Careers in Petroleum Engineering presented by Dr. Bryan Maggard This concludes the presentation. Are there any questions? Please contact Dr. Maggard if there are further questions about the department or to arrange a visit. Undergraduate Advisor maggard@pe.tamu.edu 979-845-6955 www.pe.tamu.edu

Work force in many industries is aging Careers in Petroleum Engineering

Careers in Petroleum Engineering Major shortage of technical personnel NOW! Careers in Petroleum Engineering

Careers in Petroleum Engineering As a PETE you can work in many faraway places. Job Supervision at -45°C… (Prudhoe Bay, Alaska) (~-50°F) Careers in Petroleum Engineering

Careers in Petroleum Engineering PETE …and at +45°C (Lekhwair, Oman) (~+115°F) “support engineers” Careers in Petroleum Engineering

Careers in Petroleum Engineering BUT, you don’t have to travel! Huge unconventional gas reserves, right here at home… Largest U.S. Gas Field! …not to mention the Gulf of Mexico, W. Texas, Latin America, Canada, and Alaska! Careers in Petroleum Engineering

Careers in Petroleum Engineering Outline Technical Aspects of Oil & Gas The Oil & Gas Industry supply & demand oil & gas reserves petroleum engineer’s role The Harold Vance Department of Petroleum Engineering This presentation contains some technical information about oil & gas deposits, an overview of energy supply & demand, oil & gas reserves, the petroleum engineer’s role in the oil & gas industry, and the petroleum engineering department at Texas A&M. Careers in Petroleum Engineering

Hydrocarbon Molecules—many simple Simplest hydrocarbon is methane--CH4 This chart shows some simple examples of the paraffin, naphthene, and aromatic molecules—butane, cyclohexane, and benzene. Careers in Petroleum Engineering

And some are very complex! Careers in Petroleum Engineering

Careers in Petroleum Engineering Where Do We Find Hydrocarbons? in a big lake of oil… …made from dinosaur carcasses? No! on both counts! Careers in Petroleum Engineering

Oil and Gas Deposits—are in Porous Rocks Deep source rocks Shales containing remains of mostly algae Underground reservoir rocks porous rock, usually sedimentary (sandstone, limestone) not lakes! Traps Porousrock beds with impermeable cap rock Now we can even produce from source rocks Oil & gas deposits are complex mixtures of hydrocarbons and other chemical species that occur in underground reservoirs. The hydrocarbon molecules are from various families of compounds, ranging from small and simple, light molecules called paraffins (e.g., methane, ethane, …) to large and complex, heavy molecules called resins-asphaltenes (e.g., groups of aromatics with three to ten rings usually with one to three sulfur, oxygen, or nitrogen atoms). Whether the mixture is oil (a liquid) or natural gas (a gas) or indeed, a tar (a solid) depends upon the relative amounts of light and heavy molecules and the pressure and temperature in the reservoir. Oil & gas deposits are formed when the organic material in source rocks is transformed into oil or gas and migrates upward in a reservoir rock to a suitable trap. Careers in Petroleum Engineering

Rhombohedral Packing of Spheres—26% Porosity In reservoirs, oil is here... …and the original oil source was mainly algae! When the spheres are moved to a close packing, such as occurs in the earth with greater pressure and movement, the porosity is reduced. Careers in Petroleum Engineering

Cross Section of a Petroleum System Overburden Rock Seal Rock Reservoir Rock Source Rock Underburden Rock Basement Rock Top Oil Window Top Gas Window Geographic Extent of Petroleum System Petroleum Reservoir (O) Fold-and-Thrust Belt (arrows indicate relative fault motion) Essential Elements of Petroleum System (modified from Magoon and Dow, 1994) O Sedimentary Basin Fill Stratigraphic Extent of Pod of Active Extent of Prospect/Field Extent of Play This chart depicts a cross-section of a petroleum system in a sedimentary basin. Note that the source rock is between two levels, called the top of the oil & gas windows. These are depths below which pressure and temperature are suitable to transform organic material into oil & gas, respectively. Once the material has been transformed, it migrates upwards to a porous and permeable rock, called a reservoir rock, through which it can be further transported to suitable trap—a geologic feature which limits the material’s further transport and causes it to accumulate. Careers in Petroleum Engineering

Careers in Petroleum Engineering Seal Generation, Migration, & Accumulation Seal Fault (impermeable) Oil/water contact (OWC) Hydrocarbon accumulation in the reservoir rock Migration route Seal Here’s a cartoon showing that oil & gas deposits can occur when three geologic conditions are met. First, there must be a source rock in the subsurface to generate the oil or gas. Second, there must be a separate, subsurface reservoir rock to hold the oil or gas. Third, there must be a trap on the reservoir rock to cause the oil or gas to accumulate into commercial quantities. Reservoir rock Top of maturity Source rock Careers in Petroleum Engineering

Industry & Petroleum Engineering Energy Supply & Demand World Oil & Gas Reserves The Need for Petroleum Engineers Now, an overview of energy supply & demand, oil & gas reserves, and the petroleum engineer’s role in the oil & gas industry. Careers in Petroleum Engineering

Careers in Petroleum Engineering

Careers in Petroleum Engineering

Careers in Petroleum Engineering

Alternative energy will save us…eventually One Windmill blade 1000 windmills to replace one coal-fired power plant Hundreds of windmills to replace one natural gas-fired power plant. And gas is the greenest fossil fuel Careers in Petroleum Engineering

Petroleum Resources (modified from November/December 2004, Drilling Contractor Magazine) Conventional Reservoirs Small Volumes, “Easy” to Develop Improved Technology PAST Easy Stuff! Higher Prices Unconventional Reservoirs Large Volumes, “Difficult” to Develop Low Permeability Reservoirs (Oil and Gas) PRESENT Gas Shales Heavy Oil Coalbed Gas Conventional reservoirs have provided easy to develop and inexpensive source of energy, but production is expected to decline soon. Unconventional reservoirs are more difficult to develop, but provide a large resource base, and are being developed today, and are expected to contribute for several decades into the future. Higher prices and improved technology have allowed production from unconventional reservoirs. Gas hydrates and oil shales may be developed in the future if price and technological improvements allow. Gas Hydrates Oil Shale FUTURE Plus Development of Infrastructure and Delivery of Alternative Energy We will need more Aggie Engineers!!! Careers in Petroleum Engineering

Crude oil prices since 1861 --last few years driven by demand! Specialty product Demand! geopolitics commodity Careers in Petroleum Engineering

Careers in Petroleum Engineering Oil & Gas Reserves “Reserves are those quantities of petroleum which are anticipated to be commercially recoverable from known accumulations from a given date forward.” SPE-WPC (1997) Reserve is a technical term used to quantify expected oil & gas recovery. It’s important to understand the resulting numbers depend upon thee factors—current technology, current prices & costs, and current regulations. So, although the world is using a lot of oil & gas, the reserve posture changes with time because of changes in these three factors. Both the net effect and changes in the factors are illustrated in the charts that follow. Careers in Petroleum Engineering

Proved conventional oil reserves currently Careers in Petroleum Engineering

Careers in Petroleum Engineering You can help change the Import picture! Careers in Petroleum Engineering

Advances in Well Drilling In early days we borrowed technology from other industries… Water-well drilling rigs Anti-tank weapon technology to shoot through steel/cement to connect wellbore to reservoir …Now others borrow from us Drilling for evidence of water on Mars using Baker Hughes drilling equipment Here’s a big reason reserves of both oil and natural gas have increased over the last ten years—improvement in drilling technology have made it possible to reach harder to develop sources of supply. Careers in Petroleum Engineering

Careers in Petroleum Engineering Like, sources now being found offshore in deep water. Modern drill ships use GPS technology to remain on location and are capable of operating in 10,000 feet of water while drilling wells to new sources of supply, located thousands of feet beneath the ocean floor. 1900 Adapted Water Well Technology 2000 Careers in Petroleum Engineering

The Petroleum Engineer’s Role Petroleum engineers are primarily concerned with the economic extraction of oil, gas, and other natural resources from the earth. They: design, drill, and operate wells and well systems evaluate the resources of subsurface formations manage the underground reservoirs in which the resources are found Massive computer use in the office Great opportunities to supervise in the field Petroleum engineer’s solve problems relating to production of oil & gas. Petroleum engineering graduates become drilling and production engineers—responsible for drilling and operation of wells. Others become formation evaluation and reservoir engineers responsible for evaluation and management of the subsurface formations and reservoirs containing oil & gas. Careers in Petroleum Engineering

Harold Vance Dept of Petroleum Engineering Great students entering students have among the top scores at Texas A&M and College of Engineering Great faculty 4 faculty are members of the National Academy of Engineering 15 faculty are Society of Petroleum Engineers – Distinguished Members Great scholarship program students who carry 3.0 and 13 hours typically have departmental merit scholarships Great degree program top-ranked program in US among the largest programs in US strong demand results in competitive admission Here are a few facts about the department. Careers in Petroleum Engineering

Other Interesting Facts Many executives of major, multinational oil companies are Aggie Petroleum Engineers 15-20% of US petroleum engineering graduates are from Texas A&M Petroleum engineers command among the highest starting salaries nationwide Summer internships often pay $4000-5000 per month—and summer jobs often lead to full-time employment See following slide More facts about our students and graduates. Note the reference to internships. A summer internship is the best way to determine whether petroleum engineering is an appropriate career choice for you. Multiple summer internships is the norm for our students. At least one summer internship is required. Careers in Petroleum Engineering

Other Interesting Facts Modified from NPR, 9 September 2013 (Removed lowest majors) http://www.npr.org/blogs/money/2013/09/10/219372252/the-most-and-least-lucrative-college-majors-in-1-graph?utm_source=npr&utm_medium=facebook&utm_campaign=nprfacebook More facts about our students and graduates. Note the reference to internships. A summer internship is the best way to determine whether petroleum engineering is an appropriate career choice for you. Multiple summer internships is the norm for our students. At least one summer internship is required. Careers in Petroleum Engineering

Careers in Petroleum Engineering presented by Dr. Bryan Maggard This concludes the presentation. Are there any questions? Please contact Dr. Maggard if there are further questions about the department or to arrange a visit. Undergraduate Advisor maggard@pe.tamu.edu 979-845-6955 www.pe.tamu.edu