Thirst for Oil Feeds Innovation in Oman
Mindful of Its Dwindling Supplies, Nation Focuses on New Techniques to Maintain Production

SOURCE: | By Ren¿e Rigdon - The Washington Post - August 12, 2008" border="0">
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Tuesday, August 12, 2008
HARWEEL OIL FIELDS, Oman -- Sirens and air monitors surround the more-than-$1 billion oil installation rising off the flat, rock-strewn desert floor here in the 120-degree heat of Oman's interior.
Construction crews, mostly Indians and Pakistanis in once bright-colored coveralls washed out by the sun, lay out escape routes and raise airtight shelters intended to save the lives of oil workers if the sirens ever go off.
Far underground, below a mile-thick layer of salt, lies the oil that Oman's state-controlled petroleum company is seeking. It sits in a cloud of pressurized gases laced with hydrogen sulfide at concentrations that can kill in minutes.
In Saudi Arabia, Oman's neighbor, oil production still can be as easy as jamming pipe into the ground and pumping up the oil, or standing back to let it gush forth from the pressure of the reservoir.
But for Oman, "easy oil is over," said Khalid Jawad al-Khabouri, a gum-snapping petroleum engineer at the headquarters of Oman's state oil company in Muscat, the capital.
At Harweel and several of the country's complex, aging fields, Oman is going after oil the hard way. More than any country along the Persian Gulf, Oman provides a preview of the future of oil.
A sultanate of fewer than 3 million citizens, Oman has staked much of its future on evolving production techniques known as enhanced oil recovery. Geologists and engineers here are employing many technologies also developing elsewhere in the Middle East, North America and China.
The country has invested $4 billion to $6 billion in current enhanced oil recovery projects, said Khalifa al-Hinai, technical adviser to Oman's Oil and Gas Ministry.
Most of the techniques involve pumping some agent -- steam and other gases, or chemicals including polymers and detergents -- into a reservoir to encourage oil to flow.
Petroleum Development Oman, a consortium that includes Oman's government along with Shell, Total and Partex oil companies, also is adopting in-situ combustion, which involves lighting fires within reservoirs to draw out the oil.
For Oman, the plunge into enhanced oil recovery is a necessity.
The world's other oil producers, even Saudi Arabia, will one day follow. With oil prices wedged above $100 a barrel this year, investors worldwide are sinking billions of dollars into enhanced oil recovery.

SOURCE: | By Ren¿e Rigdon - The Washington Post - August 12, 2008" border="0">




