KOLEJ KEMAHIRAN TINGGI MARA KEMAMAN

DIPLOMA TEKNOLOGI KEJURUTERAAN LOJI (MEKANIKAL)

PETROLEUM EXPLORATION AND PRODUCTION

(DPV 20412)

SESI JULY – DIS 2023

ASSIGNMENT
DISEDIAKAN OLEH:

NAMA MOHAMAD AMIRUL RIDHWAN BIN A RAHMAN

KELAS DLM 3A
NO. MATRIK 333691231434
 PENSYARAH MUHAMMAD HAZRAIEN BIN ABDULLAH HASHIM

INTRODUCTION
REDWAN OIL&GAS COMPANY field is a deepwater natural gas field located in the West
Philippine Sea, approximately 80 kilometers northwest of Palawan Island, Philippines. Our
company is the largest and most significant natural gas discovery in the Philippines to date. It
was discovered in 1991, and commercial production began in 2001. The gas field covers an
area of approximately 390 square kilometers and has estimated reserves of around 2.7 trillion
cubic feet of natural gas.

The gas produced from the REDWAN OIL&GAS field is transported to a processing plant
onshore via a 504-kilometer pipeline. The processed gas is then used to generate electricity,
which is supplied to the Luzon grid, providing approximately 20% of the country's power needs.

The development of the REDWAN OIL&GAS field has been a significant milestone for the
Philippines, providing a stable and reliable source of energy that has reduced the country's
dependence on imported oil and helped to mitigate the impact of power shortages and price
volatility.
 CONTENTS
1) ACQUISITION

REDWAN OIL & GAS field was discovered by a consortium of companies in 1991, which
included AAE COMPANY, ALIQ’S OIL, and the Philippine National Oil Company Exploration
Corporation. The consortium won the exploration contract for the our family field in a bidding
process conducted by the Philippine government. In 2001, the consortium began commercial
production from the REDWAN OIL&GAS field. In 2010, the consortium partners signed an
agreement to extend the our company to-power project until 2030, ensuring the continued
supply of natural gas to the Luzon grid for many years to come. There have been no recent
reports of an acquisition of the REDWAN OIL&GAS COMPANY field by another company or
consortium. However, the Philippine government has expressed interest in acquiring a stake in
the our company to ensure the country's energy security and reduce its dependence on
imported fuels. Discussions between the government and the consortium partners are ongoing,
and any potential acquisition would need to be approved by the relevant regulatory authorities.
2) EXPLORATION

Geological Surveys Geologists undertake surveys to comprehend the

stratigraphy, structure, and rock formations of the basin.
This entails mapping and examining various rock strata
to ascertain their age and composition.
Seismic Surveys Our company used this method. It involves sending
sound waves into the Earth's subsurface and recording
the echoes to create a 3D image of the geological
formations. Variations include 2D seismic and 4D
seismic for monitoring changes over time.
Core Drilling Core drilling involves extracting cylindrical samples of
rock and sediment from deep beneath the surface.
These cores provide valuable information about the
composition, structure, and properties of the subsurface
layers.
Groundwater Monitoring Understanding the hydrology of the basin requires
regular monitoring of the quality and quantity of the
groundwater. To evaluate water supplies and possible
pollution, wells must be installed and data on water
levels, flow rates, and chemical characteristics must be
collected.
Archaeological Excavations To investigate and analyse the historical sites and
artefacts in the basin, archaeological digs are carried
out. Understanding the region's cultural past and human
activity is possible thanks to these digs.
3) APPRAISAL

After the initial exploration phase, the REDWAN OIL&GAS field underwent an appraisal
process to further evaluate the extent and commercial viability of the hydrocarbon reserves.
The appraisal phase involved a combination of geological, geophysical, and engineering
studies, as well as further drilling and testing. During the appraisal phase, additional wells
were drilled to obtain more data on the geological formations and the hydrocarbon
reservoirs. The appraisal drilling also provided further information on the flow rates,
pressure, and composition of the gas. Advanced reservoir modeling techniques were used
to simulate the flow of gas through the reservoir and evaluate the potential recovery rates.
This helped to determine the optimum number of wells, their locations, and the development
plan for the gas field. In addition to the technical studies, the appraisal phase also included
commercial and regulatory assessments to evaluate the market demand, pricing, and
regulatory framework for the gas. This helped to ensure that the project was economically
viable and financially feasible. Overall, the appraisal phase helped to confirm the
commercial viability of the field and provided the necessary information to plan and execute
the development of the gas field. The success of the Malampaya gas-to-power project has
had a significant impact on the energy security and economic development of the
Philippines.

4) DEVELOPMENT

Surface Equipment and Facilities:

DRILLING RIGS These are specialized structures used to drill boreholes

into the Earth's crust to access underground hydrocarbon
reserves. They come in various types, including onshore
and offshore rigs.
WELLHEAD FACILITIES The equipment used in wellhead facilities, which are
situated at the surface, includes flow control valves,
Christmas trees, and safety measures. They offer the
control and entry points required for well production and
monitoring.
PIPELINES AND FLOWLINES Pipelines are used to transport oil and gas from production
sites to processing facilities or distribution points. They
play a crucial role in the transportation of hydrocarbons
over long distances.
ONSHORE PROCESSING Oil and gas production is delivered to onshore processing
FACILITIES plants from either offshore platforms or onshore wells.
They consist of storage tanks, compression stations,
dehydration systems, and separation units.
STORAGE TANKS Before being transferred to refineries or export terminals,
produced oil is kept in storage tanks. These tanks have
safety features that guard against spills and leaks while
 handling and storing big amounts of oil.

Subsurface Equipment and Facilities:

WELBORE EQUIPMENT Casing, tubing, and cementing supplies are all

included in wellbore equipment, which is used to
build and maintain the integrity of the wellbore. Other
downhole tools used for diverse tasks include
packers, plugs, and perforating guns.
LOGGING TOOLS Data regarding reservoir properties and subsurface
formations are collected using logging technologies.
Examples include logging-while-drilling (LWD)
equipment that offer real-time data throughout the
drilling process and wireline logging tools that assess
characteristics including porosity, resistivity, and fluid
saturation.
SURFACE SAFETY Downhole safety systems are put in place to stop
SYSTEMS blowouts and uncontrolled fluid releases. These
devices, which may be remotely operated from the
surface, include blowout preventers (BOPs) and
safety valves.
ARTIFICIAL LIFT SYSTEMS Artificial lift systems are used when the reservoir
pressure is insufficient to lift the oil to the surface. To
increase production rates, this may need installing
pumps, such as electric submersible pumps (ESP) or
rod pumps.
RESERVOIR MONITORING Various subsurface devices are utilised to keep track
EQUIPMENT on the reservoir's behaviour and performance. This
can comprise permanent monitoring systems that
offer real-time data for reservoir management,
downhole gauges, pressure and temperature
sensors, and so on.
ENHANCED OIL RECOVERY Techniques for better oil recovery are sometimes
(EOR) FACILITIES used to boost oil output. These methods entail
injecting fluids into the reservoir, such as water or
gas. Injection wells, surface treatment and
processing machinery, and monitoring systems are
all included in EOR facilities.

It's vital to keep in mind that the precise tools and facilities used in the REDWAN OIL &GAS
Basin might change based on the project's parameters, the peculiarities of the reservoir, and
the degree to which exploration or production operations are underway.
5) PRODUCTION

Since the start of commercial production in 2001, the REDWAN gas field has been a reliable
source of natural gas for the Philippines, providing fuel for power generation and industrial
applications. The gas produced from the REDWAN field is transported via a subsea pipeline
to an onshore gas processing plant, where it is processed and compressed before being
delivered to the Luzon grid. The REDWAN gas field is estimated to have recoverable
reserves of around 2.7 trillion cubic feet of natural gas and 85 million barrels of condensate.
The gas production rate from the field has varied over the years, peaking at around 430
million standard cubic feet per day (MMscfd) in 2014. The REDWAN gas-to-power project
currently supplies around 20% of the Philippines' electricity demand, serving over 6 million
households and businesses. The project has been critical to the country's energy security,
reducing its dependence on imported fuels and helping to stabilize the electricity supply. The
REDWAN OIL&GAS field is operated by AAE COMPANY, ALIQ’S OIL, in partnership with
Philippine National Oil Company Exploration Corporation. The consortium partners are
committed to ensuring the safe and efficient operation of the gas field and have
implemented a comprehensive safety and environmental management program.

6) EXPORT AND TRANSPORTATION SYSTEM

The REDWAN OIL & GAS field is primarily developed to supply natural gas to the Philippine
domestic market, but there have been some proposals for exporting the gas. However, to
date, no export of natural gas from the REDWAN field has taken place. Regarding
transportation, the natural gas produced from the REDWAN gas field is transported via a
subsea pipeline to an onshore gas processing plant located in Batangas, in the southern
part of Luzon island. The gas processing plant removes impurities such as carbon dioxide
and water vapor, and then compresses the gas to be transported to the Luzon grid. From
the gas processing plant, the gas is transported through a 504-kilometer pipeline to various
power plants and industrial facilities on the island of Luzon, including the National Capital
Region (NCR) and nearby provinces. The gas is delivered to these locations via metering
stations and pressure regulating stations. The REDWAN OL&GAS -to-power project has
been critical to the Philippine energy sector, providing a reliable source of natural gas to
support power generation and industrial activities. The transportation system for the gas has
been designed to ensure safe and efficient delivery of the gas to its end-users, with
appropriate safety and environmental management measures in place.
 7) DECOMMISIONING

REDWAN OIL & GAS field has been 2 steps to improve project productivity and performance:

1. Adopting Project Production Management (PPM) practice

PPM views a project as a collection of discrete production systems with their own sets of
processes. By managing each process and system separately, businesses will be able to better
track and optimise performance. Take your project email management for example. How many
hours a week do you spend either checking your emails, or getting distracted by a ‘new email’
notification. Our research indicates that this number looks like three hours every week, and
studies have shown it takes 23-minutes to regain your focus once your attention is pulled
elsewhere. By incorporating PPM, project managers can regain control over their project
processes.

2. Integrating digital technologies and automation

We’ve seen it in almost every industry around the world. Implementing digital technology and
automation drastically improves projects, and it’s no different for oil and gas projects. Straight of
the bat, organisations won’t have to manually undertake their repetitive tasks, and put more
focus on their billable work. It’s also now possible to automate quality control functions, as well
as purchase ordering from suppliers. Recent years have seen construction projects using
technologies like Digital Twins and 5-D BIM, and by using similar tools and digitising processes,
oil and gas companies could save time and eliminate masses of paper that are currently used
on sites.

CONCLUSION

In conclusion, the REDWAN OIL &GAS field has been a significant source of natural gas for the
Philippines, providing a reliable and sustainable source of energy for power generation and
industrial applications. The project has played a crucial role in reducing the country's
dependence on imported fuels and in stabilizing the electricity supply, contributing to the
country's economic growth and development.

The development and production of the REDWAN OIL &GAS field have been carried out by a
consortium of international and local companies, using advanced exploration, drilling, and
production techniques to maximize recovery and efficiency while ensuring the safety and
environmental protection of the surrounding areas.

As the Philippines continues to face challenges in meeting its energy demands, the our
company remains a critical asset, providing a significant source of energy for the country's
growing economy. The project is a testament to the importance of sustainable energy
development and the need for responsible exploration, production, and management of natural
resources.

However, as with any natural resource, our company will eventually be depleted, and plans for
its decommissioning will need to be carefully developed and executed to ensure the safe and
responsible removal of the infrastructure and the protection of the environment and surrounding
communities.
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