF/D (Double the Optimum designed/actual
injectijon rate of 1 MMSCF/D)
Since the wells have small concentration of H2S and CO2, the corrosion prediction study was performed
on CT material that was available in the country and showed that the maximum corrosion rate, at different
BSW, was ~94 MPY. This corrosion rate was considered low and would achieve lifting sustainability for
months without CT integrity issues. In addition, pipe management procedures were followed including, but
not limited to, pipe inspection for any pitting or thickness loss and pumping Corrosion inhibitor while RIH
and POOH.
6 SPE-198096-MS

Figure 3—Corrosion Prediction Evaluation

Coiled Tubing Hanger & Flow Tee Manufacturing


In order to hang off CT in the Xmas Tree and connect it to the gas line, additional Tubing Hanger and
Flow Tee must be installed above the Flow Tee. This special Coiled Tubing Hanger and Flow Tee were
manufactured in order to match the existing Xmas configuration of those two wells. The objective of this
additional Tubing Hanger was to hang the CT and to provide a seal to prevent any gas injection from the
Flow Tee down the annulus, between CT and Production Tubing, as well as to prevent any produced fluid
from entering Gas line connected to the Flow Tee. Therefore, the injection was restricted only through CT
and Production was only coming from annulus.

Figure 4—Xmax Tree, Coiled Tubing Hanger and Tee Layout.


SPE-198096-MS 7

Coiled Tubing Gas Lift Design


The key limitation during the design process was the injection pressure supplied by the wellhead pressure
from nearby gas wells. Pressure was limited to only 850-psi injection pressure because CTGL involves
single-point injection gas lift without an unloading valve. Thus, the objective of the design was to define the
deepest possible injection with the available injection pressure. During design, two most important things
needed to be considered:
1. Attain injection pressure sufficient to kick of the standing liquid at the point of gas injection
2. Achieve pressure drawdown given the desired tubinghead pressure and the flowing gradient

Pressure Data Acquisition


Bottomhole pressure (BHP) surveys, both flowing gradient surveys (FGS) and static gradient surveys (SGS),
must be acquired prior to CTGL design. The data are required to define the point of injection and to estimate
drawdown pressure. Failure to obtain representative BHP data could result in kickoff failure. In this project,
because the wells were unable to produce naturally, an N2 lifting test was performed with gauges in wells
A52 and A20 to evaluate the well productivity and acquire necessary pressure data for proper CTGL design
(See figure 6).
The design procedure consists of the following steps:
1. Perform BHP surveys, both static and flowing, and then plot the results.
2. Start from maximum available injection pressure at surface (kickoff pressure = 850 psi) and compute
a maximum injection pressure line inside 1.5″ CT. The pressure loss inside CT depens on the gas
injection rate.
3. Start from kickoff pressure – valve pressure - at surface and establish a design injection pressure line
parallel to the maximum injection pressure line; where valve pressure is the pressure drop across valve
and can be taken as 200 psi.
4. Define the point of injection from the intersection between the design injection pressure line and the
BHP result. This will verify that the kickoff procedure can be done. Since limited injection pressure
was availbe (~ 850 psi) the depth of injection points was designed based on 1 MMSCF injection
rate (the Optimim). The higher the gas injection rate the shallower the injection point cosidring fixed
injectionpressure value at surface. On the other hand, the lower the injection pressure rate the lower
the pressure loss inside CT the deepesr the injection point. "Figure 5: Injection Point determination
considering one injection pressure value at surface."
5. Perform nodal analysis to estimate gas injection rate and the oil rate. This should honor the desired
wellhead pressure and reservoir pressure (to achieve the drawdown).
6. Generate erosional velocity ratios and friction pressure gradient within the 1.5″ CT. in this case, the
maximum erosional velocity at injection rate of 2 MMSCF/D (Doube the desiged/actual injection
rate) was less than 75%. Figure 7.
8 SPE-198096-MS

Figure 5—Injection Point determination considering one injection pressure value at surface.″

Figure 6—CTGL Design and comparison between injection point with and without downhole pressure data
SPE-198096-MS 9

Figure 7—Expected Erosional Velocity Inside CT at gas injection rate of 2


MMSCF/D (Double the Optimum designed/actual injectijon rate of 1 MMSCF/D)

Troubleshooting
In this field, available gas injection pressure was limited to the availbe Wellhead Pressure of gas wells
which was in the range of ~ 850 psi. Since wellhead pressure decline rate was expected at 100 Psi/Year, the
wellhead pressure after few months or after every well control, Killing, operation might not be enough to
kick off the well from the deepest injection point at 8,000 ft. N2 bullheading would be planned to kickoff
the well after CT cut and hang off or after every killing operation. Once the well is kicked off and started
to produce steadily, the N2 Bullheading is stopped and gas line is turned on immedtaly to maintain oil
production before the well gets back to static condtion.

Results
The actual rate injected was approximately 0.5 MMscf/D per well. The initial production from the two
wells A52 and A20 was 2700 B/D and 1200 B/D, respectively. The actual results were 100% increase in
oil production, as anticipated by nodal analysis.
In each well, the CTGL equipment has been installed since September 2017. Prior to the introduction of
CTGL, oil production reached its lowest level at 4,500 B/D. Since the implementation of the pilot project,
the total oil production has increased by 100% to reach 10,000 B/D. The Figure 8 shows the enhancement
in oil production after CTGL implementation.
10 SPE-198096-MS

Figure 8—Field Productioni Performance after implementing CTGL.

Summary
1. The CT string was the first of its kind to be installed in Libya. The first two installation were successful
despite all the challenges encountered during the preparation stage.
2. The novelty of the technique comes from the utilization of gas cap energy in the form of high wellhead
pressure of producing gas wells as a source of injection pressure and injection rate.
3. This technique made reactivation of dead wells possible without changing wellhead configuration nor
investing in expensive compression systems and workover rigs.
4. CTGL is a proven and effective artificial lift in Al-Wafa field. This method is fit for purpose for the
current condition of the reservoir.
5. The determination of point of injection is very important to achieve both kickoff and drawdown
pressure.
6. Downhole guage data must be acquired to optimunly determine the injection point for kickoff and
achieve desired drawdown. Relying only on flow correlations, without calibration, might bring the
project to failure.
7. The preparation prior to well reactivation is critical in supporting a successful operation.
8. CTGL plays a big role in sustaining oil production in Al-Wafa field. CTGL wells are now contributing
to 40% of current oil production.

References
Tran, T.B., et al., 1997: "Field Installed Coiled Tubing Gas Lift Completions" SPE 38404-MS
Edy, IKetut Oscar, et al., 2015: "Coiled Tubing Gas Lift Design and Troubleshooting - Case History" SPE 176195-MS
Moore, B.K., et al., 1993: "Rigless Completions: A Spoolable Coiled-Tubing Gas-Lift System" OTC 7321-MS
Tischler, Alfred, et al., 2005: "Coiled-Tubing Gas Lift Reclaims 2,000 B/D of Lost Crude" SPE 95682-MS

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