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April 1997 NEWSLETTER



MEETINGS THIS MONTH

L.A. Basin Board of Directors Apr. 2
Petroleum Technology Forum Apr. 15
Environmental & Study Group Forum Apr. 16


GREETINGS FROM THE CHAIRMAN

A recent Environmental Forum meeting on February 19 demonstrated some of the technology transfer that is the cornerstone of the SPE's mission, and admirably showed the benefits of attending such meetings. The meeting was very well attended with some really good speakers and topics. A Russian, Genaday Moshkovich, talked about the state of environmental awareness and protection in Russia. He prefaced his discussion with an appeal for some understanding of the revolution sweeping the Russian federation. He said no revolution of such magnitude by a world power had ever been attempted in a non violent way.

A second speaker, Juan Chacon, of Torch discussed his recent workover program on a platform obtained with the Unocal sale (and which had been traded from Chevron before that). Working on seven wells, Juan boosted production by 1400 BOPD, and almost tripled the platform's production. Not bad for a platform that was scheduled for abandonment when Unocal had possession. His talk was particulary useful, since the workovers had to be done inexpensively and quickly. His solutions, while working with a small support staff, and limited funding, were simple, direct, and pertinent to any LA Basin operator.

The final speaker, Tony Lanson, of CalResources, discussed their efforts to make the Huntington Beach property profitable after losing a million dollars a month. But, this was not a typical slash and burn solution, because they still wanted to increase production with new development projects. CalResourses' solutions shed light on how to better manage any large scale operation while keeping an eye on the bottom line of fiscal responsibility. His talk generated probably 15 questions and answers. When I left after the talk, Tony was surrounded by 5 or 6 people asking still more questions.

Comparing Juan's minimalist approach to production enhancement to Tony's considerable effort to understand his own property provided good examples for the tools necessary to successfully compete in today's market. The event was enjoyable and productive for those who attended. Try to avail yourselves of what Your society has to offer.

Continuing with the SPE theme of technology transfer, all members are encouraged to apply for any of several SPE Forum meetings to be held in Breckenridge, Colorado this July. The SPE Forum series is a group meeting format that provides opportunities to examine timely technical issues through dialog and discussion. Four topics to be discussed are 3D Reservoir Characterization, Emerging Applications of NMR, Mulitlateral Completions, and Advances in the Use of Floating Production Systems. If you think you have something to offer and something to gain, call the Meetings Unit, SPE Headquarters, (972) 952-9393, or see me for an application.

Mitch Findlay
Chairman


FORUM MEETINGS


PETROLEUM TECHNOLOGY FORUM

Bruce Hesson, Chairman, Div. of Oil and Gas, Dept. of Conservation - (562) 590-5311
Ron Behrens, Program Chairman, Chevron Petroleum Technology Co. (562) 694-7813
Ed Santiago, Treasurer, Div. of Oil and Gas, Dept. of Conservation - (562) 590-5311
John Thompson, Secretary, The Gas Co. - (310) 578-2689

LUNCH MEETING

DATE: Tuesday, April 15, 1997
TIME: Registration: 11:15 a.m.
Lunch: 11:45 a.m.
Speaker: 12:15 p.m.
Finish: 1:00 p.m.
PLACE: Long Beach Petroleum Club
3636 Linden Ave., Long Beach
Reservations not required.
PRICE: $15.00/general - $5.00/students
SPEAKER: MR. NEIL EDMUNDS, EOR MANAGER,
CS RESOURCES LTD.
TOPIC: 'HORIZONTAL WELLS AND HEAVY OIL

In the wake of the price crash in the mid-1980's, there has been a notable renaissance in Canadian heavy-oil and bitumen production. This has been made possible largely by the rapid development and deployment of horizontal drilling technology and is encouraged by the enormous heavy resources of the western Canadian basin. Three types of heavy-technology plays have emerged primary recovery of heavy oil with horizontal wells, enhanced cold production of bitumen made possible by the ability to produce massive amounts of formation sand and steam-assisted gravity drainage (SAGD). Of these, SAGD appears to have the greatest potential in terms of the addressable resource.
presentation briefly reviews the past 10 years of technological development in the Canadian heavy-oil patch and gives a more detailed look at SAGD. It concludes with a survey of some of the fascinating and unique reservoir, production, and facilities engineering challenges relating to SAGD.

Neil Edmunds is manager of EOR for CS Resources Ltd. in Calgary. He holds a BS degree in mechanical engineering from the University of Alberta and has 18 years of industry experience, primarily in thermal recovery of bitumen. Mr. Edmunds began his career
with Gulf Canada and subsequently held positions with AOSTRA and Vikor Resources ltd. As principal of Clearwater Engineering from 1985-1993, he contributed to many recent bitumen and heavy-oil projects in Alberta and Saskatchewan, including the Alberta government's Underground Test Facility in the Athabasca oil sands.

ENVIRONMENTAL & STUDY GROUP FORUM

CO-CHAIRS

Vivian K. Bust, Mission Geoscience, Inc., (714) 955-9086
Scott Hara, Tidelands Oil Production Co., (562) 436-9918
Ed Mayer, Consultant, (818) 796-4437
Allan Spivak, Intera-Duke, (310) 979-4777

DINNER MEETING

DATE: Wednesday, April 16, 1997
TIME: Attitude Adjustment 6:00 p.m.
Dinner 6:30 p.m.
Speaker 7:15 P.m.
PRICE: $20.00
RESERVATIONS: On or before April 14 to Ed Mayer's answering machine (562) 624-3377
PLACE: Long Beach Petroleum Club
3636 Linden Avenue
Long Beach, California
TOPIC: NEW DEVELOPMENTS IN ARTIFICIAL LIFT
MODERATOR: Fred Crosby, Crosby Consultants
PANEL: Pat Jackson, Oil Dynamics, Inc.
New high temperatures, ESP
John Peters, Pacific PC Pumps
Recent progressive cavity pump
applications and equipment Improvements.
John Svinos, Theta Enterprises, Inc.
Rod pumping optimization.

Artifical lift is a basic petroleum production fact of life in the LA Basin. Despite its long histroy, improvements are being made. Our three speakers will bring us up to date on some recent advances. Ample discussion time is planned.


SCHOLARSHIP

The Los Angeles Basin Section of the Society of Petroleum Engineers is pleased to announce that one $1,000 scholarship is available for Spring 1997 to a high school senior. This scholarship is available to students of our section members as a show of our support to them and our local oil industry. Children of our membership are encouraged to apply.

Applicants will be evaluated on their scholastic achievements, citizenship, and school and community volunteer work. Preference will be given to students who are looking toward a petroleum engineering career. The Scholarship Application is included in this Newsletter. If you require additional information, please contact Bruce Hesson at (562) 590-5311. Applications must be completed by May 2 and should include at least two (2) letters of recommendation along with a copy of the student's most recent transcript. Depending on the number of candidates, an interview may be conducted mid-May.

Bruce Hesson
Scholarship Chairman


EVENTS

25 March
Horizontal Well Drilling Program
CalResources Drilling and ProductionStudy Group, Bakersfield

14-16 April
SPE Asia Pacific Oil and Gas Conference
Kuala Lampur, Malaysia

15-16 April
SPE/UKOOA European Environmental Conference
Aberdeen, UK

17 April
Horizontal Wells & Heavy Oil, Neil Edmunds
Bakersfield Monthly Meeting

23 April
API Community Energy Night
Red Lion Inn, Bakersfield

5-8 May
Offshore Technology Conference
Houston, Texas

11-18 May
SPE Forum Series in Asia Pacific
Nusa Dua, Indonesia

14-16 May
Anuula Meeting, Pacific Section of the AAPG
Bakersfield, CA

18-21 May
SPE Rocky Mountain Regional Meeting
Casper, Wyoming

25-27 June
SPE Western Regional Meeting
Long Beach, CA

15-16 August
SPE Applied Technology Workshop
Houston, Texas

Call SPE Richardson, for details @ (800) 456-6863



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