Currently, gas demand exceeds supply by 30 per cent. While the demand for natural gas in India is 118 million metric standard cubic meter per day (MMSCMD), the current supply from various sources is 80 MMSCMD, leaving a shortfall of 28 MMSCMD. That deficiency can be covered by CBM production.
Economic analysis of methane drainage from underground coal mines in indian c...
Coal Bed Methane
1. SEMINAR
ON
COAL BED METHANE:
A STRATEGIC OVERVIEW
Presented by
Rupam Sarmah
6TH SEMESTER
PETROLEUM ENGINEERING
D.U.I.E.T
In fulfillment for the Completion
Of
WINTER INTERNSHIP
DECEMBER 26TH, 2011 – JANUARY 15TH, 2012
In
RANCO ENERGY PROJECTS PRIVATE LIMITED, MUMBAI
2. ABSTRACT
Currently, gas demand exceeds supply by 30
per cent. While the demand for natural gas in
India is 118 million metric standard cubic
meter per day (MMSCMD), the current supply
from various sources is 80 MMSCMD, leaving
a shortfall of 28 MMSCMD. That deficiency
can be covered by CBM production.
2
5. COAL : World’s number two source of primary
energy with 27% of demand
According to the baseline scenario used by the IEA in its World
Energy Outlook 2009, the consumption of coal is expected to rise
by 1.9% per year between now and 2030, by which time it should
account for 29% of global primary energy requirements
Distribution of recoverable coal reserves CBM Reserves (Gas in Place) by country
6. A GENESIS MODEL OF COAL
PEATIFICATION Geochemical Transformation COALIFICATION
9. GAS STORAGE: Instead of occupying void spaces as a free gas
between sand grains, the methane is held to the solid surface of the coal by
adsorption in numerous micro pores. The adsorption mechanism creates
the paradox of high gas storage in a reservoir rock of porosity less than
2.5%.
GAS FLOW:
• Mass transport through solid
coal (micro pore structure) is
governed by Ficks law of
diffusion,
• Mass transport through the
fracture system is governed by
Darcy’s law,
10. GAS PRODUCTION: Dictated by the pressure-lowering process of dewatering, Coal
beds feature production rates of methane that initially increase and then slowly decline as
gas production continues over a long period.
GAS CONTENT: Gas adsorbed on the coal cannot be detected on geophysical logs as
in a conventional reservoir, and the gas amount must be determined by volumetric
calculations based on coring data. Gas content of coals may increase with depth, however,
due to the positive influence of pressure on adsorptive capacity rather than the
compressibility of the gas.
WATER PRODUCTION: The formation waters generated from natural fractures in
coal must be removed before methane can be desorbed in the early production life of a
well.
ROCK PROPERTY: Conventional oil and gas formations are inorganic. Organic
formations contain CBM; these formations may contain about 10–30% inorganic ash.
HYDROFRACTURING: The coal usually has low permeability and depends on natural
fractures to act as gas and liquid conduits. Without hydraulic fracturing, these low-
permeability coals are usually commercially non-productive.
STRESS DEPENDENT PERMEABILITY: The permeability is stress-dependent, so,
whether the coals exhibit a low permeability or exhibit an extensive, unstressed network of
fractures with high permeability is a critical parameter in any decision to invest in a CBM
process.
11. KEY PARAMETERS IN CBM RESERVOIRS
GAS CONTENT : Standard volume of gas per unit weight of coal or
rock. (scf/ton)
Estimation of gas content:
• Desorbed gas : Estimated by the
“Direct Method” or Canister desorption test.
• Lost gas : Volume of the gas that desorbs from
the sample during the recovery process before
the core sample can be sealed in a desorption
canister and is estimated by analyzing the data
obtained during the canister desorption tests.
•Residual gas : Gas that remains sorbed on the sample at the conclusion
of the canister desorption test and is estimated by crushing the entire
desorption sample to smaller than a 60 mesh grain size and measuring the
gas volume released at the reservoir temperature.
TOTAL GAS VOLUME ═ DESORBED GAS + LOST GAS + RESIDUAL GAS
12. RESERVOIR THICKNESS:
• Gross coal thickness usually can be determined accurately with wire line
logs (Generally, Open-hole density logs).
• The gross reservoir thickness is commonly computed by summing the
thicknesses of the intervals having densities less than a cut off value
generally equal to the coal ash density.
• Determining net thickness is complicated but it can be estimated by using
Resistivity logs, Well tests, Production logs, or Zonal isolation tests.
LANGMUIR VOLUME (VL) : Maximum amount of gas that can be
adsorbed on a piece of coal at infinite pressure. This value is
asymptotically approached by the isotherm as the pressure increases.
Typically, the units for the Langmuir volume parameter (VL) are scf/ton.
LANGMUIR PRESSURE (PL) : This parameter affects the shape of
the isotherm. The Langmuir pressure is the pressure at which half of the
Langmuir volume can be adsorbed.
13. • Relationship used to represent the sorption mechanism in coal bed methane
reservoir is given as:
Where,
Gs = Gas storage capacity, SCF/ton; P = Pressure, psia; V L = Langmuir volume constant,
SCF/ton; PL = Langmuir pressure constant, psia
• The impact of VL and PL on the shape of the isotherm curve:
14. SORPTION TIME : Sorption time (τ ) is the time required to desorb 63.2 percent
of the initial gas volume.
Where,
σ = matrix shape factor, dimensionless
D = matrix diffusivity constant, sec-1
As the coal rank increases, τ also increases. Greater the value of τ, greater will be
the time taken by gas for desorption
PERMEABILITY : It is the volume of interconnected pores in a rock.
Primary Permeability (Cleat)
Permeability of CBM Reservoir
Secondary Permeability (Pore)
POROSITY : In CBM reservoirs, porosity is saturated with water.
So, greater porosity will lead to greater water production and vice- versa.
Thus, unlike conventional reservoirs, high porosity is unfavourable
for CBM reservoirs.
Micro-porosity of coal
15. FLOWING BOTTOM HOLE PRESSURE : Pressure at the bottom of the
hole
Calculation : Let x be the mean depth of perforation from the surface in meter.
Let y be the water level in annulus from the surface in meter.
Then,
BHP=(x-y)*3.28*0.433 in psi.
Where,
0.433 is the water pressure gradient in psi/ft.
The aim of production operations is to bring
the level of water below the perforation so
that BHP decreases. When flowing BHP is
decreased, drawdown will increase and
correspondingly production will also increase.
16. DEPTH :
As depth increases, coal rank increases, increasing gas content of coal, but
at the same time decreasing permeability. Thus, the depth at which
optimum value of gas content and permeability can be expected ranges
between 700 to 1000 m.
DENSITY OF COAL :
If coal density is low, desorption will take place easily and vice-versa.
18. Coalbed methane is stored in four ways:
As free gas within the micro pores (pores with a diameter of less
than .0025 inches) and cleats (sets of natural fractures in the coal);
As dissolved gas in water within the coal;
As adsorbed gas held by molecular attraction on surfaces of
macerals (organic constituents that comprise the coal mass), micro
pores, and cleats in the coal; and
As absorbed gas within the molecular structure of the coal
molecules.
20. The most important characteristics of coal reservoir are:
Coal is a source rock and a reservoir rock. The depositional environment and burial
history of the coal affect the composition of the gas as well as the gas content,
diffusivity, permeability, and gas storage capacity of the coal.
The gas storage mechanism of coal. Most of the gas in coal reservoirs is adsorbed
onto the internal structure of the coal. Because large amounts of gas can be stored at
low pressures in coal reservoirs, the reservoir pressure must be drawn down to a very
low level to achieve high gas recovery.
The fracture system of coal reservoirs. Coals contain small (typically, several per
inch), regularly-spaced, naturally occurring fractures called face cleats and butt cleats.
Coal reservoirs also contain larger-scale natural fractures.
Coal reservoirs often require pumping water before gas is produced. Typically, water
must be produced continuously from coal seams to reduce reservoir pressure and
release the gas. The cost to treat and dispose of produced water can be a critical factor
in the economics of a coalbed methane project.
The unique mechanical properties of coal. Coal is relatively compressible compared
to the rock in many conventional reservoirs. Thus, the permeability of coal is more
stress- dependent than most reservoir rocks. The friable, cleated nature of coal affects
the success of hydraulic fracturing treatments, and in certain locations allows for
cavitation techniques to dramatically increase production.
21. STAGES OF PRODUCTION
Isotherm showing reservoir initial condition
STAGE 1: WATER PRODUCTION: DEWATERING
STAGE 2: GAS PRODUCTION: DEWATERED STAGE
STAGE
Isotherm showing dewatering Water flow rate with time Isotherm showing amount of gas released Gas flow rate with time
23. Reservoir simulation is the process of integrating geology, petro physics,
reservoir engineering, and production operations to more effectively develop and
produce petroleum resources
DESCRIPTION OF CBM SIMULATORS
Dual porosity nature of coalbed;
Darcy flow of gas and water (i.e., multiphase flow) in the natural fracture system
in coal;
Diffusion of a single gas component (i.e., pure gas) from the coal matrix to the
natural fracture system;
Adsorption/Desorption of a single gas component (i.e., pure gas) at the coal
surface;
Coal matrix shrinkage due to gas desorption.
TYPES OF SIMULATORS
Gas Sorption and Diffusion Simulators
Compositional Simulators
Black-Oil Simulators
28. Methane gas from Coal beds:
•Coal bed Methane (CBM) : Methane contained in
coal seams. Often referred to as virgin coal bed
methane, or coal seam gas.
•Coalmine Methane (CMM) : CBM that is released
from the coal seams during coal mining.
•Abandoned Mine Methane (AMM) : Methane that
continues to be released from closed and sealed mines.
May also be referred to as coal mine methane because
the liberated methane is associated with past coal
mining activity. 28
29. GENERAL OVERVIEW
Air Drilling Rig For CBM PC Pumps running at test wells
Plantation at test Separators installed
well site at test wells
Gas flare 29
32. INTRODUCTION
• Methane can be extracted from the coal
seams by the process of desorption
according to which the initial reservoir
pressure is reduced, by dewatering, to the
reduced
critical desorption pressure. Thereafter, the
coal seams release methane gas as the
pressure is reduced. The abandonment
pressure is the lowest pressure at which no
more methane can be produced. Before an
exercise of drilling for the purpose of
methane extraction can be undertaken, an
estimate of the reserves of coal bed methane
gas is made.
32
33. INTRODUCTION (contd.)
• The primary concerns for drilling are
overpressure of gas/water kicks, high
permeability which leads to loss of
circulation fluid, formation damage due to
the nature of coal and hole sloughing.
• Due to presence of large amount of water
in the reservoir, often water influx is
encountered during drilling.
33
34. INTRODUCTION (contd.)
• However as the gas is found in
shallower depths, the drilling is cost
effective in case of CBM than those of
conventional oil and gas reservoir drilling.
• Normally directional wells are favored for
CBM reservoir as it can lead to
production of large amount of gas
economically and as the depth is not a
major problem so it is cost effective.
34
37. DIRECTIONAL DRILLING TECHNOLOGY (contd.)
•To give an idea of the effectiveness of horizontal
drilling, the U.S. Department of Energy indicates
that using horizontal drilling can lead to an increase
in reserves in place by 2% of the original oil in place.
The production ratio for horizontal wells versus
vertical wells is 3.2 to 1, while the cost ratio of
horizontal versus vertical wells is only 2 to 1.
Figure: Schematic Diagram
of a Directionally Drilled Pre-
Mine Degasification
37
38. TECHNICAL LIMITATIONS AND
BARRIERS TO IMPLEMENTATION
1. Poor vertical permeability or impermeable
streaks : Compositionally, coal is often heterogeneous
with the different coal types generally segregated into
bands; this can range in thickness from several millimeters
up to several to tens of centimeters. The degree of cleat
development varies greatly between these coal types; for
example vitrain bands tend to be well cleated, while durain
bands tend to be poorly cleated. The alternation of well
cleated/poorly cleated bands can substantially reduce
vertical permeability. Additionally, coal bed often contain
thin shale beds or stringers which would further limit
vertical permeability.
38
39. TECHNICAL LIMITATIONS AND
BARRIERS TO IMPLEMENTATION
(contd.)
2. Variable formation depth and
thickness : Some coal bed were formed in
depositional systems which resulted in erratic
or uneven coal seam deposition. In such cases,
it would be difficult to keep a horizontal or near-
horizontal hole in the seam while drilling.
39
40. TECHNICAL LIMITATIONS AND BARRIERS
TO IMPLEMENTATION (contd.)
While it is technically feasible to drill multiple horizontal legs at
different depths, there are some unique characteristics of how coal
bed methane wells are produced which must be considered:
1.First, only one leg of a horizontal well with multiple legs can be
cased. Because coal is often friable, uncased horizontal wellbores will
be prone to sloughing and collapse. The loss of wellbore integrity will
inhibit both the dewatering process and gas production.
2.Second, dewatering operations in horizontal wells are more
complicated than vertical well operations. The majority of coal bed
methane wells in the U.S. are dewatered using conventional "beam" or
"sucker rod" pumps. Formation water is produced by a down-hole
pump, which is operated via an up and down motion imparted to the
rods by the pump jack on the surface. Because the pumping system is
designed to operate in a vertical plane, the connecting rods tend to
break when flexed, as would be the case in a horizontal wellbore.
40
43. Figure :
Coal Bed Matrix
illustrating gas
surrounding the
coal bound by
water and rock
43
44. INTRODUCTION
Since CBM travels with ground water in coal seams,
extraction of CBM involves pumping available water from
the seam in order to reduce the water pressure that holds
gas in the seam. CBM has very low solubility in water and
readily separates as pressure decreases, allowing it to be
piped out of the well separately from the water. Water
moving from the coal seam to the well bore encourages
gas migration toward the well.
CBM producers try not to dewater the coal seam, but
rather seek to decrease the water pressure (or head of
water) in the coal seam to just above the top of the seam.
However, sometimes the water level drops into the coal
seam. 44
46. INTRODUCTION (Contd.)
• The production profiles of CBM wells are typically
characterized by a "negative decline" in the gas rate as
water is pumped away and gas begins to desorb and
flow. A dry CBM well does not look very different from a
standard well, except that the gas rates are lower and
decline at a much slower rate.
Figure: A typical ten-year CBM gas
rate forecast, showing a negative
decline for the first couple years of
production. 46
47. INTRODUCTION (Contd.)
• The methane desorption process follows a curve (of gas content vs. reservoir
pressure) called a Langmuir isotherm. The isotherm can be analytically
described by a maximum gas content (at infinite pressure), and the pressure at
which half that gas exists within the coal. These parameters (called the Langmuir
volume and Langmuir pressure, respectively) are properties of the coal, and vary
widely. A coal in Alabama and a coal in Colorado may have radically different
Langmuir parameters, despite similar other coal properties.
Figure: A typical CBM isotherm 47
48. INTRODUCTION (Contd.)
• The increasing gas rates seen in a negative decline
are caused by increasing relative permeability as the
water saturation around the wellbore decreases. As
there is less water in the coal cleats, the gas is able
to flow more and more into the wellbore to be
produced.
Figure : A set of relative permeability
curves ( As water saturation
decreases, more gas and less water is
produced from the coal.)
48
49. ENHANCED RECOVERY OF CBM
• There are three main methods which can
induce methane release from coal:
1.Reduce the overall pressure, usually by
dewatering the formation either through
pumping or mining
2.Reduce the partial pressure of the methane
by injecting another inert gas into the
formation
3.Replace the methane on the surface with
another compound, such as CO2.
49
50. ENHANCED RECOVERY OF CBM (contd.)
• The process is implemented by injecting inert gas at one
location and recovering methane gas at another.
Figure:
Gas is injected
in one well and
methane is
recovered in
another
well 50
51. ENHANCED RECOVERY OF CBM (contd.)
Concerned hazards and methods to
reduce:
• Deep unmineable coal formations provide an opportunity to both sequester
CO2 into coal seams (from anthropogenic sources) and increase the
production of methane where the adsorption of CO2 causes the desorption
of methane. This process has the potential to sequester large volumes of
CO2 (reducing its impacts on possible global warming), while improving the
efficiency and potential profitability of natural gas recovery. Lab studies
indicate that coal adsorbs nearly twice as much volume of CO2 as methane.
There are some concerns, however, that injection of CO2 into mineable
coals presents a safety hazard, as the mines are required to have a
limit of 3% CO2 by volume in the mine air.
• One potential method for reducing CO2 levels in the mine air is to use a
mixture of CO2 and other gases, such as nitrogen. Studies indicate that for
each volume of nitrogen that is injected, two volumes of methane are
produced. There is growing interest in mixed Nitrogen/CO2 injection for
two reasons:
• There may be a synergy of production mechanisms, and
• Its use would result in the lowering of CO2 levels in the mine air.
51
52. ENHANCED RECOVERY OF CBM (contd.)
LIMITATIONS/ BARRIERS TO
IMPLEMENTATION :
• The potential barriers or limitations to ECBM fall into the three broad
categories:
1. Geologic.
2. Economic.
3. Policy.
The geologic limitations are fixed in the absence of advances in
technology; if the gas is not present in commercial quantities or if
the gas cannot be produced, the project would not support an
ECBM project, especially given the additional costs. Assuming
favorable geologic characteristics, the operator must then examine
the economics of the project. A wide variety of factors can influence
project economics, and thus, the likely application of ECBM
processes in mineable coal seams. Finally, regulatory requirements
and/or potential financial incentives can tip the balance for or
against marginal projects.
52
53. ENHANCED RECOVERY OF CBM (contd.)
LIMITATIONS/ BARRIERS TO IMPLEMENTATION
(contd.) :
Important factors to consider within each of these
categories include:
•Geological : • Economic :
•Homogeneity • Cost of CO2
•Permeability >1 md
• Cost of N2
•Depth 300-1,500 meters
• Availability of injecting gas
•Concentrated coal geometry
• Value of methane
•Production rates
• Cost of processing
•Development timing
• Cost of implementation
•Water disposal
• Transportation
•Amount of available gas
53
54. OTHER FACTORS CONSIDERED
FOR CBM PRODUCTION :
1. CBM CEMENTING.
2. ORIENTED PERFORATING.
3. COILFRAC STIMULATION.
4. FRACTURING CBM.
5. DEWATERING AND FINES CONTROL.
6. STIMULATION SOLUTIONS.
54
55. LOGGING SOLUTIONS FOR
OPTIMIZING FIELD DEVELOPMENT :
1. Full range of well evaluation services.
2. Cased hole geochemical logging.
3. High-resolution density measurement.
4. Open hole geochemical logging.
5. Integrated open hole logging suite.
6. Sonic imaging measurements.
55
57. FRACTURING
TECHNOLOGIES :
• Fracture stimulation technologies for enhancing
well deliverability can generally be categorized in
three types, according to the rate at which
energy is applied to the target horizon to induce
fracturing:
1.Hydraulic fracturing .
2.Pulse fracturing .
3.Explosive fracturing .
57
58. Figure: Comparison of
Pressure Histories for Rock
Fracturing Techniques.
Figure: Comparison of Created
Fracture Geometries for Rock
58
Fracturing Techniques
62. Effect of CBM product water in stream channels and landscape
63. Ground water flow systems
Ground water flow
systems impacted
by CBM wells
64. PRINCIPAL CONCERNS :
Air quality, caused by the dust from the extensive network of
unpaved access roads,
Wildlife, from noise disturbances; the direct loss of critical
winter range habitat; habitat alteration such as water
temperature, quality and quantity changes in stream conditions;
increases in hunting pressure;
Livestock grazing, this will be almost totally excluded from the
land
Cultural resources and
Agricultural land which may be lost or damaged by low quality
water coming from CBM production.
RECOMMENDATIONS :
Adopt the precautionary principle
Provide public input on decisions
Improve public information on CBM development
Improve the regulatory process on CBM development
Adopt best practices for operations
Evaluate enhanced recovery of CBM using CO2
65. INDIAN COAL WITH
SPECIAL REFERENCE TO
TERTIARY COAL FOUND IN
NORTH-EAST INDIA
74. POWER GENERATION
AUTO FUEL IN FORM OF COMPRESSED
NATURAL GAS (CNG)
FEED STOCK FOR FERTILIZER
FUEL FOR INDUSTRIAL USE
USE OF CBM AT STEEL PLANTS
CMM USE IN METHANOL PRODUCTION
75. CASE STUDIES
• CASE STUDY – 1: JHARIA COALFIELD.
• CASE STUDY – 2: MARGHERITA COAL
FIELD.
• CASE STUDY – 3: RANIGANJ FIELD, DURGAPUR.
• CASE STUDY – 4: EAST OGAN KOMERING
BLOCK 2, SOUTH
SUMATERA BASIN,INDONESIA.
• CASE STUDY – 5: WEST OGAN, SOUTH
SUMATERA BASIN, INDONESIA.
75
76. FACTS
• Coal is the world′s most abundant energy source
• Coal is a major source of hydrocarbons such as
methane gas
• When plant material is converted into coal it
generates large quantities of methane-rich gas
• Methane gas is then stored within the coal beds
making coal a reservoir as well as a gas source
• It is estimated that coal and methane gas can be
found in 13% of all the land in the lower 48 states
of the US.
• Coal bed methane gas accounted for almost 8%
of the U.S. natural gas demand.
76
77. FACTS (contd.)
• Coal bed methane is currently a huge undeveloped
energy resource
• Coal bed methane can be used as an clean energy
source
• It is a safe, efficient and an environmentally more
acceptable energy source
• Over the last two decades, the development of
domestic natural gas supplies declined while
consumption increased. There is now greater world
market demand for cleaner fuels like Coal Bed
Methane Gas and Natural Gas.
77
78. REFERENCES
• Website of Director General of • Data and Consulting Service,
Hydrocarbons Schlumberger Website
• BU-Screen-Chapter 2-Introduction to CBM • Simulation of CBM reservoirs, Under the
By David Epperly. guidance of Dr S.K.Singh Gm-CBM,
• Methane Gas an Unconventional Energy EEPIL, Mumbai
Resource, Paper by Alpana Singh & • Advanced Resources International, US,
Bhagwan D. Singh 1994
• Diamond, W. P. and Oyler, D. C., 1986, • Kristin Keith, Jim Bauder, Bozeman John
“Direction Drilling for Degasification of Wheaton, Montana Bureau of Mines &
Coalbeds in Advance of Mining Geology, 2003- “Coalbed Methane-
• Govt. of British Columbia – “CBM Frequently Asked Questions”
Brochure” • Ministry of Coal, India, Annual Report
• HELP MANUAL, FAST CBM, SOFTWARE • GEOLOGICA BELGICA (2004) By-Saikat
• After O.H.Barzandji, J. Bruining, MAZUMDER & Karl-Heinz A. A. WOLF ,
Combination Of Laboratory Experiments Delft University of Technology
And Field Simulations On The Improvement • Dissertation of Mr. Prasenjit Talukder,
Of Coalbed Methane Production By Carbon M.Tech, Petroleum Technology; Asstt.
Dioxide Injection, Delft University of Professor, D.U.I.E.T.
Technology Second International Methane
Mitigation Conference, Novosibirsk, • WORLD WIDE WEB
Russia, June 18-23, 2000
78
79. ACKNOWLEDGEMENT
We reserve our profound gratitude for Mrs. Leena Sonpal, Director, Ranco Energy
& Projects Pvt. Ltd-Mumbai for providing us this great opportunity. Words are
inadequate and indescribable to acknowledge the great care and guidance by our
mentor Mr.Prasenjit Talukder, Assistant Professor, Department of Petroleum
Engineering, Dibrugarh University Institute of Engineering Technology,
Dibrugarh University. Our association with him throughout the project was a great
process of learning. We would like to express our gratitude to the esteemed faculty
members of Dibrugarh University Institute of Engineering Technology for their
encouragement and valuable support. We express our gratitude towards our
esteemed faculty members, Mr. Gautom Neog ,Mr. Nayan Medhi and Mr. Santanu
Sarmah for their care & support, for their constant motivation to work positively and
for extending a helping hand whenever in need. We are greatly indebted and thankful
to for their altruistic teaching and continuous guidance throughout two and half years
of our study at Dibrugarh University Institute of Engineering Technology.
We would also like to thank all those who are knowingly or unknowingly involved in
completion of our project. Finally, our head bows with veneration before our
respected parents who have given us strength, patience and will to complete this
project.
79
80. THANK YOU
PROJECT UNDERTAKEN AND COMPLETED AT
DIBRUGARH UNIVERSITY INSTITUTE OF ENGINEERING
AND TECHNOLOGY.
80