Gas-Lift Breakout Sessions Fall 2003 Gas-Lift Workshop Tuesday, October 21, 2003 Breakout Sessions 17:00 – 18:00 Choose one session Results will be reported to entire group on Wednesday Justifying Gas-Lift Automation Facilitator(s) Function Room 9 Alan Broxson eProduction Solutions Gas-Lift Software Facilitator(s) Function Room 10 Dr. Rick Lemanczyk, Edinburgh Petroleum Services Dual Gas-Lift Facilitator(s) Main Conference Room Mike Johnson, ExxonMobil 12/2/2018 Gas-Lift Surveillance Course

Gas-Lift Breakout Session Report Out Fall 2003 Gas-Lift Workshop Wednesday, October 22, 2003 Breakout Sessions Justifying Gas-Lift Automation Report Out By: Alan Broxson eProduction Solutions Gas-Lift Software Report Out By: Dr. Rick Lemanczyk, Edinburgh Petroleum Services Dual Gas-Lift Report Out By: Mike Johnson, ExxonMobil 12/2/2018 Gas-Lift Surveillance Course

Gas-Lift Breakout Session Report Out Fall 2003 Gas-Lift Workshop Wednesday, October 22, 2003 Justifying Gas-Lift Automation --- Highlights Practical realities Competing for project budget $$’s Economic models of PSC or financial partners may not be same Marginal fields typically require more automation (for improved information) “Greenfield” projects are easier to justify (automation is typically 5 – 8% of total CAPEX) Increased funding on CAPEX can be justified with projected OPEX reductions “Not invented here” paradigm can be obsolete Production ceilings can negatively impact project justification 12/2/2018 Gas-Lift Surveillance Course

Gas-Lift Breakout Session Report Out Fall 2003 Gas-Lift Workshop Wednesday, October 22, 2003 Justifying Gas-Lift Automation --- Highlights Typical justifications/benefits Improved production rates > +/- 5% Accelerated production in declining or marginal fields Reduced OPEX (transportation, demanning, etc.) HSE considerations – company personnel and general population in inhabited areas (e.g. reduced liability) Improved management financial information through export of data to corporate packages Ability to prioritize wells for gas distribution during normal Technology has been validated Equating automation with optimization Combination of reservoir, wellbore, and surface monitoring provides a powerful asset management tool 12/2/2018 Gas-Lift Surveillance Course

Gas-Lift Breakout Session Report Out Fall 2003 Gas-Lift Workshop Wednesday, October 22, 2003 Gas-Lift Software --- Highlights Application areas Planning/forecasting Design Simulation Surveillance Optimization Control Integration of surface with reservoir models Perform optimization on total system Many “generic” applications available and adequate Need to improve “work flow” and sense checks for non-expert users 12/2/2018 Gas-Lift Surveillance Course

Gas-Lift Breakout Session Report Out Fall 2003 Gas-Lift Workshop Wednesday, October 22, 2003 Gas-Lift Software --- Highlights Simulation Design validation Training Today: high learning curve, time investment Surveillance/monitoring Should not be the same as design tools Expert alarm systems – exception based Simple Q&A Complex pattern recognition Data visualization + capture simplified Integrate subsurface/facilities expertise with DCS & SCADA system suppliers 12/2/2018 Gas-Lift Surveillance Course

Gas-Lift Breakout Session Report Out Fall 2003 Gas-Lift Workshop Wednesday, October 22, 2003 Gas-Lift Software --- Highlights Optimization Algorithms now increasingly applied to production systems Upset response (< 1 day cycle) Emergencies Immediate actions Direct link to operations Intelligent operations Allocation of lift gas De-bottlenecking Conceptual design Integration with DCS/SCADA 12/2/2018 Gas-Lift Surveillance Course

Gas-Lift Breakout Session Report Out Fall 2003 Gas-Lift Workshop Wednesday, October 22, 2003 Gas-Lift Software --- Highlights Control DCS functions now moving to SCADA type environment/platforms Improved communications between DCS and PC-based optimization tools Control now increasingly achievable at point of injection 12/2/2018 Gas-Lift Surveillance Course

Gas-Lift Breakout Session Report Out Fall 2003 Gas-Lift Workshop Wednesday, October 22, 2003 Dual Gas-Lift --- Highlights Information we’d like to see in API RP 11V9 Design method to produce both high and low PI wells (sides of a dual well) at same time Ways to effectively model dual wells Methods to unload – unload together or one at a time Effects of temperature on unloading valve design Some actual/potential dual gas-lift problems Problems if use IPO valves on both sides of a dual Lift from different depths in each side Need good well data to design PPO valves Problems with 1” nitrogen and spring charged PPO valves hanging open Flow cutting of upstream choked valves 12/2/2018 Gas-Lift Surveillance Course

Gas-Lift Breakout Session Report Out Fall 2003 Gas-Lift Workshop Wednesday, October 22, 2003 Dual Gas-Lift --- Highlights Some actual/potential successes in dual gas-lift Use PPO valves for unloading Install IPO valves at operating depth Install nozzle venturi in poor side to limit injection Some say to not use a nozzle venturi on both sides Some think it would be OK Use same port size on both sides Use of proportional response or constant flow valves better than IPO Use IPO on one side, PPO on other Unload IPO side first Use operating casing pressure to design/unload other side 12/2/2018 Gas-Lift Surveillance Course