Evaluation of geological characteristics of the New Albany Shale as a potential liquids-from- shale play in the Illinois Basin

Transcription

1 2014 Eastern Unconventional Oil and Gas Symposium - November 5-7, 2014 in Lexington, Kentucky, USA Evaluation of geological characteristics of the New Albany Shale as a potential liquids-fromshale play in the Illinois Basin Maria Mastalerz, Agnieszka Drobniak, John Rupp, Indiana Geological Survey Brandon Nuttall, Kentucky Geological Survey Joan Crockett, Illinois State Geological Survey

2 Geology of the Illinois Basin New Albany Upper Devonian New Albany Shale

3 Oil fields in the Illinois Basin

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5 Compiled by Drobniak, Mastalerz, and Crockett, 2013 Depth 0 to -~5000 feet

6 Compiled by Drobniak and Mastalerz, 2013 Thickness ~100 to ~460 feet

7 Organic matter content TOC Undifferentiated Members TOC range: % Shale Very thin On Sparta Shelf Compiled by Drobniak, Mastalerz, and Crockett, 2013

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12 Maturity Endeaver 4 Blan 1 Sullivan Co, IN (marginal maturity Wayne Co, IL (Fairfield Basin) Near Hicks Dome, IL Maturity ranges from immature to post mature. Ma Early mature and mid mature dominant Source: Hasenmueller and Comer, 1994

13 0.60 Map of vitrinite reflectance (R o ) of the New Albany Shale Immature <0.60 Early mature Peak mature Late mature Post-mature >1.35 R o range: % 1.00 Should we reconsider the onset of oil window? What is the effect of vitrinite suppression? Compiled by Drobniak, Mastalerz, and Crockett, 2013

14 Map of T max of the New Albany Shale Immature <435 Early mature Peak mature Late mature Post-mature >470 All members T max range: o C 430 Thin NAS Does Tmax 435 o C mark the onset of oil window? Should 430 o C be used instead? Compiled by Drobniak, Mastalerz, and Crockett, 2013

15 Transformation of organic matter Map of Hydrogen Index of the New Albany Shale All members HI range: Compiled by Drobniak, Mastalerz, and Crockett, 2013

16 Map of Production Index of the New Albany Shale Immature <0.10 Mature >0.10 PI Range: Compiled by Drobniak, Mastalerz, and Crockett, 2013 PI does not follow R o or Tmax

17 Interpreting the Zone of Oil Generation Should R o of 0.50 to 0.60% be considered? Should Tmax of 425 o C be considered? Depth ~2700 T max >435 o C R o >0.60% Compiled by Drobniak, Mastalerz, and Crockett, 2013

18 0.55% 0.65 and 0.58

19 Vitrinite reflectance suppression??? 1996

20 Vitrinite reflectance suppression Sample name Measured V R o (%) Calculated V R o from T max * (%) Calculated V R o from biomarkers (%) Pike County, Indiana NAS NAS NAS n.d. NAS NAS Gibson County, Indiana NAS n.d. NAS n.d. NAS NAS NAS Early mature Mid mature peak oil V R o (%) = *Tmax (Jarvie et al., 2001). Mid mature peak oil Blan Well, KY Depth Ro meas Ro calc V R o (%) = (20S/20R) (attributed to Zumberge (1985) by Bein and Sofer, 1987). Steranes, S and R configuration

21 >0.70%

22 R o of overlying coals Seelyville 0.60

23 Mineralogy and porosity/permeability 25-50% quartz of silt or clay fraction 30-55% clay minerals (illite dominant) Variable amounts of calcite and dolomite Pyrite 1-10% Organic matter from less than 1 to 23%

24 Mineral Make-up (wt %) and Maturity, New Albany Samples are from Indiana and Illinois Increase in maturity Source: Mastalerz et al., 2013, in press

25 Mineralogical Composition of NAS in Kentucky Source: B. C. Nuttall, KGS

26 Mercury intrusion and extrusion curves of New Albany Shale samples

27 Haynesville Permeability of NAS in comparison to Haynesville NAS to 1.0 nanodarcy for NAS samples BVG bulk volume gas Source: Luffel et al., RPSEA Final Report. New Albany Shale Gas Project

28 Increasing maturity Porosity range ~1% - ~9% Hg intrusion technique underestimates porosity Porosity changes with maturity and organic matter content He porosimetry Hg intrusion porosimetry Source: Mastalerz et al., 2013, in press Sample R o 0.35% MM4 R o 0.55% NA2 R o 0.65% IL-5 R o 1.15% IL-1 R o 1.41% Grain density (g/cm 3 ) Bulk density (g/cm 3 ) Total pore volume (cm 3 /g) Total porosity (%) Grain density (g/cm 3 ) Bulk density (g/cm 3 ) Total pore volume cm 3 /g Total porosity (%)

29 Changing Porosity with Maturity in NAS: recent work Source: Mastalerz et al., AAPG Bulletin

30 Are there any liquid hydrocarbons in NAS? Oil fields in the Illinois Basin

31 Examples of Gas Saturation and Oil Saturation of NAS Source: Luffel et al., RPSEA Final Report. New Albany Shale Gas Project

32 Core analysis ambient (left) contrasted to adjusted reservoir conditions (right). Christian County, Kentucky Free gas Oil Water CORE DEPTH Source: Luffel et al., RPSEA Final Report. New Albany Shale Gas Project

33 Core analysis ambient (left) contrasted to adjusted reservoir conditions (right). Sullivan County, Indiana Source: Luffel et al., RPSEA Final Report. New Albany Shale Gas Project

34 Stevenson, D.L., Dickerson, D.R., Organic geochemistry of the New Albany Shale In Illinois, Illinois Petroleum 90.

35 Oil Production in Kentucky Endeavor Energy #4 Burton Whitfill (107296) #1 Baum (107321) #3 Burton-Whitfill (107322) #5 Whitfill (107651) Hard Rock#1 Pullen (110407)

36 Hardrock 1 Pullen Gas/Oil Ratios (Mcf/bbl) 2 Endeavor 5 Whitfill 3.6 Endeavor 4 Burton-Whitfill 1.8, 5.7 GPM 3.8, 5.0 GPM 4 General Location 5,482 Bbls (2012)

37 2012 Oil Production (Bbls) Hardrock 1 Pullen Endeavor 5 Whitfill Endeavor 3 Whitfill-Burton Endeavor 4 Burton-Whitfill Endeavor 1 Baum 3, ,482 Bbls

38 Most previous completions New Albany Res Frac Den GR Endeavor 5 Whitfill 200 Mcf (IOF, 2011) 33 Bo/d & 60 Mcf (2012) 4.5 casing to 1860

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40 Key Data Summary rock oil extract Endeavor 4 Endeavor 5 Blan 1 Depth (ft) 1,858 1,998 1,876.5 TOC (%) HI S %Saturates (Oils) %Aromatics (Oils) Sat. δ 13 C Arom. δ 13 C %Saturates (Ext) %Aromatics (Ext) Sat. δ 13 C Arom. δ 13 C

41 HI 1, I Oil-prone RPSEA IP136 (KY) Endeavor 4 Blan Data from Indiana II Oil-prone 500 Blan: Nuttall (2013) KGS Ser 12, RI 17 Rock-Eval IP136: Chou and others, (1991) RPSEA: Salehi and others, (2010) contract Modified van Krevelen Gas-prone III OI

42 Whole Oil Gas Chromatograms Endeavor # 4 Depth 1858 API 42 GOR 3.8 Endeavor # 5 Depth 1998 API 42 GOR 1.8 Unusually large <nc7 gasoline component Unusually large <nc7 gasoline component Endeavor # 4 Cuttings 1858 Marvin Blan # 1 Core

43 Rock extract Oil terpanes Endeavor # 4 Oil 1858 Ts/Ts+Tm 44 %Ro Equiv. 0.73

44 Sterane Distributions Cuttings Extracts Endeavor 4 Oil KY0014 Geomark (U. Devonian, distal marine shale, moderate maturity)

45 Oils and Extracts Oils Extracts %C28 steranes Clustering indicates oil and source are related (statistically significant) %C27 %C29 Some data courtesy of Geomark

46 Oil API gravity vs. % Ro maturity comparison. Generally oil API gravity increases with increasing thermal maturity and is accompanied by a systematic decrease in sulfur and asphaltene content New Albany Shale oil wells Measured API gravity Expected API gravity

47 Bernard Diagram showing the thermal origin of the produced gas. Schoell plot showing early thermal origin of the oil associated gas

48 NAS as Liquids-from-Shale Play Large area with adequate maturity, high oil-prone organic matter content, and suitable depth. Considering properties of organic matter, perhaps the onset of oil window for NSA should be shifted below R o 0.60%, extending this oil-generating area even more. Vitrinite reflectance suppression is a reality and calls for reevaluation of maturity of the New Albany Shale. Although most oil migrated out of the formation, presence of in-situ oil is suggested by oil shows, occurrence of oil in some gas wells, significant level of oil saturation in analysis of core samples, and recent oil production in Kentucky. Abundant natural fractures may form good pathways for oil. Very small pore sizes and nanodarcy permeability is a disadvantage. Low pressure in NAS contrasts with other over-pressured shale oil plays.

49 Issues to be addressed for the New Albany Shale in the Illinois Basin: Refining thermal maturity of the NAS with regard to oil generation. Where is the onset of oil generation for the organic matter present in NAS? What is the transformation ratio of organic matter in shales? What is the level of vitrinite reflectance suppression and what are implications? Detailed characterization of lithological and mineralogical heterogeneity in the NAS members and identifying intervals of regional extent with specific brittle/ductile properties that can serve as most promising fractured reservoirs for oil Characterization of pore systems (organic versus mineral porosity) in NAS and their implications for storage and transport of liquid hydrocarbons Estimation of oil-in-place resource in the NAS in the Illinois Basin

50 Thank you!