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PROJECT PROFILES
INTERNATIONAL PROJECTS

MADAGASCAR HEAVY OIL FACILITIES

The Tsimiroro oilfield in Madagascar is a heavy oil resource located in the Western part of the country. There is a pilot facility currently producing approximately 80 m3/d of 15 API gravity oil from 25 wells utilizing steam injection to thermally stimulate the reservoir. The next phase of the development is to increase production to 1,600 m3/d over a period of several years. Some of the unique challenges of this project include working in a very remote part of the country with no industrial infrastructure and accommodating a pronounced wet and dry season in undulating terrain with a propensity to severe erosion. Seidlitz Engineering prepared the project design memorandum and the implementation plan to achieve this objective. As well, a program was developed and implemented to gather fluid properties in the field. This project is progress at this time.

RUSSIAN GAS FIELD DEVELOPMENT PLAN

A Russian oil company secured concessions in southern Russia, near Kazakhstan. There were eleven fields identified for development which were distributed along an arc over 200 km in length. The produced gas contained significant quantities of hydrogen sulphide, carbon dioxide, hydrocarbon condensate and water. Seidlitz Engineering was requested to provide a study to identify the optimum development strategy for this area taking into account technical feasibility as well as development cost. It was determined early in the study that the number of gas plants would have to be minimized in order to reduce development costs. A 1400 e3m3/d gas processing plant was already in operation and it was determined that this would serve four of the fields. The remainder of the area consisting of seven fields over a 100 km distance was to be developed with one or two gas plants. The target gas rate for the new development was an additional 4250 e3m3/d. The terrain in this area is hilly which presents significant problems in the design of the long gathering system. The various pipeline options were evaluated using computer programs to determine the operating characteristics of the pipelines and the requirements for the processing plants. During this study twelve options were examined with two options being presented for final consideration by the Owner. Seidlitz Engineering Ltd. provided all engineering services, computer modelling and cost estimates for this project.

CHAD CONVENTIONAL OIL FACILITIES

A Canadian oil company secured concessions in Chad which have potential for light and medium crude oil production. Seidlitz Engineering was retained to provide a design basis (FEED) for the first phase of development. The development included surface facilities and pipelines to produce 4000 m3/d of oil from 20 wells, pipeline the oil over 100 km, treat the oil to pipeline specification and pump it into an existing sales oil pipeline. Also included were facilities to treat and dispose of the natural gas and water produced in association with the oil. This is a very undeveloped part of Africa so all camp, electrical power generation and distribution and other supporting infrastructure was included in the plan. Seidlitz Engineering Ltd. working with several other consulting engineering companies provided a detailed development plan, specifications for the major equipment and material and a cost estimate for this project.

ALBANIAN HEAVY OIL FACILITIES

A Canadian oil company secured concessions for heavy oil in Albania. As production levels approached 2,000 m3/day, various production facility additions became necessary. Seidlitz Engineering was retained to provide engineering services including the design of an expansion to the existing oil treatment plant, the development of a tanker truck hub and 12 km insulated pipeline to optimize oil movement and an oil transport study to allow for the ocean export of current and future production volumes. Since many of the oil reserves were too heavy to be produced economically without thermal stimulation, a steam injection pilot project was implemented. Seidlitz Engineering Ltd. provided all engineering and design services, cost estimates and material specifications for all of these projects.

ISSARAN FIELD DEVELOPMENT

The Issaran oil field is located in eastern Egypt. The oil in this area was very heavy with API gravity between 10 and 15. The first phase of the project involved the design of production facilities for individual wells while the delineation drilling was occurring and the preparation of various surface facility options for primary and enhanced recovery schemes. A program was developed and implemented to gather fluid samples and determine fluid properties in the field. Evaluations were completed of the existing oil infrastructure in the area. During the second phase of this project, central production facilities were installed to collect and clean 800 m3/d of oil and dispose of the produced water to wells. Steam generation equipment and pipeline systems were installed to permit the injection of steam into a 7 well pilot and to safely handle the resulting production. The second phase was completed in May 2007. The third phase included the addition of 8 steam generators and connecting 240 new thermal wells into the production system. This phase also included a water treatment system for the steam generator source water. This project was completed in 2009. Seidlitz Engineering Ltd. provided all engineering services and construction management services for this project including providing up to 15 field supervisors. All construction was carried out using local contractors.

KONGNAN BLOCK DEVELOPMENT

A Canadian company acquired concessions in central China. The project involved the design of production facilities for four separate oil fields. The oil had a very high pour point due to high paraffin content. The design process included the preparation of several "development plans" over a period of 5 years while the fields were being defined by drilling. These plans included detailed project design and cost estimating and involved working with local Chinese engineering companies and suppliers to provide the required facilities. Seidlitz Engineering was responsible for all engineering related activities for the surface facilities as well as working with other disciplines in the preparation of the overall development plans for this area.

TAMTSAG EARLY PRODUCTION

A British company acquired concessions in eastern Mongolia. After successfully drilling a number of oil wells, a testing program was implemented to gauge the commercial viability of the project. The oil had a very high pour point due to high paraffin content. A production test system was devised consisting of electrically heated elevated storage tanks, electrical generators and all associated equipment to allow the wells to be produced for long periods of time. The oil was trucked to an oil receiving terminal. Seidlitz Engineering developed the project design and worked with a Chinese engineering contractor to complete the detailed design, equipment manufacture and installation in Mongolia.

SUDANESE OIL FIELD DEVELOPMENT

Seidlitz Engineering was part of a team of engineers charged with the design of facilities to produce 24,000 m3/d of oil from 75 wells, a 1500 km pipeline and a port on the Red Sea. This oil has a gel point very near the minimum ambient temperature of the pipeline. A number of innovative fluid testing programs and novel designs were required to allow the oil to be produced and transported at a reasonable cost. This field was identified by Chevron but never produced. This project included all surface facilities, pipelines and supporting infrastructure for a remote self contained production operation. Prior to the implementation of the main project, an Early Production System was installed to produce up to 4,000 m3/d of oil from 14 wells for the local market. This included 25 km of pipeline, a tank battery and truck loading facilities. This Early Production System was installed and ready to operate in less than 12 months and has produced in excess of 350,000 m3 of oil. Other facilities installed included a 120 man stick built camp and the supply of a modularised topping plant to provide 25 m3/d day of diesel for use in the oilfield.

RUSSIAN OIL FIELD DEVELOPMENT

A British oil company entered into a joint venture in the Perm region of Russia to develop various oil discoveries. This required the development of a complete production and transportation infrastructure in a very hostile environment. For several years, Seidlitz Engineering provided consulting and advisory services to assist in evaluating and implementing various development options. These services included stationing a full time expatriate project manager in Russia for three years during the project implementation phase.

ZHAOZHOU PILOT PROJECT

A Canadian company acquired concessions in northern China. The project involved the design and installation of a water injection system and an oil production system on a 5 well pilot. The oil had a very high pour point due to high paraffin content. The majority of the equipment, except for wellsite tanks, was procured and assembled in Canada then shipped to China as prefabricated modules for installation. The total elapsed time from project inception to start up was 8 months. Seidlitz Engineering was responsible for all surface facilities including design, procurement and supervision of installation in China.

UKRAINIAN OIL FIELD EVALUATION

A Canadian oil company acquired oil concessions in the eastern Ukraine in an existing oil field. Seidlitz Engineering evaluated the existing infrastructure to produce and market the oil and made recommendations for modifications to permit the development of the Company's interests in this field. The evaluation included a review of existing facilities and pipelines, the determination of the Company's future requirements and a cost estimate and development plan to implement the program. There were very significant environmental concerns about the existing operation and these considerations had to be included in the development of the implementation plan.

GHAZZUN WATERFLOOD DESIGN

Seidlitz Engineering in association with another consultant completed a facility design for VEBA OIL COMPANY in Libya. The project consisted of preparing a water treatment program and design of the surface water handling facilities. The design was presented to the client for procurement and installation using their own resources. Seidlitz Engineering provided services including data gathering, facility design, cost estimates, drawing preparation and implementation recommendations.

HENAN HEAVY OIL STUDY

Seidlitz Engineering working in conjunction with a major international engineering consultant completed a preliminary facility design to develop a heavy oil field in the Peoples Republic of China. The project involved gathering data in China, preparing a detailed development plan for the selected field development option and preparing a basic design package for all surface and well facilities. Seidlitz Engineering completed all design activities relating to the surface facilities and assisted in the design of well completions and artificial lift. The final report included specifications for all equipment, material balances, energy balances, mechanical flow schematics, pipeline maps and plant layout drawings. In addition, several engineers from China were trained in Canada over a period of several months in design methodologies.

ALBANIAN OIL PRODUCTION EVALUATION

Seidlitz Engineering was part of a team contracted by the Hungarian State Oil Company to examine the possibility of revitalising heavy oil fields in Albania. Seidlitz Engineering Ltd. had the primary responsibility for evaluating the well pumping systems, pipelines, surface production facilities and infrastructure..

RUSSIAN OIL FIELD EVLAUATION

Seidlitz Engineering was part of a team of engineers contracted by the Russian oil production company to evaluate the existing production system including the well pumping equipment, pipelines and all production equipment and to recommend changes and improvements to modernise the system. The oil field was located in the Neftyugansk area of Siberia.

FENI AND CHATTAK GAS FIELD DEVELOPMENT

A Canadian company acquired the rights to develop these gas fields in Bangladesh. At Feni, beginning with an initial site visit to evaluate the existing field conditions, Seidlitz Engineering Ltd. provided engineering, procurement and field supervision services to install gas dehydration equipment and all associated facilities to allow 1400 e3m3/day (50 mmscfd) of natural gas to be produced from three wells. Equipment was generally supplied from various overseas sources but all installation activities were completed using local contractors. The first phase of the project was completed in less than one year. At Chattak, the project included the installation of gas dehydration equipment, 16 km of 16" pipeline and all associated facilities to allow natural gas to be produced from this area. Equipment was generally supplied from various overseas sources but all installation activities were completed using local contractors. Extensive road and well site construction activities involving hydraulic dredging and bridge construction were required as the area was subject to seasonal flooding. Seidlitz Engineering Ltd. provided all engineering, procurement and field supervision services for this project.

GOCERLER GAS PROJECT

An Australian oil company made a significant gas discovery in western Turkey. Several high productivity wells were discovered in an area with good market access. A pipeline was run to take the raw gas to the consumers. The gas was rich in liquids and these collected in the pipeline as the gas cooled during transportation. These liquids periodically slugged from the pipeline causing major problems for the consumers. Seidlitz Engineering Ltd. undertook a study to define the nature of the problem, to identify options to correct the problem and to prepare preliminary designs and cost estimates for each option. Computer simulation tools were used to model the pipeline operation under various scenarios. This data was incorporated into a study of the safety issues where raw gas was being handled. Then a series of processing options were developed to treat the gas to meet a pipeline quality specification.

BANQIAO GAS RESERVOIR AND PLANT STUDY

Seidlitz Engineering working in conjunction with a major international engineering consultant completed a study of existing gas, condensate and oil reservoirs and production facilities located in the Peoples Republic of China. The purpose was to optimize the development of the reservoirs and to design upgraded production facilities to recovery ethane and heavier components from the gas. The project culminated in a detailed reservoir and processing facility development plan. Mr. Seidlitz was assigned project manager for the Banqiao project. This involved the co-ordination of the efforts of a large group of professionals covering all disciplines from geology and petrophysics through to facility design engineering.

PAKISTAN GAS AND LPG PRODUCTION STUDY

Seidlitz Engineering Ltd. completed a study in the Badin block of Pakistan for two small gas fields called Bagla and Nur. The purpose of the study was to evaluate the optimum means of developing these fields so as to maximize recovery of natural gas and LPG from the limited resource. This study included preparation of a market study, with the help of a Pakistani partner, a data gathering visit, preparation of an optimum development plan considering technical and economic factors, preparation of detailed cost estimates and the preparation of all designs and specifications for the required equipment.

PIRKOH GAS DEHYDRATOR

Seidlitz Engineering working in conjunction with a major international engineering consultant designed and procured a 2800 e3m3/d gas dehydrator for the Oil and Gas Development Corporation of Pakistan. This project involved the preparation of bid specifications, soliciting bids, monitoring the fabrication of the facility modules, coordinating the shipment of the modules to Pakistan and providing installation specifications for the equipment. Mr. Seidlitz was assigned technical project manager for this project and supervised all of the above activities.

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