[eastbay]

The fact that this is becoming necessary is not particularly good news.

That's what I was thinking. It's the final draw.

[Maddog78]

Congrats to Halco.
Jobs for the boys.

[deMolay]

Ghawar field, the world's largest, is a long asymmetric structure that is 230 kilometers long and approximately 30 miles wide however the width diminishes going south.The The announcement makes no mention of Ain Dar, the most mature part of Ghawar in the extreme northwestern region of the field. Ain Dar has been under pressure maintenance by peripheral water injection for over 40 years. Ain Dar (and other parts of the field) began producing salt water in the late 1970s and by 2005, the cut was 42%. All of Ain Dar was wet since 1984. Once water became a major problem, many existing vertical wells were converted to short lateral horizontals running along the top 10 feet of the Arab D zone, the main pay. New wells were drilled horizontally to the same layer. Today, the redevelopment process has gone on so long that future oil production from Ain Dar is speculative. Shedgum, adjacent to Ain Dar on the east, is not much better off. Both regions began oil production in 1951. Uthmaniyah was developed after Ain Dar and Shedgum were fully developed with vertical wells on 1 square kilometer spacing. It is somewhat narrower and the thickness of the Arab D is less.Reservoir quality is diminished. Hawiyah, narrower than Uthmaniyah and to the south of it, was then developed. Reservoir quality is further diminished. In Haradh, developed in the 1970s, reservoir quality is so poor that vertical wells have less than one fourth the productivity of the northern regions. In 1983 with reservoir pressure falling rapidly, the region was shut in. Following increased demand as the result of the invasion of Kuwait, in 1990, these shut in wells were returned to production. Redevelopment began in 1996 with horizontal and multilateral wells. The southernmost section of Haradh, known as Haradh III came on stream in February of 2006. Today, the entire field still contains a great deal of crude oil but it is much harder to get and the production rates continue to fall off. Halliburton's mandate will be to deal with higher and higher water cuts, utilize all known new technology to hold rates as high as possible and stimulate wells as required. The total number of wells drilled in Ghawar exceeds one thousand including hundreds of vertical wells that have either been abandoned or converted to horizontals. Now Halliburton will drill even more trying to improve rate and lessen decline. It is a good, long-term contract and a tall order for the company.


Michael Lynch consults with leading institutions through GLG
Questions for the authorMichael Lynch

Consultant, Michael E. Lynch

[SilentRunning]

It sounds like they are pulling out all the stops to keep production up. This means that the inevitable decline will be more like a cliff - and when Ghawar does that it will become obvious to all that maybe, just maybe there is something to this "Peak Oil" thing after all.

This news story seems to me to be the most candid admission that Ghawar is in fact terminal and that will be seeing if Matthew Simmons was correct in the very near future. Hold on hats folks. Get those plans implemented - and quick.

[kiwichick]

didnt simmons say that when ghawar was declining we are post peak?

[Daniel_Plainview]

The total number of wells drilled in Ghawar exceeds one thousand including hundreds of vertical wells that have either been abandoned or converted to horizontals. Now Halliburton will drill even more trying to improve rate and lessen decline.

LOL. Ghawar will look like an overstuffed pincushion by the time Halliburton has squeezed the final drops from this terminal oilfield.

[NoWorries]

I thought Michael Lynch was a big Peak Oil sceptic? But this is the 2nd item I've seen from him in the past 4 months where he seems to imply trouble ahead.

What gives?

And I note the item says there's still "lots" of crude left in that field -- it's just harder to reach. Nevertheless, the whole tone of the item suggests the easy oil from Ghawar is .....gone.

[Plantagenet]

Who cares what Michael Lynch says----the guy is clueless.


This is the time to acknowledge the prescience of Matt Simmon's work on Ghawar.

[copious.abundance]

thought Michael Lynch was a big Peak Oil sceptic? But this is the 2nd item I've seen from him in the past 4 months where he seems to imply trouble ahead.

This is not the same Micheal Lynch.

[Homesteader]

Halliburton to coax more oil out of largely depleted Ghawar fieldNovember 7, 2009


The title says it all. The rest is details.

[deMolay]

The skeptics can skeptic, the scoffers can scoff, but the fact is Simmons has been right all along. The question now is how long until the last drop drips into the bucket. The final removal of Ghawar from production will have what ramifications for the Saudi's. In other words what will be the short term effects, and long term effects. I know you guys have the answers better than I.

[deMolay]

A good graphic that shows water injection method. http://satelliteoerthedesert.blogspot.com/

[mcgowanjm]

The final removal of Ghawar from production will have what ramifications for the Saudi's. In other words what will be the short term effects, and long term effects.

Saudi jets dropping phosphorous bombs on Yemeni's
as we type.

[mos6507]

So, shorty, what say you to this?

[deMolay]

Removing Cantrell and Ghawar, what will be the effects on global oil prices, and supplies. I know this info is here on PO, but for this thread, ramifications to the USA and global prices and supplies?