Research and Innovation

Rosneft’s Corporate Scientific Research Complex consists of a Corporate Research & Development Center and 10 regional R&D institutes, of which 7 specialize in exploration and production, and 3 in refining and marketing. So the Corporate Scientific Research Complex provides R&D support and organizes use of technology throughout the Company’s production chain.

Innovation management is based on systems of special-purpose innovation projects.

Exploration

Special-purpose innovation projects in exploration were aimed at reducing geological risks and improving accuracy in definition of promising structures.

During the reporting year specialists of the Corporate Scientific Research Complex devised new techniques for assessment of risk in geological exploration projects and probabilistic assessment of resources, as well as carrying out work on priority licensing at onshore areas in the Russian Federation for purposes of major field discoveries. Achievements in research, validation, and application of new field modeling technologies included testing of new technologies for digital geological modeling.

Studies continued in 2009 for creation of modern regional geological models of sediment basins on the shelf of Russia’s seas, assessment of their resource potential, ranking of prospective areas and geological targets, analysis of geological risks, and preparation of recommendations for licensing and geological exploration programs using new technologies and methods.

Also in 2009 complex analysis of criteria for oil & gas presence, using modern forecasting technologies, enabled recommendations for licensing of prospective areas to increase the Company’s resource base in Eastern Siberia, Algeria, the Azerbaijani sector of the Caspian Sea, Iraq, and the Abkhazia sea shelf. Proposals have been prepared for geological exploration work on the Caspian Sea shelf and in Kazakhstan. Use of the new oil & gas prediction technologies also justified acquisition of assets in Nenets Autonomous District, Samara Region, Sakhalin, and in the Abkhazian sector of the Black Sea.

An atlas was developed of seismo-stratigraphic features of the wave picture of the Russian Far East, the shelf of the Sea of Okhotsk, and the shelf of northern seas, which will help to improve efficiency of geological exploration work in these regions. Work began on creation of digital geological and geophysical support for geological exploration planning in various regions of Company operations.

Development

Integrated field development projects continued in 2009, each based on creation of a unified model, taking account of all development aspects (strata, wells, surface construction, financial calculations). A total of 31 integrated projects were completed at the Company’s main fields, compared with 10 projects in 2008 and 5 in 2007.

As part of special-purpose innovation projects:

an algorithm was devised and a working tool was created for calculation of production and target recovery ratio in heterogeneous and disjoined formations;
a method was created and validated for use of standard production data in estimation of formation pressure;
a template was designed for application of development systems for water flooding, enabling rapid estimates for strategic planning of water flooding systems, which take account of the features of well-completion systems;
a template was designed for application of technologies and algorithms to calculate approaches to development of fields with high-viscosity oil, using the most efficient technologies;
work was carried out to optimize development plans for formations with low permeability (at the Priobskoye, Malo-Balykskoye, Ugutskoye and Mid-Ugutskoye fields). The work made maximum use of hydraulic fracturing. Selection of an optimal well network is carried out using the latest combined geomechanical and hydrodynamic modeling technologies (University of Calgary, Canada);
greater efficiency was achieved in use of large-scale acid treatment thanks to an integrated approach to control over reagent quality and use of new deflecting wedges.

Various new techniques and technologies (12 technologies at 448 wells) were tested and employed in 2009 to raise efficiency of drilling and well completion (at both initial construction and reconstruction).

In 2009 the Company commissioned the Vankor field. This is an exceptional project by reserve size. It is also made exceptional by the large-scale application of innovative, high-tech solutions in field development planning and construction work. These solutions include:

Construction of wells with large displacement from vertical and with complex trajectories (using modern Russian-made drilling units with 270-tonne lifting capacity).
Use of horizontal wells, which enabled increase of well productivity by 3.2 times on average and lowering of water cut by 2.7 times compared with vertical wells. Increase of daily oil flow per well is 2,000 barrels.
Use of rotary steerable systems for directional drilling. This increased drilling efficiency by 2.5 times compared with use of standard bottomhole assemblies for inclined drilling. The systems enabled maximum displacement of the borehole from vertical (up to 2,700 meters), reducing the number of drilling pads and amount of capital expenditures required.
Real-time relaying of geological data during drilling (geonavigation) enabling geophysical well studies to be carried out in the process of drilling.
Flow control in horizontal wells: installation of inflow control devices (ICDs) to lower the share of water and gas in well production.
Use of the TPMSYS™ complex production control system for monitoring of well indicators during operation and calculation of necessary parameters, optimizing performance of the well.
Use of 3D techniques for design of field facilities.
Use of pre-assembled modules (already tested at the factory) for field construction, which reduced the volume of construction and assembly work at the field by 67%.
Thermal stabilization of the ground.

Production

As part of special-purpose innovation projects:

a template was designed for application of mechanized oil production technologies as well as guidelines for use of the template;
a decision-making procedure was designed for increase of energy efficiency in production, using the Rosneft-WellView software;
a program for repair and sealing design was developed and tested, using mathematical modeling;
a method for calculating parameters of salt accretions and ways of dealing with them was refined, implemented and approved;
a simulator was designed for planning the design of large-scale acid treatment of carbonaceous reservoirs.

Rosneft continued to introduce the Total Production Management System (TPMSYS™) in 2009, enabling specialists to optimize operations at any well using geophysical data and full information on its construction, current operating parameters, and equipment in use. RN-Wellview software for monitoring and optimization of operating regimes of mechanized wells and submersible equipment was brought into industrial use. Engineering support was used for well interventions at more than 960 wells during the year. Combined annual effect of the engineering capabilities provided by TPMSYS™ is equivalent to increase of oil production by 31.5 mln barrels (4.3 mln tonnes) throughout the Company.

Company subsidiaries successfully tested new equipment in 2009. Samaraneftegaz carried out repeat penetration of productive strata at a depression using PKT-89 KL and PKT-73 KL perforators in order to intensify inflows. The subsidiary also applied hydro-fracturing of strata in 20 well operations, using sidetracks without impact on the main drilling string. The Company is also applying new technologies in oil transportation. Samaraneftegaz made use of STOPPLE equipment with collapsible sleeves for pipeline repair work at three sites without flow interruption.

As part of development of computer support for production in 2009, Vankorneft installed modules that enable real-time monitoring of production and injection wells, repairs and workovers, and operation of other facilities (UPSV-South, oil pumping stations-1 and -2, Purpe pumping station, among others). Further modernization and development of technical information systems (Central Dispatching System, RN-Production Technical Well Regime, TIS-Production) is also underway, as well as installation of the modern KIUS telematics system.