Category: Oil and Gas business

Gas molecules (e.g. methane) trapped in water-ice “cages” in subsea deposits. Some scientists believe that methane gas will be a substantial source of energy

An informal market which trades in the future delivery of a specific type of oil with only some transactions resulting in physical delivery of the oil. Unlike a futures market, regulation is much less strict and there is no clearinghouse or margin payments. These conditions tend to restrict trading to large oil companies and financial entities

A type of reservoir-drive mechanism in which the energy for the transport and production of reservoir fluids is provided by the expansion of gas either in the gas cap or inside the oil phase. In such a drive, the gas cap expands to force oil into the well and to the surface

The offshore Israel fiscal terms are exceptional. Terms are very similar to USA Gulf of Mexico terms, and include a 27.5% Depletion Allowance. Corporate Tax is applied to income after deduction of royalty, costs, and the depletion allowance. Assuming the Leaseholder is a branch of a foreign company (no dividend tax), and applying 25% corporate tax (2010 forward), the effective tax rate can reach less than 15% due to favorable impact of the depletion allowance

The ability to monitor bottomhole flowing pressure in pumping oil wells provides important information regarding both reservoir and artificial lift performance. Converting surface pressure measurements to bottomhole is currently accomplished by locating the fluid level in the annulus using a sonic device and then applying a correlation to estimate the density of the gas-cut liquid column above the perforations

Formation damage is a problem that can occur during the various phases of oil and gas recovery from subsurface reservoirs including production, drilling, hydraulic fracturing and workover operations. Formation damage assessment, control and remediation are among the most important issues to be resolved for efficient exploitation of hydrocarbons. Formation damage indicators include permeability impairment, skin damage and decrease well performance

Used where it is not possible or efficient to lay a pipeline to the shore. The production platform will transfer the oil or gas to the FSO where it will be stored until a tanker arrives and connects to the FSO to offload it. In addition in times of surplus of LNG tankers these can be used as floating storage if required.

Anything left in a wellbore. It does not matter whether the fish consists of junk metal, a hand tool, a length of drillpipe or drill collars, or an expensive MWD and directional drilling package. Once the component is lost, it is properly referred to as simply “the fish”