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Fundamentals of Petroleum Exploration-UPES-2-J14

Fundamentals of Petroleum Exploration-UPES-2-J14

Section A (20 Marks)

Write short notes on any four of the following

Question 1: Remote sensing

Question 2: Gravity surveys

Question 3: Kinds of seismic surveys

Question 4: Measurements While Drilling (MWD)

Question 5: Geochemical Analysis

Section B (30 marks)

(Attempt any three)

Question 1: Define Geochemical. Describe various assumptions, related techniques and benefits of geochemical.

Question 2: Discuss about 'Preparing to Drill' and 'Planning for Drilling'.

Question 3: Explain Digital Oilfield and Resonance Coupling in detail.

Question 4: Describe Onshore Drilling Operations in detail.

Section C (50 marks)

(Attempt all questions. Every question carries 10 marks)

Read the case “Southeast Asia Offshore Oil Drilling Problem” and answer the following questions.

Southeast Asia Offshore Oil Drilling Problem

This case study is part of a series designed to help students and younger engineers develop business problem-solving skills through real engineering scenarios. Each case study will provide practical applications of specific, real-life examples to develop the strategy skills that leading companies use to succeed in the marketplace.


Our client, Petro-Oil, is a mid-sized oil and gas exploration and production company with major areas of exploration located in South America, Gulf of Mexico, Western Africa, China, Eastern Europe, and several other countries.

The Board of Petro-Oil has just set an ambitious goal to be completed in the next five years: To be the largest oil and gas producer in Asia by the end of 2017. A quick market research inquiry shows three major competitor companies (Table 1) that are larger than our client. To support their new aspirations, our client just purchased Ceylon-II, a large deep-water oilfield offshore in the South China Sea.

Table 1: Benchmark Results (million barrels of oil equivalent):


Proven Reserves

Annual Production

Competitor A: PetroChina



Competitor B: Petronas



Competitor C: Pertamina



Client: Current Producing Assets



Client: Ceylon-II





Petro-Oil’s management team has hired your company to do a diagnostic of the company’s current portfolio, operations, and organization to help them understand what they need to do to achieve this goal.

Key points and assumptions

- Production is generally correlated with reserves

- Assume the reserves of each of the assets are exactly at the same rate of depletion

- Assume that all competitors continue to seek additional reserves in the Pacific region

- The current existing production rates in the area are significantly higher than the client’s production rate



The current extraction rate of Competitors A, B, and C are much higher than our client and hold, at a minimum, 10% extraction rate. The client’s current production rate needs to increase and the new asset has to meet the current standard of 10% extraction rate.

Further exploration in the area to gain new assets for additional production is key for growth and to increase the extraction rate. Even with these two current assets, the client’s current reserves are still less than the region’s the largest producer.

Questions to develop the proper strategy



  1. Discuss the problem stated in the in the case-study.
  2. What are the goals of the board of Petro-Oil?
  3. Describe the scenario and analysis used in the case-study.
  4. Explain the various key points and assumptions.
  5. Elaborate the questions to develop the proper strategy.
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