Economics and Geopolitics of Oil and Gas
Economics and Geopolitics of Oil and Gas
Lesson objectives :
The students should be able : to describe the history of petroleum discovery and production. to explain and describe the exploration, processing and development of petroleum industry. to identify the importance of petroleum industry.
Overview
What is Petroleum? Petroleum Uses. Petroleum Industry History
What is Petroleum ?
Derived from the Latin; petra and oleum, means literally rock oil Hydrocarbons that occur widely in the sedimentary rocks in the form of gases, liquids, semisolids, or solids.
What is Petroleum?.
What is Petroleum?
Petroleum is a naturally occurring mixture of
Petroleum Classes
hydrocarbons, generally in a liquid state, which may also include compounds of sulfur, nitrogen, oxygen, metals, and other elements.
Each petroleum variety has a unique mix of
Light and Heavy Petroleum Sweet and Sour Petroleum API Grade
molecules, which define its physical and chemical properties, like color and viscosity.
What is Petroleum?
In more specific terms, petroleum has also been defined (ITAA, 1936) as:
any naturally occurring mixture of one or
more hydrocarbons, whether in a; liquid, gaseous, or solid state, and one or more of the following: hydrogen sulfide, helium, metal and carbon dioxide.
Lets recap.
Petroleum Uses
Automobiles: fueled with petroleum, tires
What are the uses of Petroleum?. Why is Oil so Important in Todays World?
Petroleum Usescontd
Cosmetics, perfumes, and pharmaceutical
History of Petroleum
Modern petroleum industry began in 1859
importance of petroleum has progressed from the relatively simple use of asphalt from Mesopotamian seepage sites to the presentday refining operations that yield a wide variety of petrochemicals products
as natural gas reservoirs were tapped in the drilling process and workers were forced to stop drilling to let the gas vent freely into the air.
Now, and particularly after the crude oil shortages
of the seventies, natural gas has become an important source of energy in the world.
natural gas seeps ignited by lightning created burning springs. In Persia, Greece, or India, people built temples around these eternal ames for their religious practices.
was not recognized until approximately 900 BC in China, and the Chinese drilled the rst known natural gas well in 211 BC.
In Europe, natural gas was unknown until it
was discovered.
In Great Britain in 1659, although it was not
of natural gas, dug the rst natural gas well in North America
Wells
Why we drill a well ?
to gather information
- for subsurface evaluation to produce hydrocarbons - to produce oil or gas to inject gas or water - for reservoir pressure maintenance - for gas conservation
development wells.
When was the first well drilled? First well drilled in Malaysia?
Shells Bullwinkle
Worlds tallest offshore structure, Gulf of Mexico 1,353 water depth Production began in 1989 45,000 b/d 80MM scf/d
Rigs Today..
Petroleum Exploration
Introduction Historical Review of Petroleum
Petroleum Processing
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been established in Malaysia Kertih, Terengganu; Gebeng, Pahang; and Pasir Gudang/Tanjung Langsat, Johor.
Other petrochemical plants in Malaysia such as ammonia and urea plants in Bintulu, Sarawak and Gurun, Kedah; acrylonitrile butadiene styrene plant in Pulau Pinang; methanol plant in Labuan,Sabah
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petrochemical companies, such as Dow Chemical, BP, Shell, BASF, Eastman Chemicals, Toray, Mitsubishi, Idemitsu, Polyplastics, Kaneka, Dairen and West Lake Chemical already did investment for petrochemical industries in Msia.
Most of these companies are working in
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