RK SAPRU Presentation

8/4/2019 RK SAPRU Presentation

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UCG experience of ONGC


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For India, with 16% of global population;

0.5% of worlds Petroleum reserve and ~10 % of worlds Coal reserve; with a

8 -10% GDP growth target and 4.5% CAGR (97-07) in energy demand

the situation is pretty Challenging

India: Energy ScenarioIndia: Energy Scenario


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India: Energy scenarioIndia: Energy scenario

52% of primary energy consumed by 5 countries

India: the 5th largest energy consumer

CAGR (1996-2007): 4.5% (global CAGR: 2.1%)

Source: BP Statistical Review 2008

Primary Energy Consumption (MMToe)

3.6% of total


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Indias Energy Mix

Total 306 kgoe Total 1125 kgoe

Source: Integrated Energy Policy, Govt. of India, Planning commission, New Delhi

2004

% Share of Commercial Primary Energy

Resources

Nuclear

1.5%

Hydro

2.1%

Coal

51.3%

Oil36.3%

Natural Gas

8.8%

2032

% Share of Commercial Primary Energy

Resources

Natural Gas

11.9%

Oil29.4%Coal

50.6%

Hydro

2.1%Nuclear

5.9%


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INDIA.

Has the 4th largest coal

reserves in the world (267.2

Billion Tons)

Ranks 3rd in coal production

(557.6 Million TPA)

Total Recoverable reserves are

only about 20%

NEED TO EXPLOIT THE UNRECOVERABLE RESERVES


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Underground Coal Gasification

pilot production envisaged from 2010-11

ONGC : In Pursuit of New Energy SourcesONGC : In Pursuit of New Energy Sources


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UCG Schematic

(UCG Engineering Ltd 2006)


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CRIP


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Synergies between Oil & Gas and UCG

Drilling

Oil and GasOil and GasOil and Gas

ExplorationExplorationExploration

andandand

ProductionProductionProduction

UndergroundUndergroundUnderground

coalcoalcoal

GasificationGasificationGasification

Intelligent wellcompletions

Coiled-tubing techniquesOil & Natural gasProcessing

In-situ combustion

Pneumatic fracturingtechniques

Compression &transportation ofNatural gas

Exploration


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1st stage : Site Selection

ONGC signed AOC - Skochinsky Institute of Mining(SIM), Russia

MoUs signed with coal companies CIL, SCCL, NLC,GMDC, GIPCL

Fifteen sites studied Five sites found suitable forUCG

One site namely Vastan, in South Gujarat, prioritizedfor UCG pilot study

This site is adjacent to the pit head Power Plant


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Details of VastanUCG Block


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2nd StageSite Characterization

GIS data base Geomorphology, land use, drainage network

Stratigraphic and lithological characterization Formation, sub-surface strata, coal seam and

overburden

Structural characterization Depth & thickness of coal seam, fault and fracturenetwork, mechanical properties , porosity &permeability of coal seam and overlying & underlyingstrata

Hydrological characterization Aquifer system within geologic strata

Water table map

Hydro-dynamic characteristics of aquifers


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Exploration

Drilling ofBoreholes

GeophysicalLogging

Hydro-geologicalstudies

HRSS

Geo-chemicalStudies Proximate Analysis

Ultimate Analysis Maceral Analysis

Petro-physical

Studies Helium Porosity Air Permeability Relative Permeability

Sample collection &

Lab Studies

Geo-mechanicalStudies Uni-axial tensile Strength Uni-axial Compressive Strength Tri-axial Compressive Strength Grain Density

Young Modulus Poisson Ratio

Quantum of data required for Exploration is more than that

is required for conventional coal mining


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Use of Seismic as an Exploration tool vis-a- vis Borehole drilling

F

F

F

F

V-07

V-07

Based on borewell data Based on HRSS data


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3rd stage : Engineering Design

Engineering Design for pilot

Parallel action - for Land Acquisition,Environmental Clearance and Mining Lease.

Drilling - expected to commence shortly


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UCG Pilot Flow Diagram

DetailedExploration

Siteselection

Pilot LayoutDesign

EngineeringDesign

MiningLease

LandAcquisition

Drilling of wells

Commissioning ofSurface Facilities

Linkage of Wells,Flame Treatment

Trial Run ofUCG Pilot

EnvironmentalClearance

Fabrication,

Erection ofSurface Facilities


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COMPRESSED

AIR + STEAM

UNDERGROUND

COAL GASIFIER

SYN GAS

GAS PIPELINE GAS PIPELINE

COOLING

TOWER

HEAT

EXCHANGER

COMBUSTION

CHAMBER

CONDENSATE

PLANT

CONDENSATE

STORAGE

FLUE GASES

SCHEMATIC OF UCG PILOT

Schematics of UCG engineering

design


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UCG operations currently in progress

MajubaMajubaMajubaJan 2007;Jan 2007;Jan 2007;

6 MW Electricity6 MW Electricity6 MW Electricity

ProductionProductionProduction June 2007;June 2007;June 2007;

Planned 2100 MW by 2011Planned 2100 MW by 2011Planned 2100 MW by 2011

ChinchillaChinchillaChinchillaAug2007;Aug2007;Aug2007;

CTL 5CTL 5CTL 5---10 BBL/day Demo10 BBL/day Demo10 BBL/day Demo

facility; to upgrade tofacility; to upgrade tofacility; to upgrade to

20000 bbl/d20000 bbl/d20000 bbl/d

AngrenAngrenAngren50 Years of Commercial50 Years of Commercial50 Years of Commercial

UCG Operations;UCG Operations;UCG Operations;

Electricity generationElectricity generationElectricity generation

for 47 Yearsfor 47 Yearsfor 47 Years

BloodwoodBloodwoodBloodwood

creekcreekcreek---SuratSuratSurat

BasinBasinBasin --- Nov 2008Nov 2008Nov 2008Oxygen InjectedOxygen InjectedOxygen Injected Power,Power,Power,

Gas to Chemicals ,Gas to Chemicals ,Gas to Chemicals ,

TransportTransportTransport fuelfuelfuel

Inner MongoliaInner MongoliaInner Mongolia

--- ChinaChinaChinaPilot Oct 2007Pilot Oct 2007Pilot Oct 2007 CommercialCommercialCommercial

---2010 Methanol & Methane2010 Methanol & Methane2010 Methanol & Methane


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Limited choice of operators

Technology limited to few operators

Grey areas

Drilling of high angle and horizontal wells with

intersecting vertical wells Linkage of injection and production wells

Flame treatment of gasification passages

Processing of hot Syngas End usage of low calorific value Syngas


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Legislation & mining lease

UCG Gazette Notification issued by

Govt. after 2 years of persuasion Another 2 years for framing

guidelines

Mining lease


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Economics

Figures not readily available in literature

Only indirect references are made by current

players in the market

Management finding it difficult to make

investment decisions


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Summing up

Quantum of data required for Exploration is moreRequire additional time for data generation

Seismic can be used as an Exploration tool to

optimize Borehole drilling

Technology limited to few operators

Capex & Opex figures not readily available in

literature

ONGC-GIPCL shortly testing first ever UCG pilot in

India


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RK SAPRU Presentation

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