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Proven Best Practices Reservoir Engineering Monthly |
July 2014 - Volume 9 Issue 6
Nearly a Quarter of All ER Applications Closed in May
In May, the regulator closed (or refused) almost a quarter of all the enhanced recovery applications.
Complexity didn’t make a difference: Easy or difficult request; New scheme or amendment; In house application or submitted by a service. Some of each were closed.
The applications closed These closed applications sat on the regulator’s docket for a month and a half on average. That translates into lost production time. For some schemes that could be as much as half a million dollars per month.
For example, one application, submitted by an application service, was closed by the regulatory because it was submitted through the wrong channel. The service should have known better. Hopefully her client wasn’t required to pay. However the client also lost production over the month it sat in the AER’s hands before the regulator closed it.
The AER closes applications for a variety of reasons: some technical and some technicality.
When new regulations are published (as they were in April), the AER tends to be more prone to close applications. They become less lenient and more strict.
One of the changes to the regulations deals with offsetting abandoned wells. The integrity of such wells must now be considered in enhanced recovery schemes.
When you’ve got an application to submit, make sure it’s in the care of someone who really knows what they’re doing. Proven has the highest approval ratio in the industry – we don’t get applications closed.
Can we help?
~Granger J. Low
1784285 | Comm Amend Category3 | Pengrowth Energy Corporation | COLD LAKE OS | Lindbergh SAGD expansion |
1747426 | Comm Amend Category3 | Cenovus FCCL Ltd. | FISHER | Foster Creek expansion |
1712215 | Comm Amend Category3 | Canadian Natural Resources Limited | ATHABASCA OS | Kirby expansion |
1782944 | Comm Amend Category2 | Nexen Energy ULC | ATHABASCA OS | Non-condensable gas field trial |
1795248 | GOR Penalty Rlief | Omers Energy Inc. | SIMONETTE | Horizontal oil well |
1761641 | Exper Oil Snd: New | Husky Oil Operations Limited | ATHABASCA OS | Saleski thermal experiment |
1794329 | ER Scheme | New Star Energy Ltd. | HIGHVALE | Amend MWHIP |
1795256 | ER Scheme | Sinopec Daylight Energy Ltd. | PEMBINA | Convert existing oil well to injector |
1794739 | ER Scheme | Canadian Natural Resources Limited | STURGEON LAKE SOUTH | Amend enhanced oil secovery scheme |
1794476 | Cavern Storage | Cenovus FCCL Ltd. | FISHER | Foster Creek cavern in Prairie Evaporite |
Energy Efficiency in Buildings Enabled by Latest Pump Technology Calgary, AB 3 July 2014 apega.ca |
Calgary Stampede Calgary, AB 4-13 July 2014 calgarystampede.com |
Inactive Well Compliance Program Calgary, AB 22 & 23 July 2014 aer.ca |
© 2014 Proven Reserves Exploitation Ltd.