Net Oil Research Articles

Production of a dead oil well by a progressive cavity pump and its optimization

In the context of oil and gas extraction, a dead well refers to a well that has ceased to produce hydrocarbons. The major problems that account for this are: the reservoir has been depleted, the pressure has dropped too low to allow for extraction, or there are technical issues such as blockages or equipment failure. The main objective of this paper is to analyze the performance of a dead well called K88 (for confidential reasons) activated by the progressive cavity pump (PCP) in order to improve and maximize the oil flow rate produced. The completion, reservoir, production pressure, volume, and temperature (PVT) data are processed under Excel and Prosper software by using nodal analysis, sensitive analysis, economic analysis, and decline curve methods to obtain the results. The results showed that well K88 activated by the PCP has an oil flow rate of 1600.9 STB/day. The optimization makes it possible to obtain a net oil flow rate of 2005 STB/day associated with a head pressure of 45 psig. According to the economic calculation results, a gain in production is noticed during 10 years of production and a return on investment at the latest 39 days of production.

Numerical Simulation Study on Flue Gas-Assisted Steam Huff and Puff in Heavy Oil Reservoirs.

In response to challenges such as the rapid rise of water content, the rapid decline of periodic production, and the serious intrusion of edge and bottom water in heavy oil reservoirs after multicycle profile control, the flue gas-assisted steam huff and puff technology is proposed. By focusing on Block Cao128 in the L Oilfield as a research subject, the feasibility of applying the flue gas-assisted steam huff and puff technology in heavy oil reservoirs has been verified through the establishment of a three-dimensional geological model. Additionally, the injection and production parameters in steam huff and puff have been optimized. The research results indicate that when the cyclic steam injection volume is 1000 t, the maximum net oil increment can be achieved, reaching 6308 × 104 t. Furthermore, when the cyclic flue gas injection volume is 9 × 104 Nm3, the efficacy of the flue gas-assisted steam huff and puff is enhanced. The optimal injection method is to inject flue gas in the early stage of steam huff and puff, and the oil-gas ratio is increased to 1.77. The introduction of flue gas can enhance production significantly and exert a significant impact on early-stage production. The earlier the injection time of flue gas, the better the development effect. Flue gas-assisted steam huff and puff technology improves energy utilization efficiency and reduces pollutant emission. It has a significant positive impact on environmental protection and sustainable development.

Volatility Transmission between Oil Price and Exchange Rate

This article presents a study on the transmission of oil price volatility to the exchange rates of 14 countries (net oil exporters and importers) during the period from 02/01/2000 to 31/11/2022. The aim is to compare the effect of oil price fluctuations on exchange rate volatility based on the country's nature. Using ARCH, GARCH, and GARCH-BEKK models, our results reveal that the real effective exchange rate is significantly linked to fluctuations in the real oil price for both categories of countries: oil importers and exporters. These findings have important implications for monetary, fiscal, inflationary, and trade policies for these countries.

Economic Diversification, Oil Revenue and Energy Transition in Oil Dependent Countries: A Wavelet Decomposition and Panel Data Approach

In oil-dependent countries, the energy transition process is ongoing and it appeals substantial and necessary adjustments in terms of diversification. We attempt to provide a systematic analysis of the connectedness between energy transition, oil revenue and economic diversification using novel econometric approach, wavelet decomposition and panel data estimation. Our attention will be focused on the dynamics and causal relationships between energy transition process and economic diversification by checking the role of oil revenue. We use second generation unit roots, and a particular attention is given to cross-sectional dependence of the series. Results show that correlations between wavelet components are absent in the short term, weak in the medium term, and moderate in the long-run. Causality tests support a bidirectional causality between economic diversification and energy transition and between economic diversification and net oil revenue, in the medium and long-run scale levels. Our results would have several prominent implications for policy makers, in oil-dependent countries, when designing energy transitions and economic diversifications strategies, and gives and insightful look about the future of these countries.

Co-movement of Oil and Stock Markets During COVID-19: Evidence from the Gulf Corporation Council

This study aims to document the impact of oil price variations on generating stock returns in Gulf Cooperation Council (GCC) markets during the COVID-19 era. It documents the pandemic era results from January 2020 to October 2022 by employing cointegration, Granger causality, and time-varying coefficient-vector autoregression techniques on daily data. The findings suggest two-way causality between all stock indices and the oil market. Time-dependent relationships were observed during the review period. The findings (based on regression and variance decomposition) indicate that although the reliance of the GCC stock markets was not on oil alone, oil had a significant impact during the study period. It is recommended that investors not consider diversifying portfolios in GCC stocks and oil markets to optimize benefits. The findings are expected to enhance the understanding of academics, market players, regulators, and investors regarding relationships among GCC stocks and oil markets. This study contributes to the literature by documenting the impact of the oil market on stocks during an abnormal period of the COVID-19 pandemic, considering time-varying parameters in a net oil exporting region.

THE EFFECTS OF PRICE AND VOLATILITY INDICES OF STRATEGIC COMMODITIES ON STOCK MARKETS: A STUDY ON BRICS ECONOMIES

The effect of gold, oil prices, which are strategic commodities, and gold, oil volatility indices on the BRICS stock exchanges is investigated in this paper. The relationship between the variables is analysed for the short and long-run using the NARDL method. Gold prices have a negative effect on stock markets except Brazil and Russia, in the short and long-run. Changes in oil prices have a negative effect on stock prices in South Africa, which imported oil, and a positive effect in net oil exporters Brazil and Russia, in the short and long-run. It is concluded that positive and negative shocks of strategic commodity volatilities have an asymmetric effect on the stock exchanges of emerging countries in the short and long-run.

International Trade

Values of net oil imports(‐)/exports for Austria, Belgium, Denmark, Finland, France, Germany, Italy, Netherlands, Norway, Portugal, Spain, Sweden, Switzerland, the United Kingdom, Japan, Canada, the United States and Australia. Updated on a monthly basis.Number of imports for Belgium, France, Germany, Greece, Republic of Ireland, Italy, Netherlands, Portugal, Spain, Sweden, the United Kingdom, and Other EU‐15 (EU‐15), Norway, Poland, Switzerland, Turkey, and Other Europe (OECD Europe), Canada, Chile, Mexico, and the United States (OECD Western Hemisphere), and Australia, Japan, Republic of Korea, New Zealand, (OECD Asia‐Pacific), and Total OECED.Current data for Austria, Belgium, Finland, France, Germany, Greece, Italy, Netherlands, Portugal, Spain, Sweden, the United Kingdom, Other EU‐15 (EU‐15), Czech Republic, Hungary, Poland, Slovakia, Turkey, and Other Europe (OECD Europe), Canada, Mexico, and the United States (OECD Western Hemisphere), Australia, Japan, Republic of Korea, and New Zealand (OECD Asia‐Pacific). Updated on a monthly basis.Current data for principal importers of natural gas and the amount in which they import from United States, Republic of Korea, United Kingdom, France, Japan, Italy, Germany and Spain (Table 19.1).Current data for principal exporters of natural gas and the amount they export to Canada, Trinidad and Tobago, the United States, Netherlands, Norway, Russia, Turkmenistan, Qatar, Algeria, Nigeria, Indonesia, Malaysia and Australia (Table 19.2). Updated on a monthly basis.

Asymmetric effects of oil demand and oil supply shocks on New Zealand's trade

We analyze how different types of oil price shocks affect trade and whether these effects are asymmetric. Our focus is on New Zealand, which has historically been a net oil importer but recently transitioned to an import-only model to meet its needs for finished petroleum products. The analysis proceeds in two stages. First, we identify oil supply shocks, aggregate demand shocks, and oil-specific demand shocks using a recursive structural vector autoregression model. Then, we study whether the effects of these shocks on New Zealand's exports to and imports from its key trading partners—Australia, China, and the United States—are asymmetric using nonlinear autoregressive distributed lag models. The results show differences in the effects of different types of oil price shocks on exports and imports in the short and long run; however, there is limited evidence of asymmetries in these effects, especially in the case of exports. Exports to Australia and China, the most critical markets for New Zealand's exporters, are largely insensitive to oil price shocks.

Are high-income and innovative nations resilient to the Russia-Ukraine war?

Using an event study analysis on daily closing prices of 83 stock market indices from February 10, 2021 to March 14, 2022, we find that the Russia-Ukraine war negatively impacts stock returns, affecting the high-income nations the most. However, the impact varies from country to country, with some experiencing significant positive or negative abnormal returns during different event windows. Cross-sectional results indicate that the income group of nations, innovation index, net-oil exports, trade-to-GDP ratio, military expenditure, inflation, past returns, and volatility significantly impact the cumulative abnormal returns during different event windows. While countries with a higher innovation index, higher net oil exports, higher military expenditure and lower trade-to-GDP ratios experience positive returns, high-income countries experience significant negative returns. Concomitantly, higher past returns and volatility predict abnormal returns during the war.

A Kingdom of Possibility

A Kingdom of Possibility

International Trade

Values of net oil imports(‐)/exports for Austria, Belgium, Denmark, Finland, France, Germany, Italy, Netherlands, Norway, Portugal, Spain, Sweden, Switzerland, the United Kingdom, Japan, Canada, the United States and Australia. Updated on a monthly basis.Number of imports for Belgium, France, Germany, Greece, Republic of Ireland, Italy, Netherlands, Portugal, Spain, Sweden, the United Kingdom, and Other EU‐15 (EU‐15), Norway, Poland, Switzerland, Turkey, and Other Europe (OECD Europe), Canada, Chile, Mexico, and the United States (OECD Western Hemisphere), and Australia, Japan, Republic of Korea, New Zealand, (OECD Asia‐Pacific), and Total OECED.Current data for Austria, Belgium, Finland, France, Germany, Greece, Italy, Netherlands, Portugal, Spain, Sweden, the United Kingdom, Other EU‐15 (EU‐15), Czech Republic, Hungary, Poland, Slovakia, Turkey, and Other Europe (OECD Europe), Canada, Mexico, and the United States (OECD Western Hemisphere), Australia, Japan, Republic of Korea, and New Zealand (OECD Asia‐Pacific). Updated on a monthly basis.Current data for principal importers of natural gas and the amount in which they import from United States, Republic of Korea, United Kingdom, France, Japan, Italy, Germany and Spain (Table 19.1).Current data for principal exporters of natural gas and the amount they export to Canada, Trinidad and Tobago, the United States, Netherlands, Norway, Russia, Turkmenistan, Qatar, Algeria, Nigeria, Indonesia, Malaysia and Australia (Table 19.2). Updated on a monthly basis.

Do institutions matter for oil prices and economic growth relationship?: A regulatory policy implication

This study empirically investigates the moderating effect of institutional quality on the oil price-economic growth relationship among selected African oil-importing economies for a thirty-year period from 1990 to 2020. The study employs a panel autoregressive distributed lag (PARDL) model using a pooled mean group estimator (PMG) with oil price and institutional quality as the main variables. Results from the analyses indicate that oil price increase has a negative effect on economic growth in oil-importing countries and these results are consistent with the previous findings by Kudabayeva et al. (2024) amongst others. Moreover, the study established a positive and significant effect of institutional quality on economic growth. The positive and significant effect of the interaction term between oil price and institutional quality suggests that better quality institutions are critical for moderating the negative effects of oil price changes on economic growth, consistent with findings by Abdelsalam (2023). The findings from this study suggest that net oil importers should focus on eliminating dependency on oil energy and promote investment into alternative non-petroleum renewable energy sources for sustainable development. Policy reforms should focus on strengthening of robust institutions to mitigate the effects of oil price shocks and promote the growth prospects of African countries.

International Trade

Values of net oil imports(‐)/exports for Austria, Belgium, Denmark, Finland, France, Germany, Italy, Netherlands, Norway, Portugal, Spain, Sweden, Switzerland, the United Kingdom, Japan, Canada, the United States and Australia. Updated on a monthly basis.Number of imports for Belgium, France, Germany, Greece, Republic of Ireland, Italy, Netherlands, Portugal, Spain, Sweden, the United Kingdom, and Other EU‐15 (EU‐15), Norway, Poland, Switzerland, Turkey, and Other Europe (OECD Europe), Canada, Chile, Mexico, and the United States (OECD Western Hemisphere), and Australia, Japan, Republic of Korea, New Zealand, (OECD Asia‐Pacific), and Total OECED.Current data for Austria, Belgium, Finland, France, Germany, Greece, Italy, Netherlands, Portugal, Spain, Sweden, the United Kingdom, Other EU‐15 (EU‐15), Czech Republic, Hungary, Poland, Slovakia, Turkey, and Other Europe (OECD Europe), Canada, Mexico, and the United States (OECD Western Hemisphere), Australia, Japan, Republic of Korea, and New Zealand (OECD Asia‐Pacific). Updated on a monthly basis.Current data for principal importers of natural gas and the amount in which they import from United States, Republic of Korea, United Kingdom, France, Japan, Italy, Germany and Spain (Table 19.1).Current data for principal exporters of natural gas and the amount they export to Canada, Trinidad and Tobago, the United States, Netherlands, Norway, Russia, Turkmenistan, Qatar, Algeria, Nigeria, Indonesia, Malaysia and Australia (Table 19.2). Updated on a monthly basis.

International Trade

Values of net oil imports(‐)/exports for Austria, Belgium, Denmark, Finland, France, Germany, Italy, Netherlands, Norway, Portugal, Spain, Sweden, Switzerland, the United Kingdom, Japan, Canada, the United States and Australia. Updated on a monthly basis.Number of imports for Belgium, France, Germany, Greece, Republic of Ireland, Italy, Netherlands, Portugal, Spain, Sweden, the United Kingdom, and Other EU‐15 (EU‐15), Norway, Poland, Switzerland, Turkey, and Other Europe (OECD Europe), Canada, Chile, Mexico, and the United States (OECD Western Hemisphere), and Australia, Japan, Republic of Korea, New Zealand, (OECD Asia‐Pacific), and Total OECED.Current data for Austria, Belgium, Finland, France, Germany, Greece, Italy, Netherlands, Portugal, Spain, Sweden, the United Kingdom, Other EU‐15 (EU‐15), Czech Republic, Hungary, Poland, Slovakia, Turkey, and Other Europe (OECD Europe), Canada, Mexico, and the United States (OECD Western Hemisphere), Australia, Japan, Republic of Korea, and New Zealand (OECD Asia‐Pacific). Updated on a monthly basis.Current data for principal importers of natural gas and the amount in which they import from United States, Republic of Korea, United Kingdom, France, Japan, Italy, Germany and Spain (Table 19.1).Current data for principal exporters of natural gas and the amount they export to Canada, Trinidad and Tobago, the United States, Netherlands, Norway, Russia, Turkmenistan, Qatar, Algeria, Nigeria, Indonesia, Malaysia and Australia (Table 19.2). Updated on a monthly basis.

The role of renewable energy in hedging against oil price risks: A study of OECD net oil importers

The role of renewable energy in hedging against oil price risks: A study of OECD net oil importers

Oil price shocks and energy transition in Africa

When commodity prices rise in international markets, Africa's economic performance scarcely improves, and when commodity prices fall, its economic performance suffers substantially. This study examines the effect of oil price shocks on Africa's energy transition (ET). Data is obtained for 53 African countries between 2000 and 2020, with the Driscoll and Kraay and Panel VAR regression procedures used. The results reveal that oil price shocks have an adverse influence on Africa's ET, with the findings being strong in both rural and urban contexts. Furthermore, the results expose that the adverse effect is visible only in net crude oil exporting countries, whereas net oil importing countries have no significant effect. Moreover, oil price shocks cannot explain Africa's urban-rural differences in clean energy access. As policy implications, African policymakers should reduce the rural-urban gap in clean energy by investing more in clean energy and technologies in rural areas, which help enhance the resilience of the energy sector to oil price shocks.

International Trade

Values of net oil imports(‐)/exports for Austria, Belgium, Denmark, Finland, France, Germany, Italy, Netherlands, Norway, Portugal, Spain, Sweden, Switzerland, the United Kingdom, Japan, Canada, the United States and Australia. Updated on a monthly basis.Number of imports for Belgium, France, Germany, Greece, Republic of Ireland, Italy, Netherlands, Portugal, Spain, Sweden, the United Kingdom, and Other EU‐15 (EU‐15), Norway, Poland, Switzerland, Turkey, and Other Europe (OECD Europe), Canada, Chile, Mexico, and the United States (OECD Western Hemisphere), and Australia, Japan, Republic of Korea, New Zealand, (OECD Asia‐Pacific), and Total OECED.Current data for Austria, Belgium, Finland, France, Germany, Greece, Italy, Netherlands, Portugal, Spain, Sweden, the United Kingdom, Other EU‐15 (EU‐15), Czech Republic, Hungary, Poland, Slovakia, Turkey, and Other Europe (OECD Europe), Canada, Mexico, and the United States (OECD Western Hemisphere), Australia, Japan, Republic of Korea, and New Zealand (OECD Asia‐Pacific). Updated on a monthly basis.Current data for principal importers of natural gas and the amount in which they import from United States, Republic of Korea, United Kingdom, France, Japan, Italy, Germany and Spain (Table 19.1).Current data for principal exporters of natural gas and the amount they export to Canada, Trinidad and Tobago, the United States, Netherlands, Norway, Russia, Turkmenistan, Qatar, Algeria, Nigeria, Indonesia, Malaysia and Australia (Table 19.2). Updated on a monthly basis.

International Trade

Values of net oil imports(‐)/exports for Austria, Belgium, Denmark, Finland, France, Germany, Italy, Netherlands, Norway, Portugal, Spain, Sweden, Switzerland, the United Kingdom, Japan, Canada, the United States and Australia. Updated on a monthly basis.Number of imports for Belgium, France, Germany, Greece, Republic of Ireland, Italy, Netherlands, Portugal, Spain, Sweden, the United Kingdom, and Other EU‐15 (EU‐15), Norway, Poland, Switzerland, Turkey, and Other Europe (OECD Europe), Canada, Chile, Mexico, and the United States (OECD Western Hemisphere), and Australia, Japan, Republic of Korea, New Zealand, (OECD Asia‐Pacific), and Total OECED.Current data for Austria, Belgium, Finland, France, Germany, Greece, Italy, Netherlands, Portugal, Spain, Sweden, the United Kingdom, Other EU‐15 (EU‐15), Czech Republic, Hungary, Poland, Slovakia, Turkey, and Other Europe (OECD Europe), Canada, Mexico, and the United States (OECD Western Hemisphere), Australia, Japan, Republic of Korea, and New Zealand (OECD Asia‐Pacific). Updated on a monthly basis.Current data for principal importers of natural gas and the amount in which they import from United States, Republic of Korea, United Kingdom, France, Japan, Italy, Germany and Spain (Table 19.1).Current data for principal exporters of natural gas and the amount they export to Canada, Trinidad and Tobago, the United States, Netherlands, Norway, Russia, Turkmenistan, Qatar, Algeria, Nigeria, Indonesia, Malaysia and Australia (Table 19.2). Updated on a monthly basis.

The Terms of Trade Effect on Agriculture Export the Case of Indonesia as a Net Oil Importer Country

This study investigates the effects of changes in terms of trade (t.o.t) on economic indicators in net oil-importing countries. Findings demonstrate that improving trade conditions lead to increased profitability, investment opportunities, and capital accumulation, although the pace of accumulation slows down after an initial period of rapid growth. The study also highlights the positive impact of trade terms on foreign debt in developing economies, as enhanced terms of trade contribute to higher export revenues and better capacity to service debt obligations. The study suggests two measures: strengthening domestic energy production and implementing hedging strategies to mitigate the impact of oil price fluctuations on foreign debt. Furthermore, the analysis explores the influence of terms of trade on employment, interest rates, capital costs, net oil imports, final output, and agricultural product exports. These indicators are affected by changes in terms of trade, driven by factors such as increased productivity, shifts in comparative advantage, and market dynamics. Overall, this study emphasizes the significance of terms of trade in shaping economic dynamics and provides insights into policy measures to enhance energy security, reduce oil import dependency, and promote economic resilience in net oil-importing countries.

Potential Revealed for Hydrogen Production From Offshore Wind in Uruguay

_ This article, written by JPT Technology Editor Chris Carpenter, contains highlights of paper OTC 31879, “Assessment of the Potential for Hydrogen Production From Bottom‑Fixed Offshore Wind in Uruguay,” by Juan Tomasini, SPE, Pablo Gristo, SPE, and Santiago Ferro, SPE, ANCAP, et al. The paper has not been peer reviewed. Copyright 2022 Offshore Technology Conference. Reproduced by permission. _ With almost the entire electricity matrix having been decarbonized, the next step in the Uruguayan energy transition includes the development of a hydrogen economy. In the complete paper, the authors present the results of the assessment of two regions suitable for bottom-fixed offshore wind energy (OWE) technologies. Results are encouraging and could lead to new possibilities in supporting the development of a hydrogen economy. Introduction For Uruguay, hydrogen is expected to play an important role in tackling the various challenges of the second phase of decarbonization; it holds the potential for use in the transport sector and in raw materials and chemical products. Having no oil production, Uruguay is a net oil importer; therefore, the extensive use of hydrogen in the domestic market may have a profound effect on the national economy and energy sovereignty. Preliminary findings show that Uruguay may have hydrogen production costs between $1.2 and $1.4/kg, placing the country among the world’s net exporters. Green Hydrogen Production From Offshore Renewable Energy Compared with onshore wind, OWE presents several advantages, including a greater capacity of each turbine (fewer turbines required for the same wind-farm capacity) and the availability of larger areas (allowing larger wind-farm capacity). Even if bottom-fixed is the predominant technology for OWE projects, floating technology is attracting increasing investment and public policy support because of its potential to access wind resources at water deeper than 40 m, where bottom-fixed may be less feasible technically, economically, or logistically. Green Hydrogen Production. Contrasting with blue or gray hydrogen (produced from fossil fuels with or without carbon capture and storage, respectively), green hydrogen provides the lowest near-zero-emissions option. Green hydrogen can be produced through the gasification of biomass or the electrolysis of water powered by renewable electricity. Alkaline electrolysis and proton-exchange-membrane (PEM) technologies are widely available commercially. Alkaline electrolysis is a fully mature technology that represents the lower-cost option, but its operational load limits are not as broad as those for PEM; therefore, its coupling with variable renewable sources should be carefully managed. On the other hand, PEM electrolysis is not yet a fully mature technology, with higher costs that are expected to be reduced in the coming years.