Significant Increase of Oil and Natural Gas Reserves throughout 2013

China＇s Ministry of Land and Resources announced on 27th February 2014 that proven reserves of oil, natural gas and coal continued to increase significantly, and that their production shows a steady increase. This greatly improves China＇s support capacity of fossil fuel resources.

Reserves of Natural Gas Hydrates Equivalent to 100–150 Billion m^3 Natural Gas Has Been Discovered in the Pearl Mouth Basin of the South China Sea

Scientists have suggested that combustible ice in global marginal seas,deep trough areas and ocean basins covers an area of 400million km2,and its total reserve is twice the amount of the global proven oil,coal and gas reserves,equivalent to 50 times the amount of conventional natural gas reserves.

Innovation and practice of petroleum engineering synergetic management for the development of difficult-to-produce reserves

Due to engineering technology and development costs,a considerable amount of proven oil and gas resources in China are difficult to develop,becoming reserves difficult to produce.Based on the successful development of some domestic oil and gas reserves difficult to recover,this article summarizes the"four in one"petroleum engineering synergetic management model to promote the effective development of these reserves.This model draws on the essence of management theories,such as system theory,cybernetics and synergetic theory,and proposes the development idea of value creating and sharing for this type of reserves.By adopting the new management method of mechanism synergy,speciality synergy,process synergy and industrial chain synergy,this model effectively overcomes the decentralization of management responsibility,different management objectives,great risks of engineering and technological innovation,and the large number of uncertain factors in project construction,and can stimulate the vitality and power of active coordination of project participants,to effectively realize the synergetic innovation of engineering technology and synergetic cost reduction of the whole chain,reduction of the balanced oil price of the project,and dispersion of the project investment risk.By adopting this model,a large proportion of difficult-to-produce reserves have been liberated,realizing the effective utilization of the difficult-to-produce oil and gas resources,and making the reserves an important supplement to ensure national energy security.

Real Option and Valuation of CNOOC Ltd

This paper introduces a real option approach to valuation of oil companies and uses the real option pricing model to value CNOOC Ltd. at the time of its IPO. The empirical result shows that the option pricing value of CNOOC Ltd. exceeds its IPO price at about 21%.

Sustainable development of unconventional resources: Analysis of the transient linear flow oriented straight-line analysis technique

On the backdrop of dwindling conventional reserves,unconventional reservoirs have emerged as a pivotal chapter in resource extraction.Despite their challenges,such as low permeability,complex fluid storage,and flow mechanisms,hydraulic fracturing technology has underpinned the development of unconventional reservoirs.Consequently,this has brought about a shift in the sequence of flow regimes,e.g.,the transient radial flow regime has been largely shortened by the lengthy transient linear flow regime due to the low permeability of unconventional reservoirs.Moreover,straight-line analysis(SLA),the simplest technique in rate transient analysis(RTA),is a fundamental and potent tool for swiftly extracting reservoir and hydraulic fracture information,estimating oil and gas reserves,and furnishing crucial initial data for subsequent historical matching processes.However,there is currently a dearth of review papers pertaining to a necessary guide of applying SLA in various transient linear flow(TLF)regimes and different unconventional reservoirs.Hence,this paper commences by elucidating the classification of TLF regimes,commonly used methods for recognizing flow regimes,and the diverse SLA methods used for different TLF regimes.Subsequently,it delves into a discussion of different modification techniques for variable rate/flowing pressure,gas phase,complex reservoir characteristics in unconventional reservoirs,and dynamic drainage area concepts etc.Furthermore,the application of SLA in specific domains,namely core analysis and the flowback period,is described.It culminates by surveying the advancements through an integration of novel technologies to enhance estimation accuracy.The paper also highlights certain drawbacks of current SLA technology and proposes new research directions.Ultimately,this paper would serve as an indispensable resource,offering foundational knowledge for the application of SLA in TLF to promote the production of global unconventional resources in a cost-effective and environmentally sustainable fashion in the face of a climate-resilient world.

Optimal Energy Reserve Scheduling in Integrated Electricity and Gas Systems Considering Reliability Requirements

With the growing interdependence between the electricity system and the natural gas system,the operation uncertainties in either subsystem,such as wind fluctuations or component failures,could have a magnified impact on the reliability of the whole system due to energy interactions.A joint reserve scheduling model considering the cross-sectorial impacts of operation uncertainties is essential but still insufficient to guarantee the reliable operation of the integrated electricity and natural gas system(IEGS).Therefore,this paper proposes a day-ahead security-constrained unit commitment(SCUC)model for the IEGS to schedule the operation and reserve simultaneously considering reliability requirements.Firstly,the multi-state models for generating units and gas wells are established.Based on the multi-state models,the expected unserved energy cost(EUEC)and the expected wind curtailment cost(EWC)criteria are proposed based on probabilistic methods considering wind fluctuation and random failures of components in IEGS.Furthermore,the EUEC and EWC criteria are incorporated into the day-ahead SCUC model,which is nonconvex and mathematically reformulated into a solvable mixed-integer second-order cone programming(MISOCP)problem.The proposed model is validated using an IEEE 30-bus system and Belgium 20-node natural gas system.Numerical results demonstrate that the proposed model can effectively schedule the energy reserve to guarantee the reliable operation of the IEGS considering the multiple uncertainties in different subsystems and the cross-sectorial failure propagation.