Global oil and gas development in 2022:Situation,trends and enlightenment

Through analysis of four aspects,including the distribution and production of global oil and gas fields,the distribution and changes of remaining recoverable reserves,the differences in oil and gas production between regions/countries,and the development potential of oil and gas fields with production capacity not built and to be built,this paper presents the situation and trends of global oil and gas development in 2022.It is found that,in 2022,oil and gas fields are widely distributed worldwide,and upstream production activities continue to recover;the oil and gas reserves decrease slightly year on year,and the oil and gas reserves in sea areas increase significantly;the oil and gas production increases continuously,and the key resource countries make a significant contribution in oil and gas production growth;the oil and gas fields with production capacity not built and to be built hold abundant reserves,and their development potential will be gradually released with the economic benefits increase.Further analysis is conducted from the perspectives of global oil and gas resources continuity,geopolitical risks,potential of international cooperation,and upgrade of unconventional oil and gas technology.Finally,in view of core business domains and strategies under the new situation,the Chinese oil companies are recommended to:(1)keep a foothold in onshore conventional oil and gas development by virtue of their comparative advantages and learning from other’s experience in cooperation;(2)carry out pilot tests on development adjustment,and deepen the international cooperation in enhanced oil/gas recovery;(3)improve the oil and gas operation capabilities in sea areas to transform from follower as minority shareholder to joint venture and then to independent operations;and(4)seek appropriate ways for shale oil/gas development to reduce the dependence on foreign oil and gas.

Shale oil and gas exploitation in China:Technical comparison with US and development suggestions

The shale oil and gas exploitation in China is technically benchmarked with the United States in terms of development philosophy,reservoir stimulation treatment,fracturing parameters,fracturing equipment and materials,oil/gas production technology,and data/achievements sharing.It is recognized that the shale oil and gas exploitation in China is weak in seven aspects:understanding of flow regimes,producing of oil/gas reserves,monitoring of complex fractures,repeated stimulation technology,oil/gas production technology,casing deformation prevention technology,and wellbore maintenance technology.Combined with the geological and engineering factors of shale oil and gas in China,the development suggestions of four projects are proposed from the macro-and micro-perspective,namely,basic innovation project,exploitation technology project,oil/gas production stabilization project,and supporting efficiency-improvement project,so as to promote the rapid,efficient,stable,green and extensive development of shale oil and gas industry chain and innovation chain and ultimately achieve the goal of“oil volume stabilizing and gas volume increasing”.

Simulating the Effect of Hydrate Dissociation on Wellhead Stability During Oil and Gas Development in Deepwater

It is well known that methane hydrate has been identified as an alternative resource due to its massive reserves and clean property. However, hydrate dissociation during oil and gas development(OGD) process in deep water can affect the stability of subsea equipment and formation. Currently, there is a serious lack of studies over quantitative assessment on the effects of hydrate dissociation on wellhead stability. In order to solve this problem, ABAQUS finite element software was used to develop a model and to evaluate the behavior of wellhead caused by hydrate dissociation. The factors that affect the wellhead stability include dissociation range, depth of hydrate formation and mechanical properties of dissociated hydrate region. Based on these, series of simulations were carried out to determine the wellhead displacement. The results revealed that, continuous dissociation of hydrate in homogeneous and isotropic formations can causes the non-linear increment in vertical displacement of wellhead. The displacement of wellhead showed good agreement with the settlement of overlying formations under the same conditions. In addition, the shallower and thicker hydrate formation can aggravate the influence of hydrate dissociation on the wellhead stability. Further, it was observed that with the declining elastic modulus and Poisson's ratio, the wellhead displacement increases. Hence, these findings not only confirm the effect of hydrate dissociation on the wellhead stability, but also lend support to the actions, such as cooling the drilling fluid, which can reduce the hydrate dissociation range and further make deepwater operations safer and more efficient.

Development characteristics and orientation of tight oil and gas in China

Through reviewing the development history of tight oil and gas in China,summarizing theoretical understandings in exploration and development,and comparing the geological conditions and development technologies objectively in China and the United States,we clarified the progress and stage of tight oil and gas exploration and development in China,and envisaged the future development orientation of theory and technology,process methods and development policy.In nearly a decade,relying on the exploration and development practice,science and technology research and management innovation,huge breakthroughs have been made.The laws of formation,distribution and accumulation of tight oil and gas have been researched,the development theories such as"multi-stage pressure drop"and"man-made reservoirs"have been established,and several technology series have been innovated and integrated.These technology series include enrichment regions selection,well pattern deployment,single well production and recovery factor enhancement,and low cost development.As a result,both of reserves and production of tight oil and gas increase rapidly.However,limited by the sedimentary environment and tectonic background,compared with North America,China’s tight oil and gas reservoirs are worse in continuity,more difficult to develop and poorer in economic efficiency.Moreover,there are still some gaps in reservoir identification accuracy and stimulating technology between China and North America.In the future,Chinese oil and gas companies should further improve the resource evaluation method,tackle key technologies such as high-precision 3D seismic interpretation,man-made reservoir,and intelligent engineering,innovate theories and technologies to enhance single well production and recovery rate,and actively endeavor to get the finance and tax subsidy on tight oil and gas.

Status, trends and enlightenment of global oil and gas development in 2021

By analyzing the distribution of global oil and gas fields and the reasons why some oil and gas fields are not in production, the distribution characteristics of oil and gas remaining recoverable reserves and their year-on-year changes, the distribution characteristics of oil and gas production and their year-on-year changes, and the development potential of oil and gas to be tapped in 2021, this paper sorts out systematically the current status and characteristics of global oil and gas development, summaries the major trends of global oil and gas development, puts forward enlightenment for international oil and gas cooperation. In 2021, oil and gas fields were widely distributed, the number of non-producing oil and gas fields was large;the whole oil and gas remaining recoverable reserves declined slightly, unconventional oil and gas remaining recoverable reserves dropped significantly;the overall oil and gas production continuously increased, the outputs of key resource-host countries kept year-on-year growth;undeveloped oilfields had abundant reserves and great development potential. Combined with global oil and gas geopolitics, oil and gas industry development trends, oil and gas investment intensity, and the tracking and judgment of hotspot fields, the major trends of global oil and gas development in 2021 are summarized. On this basis, the four aspects of enlightenment and suggestions for international oil and gas cooperation and development strategies are put forward: attach great importance to the obligation of marine abandonment to ensure high-quality and long-term benefit development of offshore oil and gas;adhere to the principle of not going to dangerous and chaotic places, strengthen the concentration of oil and gas assets, and establish multi stable supply bases;based on the multi-scenario demand of natural gas, realize the transformation from integrated collaboration to full oil and gas industry chain development;increase the acquisition of high-quality large-scale assets, and pay attention to the continuous optimization of the shareholding ratio of projects at different stages.

Progress and development directions of stimulation techniques for ultra-deep oil and gas reservoirs

By reviewing the development history of stimulation techniques for deep/ultra-deep oil and gas reservoirs,the new progress in this field in China and abroad has been summed up,including deeper understanding on formation mechanisms of fracture network in deep/ultra-deep oil and gas reservoir,performance improvement of fracturing fluid materials,fine stratification of ultra-deep vertical wells,and mature staged multi-cluster fracturing technique for ultra-deep and highly deviated wells/horizontal wells.In light of the exploration and development trend of ultra-deep oil and gas reservoirs in China,the requirements and technical difficulties in ultra-deep oil and gas reservoir stimulation are discussed:(1)The research and application of integrated geological engineering technology is difficult.(2)The requirements on fracturing materials for stimulation are high.(3)It is difficult to further improve the production in vertical profile of the ultra-deep and hugely thick reservoirs.(4)The requirements on tools and supporting high-pressure equipment on the ground for stimulation are high.(5)It is difficult to achieve efficient stimulation of ultra-deep,high-temperature and high-pressure wells.(6)It is difficult to monitor directly the reservoir stimulation and evaluate the stimulation effect accurately after stimulation.In line with the complex geological characteristics of ultra-deep oil and gas reservoirs in China,seven technical development directions are proposed:(1)To establish systematic new techniques for basic research and evaluation experiments;(2)to strengthen geological research and improve the operational mechanism of integrating geological research and engineering operation;(3)to develop high-efficiency fracturing materials for ultra-deep reservoirs;(4)to research separated layer fracturing technology for ultra-deep and hugely thick reservoirs;(5)to explore fracture-control stimulation technology for ultra-deep horizontal well;(6)to develop direct monitoring technology for hydraulic fractures in ultra-deep oil and gas reservoirs;(7)to develop downhole fracturing tools with high temperature and high pressure tolerance and supporting wellhead equipment able to withstand high pressure.

Study on the Environmental Impact of Oil and Gas Field Development on the Ecological Red Line Area

To cooperate with the five ministries and commissions of the state to carry out joint investigation on the environmentally sensitive areas involved in oil and gas exploration and development,for the problems found in survey,containing complex type and numerous amount of ecologically sensitive space and ecological red line involved in oil and gas field enterprises,scientific nature of delimitation,lack of strong support of laws and regulations for forced withdrawal of oil and gas production facilities in these areas,some countermeasures and suggestions were proposed,such as further evaluating and combing scope and functional zoning of existing environmentally sensitive areas and ecological red lines,treating differently,enhancing pertinence of prohibition in ecologically sensitive regions,declining blindness of the withdrawal of oil and gas facilities in environmentally sensitive areas,strengthening seriousness of approval of exploration and mining rights of oil and gas resources,and establishing strategic reserve exploration and hierarchical development mechanism. Moreover,oil and gas field enterprises should integrate more efforts to ① accelerate to find out the current situation of environmental quality,② adhere to developing in protection,and protecting in development,③ increase attention and participation strengthen of providing technical support for national oil and gas exploration and development strategy evaluation,④ accelerate communication and docking with local governments on the ecological red line,⑤ actively strive to be included in the positive list management of local governments,⑥ accelerate to establish and perfect primary database of oil and gas production and facilities construction,and ⑦ document management information system of the ecological red line.

Bargaining strategy of oil companies in international oil and gas development Projects-Based on a bilateral bargaining model

Bargaining between the host country and oil companies is very common to international oil and gas development projects.The existence of information asymmetry gives the host country an endogenous bargaining advantage.Foreign oil companies might change their unfavorable negotiating position by changing the order of bidding and adjusting bidding strategies.This paper introduces both factors into a bilateral bargaining model to study the impact of information asymmetry and bidding order on the strategy and equilibrium returns of oil companies.According to the ownership of the right to bid first,two scenarios are designed for the model to compare the equilibrium returns of the host country and oil companies.The results show that:1)There is a first-mover advantage in the process of bilateral bidding,so oil companies better bid first;2)The information asymmetry will lead to a higher nominal income ratio of oil companies and a lower nominal income ratio of the host country,but it doesn’t affect the total income ratio at all.

Technological progress and development directions of PetroChina overseas oil and gas field production

This study reviews the development history of PetroChina’s overseas oil and gas field development technologies, summarizes the characteristic technologies developed, and puts forward the development goals and technological development directions of overseas business to overcome the challenges met in overseas oil and gas production. In the course of PetroChina’s overseas oil and gas field production practice of more than 20 years, a series of characteristic technologies suitable for overseas oil and gas fields have been created by combining the domestic mature oil and gas field production technologies with the features of overseas oil and gas reservoirs, represented by the technology for high-speed development and stabilizing oil production and controlling water rise for overseas sandstone oilfields, high efficiency development technology for large carbonate oil and gas reservoirs and foamy oil depletion development technology in use of horizontal wells for extra-heavy oil reservoirs. Based on in-depth analysis of the challenges faced by overseas oil and gas development and technological requirements, combined with the development trends of oil and gas development technologies in China and abroad, overseas oil and gas development technologies in the future are put forward, including artificial intelligence reservoir prediction and 3 D geological modeling, secondary development and enhanced oil recovery(EOR) of overseas sandstone oilfields after high speed development, water and gas injection to improve oil recovery in overseas carbonate oil and gas reservoirs, economic and effective development of overseas unconventional oil and gas reservoirs, efficient development of marine deep-water oil and gas reservoirs. The following goals are expected to be achieved: keep the enhanced oil recovery(EOR) technology for high water-cut sandstone oilfield at international advanced level, and make the development technology for carbonate oil and gas reservoirs reach the international advanced level, and the development technologies for unconventional and marine deep-water oil and gas reservoirs catch up the level of international leading oil companies quickly.

Progress in China's Unconventional Oil & Gas Exploration and Development and Theoretical Technologies

The new century has witnessed a strategic breakthrough in unconventional oil ＆ gas.Hydrocarbon accumulated in micro-/nano-scale pore throat shale systems has become an important domain that could replace current oil ＆ gas resources.Unconventional oil ＆ gas plays an increasingly important role in our energy demand.Tight gas,CBM,heavy oil and asphaltic sand have served as a key domain of exploration ＆ development,with tight oil becoming a ＇bright spot＇ domain and shale gas becoming a ＇hotspot＇ domain.China has made great breakthroughs in unconventional oil ＆ gas resources,such as tight gas,shale gas,tight oil and CBM,and great progress in oil shale,gas hydrate,heavy oil and oil sand.China has an estimated（223-263）×10~8t of unconventional oil resources and（890-1260）×l0^（12）m^3 of gas resources.China has made a breakthrough for progress in unconventional oil ＆ gas study.New progress achieved in fine-grained sedimentary studies related to continental open lacustrine basin large-scale shallow-water delta sand bodies,lacustrine basin central sandy clastic flow sediments and marine-continental fine-grained sediments provide a theoretical basis for the formation and distribution of basin central reservoir bodies.Great breakthroughs have been made in unconventional reservoir geology in respect of research methodology ＆ technology,multi-scale data merging and physical simulation of formation conditions.Overall characterization of unconventional reservoirs via multi-method and multi-scale becomes increasingly popular and facilitates the rapid development of unconventional oil ＆ gas geological theory,method and technology.The formation of innovative,continuous hydrocarbon accumulation theory,the establishment of the framework of the unconventional oil ＆ gas geological theory system,and the determination of the implications,geological feature,formation mechanism,distribution rule and core technology of unconventional oil＆ gas geological study lays a theoretical foundation for extensive unconventional oil ＆ gas exploration and development.Theories and technologies of unconventional oil ＆ gas exploration and development developed rapidly,including some key evaluation techniques such as ＇sweet spot zone＇ integrated evaluation and a six-property evaluation technique that uses hydrocarbon source,lithology,physical property,brittleness,hydrocarbon potential and stress anisotropy,and some key development ＆engineering technologies including micro-seismic monitoring,horizontal drilling ＆ completion and ＂factory-like＂ operation pattern, ＂man-made reservoir＂ development,which have facilitated the innovative development of unconventional oil ＆ gas.These breakthroughs define a new understanding in four aspects：①theoretical innovation;② key technologies;③ complete market mechanism and national policy support;and ④ well-developed ground infrastructure,which are significant for prolonging the life cycle of petroleum industry,accelerating the upgrade and development of theories and technologies and altering the global traditional energy structure.

Progress and prospects of horizontal well fracturing technology for shale oil and gas reservoirs

By systematically summarizing horizontal well fracturing technology abroad for shale oil and gas reservoirs since the “13th Five-Year Plan”, this article elaborates new horizontal well fracturing features in 3D development of stacked shale reservoirs, small well spacing and dense well pattern, horizontal well re-fracturing, fracturing parameters optimization and cost control. In light of requirements on horizontal well fracturing technology in China, we have summarized the technological progress in simulation of multi-fracture propagation, horizontal well frac-design, electric-drive fracturing equipment, soluble tools and low-cost downhole materials and factory-like operation. On this basis, combined with the demand analysis of horizontal well fracturing technology in the “14th Five-Year Plan” for unconventional shale oil and gas, we suggest strengthening the research and development in the following 7 aspects:(1) geology-engineering integration;(2) basic theory and design optimization of fracturing for shale oil and gas reservoirs;(3) development of high-power electric-drive fracturing equipment;(4) fracturing tool and supporting equipment for long horizontal section;(5) horizontal well flexible-sidetracking drilling technology for tapping remaining oil;(6) post-frac workover technology for long horizontal well;(7) intelligent fracturing technology.

Oil and Gas Supply and Demand in China and Its Development Strategy

The paper makes a comprehensive prediction of China＇s future demand for oil and gas with two methods, i.e. the prediction method based on the demand for individual oil and gas products and the method for predicting the total demand. According to the demand prediction of, and the historical data on, the oil and gas consumption, we conduct an analysis of the oil and gas consumption trends, which can be described as six different development periods. On the other hand, the paper makes a comprehensive analysis of the domestic oil and gas resources and, on this basis, makes a basic prediction of the domestic output of oil and gas. The supply and demand situation is also analyzed. By using the SWOT analysis method, the paper puts forward the development strategies for China＇s oil and gas industry and gives some related strategic measures.

Strategy of Oil and Gas Cooperation in the Belt and Road Initiative

This paper analyzes the basis for oil and gas cooperation in the Belt and Road Initiative(hereinafter referred to "the cooperation") and future cooperation needs, puts forward the basic idea and concept of the cooperation, establishes the full industry chain coordination win-win strategic system of the cooperation, demonstrates four aspects of capacities needing to be constructed or improved for the strategy and specific measures, and then proposes relevant policy recommendations.

Development characteristics, models and strategies for overseas oil and gas fields

Based on about 20 years of accumulated experience and knowledge of oil and gas field development in overseas countries and regions for China's oil companies, the development features, ideas, models and plan designing strategies of overseas oil and gas fields were comprehensively summarized. Overseas oil and gas field development has ten major features, such as non-identity project resource, diversity of contract type, complexity of cooperation model, and so on. The overseas oil and gas field development aims at the maximization of production and benefit during the limited contract period, so the overseas oil and gas field development models are established as giving priority to production by natural energy, building large-scale production capacity, putting into production as soon as possible, realizing high oil production recovery rate, and achieving rapid payback period of investment. According to the overseas contract mode, a set of strategies for overseas oil and gas field development plans were made. For tax systems contracts, the strategy is to adopt the mode of "first fat and then thinner, easier in the first and then harder", that is, early investment pace, production increase rate, development workload and production were decided by the change of tax stipulated in the contract. For production share contracts, the strategy is to give priority to high production with a few wells at a high production recovery rate to increase the cost-oil and shorten the period of payback. For technical service contracts, the strategy is that the optimal production target and workload of the project were determined by the return on investment, so as to ensure that the peak production and stable production periods meet the contract requirements.

Global Oil and Gas Development Situation in 2017

In 2017,the international oil price continued to be low,while the global oil and gas development situation was generally picking up.With the international oil price fluctuating upwards and two consecutive years of declination in the global upstream of oil and gas investment,the growth potential of upstream investment was released in 2017.The growth rate of natural gas consumption picked up,therefore natural gas production was maintained with steady growth.During the period of low oil prices,oil and gas development costs decreased significantly.However,as oil prices rebounded,the benefit level of oil and gas assets also continued to increase,and the profitability of oil companies increased significantly.In the past decade,total global crude oil and natural gas output has grown steadily year by year,with an average annual growth rate of 1.52%.

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

On December 2,2017,the 2^(nd) Seminaron 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",the