Modularization Concepts For The Norman Wells Expansion Project

Abstract

Abstract Esso Resources Canada Limited is currently completing an oilfield expansion project at Norman Wells, Northwest Territories. Crude oil production will be increased from 475 m3 per day to 4 800 m3 per day. Due to the remote location and harsh climate of the Norman Wells site, it was decided to modularize the Central Processing Facility to the maximum possible extent to achieve a significant cost saving. The 64 modules were built at a modularization site in Edmonton, resulting in higher labour productivity and lower on-site support costs. Virtually all facilities were modularized, including equipment, pipe racks and electrical cable tray racks. Module weights ranged up to 143 tones. Transportation of the modules involved trucking to Hay River, Northwest Territories, and barging to Norman Wells on the Mackenzie River. A novel approach was used to quickly unload, transport and set the modules in place at the site. This paper discusses some of the engineering and execution challenges encountered by the project and the lessons learned in modularization technology. Introduction Esso Resources Canada Limited is currently completing an oilfield expansion project at Norman Wells, Northwest Territories. The town of Norman Wells is located on the Mackenzie River, 156 km south of the Arctic Circle. About 60% of the oilfield lies beneath the Mackenzie River. The remainder is located under the north shore and under two natural islands in the river. Under the expansion scheme, crude oil production will be increased from 475 m3 per day to 4 800 m3 per day. The major facilities constructed for the project are six artificial islands in the Mackenzie River, 164 production and injection wells, a production gathering and injection pipeline system and a central oil and gas processing facility. Interprovincial Pipe Line (NW) Limited is building a new buried pipeline to ship the produced crude oil south from Norman Wells to Zama, Alberta. Because of the project's remote location and the harsh climate at the Norman Wells site, it was determined very early that substantial cost savings could be achieved through modularized construction, particularly for the Central Processing Facility (CPF). By transferring work from the Norman Wells site to a modularization site in Edmonton, construction could be done at a higher productivity and, therefore, cost fewer man-hours. Modularization could also save the costs of subsistence, transportation and the need to work overtime at the Edmonton site. Processing Facilities The Norman Wells CPF is designed to process 4 800 m3 of crude oil and 425 000 standard m3 of gas per day. Gas processing involves supplying lift gas and fuel gas and recovering propane and stabilized condensate. The crude oil and condensate are blended and chilled to −4 °C before entering Interprovincial pipeline for shipment to Zama. The CPF treats 7 000 m3 of water per day from the Mackenzie River for injection into the reservoir. Produced water from the formation is also treated and injected. Three 7.4 MW gas turbine generators supply the electrical power to operate the plant and to supply power to the oilfield and the community of Norman Wells.