An Efficient Multiperiod MINLP Model for Optimal Planning of Offshore Oil and Gas Field Infrastructure

Abstract

In this paper, we present an efficient strategic/tactical planning model for offshore oilfield development problem that is fairly generic and can be extended to include other complexities. The proposed multiperiod nonconvex MINLP (mixed integer nonlinear programming) model for multifield site includes three components (oil, water, and gas) explicitly in the formulation using higher order polynomials, avoiding bilinear and other nonlinear terms. With the objective of maximizing total NPV for long-term planning horizon, the model involves decisions related to FPSO (floating production, storage, and offloading) installation and expansions, field–FPSO connections, well drilling, and production rates in each time period. The model can be solved effectively with DICOPT for realistic instances and gives good quality solutions. Furthermore, it can be reformulated into an MILP after piecewise linearization and exact linearization techniques that can be solved globally in an efficient way. Solutions of realistic in...