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magazine / ma06
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March/April 2006 issue |
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Every last drop
With petroleum prices soaring, oil producers are taking a virtual look underground to squeeze the most out of their reserves
By Jodi Di Menna and Steven Fick
It’s a ghostly view of the subterranean world that reveals untapped riches (right). As
conventional oil reservoirs in Western Canada are drained, petroleum companies are combining
mathematical imaging with engineering innovations to flush more from old wells and other unconventional
sources, such as oil sands — particularly from deposits that are too deep to mine economically.
For every barrel of conventional oil that is pumped from the ground in Alberta using standard
techniques, as many as three barrels remain economically unavailable. With oil prices hovering
around $65 (U.S.)/barrel, producers now have the incentive and the cash flow to chase even
those hard-to-reach leftovers — as much as eight billion barrels in Western Canada.
Powerful imaging software is increasingly used to test creative retrieval methods, which
include lighting fires in underground reservoirs or injecting solvent-laden steam to coax
the thick bitumen to flow.
The industry is abuzz with the prospects of what is called enhanced recovery, but renewed
activity around old wells also means more environmental impact.
"Areas that perhaps were beginning to be reclaimed back into wilderness will again
be subject to that disturbance," says Dan Woynillowicz of the Pembina Institute, an
environmental-policy organization based in Drayton Valley, Alta. One particular concern are
steam-injection methods, which drain aquifers, lakes and streams of considerable amounts
of water, endangering fish populations and wetlands.
It’s a win-win situation for oil firms. "Companies are saying, ‘We’ve
already got a number of wells in the ground, and here’s an opportunity for us to go
back and get more oil out of what’s already been drilled,’" says Greg Stringham,
vice-president of the Canadian Association of Petroleum Producers. "Enhanced recovery
is becoming a prime factor in the continuation and maturation of the oil reservoirs in Western
Canada."
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