22 SPE: Production Optimization & Artificial Lift

Tuesday, 9 May 2006
1:00 PM - 5:00 PM

REDUCING ELECTRIC PUMPING CONSUMPTION IN MATURE FIELDS: CASE STUDIES

Paper number: 22-5
Program: SPE SESSIONS
Time: 3:00 PM – 3:30 PM

Authors

Abstract

There are about 640,000 pumping units nationwide consuming over 50,383 gigawatt hours (GWh) annually. Based on a study conducted for the California Energy Commission, about 45% of these pumping units operate so inefficiently that their electric power consumption is often 8 10 times more than an efficient pumping unit. Other studies and papers have suggested that energy saving projects are viable and economically attractive. However, operators are not pursuing these types of projects. The PTTC identified several reasons why operators hesitate to take advantage of technologies to improve efficiency and reduce operation cost. For many operators implementing a corrective measure involves uncertainty or a Misunderstanding /lack of trust about new technologies. Operators resist change when they do not understand its implications and perceive that it might cost them much more than they gain. This paper will provide specific information on actual energy reduction projects installed by small producers in California including production impacts, project costs, energy savings, and project economics.

Application: The information provided in this paper can be used by all producers to determine if a well is electrically inefficient and specific corrective measures that can be used to reduce energy consumption.

Results/Observations/Conclusions: Typical energy efficiency projects are economically viable with short payback periods and high ROI. At a time of high oil prices, this is the time to correct pumping units with problems. In addition, these case studies show that there are side benefits to corrective measures that can increase well productivity.

Significance of subject matter: Reluctance in implementing a change in operating practices puts unnecessary demands on the nation's power grid. Wells operated inefficiently may prematurely experience their economic limit further affecting domestic production. Continued long term pumping inefficiencies have negative implications for the operator, for the fields and for the consumers.