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2018

ONGC: An Overview
An overview of Oil Field Exploration, Drilling, Production
and Processing.

SUMMER TRAINING ARPAN DALAI


ONGC TRIPURA ASSET 2nd Year B.Tech Mechanical Engineering
National Institute of Technology
MENTOR: MR. STAYENDRA KUMAR
Rourkela

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CERTIFICATE OF COMPLETION
This is to certify that ARPAN DALAI, 4th Semester undergraduate student,
Mechanical Department, National Institute of Technology, Rourkela, has
successfully completed his summer training from 21st May 2018 to 20th
June 2018 in the Tripura Asset of ONGC. During the training he has
successfully made and submitted a training report on “ONGC-An
Overview”, which has been examined and was found to be satisfactory.

Training Coordinator Mentor


R.S.Mondal Satyendra Kumar
(Manager HR) (Surface team)
Acknowledgement

I would like to take this opportunity to convey my deep gratitude to ONGC Tripura

for facilitating me for summer training 2018. I would like to thank all the officers

who took out their precious time for me and explained their level best, the

complete processes that take place in ONGC. I would also acknowledge my

heartiest thanks to all the workers and staff who made our site visits possible.

I pay my overwhelming gratitude to my mentor, Mr. Satyendra Kumar, Surface

Team, for taking care of every detail of the training. I would also like to thank Mr.

Samit Pradhan, Surface Team and Mr. R.S.Mondal, Manager HR, for their

constant support. I also owe special thanks to the Installation Managers Mr. Gopal

Roy (ADB GCS) and Mr. R.Gawande (Rokhia GCS) for helping me visit and learn

the processes in detail.


INDEX

Sl No. Description Page No.

1. About ONGC 1

2. Geology 14

3. Reservoir Engineering 20

4. Drilling 21

5. Oil and Gas Production 26

6. Oil and Gas Processing 30

7. Metering Systems 35

8. Flaring System 36

9. SCADA System at ONGC 38

10. Fire and Safety 39

11. Sources of Knowledge 41


1.0 About ONGC
Oil and Natural Gas Corporation Limited (ONGC) is an Indian multinational oil and gas company
earlier headquartered in Dehradun, Uttarakhand, India. As a Corporation, it is registered office is
now at Deendayal Urja Bhavan, Basant Kunj, New Delhi 110070 India. It is a Public Sector
Undertaking (PSU) of the Government of India, under the administrative control of the Ministry
of Petroleum and Natural Gas. It is the only public sector Indian company to feature in Fortune’s
‘Most Admired Energy Companies’ list. ONGC ranks 18th in ‘Oil and Gas operations’ and 183rd
overall in Forbes Global 2000. Acclaimed for its Corporate Governance practices, Transparency
International has ranked ONGC 26th among the biggest publicly traded global giants. It is most
valued and largest E&P Company in the world, and one of the highest profit-making and dividend-
paying enterprise.

1.1 History
After independence, the Government realized the importance of oil and gas for rapid industrial
development and its strategic role in defence. Consequently, while framing the Industrial Policy
Statement of 1948, the development of the hydrocarbon industry in the country was considered to
be of utmost necessity. In 1955, Government of India decided to develop the oil and natural gas
resources in the various regions of the country as part of Public Sector development. With this
objective, an Oil and Natural Gas Directorate was set up in 1955 under the then Ministry of Natural
Resources and Scientific Research. The department was constituted with a nucleus of geoscientists
from the Geological survey of India. In April 1956, the Government of India adopted the Industrial
Policy Resolution, which placed mineral oil industry amongst the Schedule 'A' industries, the
future development of which was to be the sole and exclusive responsibility of the state.

Soon, after the formation of the Oil and Natural Gas Directorate, it became apparent that it would
not be possible for the Directorate with limited financial and administrative powers to function
efficiently. So in August, 1956, the Directorate was raised to the status of a commission with
enhanced powers, although it continued to be under the government. In October 1959, the
Commission was converted into a statutory body by an act of Parliament, which enhanced powers
of the commission further.

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ONGC went offshore in early 70's and discovered a giant oil field in the form of Bombay High,
now known as Mumbai High. This discovery, along with
subsequent discoveries of huge oil and gas fields in Western
offshore changed the oil scenario of the country. Subsequently,
over 5 billion tonnes of hydrocarbons, which were present in the
country, were discovered. The most important contribution of
ONGC, however, is its self-reliance and development of core
competence in E&P activities at a globally competitive level.

The liberalized economic policy, adopted by the Government of India in July 1991, sought to
deregulate and de-license the core sectors. As a consequence thereof, ONGC was re-organized as
a limited Company under the Company's Act, 1956 in February 1994.

After the conversion of business of the erstwhile Oil & Natural Gas Commission to that of Oil &
Natural Gas Corporation Limited in 1993, the Government disinvested 2 per cent of its shares
through competitive bidding.

During March 1999, ONGC, Indian Oil Corporation (IOC) - a downstream giant and Gas
Authority of India Limited (GAIL) - the only gas marketing company, agreed to have cross holding
in each other's stock Consequent to this the Government sold off 10 per cent of its share holding
in ONGC to IOC and 2.5 per cent to GAIL. With this, the Government holding in ONGC came
down to 84.11 per cent.

In the year 2002-03, after taking over MRPL from the A V Birla Group, ONGC diversified into
the downstream sector. ONGC has also entered the global field through its subsidiary, ONGC
Videsh Ltd. (OVL). ONGC has made major investments in Vietnam, Sakhalin, Columbia,
Venezuela, Sudan, etc. and earned its first hydrocarbon overseas revenue from its investment in
Vietnam.

Today, Oil and Natural Gas Corporation Ltd. (ONGC) is, the leader in Exploration & Production
(E&P) activities in India contributing 72 per cent to India’s total production of crude oil and 48
per cent of natural gas.

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1.2 Present Scenario

Exploration

 Discovered six out of seven producing Basins in India. Located 8.78 billion tonnes of Oil
& Oil Equivalent in Indian Basins with over 400 discoveries
 ONGC is the largest exploration acreage and mining lease holder in India
 83% of established reserves (out of 10.9 BT) in the country has been discovered by ONGC.
 22 new discoveries - 10 new prospects, 12 new pools in FY’15
 Reserve Replenishment Ratio (RRR) for the last ten years has been more than One (3P
Reserves)

Production

 ONGC has been able to arrest decline in majority of its matured fields (of vintage 30-50
years) that contribute 72% of the company’s O+OEG production through its majorly
successful technology-intensive IOR and EOR.
 1184 oil wells and 151 gas wells in offshore and 4735 oil wells and 606 gas wells in onshore
as on April 1, 2015
 Western Offshore production up by 7.5% (16.20 MMT in FY’15 against 15.54 MMT in
FY’14)
 Produces 1.2 million barrels of oil equivalent per day
 ONGC accounts 69% of Crude oil & 70% of Natural Gas production
 Produced 1,743 Million Metric Tonnes of Oil Equivalent so far
 Arrested decline in 14 major fields producing for over 30 years, vis-a-vis global decline
rate of 7% from matured fields.

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1.3 Growth Story
ONGC was set up under the visionary leadership of Pandit Jawahar Lal Nehru. Pandit Nehru
reposed faith in Shri Keshav Dev Malviya who laid the foundation of ONGC in the form of Oil
and Gas division, under Geological Survey of India, in 1955. A few months later, it was
converted into an Oil and Natural Gas Directorate. The Directorate was converted into
Commission and christened Oil & Natural Gas Commission on 14th August 1956.
The Company’s Evolution can be summarized as under:

 1955 – Inception
 1958 – First Oil in Cambay
 1960 – Oil gas discovery in Gujarat
 1963 – Oil in Assam
 1965 – Concept of ONGC Videsh Operations
 1970 – first Offshore well
 1974 – Mumbai High discovered
 1976 – Bassein Gas field of Mumbai High
 1984 – GAIL formed out of ONGC
 1993 – ONGC a limited company
 1993 – Govt of India divest 2% share
 1994 – 2% share to employees
 1999 – Equity swap ONGC, IOC, GAIL
 2003 – Acquired Mangalore Refineries Petrochemicals Ltd from Birla Group
 2003 – Ist equity Oil & gas from Sudan / Vietnam
 2004 – Govt of India divests 10%
 2006 – Diversification – ONGC Petro additives Ltd and ONGC Mangalore Petro Ltd
 2007 – ONGC Energy Centre formed
 2010 – Coal Bed Methane Production
 2013 – Oil at Kazakhstan/Mozambique

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With more than 50 years of Exploration ONGC had discovered 6 of the 7 Producing basins of
India. These Oil Producing Basins are;

 1958 – Cambay, Gujarat


 1967 – Rajasthan
 1973 – Assam
 1974 – Mumbai Offshore
 1980 – Krishna Godavari Basin
 1985 – Cauvery Basin

1.4 Vision and Mission

To be global leader in integrated energy business through sustainable growth, knowledge


excellence and exemplary governance practices.

World Class

 Dedicated to excellence by leveraging competitive advantages in R&D and technology


with involved people.

 Imbibe high standards of business ethics and organizational values.

 Abiding commitment to safety, health and environment to enrich quality of community


life.

Integrated In Energy Business

 Focus on domestic and international oil and gas exploration and production business
opportunities.

 Create growth opportunities and maximize shareholder value.

Dominant Indian Leadership

 Retain dominant position in Indian petroleum sector and enhance India's energy
availability.

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Major Work Centres of ONGC

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1.5 ONGC Tripura Asset

Tripura is one of the main work centers in the north east region of ONGC. It is based in

Agartala with a man power of around 1000. The work force is comprised of people from

all over the country. Geographically Tripura is a part of frontal folded basin of the Assam

basin and is situated between the proven commercially oil and gas bearing region of Sylhet

in Bangladesh.

Exploration activities in Tripura dates back to 1939 when Burma oil company and

subsidiary carried out photo geological mapping on 18th july 1972. The chief minister of

Tripura ceremonially studded the first well Baramura#1 (#BM1). It proved the commercial

presence of gas in Tripura. The difficult subsurface conditions, logistics and environmental

problems posed a real challenge to ONGC. Exploration activities of ONGC were

commended in 1962. These efforts have resulted in the identification of 18 different

structures. ONGC established its project in Tripura in 1970 and drilling commenced in

1972. Out of 18 structures, 4 viz. Baramura, Rokhia, Agartala Dome and Konaban are

under production.

Around 100 wells are flowing at present in Tripura. The success ratio here has been one of

the highest compared to all around the world. The region has a reserve of around 32 billion

cubic meters of gas.

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1.5.1 Major Departments in ONGC

 Forward base (Geology)

 Sub surface team

 Surface team

 Drilling services

 Logging services

 Well services

 Engineering services

Supporting team consists of:

 Civil services

 Finance

 Infocom

 Human Resources

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1.5.2The Roadway to Tripura

 1962 - Geological survey

 1970 - Project Establishment

 1972 - Drilling commenced

 1975 - Commercial gas discovery

 1975 - Baramura field

 1982 - Gojalia

 1983 - Manikhyanagar

 1986 - Konaban

 1987 - Agartala Dome

 2000 - Tichna

 2004 - Sonamura

 2007 - Kunjaban and Sundalbari

 2008 - Tulamura

 2009 - Khubal

 2010 - Rokhia

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1.5.3 Gas Collecting Stations (GCS) in Tripura Asset

There are Five GCS in Tripura asset. Here are some basic details about them:

Agartala Dome Base (ADB) GCS:

 Capacity : 2.2MMSCMD [0.5MMSCMD under expansion]


 Wells : 24 flowing
 Fields : ADB, Kunjaban, Baramura(#BM23 is nearer to ADB GCS)

Baramura GCS:

 Capacity : 0.75MMSCMD [0.25MMSCMD under production]


 Wells : 10 flowing
 Fields : Baramura

Konaban GCS:

 Capacity : 1.5MMSCMD
 Wells : 27 flowing [29 strings]
 Fields : Konaban

Rokhia GCS:

 Capacity : 0.5MMSCMD
 Wells : 10 flowing
 Fields : Manikhyanagar

Sonamura GCS:

 Capacity : 0.8 MMSCMD


 Wells : 10 flowing
 Fields : Sonamura, Sundalbari, Manikhyanagar

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1.5.4 The Gas Grid Network of Agartala.

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Consumer List of ONGC Tripura
The main consumers of ONGC are:

 NEEPCO
 OTPC
 TSECL
 TNGC

The production breakdown is as follows:

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2.0 Petroleum Geology

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2.1 Introduction
Petroleum geology is the study of origin, occurrence, movement, accumulation, and exploration
of hydrocarbon fuels. It refers to the specific set of geological disciplines that are applied to the
search for hydrocarbons (oil exploration). The solid and semi-solid forms of petroleum are called
asphalt and tar respectively. Liquid petroleum is called crude oil (if it is dark and viscous) and
condensate (if it is clear and volatile). Then there is natural gas which may or may not be
associated with oil.

Fig. Oil and Gas Reservoir

2.2 Formation of Oil and Gas


Oil and gas are important fossil fuels formed from the decomposition and pressurization of algae,
plankton and other organisms. This process forms hydrocarbons. These are compounds
consisting entirely of hydrogen and carbon that form powerful combustible fuels. When algae,
plankton and other organisms die, they sink to the bottom of the sea and lakes, as well as rivers
that wash them into seas and lakes. These low-lying areas are parts of “sedimentary basins” that
are filled up over tens of millions of years by fragmented material that hardens into rock layers –
including sandstones, shales and coal seams. Organic material (mostly plankton and algae) in
these rock layers breaks down to hydrocarbons (oil and gas) that are trapped in the rocks. The
organic thesis states that oil and gas results from matter decomposed by living organisms, while
the inorganic thesis states that they are derived from chemical reactions between minerals.

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Generally the following 2 theories are accepted:

Inorganic theory of the origin of the petroleum states that hydrogen and carbon came together
under great temperature and pressure, far below the earth’s surface and formed oil and gas. The
oil and gas then seeped through porous rocks to deposit in various natural underground traps.
Organic theory is the one most widely accepted. According to organic theory, the oil and gas are
formed from remains of prehistoric plants and animals. Remains of plants have been transformed
to coal and animals’ to oil and gas. This remains were settled in to seas and lands along with sands
and slits, mud and other minerals. As the rocks and slit settled, layer upon layer piled into rivers,
along coastlines and on the sea bottom.
Over the time, the layers of the organic material were compressed under the weight of the sediment
above them. The increase in pressure and temperature changed the mud, sand, slit in to rock and
organic matter in petroleum.

2.3 Method by which oil and gas are trapped:


Once formed, oil and gas slowly rise upwards, seeping into the tiny pores in the rock. Eventually,
the oil and gas reach a layer of impermeable rock and are trapped. Unless an impermeable rock
stops their progress, oil and gas will eventually migrate from the porous rock through permeable
rocks to the surface. Hence oil and gas deposits will only remain in the reservoir rock if another
layer forms on top, which is impermeable. This impermeable layer is called a seal. While it is
possible for crude oil to seep to the surface, it is more common to find oil-containing rocks deep
below the land or seabed.

2.4 Types of traps:


There are 2 different types of traps:
2.4.1 Structural Traps
These traps are types that form as a result of some structural deformation - a bend or dip - of rock.
These traps take on several forms and shapes as a result of different types of deformation. This
deformation tends to take place over tens or hundreds of millions of years. In these traps, the pores
of the reservoir rock contain oil, gas, or water. Gas moves up in the trap as it is the lightest, with
oil below it and water at the bottom. The cap rock prevents upward migration of these fluids.

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2.4.2 Stratigraphic Traps
These traps are formed as a result of the deposition in sedimentary rocks. When the sediment that
creates the reservoir rock is deposited in a discontinuous layer, the seals are created beside and on
top of the reservoir. In some cases, these seals are made of impermeable or low permeability shale
deposited around the reservoir, blocking the oil and gas inside. The seals themselves may also be
source rocks.

Fig. Different types of traps

2.5 Different Methods of Exploration:


There are a number of different methods used in oil and gas exploration:

2.5.1 Surface Geological Survey:


A geological survey is the systematic investigation of the geology beneath a given piece of ground
for the purpose of creating a geological map or model. Geological surveying employs techniques
from the traditional walk-over survey, studying outcrops and landforms, to intrusive methods,
such as hand augering and machine-driven boreholes, to the use of geophysical techniques
and remote sensing methods, such as aerial photography and satellite imagery. Such surveys may
be undertaken by state, province, or national geological survey organizations to maintain the
geological inventory and advance the knowledge of geosciences for the benefit of the nation.

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2.5.2 Seismic Survey:
Explorers use seismic surveys to produce detailed images of local geology to determine the
location and size of possible oil and gas reservoirs. Sound waves are bounced off underground
rock formations and the waves that reflect back to the surface are captured by recording sensors
for later analysis. Analysing the time the waves take to return provides valuable information
about rock types and possible gases or fluids in rock formations. This is similar to the use of
ultrasound in medicine. Onshore operations usually use specialised trucks that carry a heavy
plate that is vibrated to generate a seismic signal. In offshore operations, a specialised vessel
tows a “seismic streamer”, or a collection of cables with seismic sources and hydrophones
attached. The seismic sources use compressed air to produce acoustic energy. The hydrophones
capture the returning sound waves for later analysis.

Fig. Seismic Survey.


2.5.3 Magnetic Survey:
Magnetics can be very valuable in interpreting seismic data by plotting residual magnetic
profiles along seismic sections. This technique is valuable in looking for subtle stratigraphic
changes that can occur along basement block boundaries and subtle fault offsets or other
structural and stratigraphic features. Depth estimates from aeromagnetic data can determine
values for broad areas, such as the approximate thickness of the sedimentary section in a basin or
at a limited number of points within the basin. These surveys can be carried out by towing
magnetometers behind some sort of light aircraft. Ground surveys are conducted to follow up on
magnetic anomaly discoveries made from the air.

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2.5.4 Gravity Survey:
The basic concept behind Gravity survey is to investigate variation (gravity anomalies) in the
Earth’s gravitational field generated by differences of density between subsurface rocks. The
variation in density is induced by presence of causative body such as salt domes, granite pluton,
sedimentary basins, heavy mineral like chromite, manganese, faults and folds, etc., within the
surrounding subsurface rocks. The size of the anomalies mainly depends on difference in density
between host rocks and causative body, their geometrical form and depth of occurrence. The
method is capable to carry survey on ground, air and marine environment.

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3.0 Reservoir Engineering
3.1 Introduction
Reservoir Engineering involves assessing oil and gas deposits. Reservoir engineers firstly
estimate the size of a reservoir, then determine how much oil and gas reserves are in the reservoir
and finally work out how to maximize the economic return from extracting them.
Since it is usually not possible to physically ascertain what's under the ground, a Reservoir
Engineer needs to find other ways to establish what is there. They work together with geologists
and geophysicists to find the reserves of oil and gas while relying on the basic laws of physics
and chemistry.
The next step is to determine the economic feasibility of extracting the gas. Then, assuming it is
viable on paper, a well is produced. After that, the Reservoir Engineer will keep track of reserve
production progress until completion. The ultimate responsibility of the reservoir engineer is to
maximize the output of the reservoir without causing overproduction.

3.2 Reservoir Rock Properties.


The two most fundamental properties that affect the distribution of fluids within the pores of
reservoir rocks are:

3.2.1 Porosity
Porosity is a measure of the storage capacity of the rock and permeability is a measure of rock
flow capacity. Storage capacity tells us how much resource can be contained in the rock, and
flow capacity tells us how fast one can produce the resource. Pore spaces in reservoir rock are
occupied by fluid phases, including oil, water, and gas phases.

3.2.2 Permeability
Permeability is a measure of the ability of a fluid to pass through its porous medium. Moreover,
a reservoir rock can be porous without being permeable. For example it is said to be permeable if
and only if the pores “communicate”. When the porous medium is completely saturated by a
single fluid, the permeability will be described absolute, become described as effective
permeability when its porous medium is occupied by more than one fluid.

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4.0 Drilling
4.1 Introduction.
Drilling is a process whereby a hole is bored using a drill bit to create a well for oil and natural
gas production. There are various kinds of oil wells with different functions:

 Exploration wells (or wildcat wells) are drilled for exploration purposes in new areas.
The location of the exploration well is determined by geologists.
 Appraisal wells are those drilled to assess the characteristics of a proven petroleum
reserve such as flow rate.
 Development or production wells are drilled for the production of oil or gas in fields of
proven economic and recoverable oil or gas reserves.
 Relief wells are drilled to stop the flow from a reservoir when a production well has
experienced a blowout.
 An injection well is drilled to enable petroleum engineers to inject steam, carbon dioxide
and other substances into an oil producing unit so as to maintain reservoir pressure or to
lower the viscosity of the oil, allowing it to flow into a nearby well.

Fig. Typical drilling rig.

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4.2 Main Components of a Rig:
4.2.1 Hoisting System:
The hoisting system is used to raise, lower and suspend equipment in the well. The hoisting
system consists of the following items:

 Derrick: The derrick is a metallic structure which has four supporting legs resting on a
square base. It is erected on a substructure which supports the rig floor and the rotary
table and provides work space on the rig floor.
 Travelling block, Crown block, and Drilling line: The traveling block, crown block
and drilling line are used to connect the derrick with the drill string to be lowered into or
pulled out of the hole. During drilling operations, this drill string usually composed of the
drill pipe, heavy weight drill pipe, drilling jar, drill collars and drill bit. The drilling line
wears evenly as it is used; it has to be Cutoff time to time.
 Drawworks: The main purpose of the drawworks is to lift the drillstring out of and to
lower it back into the borehole. The drilling line is reeled on a drum in the drawworks.
When engaged, the drum turns and either reel-in the drill line to raise the traveling block,
or reel-out the drill line to lower it.

4.4.2 Circulating System:


The circulating system pumps drilling mud in and out of the hole that has been drilled. It consists
of four major sub-components:

 Mud pumps: The mud pump is the heart of the circulating system. They are used to
circulate the drilling fluid from the mud pits, through the drillstring, down to the bit and
return up to the surface through the annulus.

 Mud pits: The mud pits are a series of large interconnected steel tanks fitted with
agitators to keep solids in suspension. There are some pits are used for circulation and
others are used for mixing and storing drilling mud.
 Shale shakers: Once the drilling fluid has completed one cycle from the mud pits and
coming back to surface passing through the drill string, down to drill bit and up to the
surface, it will contains solids and other contaminants. The drilling fluid passes over a
series of vibrating screens of different mesh sizes. Fine solids are removed by other
components such as mud cleaner or centrifuges.

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4.2.3 Rotating System
The rotating system is used as the power drive to drill the actual hole. It consists of:

 Kelly system: The Kelly is nearly 40 feet long, hexagonal or square on the outside and
hollow inside to allow the passage for the drilling fluids. The Kelly engages in the Kelly
bushing, which allow the Kelly to move freely up and down even when rotating the Kelly
by the rotary table. The hook is attached with the swivel which does not rotate but
supports the Kelly. The drilling fluids are pumped into the drill string through the
gooseneck connection above the swivel via the rotary hose.

 Rotary table: The rotary table is used for two main tasks, first, rotating the drill string
and second, holding the weight of the drill string when it is not supported by the hook or
the elevator.

 Top drive system: It is called top drive system because the rotating motion is
accomplished by a drive motor attached to the travelling block above all the drill string.
An electric motor is used to generate the rotary torque which is applied to the drill string.
The swivel and handling equipment are an integral piece of equipment in the top drive
which can make the circulation and back reaming while pulling the pipe an easy task.
These advantages serve to reduce drilling time which is the most important factor in
drilling programming and operations.

4.2.4 Power Transmission System


The power transmission system is required to provide most of the power to the rig. The power is
produced by the prime movers, which are usually large diesel engines that drive electrical
generators. Power transmission is accomplished by one of the following methods:
 Mechanical power transmission
 Electrical power transmission

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4.2.5 Blowout Prevention System
The blowout control system is used to help control one of the major problems that can be
encountered during the well drilling process. A blowout refers to an uncontrolled gush of gas or
oil to the surface and it is often associated with afire. A high pressure valve known as Blowout
Preventer Stack or BOP is located on top of the well, below drill floor. It is fitted with:

 Annular preventer: This part of BOP seals and closes the well by a circular piece of
rubber. It can close on any pipe and casing sizes, and it closes the open hole.

 Rams: Pipe ram can close on drill pipe because they have semicircular openings which
allow them to seal the area around the drill pipe. Blind rams are used to close the well
when pipes are not in the hole, if the blind is closed on drill pipe, this will not stop the
seepage of formation fluids, because they have flat edges. Shear rams are used as last
solution in well control. They can cut the pipe and close the well.

 Choke line: his line allows the circulation of the inflex to choke manifold. It has two
main valves: hydraulic and manual. The manual valve is used as safety valve in case of
hydraulic valve failing.

 Kill line: This line is used to inject heavy mud while well killing process. It has two
valves: hydraulic and manual valves. It is fitted also with check valve or non-return valve
to avoid the back circulation of kill mud or formation fluids.

Fig. Blowout Preventer

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4.3 Drilling Fluid or Mud
Drilling fluid is the stream of gases, liquids and solids, which circulates through the drilling
string and annulus at high pressure to transport the drill cutting from bottom of the well to
surface. The ideal drilling fluid facilitates the drilling of trouble free and gauzed hole with no
formation damage and at lowest possible cost. The important functions of drilling fluid are:
 To remove the cuttings from the bottom of the hole and carry them to the surface.
 To cool and lubricate the bit and drill string.
 To wall the hole with an impermeable cake.
 To control subsurface pressures.
 To hold cuttings and weight material in suspension when circulation is interrupted
 To release sand and cuttings at the surface.
 To support part of the weight of drill pipe and casing.
 Transmit hydraulic horsepower to the bit.
A typical mud is basically a mixture of different organic and inorganic chemicals either in water
or in oil. The additives and chemicals are used phase-wise in mud system are:
 1st phase: Water, clay caustic soda, conventional mud (Bentonite). pH is in the range of
10-10.5.
 2nd phase: CMC polymers, gel (3-4%).
 Final phase: Clay-free polymer mud, potassium chloride (3.5-5%), polyanionic cellulose,
Xe polymer.
The performance of mud depends on the following parameters:
 Mud weight
 Viscosity
 pH
 Water loss
 Plastic viscosity
 Yield point
 Gelation
 Salinity
 SPM (Strokes per Minute)

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5.0 Oil and Gas Production
After drilling operation, well is handed over to the Production section to activate the well for
production.

5.1 Logging and Perforation


Logging is the continuous recording of geophysical parameters in the borehole with respect to
depth or time. Wells are drilled in sedimentary rocks having anticline structure in the basis of
seismic data interpretation. It is not enough to just dig a well. Hydrocarbon bearing zones need to
be identified and their productivity is to e known. Logging is used for this purpose. Different
long techniques are:
 Spontaneous potential log
 Gamma ray log
 Resistivity log
 Density log
 Neutron log
 Sonic log
Perforation is the mechanism of creating holes in the casing by using explosives to make
communications between formation and borehole.

5.2 Well Completion and Testing


5.2.1 Casing and Cementation:
The casing is a special heavy steel pipe which lines the well hole. It is used to prevent cave-in of
the drill hole walls and protect fresh water strata by preventing leakage from the returning flow
of mud during drilling operations. The casing also seals off water-permeated sands and high-
pressure gas zones. Casing is initially used near the surface and is cemented into place to guide
the drill pipe. A cement slurry is pumped down the drilling pipe and forced back up through the
gap between the casing and the walls of the well hole. Once the cement sets and the casing is
place, drilling continues using a smaller diameter bit.

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Fig. Well Casing
The onshore petroleum casing design includes:
 Conductor casing: prevents loose surface sediment from collapsing into the well and
protects shallow surface aquifers. This casing is approximately 50m deep and is
cemented to the surface.
 Surface casing: key purpose is to protect groundwater. It is set below the potable
aquifers and is where the blowout preventer is installed on the well. It is usually set at
800m deep and is cemented to the surface.
 Intermediate casing: his is optional and is usually used for deeper wells to manage hole
conditions when drilling to the target formation. Cementing procedures must meet
international standards.
 Production casing: this is the final casing set for a production well. Casings run from
total depth to the surface and liners run from total depth to an appropriate overlap inside
the previous casing. Cementing procedures must meet international standards.
 Production tubing: commonly installed inside the casing to act as a conduit during oil or
gas production.

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5.2.2 Well Completion

Completion describes the process of bringing a well into production after the well has been
drilled to the depth where oil or gas is expected to be found. Completion involves a number of
operations, including penetration of the casing and cleaning out water and sediment from the
pipeline so that flow is unimpeded. Special core bits are used to drill and extract cores up to 50 m
long for analysis during the drilling operation to determine when penetration should be
performed. The drill pipe and bit are first removed and the final string of casing is cemented into
place. A perforating gun, which is a metal tube containing sockets holding either bullets or
shaped explosive charges, is then lowered into the well. The charges are discharged by electrical
impulse through the casing into reservoir to create openings for the oil and gas to flow into the
well and to the surface.

The flow of crude oil and natural gas is controlled by a series of valves, called “Christmas trees”,
which are placed at the top of the well head. Monitors and controls are installed to automatically
or manually operate surface and subsurface safety valves, in the event of a change in pressure,
fire or other hazardous condition.

Fig. Christmas Tree.

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5.2.3 Well Testing
The well testing operations commence after a well has been drilled to target depth, logged, cased
and cemented. The main objectives of well testing operations are to:
 Identify produced fluids and determine their respective ratios.
 Measure reservoir pressure and temperature.
 Determine well productivity.
 Obtain samples for analysis
 Evaluate reservoir parameters.
 Estimate completion efficiency.
In many wells, the natural pressure of the subsurface reservoir is high enough for the oil or gas to
flow to the surface. However, this is not always the case, especially in depleted fields where the
pressures have been lowered by other producing wells, or in low permeability oil reservoirs.
Artificial lift methods may also be needed. Common solutions include down-hole pumps, gas
lift, or surface pumps like SRP.

Fig. Sucker Rod Pump (SRP).

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6.0 Oil and Gas Processing
An oil and gas processing system is essentially a system that transports reservoir fluid to the
surface and separates it into oil, gas and water. Depending upon the nature of each fluid or even a
particular well in a field, the fluid produced could be any combination of liquid hydrocarbon
natural gas water, hydrogen sulfide gas and carbon dioxide gas. The various fluids must be
separated so the marketable components, hydrocarbons, can be sold. This is the main function of
oil and gas processing facilities. Any water produced is also treated and prepared for disposal or
reinjection to the producing reservoir.

6.1 Gas Collection Station (GCS)

Fig. Process Flow Diagram

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6.1.1 Surface Facilities at GCS
 Well Manifold: All well fluids from the wells is collected at well manifold header
through individual flow lines and their contents are taken in for processing operation.
Three types of header are provided to receive the well fluid:
o Group header: It is placed where all the flow lines come and meet at the GCS.
Two types of group headers are there, namely:
 HP header: It receives gas along with condensate and water from high
pressure wells. The gas and liquid from this header is taken via bath heater
into the HP 3-phase separator. The fluid should be preheated before
sending in to the HP separator.
 MP header: MP header receives gas along with condensate and water
from medium pressure wells. The well fluid is directly sent to the MP 3-
phase separator.
o Test header: This is meant for testing of individual wells i.e., for measurement of
the flow rates of individual well. The fluid from the header flows via bath heater
to test separator.
o Emergency header: It becomes activated during emergency situation. Its
function is to divert the gas wells during leakage and to prevent fire hazard. It is
connected to the flare system.

6.1.2 Instrumentation for Well Manifold


 Pressure Gauge: Pressure gauges are an essential, if delicate, measuring tool for oil and
gas production. Flow lines, separators, and even atmospheric vessels like stock tanks are
all under some amount of pressure. Gauges allow you to monitor pressure levels
throughout the operation, from the wellhead to the tank battery. Monitoring pressure
downhole is also important for extending the production life of the well for as long as
possible.
 Temperature Gauge: Temperature gauges measure the thermal state of a homogeneous
substance. The measuring system must be brought as closely together as possible with the
body to be measured. The most widely used measuring methods rely on temperature-
dependent physical and material characteristics.

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 Emergency Shutdown Valve (ESDV): By using single button, ESDV diverts all the gas
wells to flare system during leakage to prevent fire hazards.
 Bean housing: It is designed in the well manifold of some GCS.
 Shutdown Valve: It is connected to each and every header. These valves close as soon as
the pressure developed exceeds the maximum level.
 Hot Water Bath Heater: The fluid is cold when it enters the header lines. It is needed to
be pre-heated before sending to the process area for proper separation to prevent the
formation of gas hydrate in the line which may lead to choking. This process is done by
the hot water bath heater. The cold fluid goes in, gets heated and comes out as hot fluid.
There are two hot water baths namely:
o HP Bath Heater for HP header line.
o Test Bath Heater for Test header line.
Natural gas, from the gas knock out drum, is used to burn the heater. There are provisions
for controlling the heating process with the help of PCVs connected to the control room.
The inside temperature of the heater range from 100-300 degree celcius.

6.1.3 Instrumentation for Process Area


 Separator: Natural gas is lighter than liquid hydrocarbon. Minute particles of liquid
hydrocarbon that are temporarily suspended in a stream of natural gas will, by density
difference or force of gravity, settle out of the stream of gas if the velocity of the gas is
sufficiently slow. The larger droplets of hydrocarbon will quickly settle out of the gas,
but the smaller ones will take longer. The term separator in oilfield terminology
designates a pressure vessel used for separating well fluids produced from oil and gas
wells into gaseous and liquid components. A separator for petroleum production is a large
vessel designed to separate production fluids into their constituent components
of oil, gas and water. According to the shape and position, two types of separators are
used:
o Horizontal Separator
o Vertical Separator

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Factors on which separation depends, are:
 Gravity
 Pressure
 Temperature
 Interfacial Surface Area
 Retention or Residue Time

 Gas Scrubber: Device for removing dirt, water, foreign materials or unwanted liquids
that are part of the gas flow course. Air can be used to absorb water; an oil bath can also
be useful to remove dust, dirt or other liquids. A scrubber is used to protect downward
rotating equipment or to recover valuable gas liquids. Gas from here goes to the metering
station for measurement and quality check.

 Gas Filter: The gas which is scrubbed is further filtered in the filtering chamber. The gas
enters into the activated carbon filter tower and the lubricating oil particles, if any, are
removed.

 Glycol Dehydration Unit (GDU): The purpose of a glycol dehydration unit is to remove
water from natural gas and natural gas liquids. When produced from a reservoir, natural
gas usually contains a large amount of water and is typically completely saturated or at
the water dew point. This water can cause several problems for downstream processes
and equipment. At low temperatures the water can either freeze in piping or, as is more
commonly the case, form hydrates with CO2 and hydrocarbons (mainly methane
hydrates). Depending on composition, these hydrates can form at relatively high
temperatures plugging equipment and piping. Glycol dehydration units depress the
hydrate formation point of the gas through water removal. Glycols typically seen in
industry include triethylene glycol (TEG), diethylene glycol (DEG), ethylene
glycol (MEG), and tetraethylene glycol (TREG). TEG is the most commonly used glycol
in industry.

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Fig. Glycol Dehydration Unit

 Gas Knock-Out Drum: It knocks off the liquid from the gas received from the metering
station. Gas stream flows to the fuel KOD from the metering station after pressure
reduction by PRVs. The gas flows upward in the KOD and meets the extractor for the
removal of liquid particles. Then it is supplied to meet the fuel requirements of bath
heater, gas generator, canteen, etc.

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7. Oil and Gas Metering
Several types of metering systems have been devised for measuring the oil and gas rate:
 Orifice meter
 Venturimeter
 Coriolis flow meter
 Ultrasonic flow meter
 Vortex flow meter
 Thermal flow meter
 PD meter
 Turbine flow meter

7.1 Orifice Metering


An orifice plate is a thin plate with a hole in it, which is usually placed in a pipe. When a fluid
(whether liquid or gaseous) passes through the orifice, its pressure builds up slightly upstream of
the orifice but as the fluid is forced to converge to pass through the
hole, the velocity increases and the fluid pressure decreases. A little
downstream of the orifice the flow reaches its point of maximum
convergence, the vena contracta (see drawing to the right) where
the velocity reaches its maximum and the pressure reaches its
minimum. Beyond that, the flow expands, the velocity falls and the pressure increases. By
measuring the difference in fluid pressure across tapping upstream and downstream of the plate,
the flow rate can be obtained from Bernoulli's equation using coefficients established from
extensive research.

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8.0 Flaring System
The flare system is one of the essential components in hydrocarbon industry. If there is sudden
change in downstream pressure or demand, then gas is bypassed to flare header and that gas has t
o be burned out to meet the environment regulations. The flaring system is also useful during
emergency situations.
The flare gas flows to the KOD where liquid droplets are arrested and after that it flows to the
flare stack and burns out at safe disposal point to take care of the pollution measures
There are two types of flare system:
 Hot flaring: In hot flare system, when the fluid is burnt, hydrocarbons become lighter
and accumulation of gases does not occur, resulting in its faster distribution. Thus, it
prevents accidents and hence is more preferable.
 Cold flaring: In cold flare system, hydrocarbon becomes heavier and settles down. This
leads to a lot of pollution.

8.1 Flare System Components


 Flame Front Generator: Starting of pilot burner generator is used. Pressure is supplied
to the generator where gas and air both are mixed and then ignited: due to ignition fireball
is generated. The fireball generated is used for ignition of pilot burner.

Fig. Flame Front Generator (FFG)

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 Flare Knock Out Drum: The flare gas flows to the horizontal knock out drum where
liquid droplets are arrested. The main objectives of flare kod are to separate bulk liquid
from gas, limit liquid droplet size entrained with gas to flare and to provide adequate
residence time for liquid.
 Water Seal Drum: The gas comes through the flare header bubbling through the water
seal drum which prevents backfire from flare tip to the flare header.
 Flare Tip: Size of the flame is determined by the flare tip size. It also ensures stable
combustion.

Fig. Flare System

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9.0 SCADA System at ONGC
ONGC needs to deploy advanced technology in all facets of its multidisciplinary activities, to
sustain efficiency of operations and to remain competitive in the emerging open economy.
ONGC has been employing SCADA systems for monitoring and controlling its production
operations since late seventies in offshore. This integrated system shall acquire real-time
production and drilling data, which, apart from efficient day-to-day operations, shall also be used
for supporting scientific and business decisions.

9.1 About SCADA


SCADA stands for “Supervisory Control and Data Acquisition System”. Its various components
include:
 Field instrumentation
 Remote Telemetry Units (RTU)
 Communication Network
 Central Monitoring Station (MTU)
 SCADA software and hardware

Fig. Three tier structure of SCADA

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10.0 Fire and Safety
10.1 Constituents required for starting a fire:
Fire needs three basic elements to start. If anyone of the three elements is missing, fire will not
ignite, or if it is already burning, removing one of the three will quench the flames. The three
elements are:
 Fuel: Fire needs something to consume. Fuel can be a solid, a liquid or a gas.
 Oxygen: Fire needs oxygen to burn. Remove the oxygen and the flames go out. An
atmosphere less than 16% oxygen will not allow fire to burn.
 Heat: Without the energy needed to burn, the flames die.

Fig. Fire Triangle

10.2 Fire Fighting System


Fire fighting system has different components such as:
 Fire water pumping system:
 Jockey pump: Jockey pump is a centrifugal pump used to maintain the water grid
pressure.
 Electrical pump: Centrifugal pump is connected to electrical monitor.
 Diesel pump: Diesel pump is also centrifugal pump that gets power from diesel engine. It
is a standby pump if electricity is not available.

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 Fire extinguishers: The use of extinguishers depends on the class of fire:
 Class A: For Class A fires, water is used to douse the flames.
 Class B: These fires are put out by smothering i.e., removing the oxygen. Water is not
used as it will flow and spread the fire. Instead CO2 chemical extinguishers are used.
 Class C: For electrical fires, dry chemical extinguishers are preferred.
 Class D: For metallic fires, CO2 and Halon or Halotron I fire extinguishers are preferred
because they don’t leave a coating on the metal. Especially with electronics, other fire
extinguishers leave a white coating that is difficult to remove and may damage electronic
equipment and electrical wiring.
 Fire alarm system: The purpose of the fire alarm system is monitoring the environmental
conditions that detect gas and smoke in the site and actuate the alarm in control room. It is
mainly of two types:
 Gas detector
 Smoke detector

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11.0 Sources of Knowledge
 Mr. Satyendra Kumar
 Mr. Samit Pradhan
 Mr. Soham Base (ADB GCS)
 Mr. Hemant Goti (Instrumentation)
 Mr. Giridhar Gopal (Sub-surface)
 Mr. Amal Shyam (Forward Base)
 Mr. R.Gawande (Rokhia GCS)
 Mr. Sujit Halder (Drilling services)
 Mr. R.K.Mondal (Company man Quippo rig)
 Mr. S.R.Srirame (Mud Chemistry)
 Mr. K.S.Anand (Geology)
 Mr. Uttam Das (Well Services
 Mr. Bishwajit Roy (Fire Safety)
 Mr. Narayan Bhutiyal (Infocom)
 https://www.wikipedia.org/
 www.ongcindia.com

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