Economics Of Gas Production Research Articles

Economic analysis and investment in fuel industry considering risk management by analytical hierarchy process

Natural Gas production and distribution network plans are one of the most common ways to increase energy consumption efficiency. Due to the uncertainty of the economic parameters, the economic justification of this system is very difficult. In this research, the economic risk of investing in urban gas distribution systems has been done with the analytical hierarchy process (AHP). With the development and condensation of urban gas supply networks, accidents caused by gas leaks and other external factors have also increased. Therefore, in recent years, the issue of safety and risk analysis of urban gas networks has received special attention from responsible companies and other urban and safety experts. Gas distribution lines often pass in the vicinity of crowded areas and buildings, so any accident for these lines will lead to a lot of human and financial losses. In the present study, in order to improve the gas supply situation and reduce the risk of failure in Indonesia, urban gas pipelines have been studied to reduce the costs. In this paper, multi-criteria decision making method analysis is used to identify and evaluate the hazards of urban gas pipelines and the risk of occurrence of each hazard is calculated. There was a meaningful relationship based on economic-financial theories between economic factors and investment risk in the gas industry, which emphasizes the greater and more significant effect of exchange rate, failures and inflation rate variables in comparison with other research variables in the matter of controlling investment risk in the gas industry. The effects of changes in energy prices and the economic environment in explaining the behavior of investment risk in this industry have placed the next level of importance. The results showed that with the increase in energy prices, the economics of gas production and distribution risk management plans have improved and the regular trend of energy price increases can guarantee the profitability of fuel consumption optimization plans.

Geologic Factors Which May Affect Gas Occurrence in Anadarko Basin, Oklahoma: ABSTRACT

The Anadarko basin in Oklahoma, the Texas Panhandle, and in southwestern Kansas contains many reservoirs which produce commercial quantities of gas with subordinate quantities of oil. The producing formations are Permian; Upper, Middle, and Lower Pennsylvanian; Upper and middle Mississippian; Hunton; and Ordovician. Each of these groupings can be considered a genetic stratigraphic unit in which the depositional and structural history is closely related. Gas analysis is a powerful tool in the exploitation of a given reservoir. Some reservoirs in the Anadarko basin are blanket-type sandstones in which the analyses will be uniform over a broad area. Gas analyses showing abnormally high BTU values, subnormal formation pressures, or exceptionally high nitrogen content can be producing from a sandstone lens (either channel or offshore bars) or a limited carbonate porosity zone in which there has been no communication of fluids. Hunton gas analyses show a higher percentage of CO2 at depth, whereas the BTU values decrease because of the decreasing percentage of gas liquids below 14,000 ft. Pressures in the Hunton, although a little below the so-called normal bottomhole pressures, increase in a fairly uniform manner. The Morrow sandstones are productive over most of the Anadarko basin. Variations in the analyses from these sandstones appear to depend on the depth of production and on the chemical content of the gases. It is evident that many of the anomalous values of the analyses depend on the extent of the local reservoir and its geometry. Gas analyses are a major factor in the economics of gas production. The Hunton gases along the northern shelf of the Anadarko basin yield high percentages of valuable gas liquids. Other zones yield variable amounts of gas liquids. Nitrogen values are small in all reservoirs except in the Permian where several noninflammable gases are reported. In contrast with the Oklahoma and Texas panhandle gas production, helium does not appear to be a factor--only traces to less than 1.0% helium are reported. End_of_Article - Last_Page 354------------

The Future of Natural Gas Production Technology

The greatest concerns of the natural gas man twenty years hence will center in the superdeep well and in the low-permeability reservoir; and some of the most spectacular advances will be made in the gathering and interpretation of well-test information. Concepts that are now almost wholly theoretical will be applied to practical producing problems. Introduction The technology for the production of natural gas during the next 20 years will follow three somewhat different courses of development. One will be a straightforward continuation of present technology, which will be applied to the reservoirs of high productivity that for the most part are being and will productivity that for the most part are being and will continue to be discovered outside the continental U.S. Under the second course, a diligent effort will be made to recover from presently producing reservoirs more gas than present technology and price structure will permit. The third course will involve what is perhaps permit. The third course will involve what is perhaps the most interesting advancements in technology, and will entail efforts to recover gas economically from the superdeep formations (more than 20,000 ft) and from the reservoirs with extremely low permeability and resulting low productivity. It is my opinion that the significant advances will come from efforts to produce the low-permeability reservoirs, and that the future of natural gas production in the contiguous U. S. will be in those areas production in the contiguous U. S. will be in those areas such as the deeper formations of West Virginia and Pennsylvania, the low-permeability formations of New Pennsylvania, the low-permeability formations of New Mexico, Colorado and Wyoming, and the superdeep basins. New technology developed in efforts to produce natural gas from these marginal areas will spread produce natural gas from these marginal areas will spread to the older fields in the last stages of production and to the "flush" new gas fields being discovered in Alaska and other areas. I am convinced that the future of this gas production depends upon our being able to produce it at a profit from the superdeep basins and the low-permeability reservoirs. The various regulatory bodies must realize that the rules covering sales prices, well spacing and other aspects of the business of producing natural gas must allow sufficient profit motive for the new technology to develop. The researcher and engineer, then, must meet the challenge of developing that technology. In predicting the future we always hope for the tremendous breakthrough, or the surge of improvements brought about by a breakthrough. Such developments rarely can be foreseen but they do happen. Consider in retrospect what solid-state electronic circuits did for electronics by removing the limitations of the vacuum tube. As an example in our own sphere, we need remote sensing of a hydrocarbon reservoir. Technical Skills The economics of gas production in the superdeep basins and the low-permeability areas will require a more versatile type of technologist than today's specialist. The successful gas production engineer of 20 years hence will have a very clear idea of the type of help other technological fields have to offer. The economics of his situation will demand that responses to his requests for help drive to the heart of his problems in a timely fashion. For this reason research and computing groups will be asked to apply their skills to the solutions of specific problems. JPT P. 45