Geologic characteristics,exploration and production progress of shale oil and gas in the United States:An overview

We present a systematic summary of the geological characteristics,exploration and development history and current state of shale oil and gas in the United States.The hydrocarbon-rich shales in the major shale basins of the United States are mainly developed in six geological periods:Middle Ordovician,Middle-Late Devonian,Early Carboniferous(Middle-Late Mississippi),Early Permian,Late Jurassic,and Late Cretaceous(Cenomanian-Turonian).Depositional environments for these shales include intra-cratonic basins,foreland basins,and passive continental margins.Paleozoic hydrocarbon-rich shales are mainly developed in six basins,including the Appalachian Basin(Utica and Marcellus shales),Anadarko Basin(Woodford Shale),Williston Basin(Bakken Shale),Arkoma Basin(Fayetteville Shale),Fort Worth Basin(Barnett Shale),and the Wolfcamp and Leonardian Spraberry/Bone Springs shale plays of the Permian Basin.The Mesozoic hydrocarbon-rich shales are mainly developed on the margins of the Gulf of Mexico Basin(Haynesville and Eagle Ford)or in various Rocky Mountain basins(Niobrara Formation,mainly in the Denver and Powder River basins).The detailed analysis of shale plays reveals that the shales are different in facies and mineral components,and"shale reservoirs"are often not shale at all.The United States is abundant in shale oil and gas,with the in-place resources exceeding 0.246×10^(12)t and 290×10^(12)m^(3),respectively.Before the emergence of horizontal well hydraulic fracturing technology to kick off the"shale revolution",the United States had experienced two decades of exploration and production practices,as well as theory and technology development.In 2007-2023,shale oil and gas production in the United States increased from approximately 11.2×10^(4)tons of oil equivalent per day(toe/d)to over 300.0×10^(4)toe/d.In 2017,the shale oil and gas production exceeded the conventional oil and gas production in the country.In 2023,the contribution from shale plays to the total U.S.oil and gas production remained above 60%.The development of shale oil and gas has largely been driven by improvements in drilling and completion technologies,with much of the recent effort focused on“cube development”or“co-development”.Other efforts to improve productivity and efficiency include refracturing,enhanced oil recovery,and drilling of“U-shaped”wells.Given the significant resources base and continued technological improvements,shale oil and gas production will continue to contribute significant volumes to total U.S.hydrocarbon production.

Formation,evolution,reconstruction of black shales and their influence on shale oil and gas resource

Black shales are important products of material cycling and energy exchange among the lithosphere,atmosphere,hydrosphere,and biosphere.They are widely distributed throughout geological history and provide essential energy and mineral resources for the development of human society.They also record the evolution process of the earth and improve the understanding of the earth.This review focuses on the diagenesis and formation mechanisms of black shales sedimentation,composition,evolution,and reconstruction,which have had a significant impact on the formation and enrichment of shale oil and gas.In terms of sedimentary environment,black shales can be classified into three types:Marine,terrestrial,and marine-terrestrial transitional facies.The formation processes include mechanisms such as eolian input,hypopycnal flow,gravity-driven and offshore bottom currents.From a geological perspective,the formation of black shales is often closely related to global or regional major geological events.The enrichment of organic matter is generally the result of the interaction and coupling of several factors such as primary productivity,water redox condition,and sedimentation rate.In terms of evolution,black shales have undergone diagenetic evolution of inorganic minerals,thermal evolution of organic matter and hydrocarbon generation,interactions between organic matter and inorganic minerals,and pore evolution.In terms of reconstruction,the effects of fold deformation,uplift and erosion,and fracturing have changed the stress state of black shale reservoirs,thereby having a significant impact on the pore structure.Fluid activity promotes the formation of veins,and have changed the material composition,stress structure,and reservoir properties of black shales.Regarding resource effects,the deposition of black shales is fundamental for shale oil and gas resources,the evolution of black shales promotes the shale oil and gas formation and storage,and the reconstruction of black shales would have caused the heterogeneous distribution of oil and gas in shales.Exploring the formation mechanisms and interactions of black shales at different scales is a key to in-depth research on shale formation and evolution,as well as the key to revealing the mechanism controlling shale oil and gas accumulation.The present records can reveal how these processes worked in geological history,and improve our understanding of the coupling mechanisms among regional geological events,black shales evolution,and shale oil and gas formation and enrichment.

Distribution and potential of global oil and gas resources

Using conventional and unconventional oil and gas resource evaluation methods with play as a unit, this study evaluates the oil and gas geology and resource potential of conventional oil and gas resources and seven types of unconventional resources in the global major oil and gas basins(excluding China). For the first time, resource evaluation data with independent intellectual property rights has been obtained. According to evaluation and calculation, the global recoverable conventional oil resources are 5 350.0×108 t, the recoverable condensate oil resources are 496.2×108 t, and the recoverable natural gas resources are 588.4×1012 m3. The remaining oil and gas 2 P recoverable reserves are 4 212.6×108 t, the reserve growth of oil and gas fields are 1 531.7×108 t. The undiscovered oil and gas recoverable resources are 3 065.5×108 t. The global unconventional oil recoverable resources are 4 209.4×108 t and the unconventional natural gas recoverable resources are 195.4×1012 m3. The evaluation results show that the global conventional and unconventional oil and gas resources are still abundant.

Design and impact estimation of a reform program of China's tax and fee policies for low-grade oil and gas resources

With China＇s rapid economic development,it is important to formulate reasonable and feasible tax and fee policies to promote the development and utilization of low-grade oil and gas resources to guarantee China＇s energy supply security.In this paper,by analyzing major problems of China＇s current tax and fee policies for oil and gas resources,a reform program for low-grade oil and gas resources is designed from the aspects of tax/fee items and tax/fee rates.The impacts of this reform program on China and China＇s oil companies during the ＂Twelfth Five-Year Plan＂ are investigated according to the related data in 2008.The results show that the proposed tax and fee reform program will lower the tax burden of oil companies,promote the development of low-grade oil and gas resources,and increase China＇s GDP and national fiscal revenue.Besides that,it will bring positive social effects by increasing employment opportunities.

Prediction of Sedimentary Microfacies Distribution by Coupling Stochastic Modeling Method in Oil and Gas Energy Resource Exploitation

In view of the problem that a single modeling method cannot predict the distribution of microfacies, a new idea of coupling modeling method to comprehensively predict the distribution of sedimentary microfacies was proposed, breaking the tradition that different sedimentary microfacies used the same modeling method in the past. Because different sedimentary microfacies have different distribution characteristics and geometric shapes, it is more accurate to select different simulation methods for prediction. In this paper, the coupling modeling method was to establish the distribution of sedimentary microfacies with simple geometry through the point indicating process simulation, and then predict the microfacies with complex spatial distribution through the sequential indicator simulation method. Taking the DC block of Bohai basin as an example, a high-precision reservoir sedimentary microfacies model was established by the above coupling modeling method, and the model verification results showed that the sedimentary microfacies model had a high consistency with the underground. The coupling microfacies modeling method had higher accuracy and reliability than the traditional modeling method, which provided a new idea for the prediction of sedimentary microfacies.

Theoretical Progress and Key Technologies of Onshore Ultra-Deep Oil/Gas Exploration

Oil/gas exploration around the world has extended into deep and ultra-deep strata because it is increasingly difficult to find new large-scale oil/gas reservoirs in shallow–middle buried strata. In recent years, China has made remarkable achievements in oil/gas exploration in ultra-deep areas including carbonate and clastic reservoirs. Some (ultra) large-scale oil and gas fields have been discovered. The oil/gas accumulation mechanisms and key technologies of oil/gas reservoir exploration and development are summarized in this study in order to share China’s experiences. Ultra-deep oil/gas originates from numerous sources of hydrocarbons and multiphase charging. Liquid hydrocarbons can form in ultradeep layers due to low geothermal gradients or overpressures, and the natural gas composition in ultra-deep areas is complicated by the reactions between deep hydrocarbons, water, and rock or by the addition of mantle- or crust-sourced gases. These oils/gases are mainly stored in the original highenergy reef/shoal complexes or in sand body sediments. They usually have high original porosity. Secondary pores are often developed by dissolution, dolomitization, and fracturing in the late stage. The early pores have been preserved by retentive diageneses such as the early charging of hydrocarbons. Oil/gas accumulation in ultra-deep areas generally has the characteristics of near-source accumulation and sustained preservation. The effective exploration and development of ultra-deep oil/gas reservoirs depend on the support of key technologies. Use of the latest technologies such as seismic signal acquisition and processing, low porosity and permeability zone prediction, and gas–water identification has enabled the discovery of ultra-deep oil/gas resources. In addition, advanced technologies for drilling, completion, and oil/gas testing have ensured the effective development of these fields.

Evaluation and re-understanding of the global natural gas hydrate resources

Natural gas hydrate(NGH)has been widely considered as an alternative to conventional oil and gas resources in the future energy resource supply since Trofimuk’s first resource assessment in 1973.At least 29 global estimates have been published from various studies so far,among which 24 estimates are greater than the total conventional gas resources.If drawn in chronological order,the 29 historical resource estimates show a clear downward trend,reflecting the changes in our perception with respect to its resource potential with increasing our knowledge on the NGH with time.A time series of the 29 estimates was used to establish a statistical model for predict the future trend.The model produces an expected resource value of 41.46×1012 m3 at the year of 2050.The statistical trend projected future gas hydrate resource is only about 10%of total natural gas resource in conventional reservoir,consistent with estimates of global technically recoverable resources(TRR)in gas hydrate from Monte Carlo technique based on volumetric and material balance approaches.Considering the technical challenges and high cost in commercial production and the lack of competitive advantages compared with rapid growing unconventional and renewable resources,only those on the very top of the gas hydrate resource pyramid will be added to future energy supply.It is unlikely that the NGH will be the major energy source in the future.

A"One Engine with Six Gears"System Engineering Methodology for the Economic Development of Unconventional Oil and Gas in China

Unconventional oil and gas resources have become the most important and realistic field for increasing China’s domestic oil and gas reserves and production.At present,the production scale does not match the massive amount of resources and the rapid growth of proven geological reserves.The challenges of technology,cost,management,and methodology restrict large-scale and economic development.Based on successful practices,a"one engine with six gears"system engineering methodology is put forward,which includes life-cycle management,overall synergy,interdisciplinary cross-service integration,marketoriented operation,socialized support,digitalized management,and low-carbon and green development.The methodology has been proved to be effective in multiple unconventional oil and gas national demonstration areas,including the Jimusar continental shale oil demonstration area.Disruptive views are introduced-namely,that unconventional oil and gas do not necessarily yield a low return,nor do they necessarily have a low recovery factor.A determination to achieve economic benefit must be a pervasive underlying goal for managers and experts.Return and recovery factors,as primary focuses,must be adhered to during China’s development of unconventional oil and gas.The required methodology transformation includes a revolution in management systems to significantly decrease cost and increase production,resulting in technological innovation.

The impacts of gas impurities on the minimum miscibility pressure of injected CO_2-rich gas–crude oil systems and enhanced oil recovery potential

An effective parameter in the miscible-CO_2 enhanced oil recovery procedure is the minimum miscibility pressure(MMP)defined as the lowest pressure that the oil in place and the injected gas into reservoir achieve miscibility at a given temperature. Flue gases released from power plants can provide an available source of CO_2,which would otherwise be emitted to the atmosphere, for injection into a reservoir. However, the costs related to gas extraction from flue gases is potentially high. Hence, greater understanding the role of impurities in miscibility characteristics between CO_2 and reservoir fluids helps to establish which impurities are tolerable and which are not. In this study, we simulate the effects of the impurities nitrogen(N_2), methane(C_1), ethane(C_2) and propane(C_3) on CO_2 MMP. The simulation results reveal that,as an impurity, nitrogen increases CO_2–oil MMP more so than methane. On the other hand, increasing the propane(C_3)content can lead to a significant decrease in CO_2 MMP, whereas varying the concentrations of ethane(C_2) does not have a significant effect on the minimum miscibility pressure of reservoir crude oil and CO_2 gas. The novel relationships established are particularly valuable in circumstances where MMP experimental data are not available.

Analysis of the world oil and gas exploration situation in 2021

The global exploration investment, new oil and gas discoveries, exploration business adjustment strategies of oil companies in 2021, and future favorable exploration domains are systematically analyzed using commercial databases such as IHS and public information of oil companies. It has been found that the world oil and gas exploration situation in 2021 has continued the downturn since the outbreak of COVID-19. The investment and drilling workload decreased slightly, but the success rate of exploration wells, especially deepwater exploration wells, increased significantly, and the newly discovered reserves increased slightly compared with last year. Deep waters of the passive continental margin basins are still the leading sites for discovering conventional large and medium-sized oil and gas fields. The conventional oil and gas exploration in deep formations of onshore petroliferous basins has been keeping a good state, with tight/shale oil and gas discoveries made in Saudi Arabia, Russia, and other countries. While strengthening the exploration and development of local resources, national, international, and independent oil companies have been focusing on major overseas frontiers using their advantages, including risk exploration in deep waters and natural gas. Future favorable exploration directions in the three major frontiers, the global deep waters, deep onshore formations, and unconventional resources, have been clarified. Four suggestions are put forward for the global exploration business of Chinese oil companies: first, a farm in global deepwater frontier basins in advance through bidding at a low cost and adopt the “dual exploration model” after making large-scale discoveries;second, enter new blocks of emerging hot basins in the world through farm-in and other ways, to find large oil and gas fields quickly;third, cooperate with national oil companies of the resource host countries in the form of joint research and actively participate exploration of deep onshore formations of petroliferous basins;fourth, track tight/shale oil and gas cooperation opportunities in a few countries such as Saudi Arabia and Russia, and take advantage of mature domestic theories and technologies to farm in at an appropriate time.

Economic Critical Resources for the Industrial Exploitation of Natural Gas Hydrate

Since the implementation of several pilot production tests were in natural gas hydrate(NGH) reservoirs in terrestrial and marine settings, the study of NGH has entered a new stage of technological development for industrial exploitation. Prior to the industrial exploitation of any given NGH reservoir, the economic feasibility should be examined. The first step of economic evaluation of a NGH reservoir is to know whether its resource amount meets the requirement for industrial exploitation. Unfortunately, few relevant studies have been conducted in this regard. In this study, the net present value(NPV) method is employed to estimate the economic critical resources required for the industrial exploitation of NGHs under different production scenarios. Sensitivity analysis is also performed in order to specify the effects of key factors, such as the number of production wells, gas price, technological improvement and tax incentive, on the economic critical resources. The results indicate that China requires the lowest economic critical resource for a NGH reservoir to be industrially exploited, ranging from 3.62 to 24.02 billion m3 methane. Changes in gas price and tax incentives also play significant roles in affecting the threshold and timeline for the industrial exploitation of NGH.

Stability analysis of seabed strata and casing structure during the natural gas hydrates exploitation by depressurization in horizontal wells in South China Sea

Natural gas hydrates(NGHs)are a new type of clean energy with great development potential.However,it is urgent to achieve safe and economical NGHs development and utilization.This study established a physical model of the study area using the FLAC^(3D) software based on the key parameters of the NGHs production test area in the South China Sea,including the depressurization method,and mechanical parameters of strata,NGHs occurrence characteristics,and the technological characteristics of horizontal wells.Moreover,this study explored the law of influences of the NGHs dissociation range on the stability of the overburden strata and the casing structure of a horizontal well.The results are as follows.With the dissociation of NGHs,the overburden strata of the NGHs dissociation zone subsided and formed funnelshaped zones and then gradually stabilized.However,the upper interface of the NGHs dissociation zone showed significant redistribution and discontinuity of stress.Specifically,distinct stress concentration and corresponding large deformation occurred in the build-up section of the horizontal well,which was thus prone to suffering shear failure.Moreover,apparent end effects occurred at the end of the horizontal well section and might cause the deformation and failure of the casing structure.Therefore,it is necessary to take measures in the build-up section and at the end of the horizontal section of the horizontal well to prevent damage and ensure the wellbore safety in the long-term NGHs exploitation.

Key technologies, engineering management and important suggestions of shale oil/gas development: Case study of a Duvernay shale project in Western Canada Sedimentary Basin

The Duvernay project in Canada was taken as an example to summarize the advanced technology and engineering management model of shale oil and gas development in North America.Preliminary suggestions were put forward to accelerate the commercial development of domestic continental shale oil and gas.The advanced technologies,valuable knowledge and rich experience were introduced,including the evaluation of geological target area of the project,rapid long horizontal drilling and completion,high-intensity fracturing,and well spacing optimization.In particular,the concept and connotation of the full-life cycle management of North American unconventional resource projects were analyzed.Its emphasis on early evaluation and risk management,and a highly competitive market environment have played an important role in promoting technological innovation and management innovation.In addition,the low-cost sharing system of industry-wide knowledge and experience and the management mode were applied.These management approaches are of great significance for reference in accelerating the exploration and development of unconventional resources in China.China possesses abundant shale oil and gas resources,which are an important replacement to guarantee the national oil and gas energy supply.However,due to the late start and special geological characteristics and engineering difficulties in China,there is a large gap in technology level and management mode compared with North America.According to the advanced experience and enlightenment of the shale oil and gas development in North America,a preliminary proposal to accelerate the development of shale oil and gas in China was made.

Perspectives and Composition of Oil and Gas Content of Mesozoic-Neozoic Complex in Condition of Usturt Region(Republic of Uzbekistan)

Constant increase of energy consumption leads to depletion of main energy resources,at first place oil and gas.This leads to the necessity of new research for mineral and raw material sources of energy,which is by itself very problematic.It requires involvement in development of new fields for oil and gas.On the other hand,the present stage of study of oil and gas in some territories shows that the possibility of exposure of hydrocarbon deposits in already known oil and

Technologcial progress and development directions of PetroChina overseas oil and gas exploration

Through a comprehensive review of PetroChina overseas oil and gas exploration of more than 20 years,we systematically summarize the development history,development status and application results of the overseas oil and gas exploration theory and technology.Overseas oil and gas exploration has experienced four stages,exploratory exploration,progressive exploration,risk exploration and efficient exploration.The overseas exploration theory and technology have also gone through the initially direct borrow of domestic mature technology to the integrated application,and then to the research innovation based on overseas features.A series of overseas oil and gas exploration theories and technologies represented by theories and technologies for passive rift basins,salt basins and foreland basin slopes,and global oil and gas geology and resource evaluation have been established.On the basis of deep analysis of the future overseas exploration development demand for the technology,and combined with the domestic and overseas future development trend of theory and technology,this paper systematically discusses the overseas exploration difficulties,technical requirements and the main development directions and aims of exploration theory and technology in the future:(1)Develop conventional onshore oil and gas exploration techniques continuously for the overseas exploration and keep them at an internationally advanced level.(2)Develop the global oil and gas resources and assets integrated optimization evaluation technology and its information system construction project innovatively to reach the international leading level.(3)Develop the deep water exploration technology integratively and narrow the gap with the world’s advanced level.

Deepwater and Deep Layers： the Strategic Choices for China＇s Oil and Gas Resources Development

On December 2, 2017, the 2nd Seminar on the Development Strategy of China＇s Oil and Gas Resources was held in Beijing. This seminar was hosted by the Strategic Research Center for Oil and Gas Resources, Ministry of Land （MLR） and Resources and sponsored by both the CNOOC Exploration Department and the School of Ocean and Earth Sciences of Tongji University. With the theme of ＂deepwater and deep-layer oil and gas resources and development strategy＂,

Evaluation of source rocks and prediction of oil and gas resources distribution in Baiyun Sag,Pearl River Mouth Basin,China

By conducting organic geochemical analysis of the samples taken from the drilled wells in Baiyun Sag of Pearl River Mouth Basin,China,the development characteristics of hydrocarbon source rocks in the sag are clarified.Reconstruct the current geothermal field of the sag and restore the tectonic-thermal evolution process to predict the type,scale,and distribution of resources in Baiyun Sag through thermal pressure simulation experiments and numerical simulation.The Baiyun Sag is characterized by the development of Paleogene shallow lacustrine source rocks,which are deposited in a slightly oxidizing environment.The source rocks are mainly composed of terrestrial higher plants,with algae making a certain contribution,and are oil and gas source rocks.Current geothermal field of the sag was reconstructed,in which the range of geothermal gradients is(3.5–5.2)℃/100 m,showing an overall increasing trend from northwest to southeast,with significant differences in geothermal gradients across different sub-sags.Baiyun Sag has undergone two distinct periods of extensional process,the Eocene and Miocene,since the Cenozoic era.These two periods of heating and warming events have been identified,accelerating the maturation and evolution of source rocks.The main body of ancient basal heat flow value reached its highest at 13.82 Ma.The basin modelling results show that the maturity of source rocks is significantly higher in Baiyun main sub-sag than that in other sub-sags.The Eocene Wenchang Formation is currently in the stage of high maturity to over maturity,while the Eocene Enping Formation has reached the stage of maturity to high maturity.The rock thermal simulation experiment shows that the shallow lacustrine mudstone of the Wenchang Formation has a good potential of generating gas from kerogen cracking with high gas yield and long period of gas window.Shallow lacustrine mudstone of the Enping Formation has a good ability to generate light oil,and has ability to generate kerogen cracking gas in the late stage.The gas yield of shallow lacustrine mudstone of the Enping Formation is less than that of shallow lacustrine mudstone of the Wenchang Formation and the delta coal-bearing mudstone of the Enping Formation.The numerical simulation results indicate that the source rocks of Baiyun main sub-sag generate hydrocarbons earlier and have significantly higher hydrocarbon generation intensity than other sub-sags,with an average of about 1200×10^(4)t/km^(2).Oil and gas resources were mainly distributed in Baiyun main sub-sag and the main source rocks are distributed in the 3^(rd)and 4~(th)members of Wenchang Formation.Four favorable zones are selected for the division and evaluation of migration and aggregation units:No.(1)Panyu 30 nose-shaped structural belt,No.(3)Liuhua 29 nose-shaped uplift belt and Liwan 3 nose-shaped uplift belt,No.(2)gentle slope belt of Baiyun east sag,and No.(8)Baiyun 1 low-uplift.

A Review on Shale Reservoirs as an Unconventional Play--The History,Technology Revolution,Importance to Oil and Gas Industry,and the Development Future

As a milestone of the entire energy industry,unconventional resources have inevitably swept the world in the last decade,and will certainly dominate the global oil and gas industry in the near future.Eventually,the ＂unconventional＂ will become ＂conventional＂.Along with the rapid development,however,some issues have emerged,which are closely related to the viability of unconventional resources development.Under the current circumstances of low crude oil and gas price,coupled with the prominent environmental concerns,the arguments about the development and production of unconventional resources have been recently heated up.This work introduced the fullblown aspects of unconventional resources especially shale reservoirs,by discussing their concepts and definitions,reviewing the shale gas and shale oil development history and necessity,analyzing the shale plays＇ geology and petroleum systems with respects to key hydrocarbon accumulation elements and mechanisms,and summarizing the technology resolution.This study also discussed the relevant key issues,including significant estimation uncertainty of technically recoverable resources,the equivocal understanding of complex geology preventing the production and technologies implementation optimization,the difficulties of experiences and technologies global expanding,and the corresponding risks and uncertainties.In addition,based on the latest production and exploration data,the future perspective of the unconventional resources was depicted from global unconventional resources assessments,technology development,and limitations constraining the development.