A 2-D seismic survey is a geophysical technique used to map the subsurface of the earth. It involves sending seismic waves into the ground and recording the reflections to create a cross-sectional view of the subsurface. This method can provide valuable information about the geological formations and potential hydrocarbon reservoirs beneath the earth’s surface.

3-d sEISMIC sURVEY

3-D Seismic is a technique used in geophysics to create a three-dimensional image of the earth’s subsurface. It involves sending seismic waves into the ground and recording the reflections to create a detailed map of rock formations and potential hydrocarbon reservoirs. Compared to traditional 2-D surveys, 3-D seismic provides a more comprehensive view of the subsurface, offering valuable insights for oil and gas exploration and reservoir characterization.

4-d sEISMIC sURVEY

4-D Seismic Survey is an advanced geophysical technique used to monitor changes in the earth’s subsurface over time. It builds upon the principles of 3-D seismic imaging by adding the time dimension, allowing for the observation of reservoir changes due to production or injection activities. By repeatedly surveying the same area at different time intervals, 4-D seismic surveys enable oil and gas companies to better understand reservoir behavior, optimize production strategies, and monitor the effectiveness of recovery processes. This technique plays a crucial role in the management and optimization of hydrocarbon reservoirs.

ABCD

Abstract of Title

A chronological history of the ownership of a tract of land.

Acidizing a Well

Acidizing A Well involves pumping acids, such as hydrochloric acid, into the well under high pressure. This process aims to reopen and enlarge the pores in the oil-bearing limestone formation, thereby increasing the flow of oil from the well.

Acre

An “acre” is a unit of measurement for land area, commonly used in the United States and other countries for measuring large plots of land. It is often associated with rural and agricultural land, and its origins can be traced back to medieval times. The word “acre” is derived from the Old English word “æcer,” which meant an open field. This unit of measurement has historical significance and has been used for centuries to demarcate land for cultivation, grazing, and other purposes. One acre is equal to 43,560 square feet or about 4,047 square meters, making it a significant area for various land use activities and developments.

aNNULAR sPACE

Annular space refers to the void or gap between two concentric objects, typically a pipe and the surrounding hole or casing. In the context of well construction, for example, the annular space is the area between the wellbore and the casing, allowing for the passage of fluids or for the installation of sealing materials such as cement. This term is commonly used in industries such as oil and gas, construction, and civil engineering.

aNTICLINE

An “anticline” is a geological fold in rock layers that is convex upward, with the oldest rock layers at its core and younger layers surrounding it. It is often associated with the upward arching of rock strata, creating a ridge-like structure. Anticlines are commonly formed by tectonic forces and are significant in the exploration for oil and gas, as they can create traps where hydrocarbons accumulate.

API

The American Petroleum Institute (API) is a trade association that represents the oil and natural gas industry in the United States. API sets standards for the production, refinement, and distribution of petroleum and its products. It also engages in research, advocacy, and lobbying efforts on behalf of the industry. The organization plays a significant role in developing industry standards, promoting safety and environmental stewardship, and serving as a platform for collaboration and information sharing within the sector.

API Gravity

API gravity is a measure of how heavy or light a petroleum liquid is compared to water. It is used to classify crude oil and other liquid hydrocarbons. The measurement is based on the idea that lighter oils will float on water, so their API gravity will be higher. The API gravity scale is inversely related to density, with higher API gravity values indicating lighter oils and lower values indicating heavier oils. This measurement is important in the oil and gas industry for categorizing and pricing different types of crude oil.

Aquifer

An “aquifer” refers to an underground layer of water-bearing permeable rock, rock fractures, or unconsolidated materials such as gravel, sand, or silt, from which groundwater can be extracted. These natural underground reservoirs can store and transmit water, making them important sources of water for wells and springs. Aquifers play a crucial role in supplying water for various purposes such as agricultural irrigation, industrial processes, and domestic use.

Associate gas

Associate gas refers to natural gas that is found in geological formations alongside oil. It is also known as associated gas and is often produced in conjunction with crude oil extraction. This type of natural gas can be a byproduct of oil drilling and is commonly used as a source of energy in various industries. While the composition of associate gas can vary, it typically contains methane and other hydrocarbons.

Back-in

A type of interest in a well or property that becomes effective at a specified time in the future, or on the occurrence of a specified future event.

Barrel Standard

A “barrel standard” is a term used to refer to the specifications and regulations surrounding the size and measurements of a standard barrel used for a particular commodity, such as oil or wine. The specific volume of a standard barrel can vary depending on the context and the commodity being measured. For example, the standard oil barrel used in the United States for trading crude oil is typically defined as 42 US gallons, while a standard wine barrel may have a different capacity. These standards are important for consistency in trade and commerce, ensuring that buyers and sellers have a common understanding of the quantity being transacted.

Basin

A Basin is a geological term that refers to a large, bowl-shaped depression in the Earth’s surface, typically containing water. It can also refer to the surrounding area drained by a river or a body of water. Basins can vary in size and can be formed by tectonic forces, erosion, or the collapsing of volcanic calderas. They are important features in the study of hydrology and geography, and they play a crucial role in the distribution and management of water resources.

BBL

The term “BBL” stands for “barrel” and is a unit of volume used to measure the capacity of oil. In the oil industry, it is commonly used to quantify the volume of crude oil or petroleum products. One barrel is approximately equal to 42 US gallons, or 159 liters. This unit of measurement is widely utilized in the trading, transportation, and storage of oil and petroleum products.

BCF

BCF stands for Billion Cubic Feet. It is a unit of measurement commonly used in the oil and gas industry to quantify large volumes of natural gas. 1 BCF is equivalent to one billion cubic feet of natural gas. This unit is typically used to describe the volume of natural gas reserves, production, consumption, or storage capacity. The BCF measurement is crucial for various aspects of natural gas exploration, production, and distribution.

BCFE

BCFE stands for Billion Cubic Feet Equivalent, a unit of measurement used in the oil and gas industry to compare different types of energy resources. It represents the amount of natural gas that is equivalent in energy to one billion cubic feet of natural gas. This measurement is commonly used to assess the total energy content of reserves or production in the oil and gas sector.

BCFG

BCFG stands for Billion Cubic Feet and is a unit of measurement used in the oil and gas industry to quantify large volumes of natural gas. It represents one billion cubic feet of gas. This measurement is commonly used to describe the reserves, production, and consumption of natural gas.

Behind Pipe

“Behind pipe” in the oil and gas industry refers to any oil or gas reserves that are found in a well but are currently inaccessible due to well design or downhole conditions. These reserves are located in a separate zone or section of the well, isolated by wellbore casing, and are not yet in production but can potentially be accessed in the future through additional drilling, well intervention, or the use of specific production techniques. This term is commonly used in the evaluation of a well’s total potential production.

Blind Pool

A Blind Pool refers to a private investment fund that is formed without specifying the particular investments that will be made with the pooled capital. Investors contribute funds to the blind pool with the understanding that the fund managers will use their discretion to invest the capital in various opportunities. This can involve a certain level of risk for the investors, as they are committing their capital without direct knowledge of the specific investments that will be pursued. However, blind pools can also provide flexibility for fund managers to capitalize on emerging opportunities in the market.

Blowout

A Blowout in the context of oil and gas refers to the uncontrolled release of crude oil, natural gas, or other fluids from a well. This occurs when pressure control systems fail, leading to a sudden and forceful discharge of oil and gas. Blowouts pose significant safety and environmental risks, often requiring specialized equipment and expertise to contain and mitigate the situation.

Blowout Insurance

Blowout Insurance is a type of insurance designed to protect against the financial consequences of an oil or gas well blowout. This type of insurance can cover the costs of well control and containment, as well as any third-party liabilities that may arise from the blowout. It is an important risk management tool for companies involved in oil and gas exploration and production, helping them mitigate potential environmental and financial damages in the event of a blowout.

BOP

BOP stands for Blowout Preventer. It is a piece of equipment used in drilling operations to control the release of oil or gas from a well if pressure control systems fail. A blowout preventer is designed to seal the wellbore and prevent uncontrolled release of hydrocarbons. These devices are crucial for well safety in the oil and gas industry.

BOPD

BOPD stands for Barrels of Oil Per Day. It is a unit of measurement used in the oil and gas industry to quantify the production rate of oil. This measurement helps in assessing the efficiency and output of oil wells or production facilities.

Bottom-hole Pressure

Bottom-hole Pressure refers to the pressure at the bottom of an oil or gas well. It is a critical parameter in the oil and gas industry as it directly influences the flow of hydrocarbons from the reservoir to the surface. The bottom-hole pressure is affected by various factors such as the depth of the well, the density of the fluids, and the production rate. Understanding and managing bottom-hole pressure is essential for optimizing production and ensuring the integrity of the well.

Brine Water

Brine water is a highly concentrated solution of salt in water. It is commonly produced during oil and gas production as well as in the desalination process. In the oil and gas industry, brine water can be a byproduct of extracting oil and gas from underground formations, and it often needs to be carefully managed to prevent environmental damage. Additionally, in the context of desalination, brine water is the concentrated leftover solution after fresh water has been extracted from seawater. This concentrated brine can pose disposal challenges due to its high salt content.

BTU (British Thermal Unit)

BTU stands for British Thermal Unit. It is a traditional unit of heat, used in the United States and the United Kingdom. One BTU is defined as the amount of heat required to raise the temperature of one pound of water by one degree Fahrenheit.

Butane

Butane is a hydrocarbon component commonly found in natural gas and crude oil. In oil and gas production, butane is often separated from the gas stream and utilized as a valuable natural gas liquid (NGL). It is an essential feedstock for petrochemical processes and is frequently used in the production of gasoline and other fuels. Additionally, butane can be stored and transported for later use as a fuel or fuel blending component.

BWPD

“Barrels of water per day” refers to the measurement of the volume of water produced or injected during the extraction of oil and gas. This metric is important for assessing the water management requirements of a production site, including the need for water disposal or treatment, as well as the potential impact on production efficiency. When monitoring this metric, operators aim to optimize the balance between water and hydrocarbon production to ensure operational and environmental efficiency.

Cable Drilling

Cable drilling, also known as percussion drilling or cable tool drilling, is a drilling technique that involves raising and dropping a heavy bit to break up rock at the bottom of the hole. This process creates a borehole without the need for expensive machinery, making it a cost-effective option for certain drilling operations. The “cable” in cable drilling refers to the steel cable that raises and drops the drilling bit. This traditional drilling method has been used for centuries and is still utilized in certain situations where other techniques may not be practical or feasible.

Capital Expenditure

Capital expenditure refers to the funds used by a company to acquire, upgrade, or maintain physical assets such as property, buildings, or equipment. It is an expenditure intended to benefit the future activities of a business, usually by adding to the assets of a business, or by improving an existing asset. This is in contrast to operating expenses, which are incurred in the day-to-day running of the business. Proper management of capital expenditures is crucial for long-term growth and sustainability of a company.

Capitalize

Capitalize refers to the process of treating certain expenditures as capital expenditures for Federal income tax computations. This means that instead of deducting the full cost of an expenditure in the current period, it is treated as an asset and its cost is spread out over multiple periods through depreciation or amortization. This approach can have a significant impact on financial statements and tax liabilities.

Carried Interest

Carried Interest refers to a share of the profits from an investment that is received by the general partner in a partnership, such as a private equity or venture capital fund. This share of profits is typically received in addition to the general partner’s own capital contribution. It serves as a performance incentive, aligning the interests of the general partner with those of the limited partners by rewarding the general partner for successful investment performance. In the context of oil and gas leases, carried interest could also refer to a fractional working interest that arises through an arrangement between co-owners of a working interest.

Carry to Casing Point

Carry to the Tanks

Cased-hole

A wellbore lined with a string of casing or liner to protect the open hold from fluids, pressures, wellbore stability problems or a combination of these. Although the term can apply to any hole section, it is often used to describe techniques and practices applied after casing or liner has been set across the reservoir zone, such cased-hole logging or cased-hole testing.

Casing

Steel pipe placed in an oil or gas well as drilling progresses to prevent the wall of the hole from cave-in, to prevent seepage of fluids, and to provide a means of extracting petroleum if the well is productive.

Casinghead

The portion of the casing that protrudes above the surface and to which control valves and flow pipes are attached.

Cement

Fluid cement is mixed at the surface, pumped to the bottom of a cased well, forced to flow around the lower end of the casing and up into the space between the casing and the borehole. When the cement solidifies (sets), it holds the casing in place, and provides support.

Cement Squeeze

Forcing cement into the perforations, large cracks, and fissures in the wall of a borehole to seal them off.

Choke

An orifice installed in a pipeline at the well surface to control the rate of flow.

Christmans Tree

A Christmas Tree refers to an assembly of valves, gauges, and chokes mounted on a well casinghead. Its primary function is to control the flow of oil or gas from the well to the pipelines, as well as to regulate production.

Circulate

To pump drilling fluid into the borehole through the drill pipe and back up the annulus.

CO2 Injection

A secondary recovery technique in which carbon dioxide (CO2) is injected into wells as part of a miscible recovery program.

Completed Well

A well made ready to produce oil or natural gas. Completion involves cleaning out the well, running steel casing and tubing into the hole, adding permanent surface control equipment, and perforating the casing so oil or gas can flow into the well and be brought to the surface.

Compression

To move natural gas through pipelines, it must be compressed to save space and push it further down the pipeline. Most gas is compressed at 1,000 PSI (pounds per square inch).

Condensate

Liquid hydrocarbons separated from natural gas, usually by cooling.

Comfirmation Well

A well drilled to “prove” the formation encountered by an exploratory well.

Core

Samples of subsurface rocks taken as a well is being drilled. The core allows geologists to examine the strata in proper sequence and thickness.

Crude Oil

Crude Oil, also known as petroleum, refers to the naturally occurring, unrefined liquid found underground. It encompasses a range of viscosities, from very light (rich in gasoline) to very heavy (rich in residual oils). The classification of crude oil as “sour” or “sweet” depends on its sulfur content, with sweet crude being low in sulfur and thus typically more valuable in the market.

Crude Oil Equivalent

Crude Oil Equivalent refers to a unit of measurement that allows different types of energy resources to be compared based on their energy content. It is commonly used to express the energy content of various fuels or energy sources in terms of the amount of crude oil with the same energy content. This unit provides a way to compare different energy sources on a consistent basis, which is especially useful in the context of energy production and consumption.

Cuttings

Small pieces of rock that break away due to the action of the bit teeth. Cuttings are screened out of the liquid mud system a the shale shakers and are monitored for composition, size, shape, color, texture, hydrocarbon content and other properties by the mud engineer, the mud logger and other on-site personnel. The mud logger usually captures samples of cuttings for subsequent analysis and archiving.

Deductions

A deduction refers to the action of subtracting or taking away something, typically from a total or a sum. In various contexts, deductions can represent a reduction in an amount of money, a logical conclusion drawn from available information, or an amount that can be subtracted from taxable income to reduce the amount of income subject to taxation.

Delineation Well

A Delineation Well, also known as an appraisal well, is drilled near an existing well to better understand the nature and extent of an oil or gas reservoir. It helps in determining the boundaries, size, and productivity of the reservoir by collecting geological and reservoir data. This type of well drilling plays a crucial role in assessing the commercial viability of an oil or gas field before full-scale production begins. Additionally, it aids in the design and optimization of production strategies.

Depletion

Depletion refers to the reduction or exhaustion of a natural resource or a substance, often due to excessive consumption or extraction. In the context of oil and gas exploration, depletion can refer to the gradual reduction of reservoir resources as they are extracted over time. This can lead to declining production rates and the need for advanced recovery techniques to extract the remaining resources.

Development Well

A Development Well is a type of oil or gas well drilled in a proven producing area to extract resources from the reservoir. These wells are typically drilled after the exploration phase, once the presence of oil or gas has been confirmed. The primary goal of development wells is to efficiently extract the hydrocarbons from the reservoir for commercial production. This process involves carefully planning the location, drilling, and completion of the well to optimize resource recovery. Once completed, the well is often connected to production facilities for further processing and distribution.

Dewatering

Dewatering is the process of removing water from solid material or soil by filtration, centrifugation, or other methods. In the context of construction and drilling operations, dewatering aims to decrease the water content of soil, allowing for excavation or construction to take place in a more stable and manageable environment. This process is crucial for maintaining the stability of trenches, excavations, and foundations in areas with high water tables or excessive moisture. Efficient dewatering methods are essential for ensuring the success and safety of various construction and drilling projects.

Directional Drilling

Directional Drilling, also known as slant drilling or deviated drilling, is a technique used in the oil and gas industry to create wellbores that deviate from the vertical. This method allows operators to reach reservoirs located beneath areas where traditional vertical drilling is not feasible or optimal. By adjusting the direction and angle of the wellbore, directional drilling enables access to a larger area of the reservoir from a single location, reducing the environmental impact and maximizing resource recovery.

The process involves the use of specialized equipment and techniques to control the trajectory of the drill bit, allowing it to drill horizontally or at specific angles. This can be achieved through the use of downhole motors, adjustable bent subs, measurement-while-drilling (MWD) tools, and rotary steerable systems, among others.

Directional drilling plays a crucial role in enhancing the efficiency and productivity of oil and gas operations, contributing to the extraction of resources from locations that were previously inaccessible using conventional vertical drilling methods.

Division Order

The Division Order is a document whereby the revenue distributor (either the Operator or the 1st Purchaser) and the recipient (the royalty owner) agree on the exact decimal interest (Net Revenue Interest or NRI) owned within a well, lease, production unit, or field-wide unit.

Downdip

Downdip refers to the direction in which the dip of rock layers, such as those in a geological formation, angles. It is the direction in which these layers slope downward, typically indicative of the direction of sedimentation or the flow of fluids within the formations. This term is commonly used in geology and petroleum exploration to describe the positional relationship of rock layers within a subsurface environment.

Downhole

Downhole refers to the region or environment within a wellbore, typically in the context of oil and gas drilling. It encompasses the area from the surface down to the bottom of the well, where various tools and operations are conducted to explore, produce, or monitor the reservoir. Small pieces of rock that break away due to the action of the bit teeth are part of the material that may be encountered downhole. These cuttings are then analyzed and monitored by on-site personnel, including mud engineers and mud loggers, to provide valuable insights into the geological formations and the potential presence of hydrocarbons.

Downstream

Upstream and downstream oil and gas production refers to an oil or gas company’s location in the supply chain. Upstream oil and gas production includes identifying, extracting, or producing materials. Downstream oil and gas production includes the post-production of crude oil and natural gas activities.

Drill Bit

A Drill Bit is a cutting tool attached to a drilling rig that is used to create holes in various materials, such as wood, metal, or the Earth’s subsurface. In the context of drilling for oil and gas, a drill bit is specifically designed to penetrate the rock formations beneath the Earth’s surface as part of the drilling process. The drill bit rotates and exerts a downward force to grind, cut, or crush the rock, allowing for the extraction of resources or the creation of boreholes for various purposes.

Drill String

A Drill String is a term used in the context of drilling for oil or gas. It refers to the entire assembly of pipe, drill collars, and drill bit that is used to drill a borehole into the earth. The drill string is rotated by the drilling rig and applies torque and weight to the drill bit, allowing it to penetrate the subsurface formations. The drill string also provides a pathway for the circulation of drilling fluids, which help to cool the drill bit, carry cuttings to the surface, and maintain pressure in the well.

Drilling

Drilling is the process of creating holes in the earth’s surface for the extraction of natural resources such as oil, gas, or water, or for geological exploration. This is typically achieved using a drilling rig to bore into the ground, often involving the use of specialized drilling tools and equipment.

Drilling Mud

Drilling Mud, also known as drilling fluid, is a specially designed fluid used in the process of drilling oil and gas wells. It serves multiple purposes, including cooling and lubricating the drill bit, carrying rock cuttings to the surface, providing hydrostatic pressure to prevent formation fluids from entering the wellbore, and sealing off permeable formations to prevent fluid loss. The composition of drilling mud is carefully monitored and adjusted to suit the specific geological and engineering requirements of the well being drilled.

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Small pieces of rock that break away due to the action of the bit teeth. Cuttings are screened out of the liquid mud system at the shale shakers and are monitored for composition, size, shape, color, texture, hydrocarbon content and other properties by the mud engineer, the mud logger and other on-site personnel. The mud logger usually captures samples of cuttings for subsequent analysis and archiving.

Drilling Platform

A Drilling Platform, also known as an offshore platform, is a large structure used to extract oil and gas from beneath the seabed. These platforms are equipped with drilling equipment, living quarters for workers, and various facilities to support the extraction process. They can be fixed to the seabed or designed to float, depending on the depth of the water at the drilling site. Drilling platforms are essential in offshore oil and gas production, providing a stable base for drilling operations and the handling of extracted materials.

Drilling Rig

A Drilling Rig is a complex machine used to drill wells for oil, natural gas, water, or geothermal energy. It consists of various components such as the derrick, the drawworks, the rotary table, and the drill string. The rig is designed to create boreholes in the earth’s subsurface, allowing for the extraction of valuable resources or for scientific purposes. The specific relevant content for this request, if necessary, delimited with characters: Small pieces of rock that break away due to the action of the bit teeth. Cuttings are screened out of the liquid mud system at the shale shakers and are monitored for composition, size, shape, color, texture, hydrocarbon content, and other properties by the mud engineer, the mud logger, and other on-site personnel. The mud logger usually captures samples of cuttings for subsequent analysis and archiving.

Drillstem

A Drillstem refers to the entire length of the drillstring, which includes the drillpipe and any bottomhole assembly (BHA), such as drill collars and various types of drilling tools. The drillstem is what transfers rotational power from the drilling rig to the drill bit at the bottom of the wellbore, allowing for the drilling process to occur. It is a crucial component of the drilling operation.

DST (Drillstem Test)

A Drillstem Test, also known as a DST, is a procedure used in the oil and gas industry to evaluate the commercial viability of a hydrocarbon reservoir. This test involves lowering a testing tool, typically attached to the bottom of the drillstring, into the wellbore to the depth of the reservoir. Once in position, the tool is used to create openings in the casing or liner, allowing reservoir fluids to flow into the drillstring for analysis at the surface. The data gathered from this test helps assess the potential productivity of the well and provides valuable information for planning further production activities.

Dry Hole

A “dry hole” refers to an exploratory or production well drilled for oil or gas that does not produce enough hydrocarbons to be economically viable. In other words, it’s a well that does not yield any significant oil or gas reserves.

Dry Natural Gas

Dry Natural Gas refers to natural gas that primarily consists of methane and lacks significant amounts of other hydrocarbons or non-hydrocarbon gases. It is predominantly composed of methane, with very little other compounds such as propane, butane, or ethane. This type of natural gas is often used for heating and electricity generation, and it is a key component in various industrial processes.

Dual Completion

Dual Completion refers to a wellbore that is equipped to produce oil or gas from two separate zones, often in the same well. This technique allows for the simultaneous extraction of resources from multiple formations, maximizing the well’s productivity and overall output. The process involves the installation of independent tubing, packers, and other necessary equipment for each zone, enabling efficient and flexible production management. Dual completions are utilized to enhance well performance and optimize resource extraction in certain oil and gas reservoirs.

EFG

Economic Interest

Economic Interest refers to the ownership interest in the minerals in place. It entitles the owner to a deduction from gross income derived from the production of oil and gas as specified in Federal income tax regulations. This deduction is calculated based on the taxpayer’s share of the income from the property.

Electrical Well Logging

Electrical Well Logging involves the use of electrical measurements to evaluate subsurface formations in a borehole. A variety of logging tools with different electrical properties can be employed to assess characteristics such as formation resistivity, porosity, permeability, and fluid saturation. These measurements aid in understanding the geological composition of the well and are crucial for determining potential oil and gas reserves. Different techniques like resistivity logging, induction logging, and microresistivity imaging contribute to a comprehensive understanding of the formation properties. This information is vital for making informed decisions about drilling and production strategies.

Enhanced Oil Recovery (EOR)

Enhanced Oil Recovery (EOR) refers to the techniques and processes used to increase the amount of crude oil that can be extracted from an oil field. These methods are employed after the initial recovery stage, which typically yields around 30% to 40% of the oil in a reservoir. EOR methods can involve the injection of substances such as gas, chemicals, or steam into the reservoir to alter the viscosity of the oil, displace it, or alter the rock properties to facilitate increased oil production. The goal of EOR is to access and recover a larger portion of the oil reserves that cannot be extracted through traditional methods.

EOR is a critical aspect of maximizing the potential of oil fields and can significantly extend the productive life of mature oil reservoirs. By employing EOR techniques, operators can extract a greater proportion of the oil, contributing to overall energy security and efficiency.

Estimated Ultimate Recovery (EUR)

Estimated Ultimate Recovery (EUR) refers to the estimated total amount of oil or gas that is expected to be economically recoverable from a reservoir or well. It takes into account factors such as reservoir characteristics, production history, and recovery techniques. EUR is a key metric used in the evaluation and assessment of oil and gas reserves, providing valuable insights for decision-making in the energy industry.

In simpler terms, EUR represents the calculated projection of the maximum amount of oil or gas that can be extracted from a reservoir over its lifetime. This estimation is crucial for determining the overall potential value and viability of a particular energy asset.

Ethanol

Ethanol is a clear, colorless alcohol that is commonly used as a fuel, solvent, and in alcoholic beverages. It is also known as ethyl alcohol or grain alcohol, and its chemical formula is C2H5OH. Ethanol is produced through the fermentation of sugars by yeast, or by the hydration of ethylene. It is used as a renewable fuel source, as a solvent in various industries, and as the active ingredient in alcoholic beverages. In the context of the provided text, ethanol may be used in aspects of mud analysis or in other industrial processes.

Exploration

“Exploration” refers to the process of examining and analyzing the rock cuttings obtained from drilling operations to gather information about the geological formations and potential hydrocarbon reserves in a particular area. This involves assessing the composition, size, shape, color, texture, and hydrocarbon content of the cuttings, as well as archiving samples for further analysis. The exploration process helps in making informed decisions about the potential for oil or gas extraction in a given location.

Exploratory Well

An Exploratory Well, also known as a wildcat well, is a type of drilling operation carried out in an area where no oil or gas production has been established. Its purpose is to search for new reserves of oil or natural gas. Exploratory wells are typically drilled based on geological and geophysical data to determine the potential for commercial production. If successful, they can lead to the discovery of new oil or gas fields, expanding the knowledge of underground resources in a specific area. The process involves various techniques and analysis to assess the presence and characteristics of hydrocarbons.

External Casing Packer

An external casing packer is a device used in oil and gas well construction and completion. It is designed to create a seal between the casing and the wellbore, preventing fluid migration and pressure leaks. This packer is positioned on the outside of the casing and is used in various well completion and production operations to ensure the integrity and stability of the well structure.

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In oil and gas wells, the packer is used to isolate sections of the wellbore to prevent fluid migration between the different zones. It consists of a cylindrical body with sealing elements that expand when the packer is set, creating a reliable barrier against pressure differentials and fluid movement. External casing packers are an essential part of well construction and completion operations, contributing to the overall integrity and efficiency of the well.

Farm-in / Farm-out

Farm-in and farm-out are terms commonly used in the oil and gas industry to describe the assignment of working interests in exploration and production licenses or leases.

Farm-in: This occurs when a company acquires an interest in a block or license from another party. Typically, the farmee agrees to undertake certain financial obligations, such as funding the drilling of a well, in exchange for a share of the ownership and production from the asset.
Farm-out: This is the opposite process, where a company sells a portion of its interest in a block or license to another party. This can be done to reduce risk, raise capital, or bring in expertise for exploration and production activities.

These arrangements are common in the industry and are used to manage risk, optimize capital allocation, and facilitate exploration and development activities.

Farm-out Agreement

A “farm-out agreement” is a deal made between an oil and gas exploration company (the farmor) and another company (the farmee) where the farmor agrees to transfer a portion of its interest in a lease or prospect to the farmee in exchange for the farmee undertaking specific obligations, such as drilling a well or conducting seismic surveys. This type of agreement allows the farmor to reduce its financial risk and share the cost of exploration and development activities. The terms of the farm-out agreement typically outline the percentage of working interest being transferred, the obligations of the farmee, and the rights and responsibilities of both parties.

Fault

A fault is a fracture in the Earth’s crust along which there has been movement. This movement may be horizontal, vertical, or a combination of both and can result in the displacement of rock layers. Faults are commonly associated with tectonic activity and are responsible for phenomena such as earthquakes and the creation of mountain ranges. The movement has occurred. This movement may be horizontal, vertical, or a combination of both.

Fault Trap

A fault trap is a geologic structure that forms due to movement along a fault line, creating a potential reservoir for oil and gas. When rocks on one side of the fault move relative to those on the other side, it can create favorable conditions for the accumulation and trapping of hydrocarbons. Fault traps are important exploration targets for petroleum geologists and can vary in complexity, with multiple faults and other structural considerations influencing their effectiveness as reservoirs.

Feet of Pay

The thickness of the pay zone penetrated in a well.

Field

An area that contains a single reservoir or related reservoirs with the same geological structural feature or stratigraphic condition. It may contain dozens or hundreds of wells.

Fishing

“Fishing” refers to the process of recovering tools or equipment that have been accidentally lost down a borehole. This is typically achieved using specially designed tools that screw into or grab the missing equipment, as you mentioned previously. This process is crucial for minimizing downtime and ensuring the smooth continuation of operations.

Fishing Tools

“Fishing tools” refer to special instruments equipped with the means for recovering objects lost while drilling the well. These tools are crucial in the oil and gas industry for retrieving items such as drill pipe, tools, or any other loose items that may become stuck or lost downhole during drilling operations.

Flaring

Flaring refers to the process of burning gas that is vented through a pipe or stack at a refinery, or a method of disposing of gas while a well is being drilled. It is important to note that flaring is regulated by state agencies, whereas venting (letting gas escape unburned) is generally prohibited.

Flooding

Flooding refers to the process of intentionally introducing fluid, such as water or gas, into a wellbore to control pressure or to enhance oil recovery. This technique can help maintain reservoir pressure, displace oil towards production wells, or prevent the influx of formation fluids. Flooding is a key method used in secondary and enhanced oil recovery operations.

Flowing Well

A Flowing Well refers to a well that produces through natural reservoir pressure and does not require pumping. Unlike pumped wells, flowing wells can yield water or hydrocarbons without the need for artificial assistance.

Formation

A geological term that describes a succession of strata similar enough to form a distinctive geological unit useful for mapping or description.

Fossil Fuels

Fossil Fuels are natural fuels formed from the remains of living organisms. These fuels, including coal, oil, and natural gas, are created through the anaerobic decomposition of buried dead organisms over millions of years. This process converts the organic material into substances that can be burned or used as fuel. Fossil fuels are a non-renewable energy source and are a major component of the world’s energy supply.

Fracture Stimulation

Fracture Stimulation, also known as hydraulic fracturing or fracking, is a process used to stimulate the production of oil and gas from a well. It involves injecting a high-pressure fluid mixture into the wellbore to create fractures in the reservoir rock. These fractures provide enhanced pathways for the hydrocarbons to flow more freely towards the wellbore, thus increasing the overall productivity of the well.

The fluid mixture typically consists of water, proppants (such as sand or ceramic beads), and chemical additives. Once the fractures are created, the proppants hold them open, allowing the extracted oil and gas to flow to the surface more efficiently.

Fracture stimulation has been widely used in the oil and gas industry to access valuable hydrocarbon resources from unconventional reservoirs, such as shale formations. It has significantly expanded the production potential of these reservoirs, contributing to increased energy supplies in various regions.

Front-end Costs

Front-end costs typically refer to the initial expenses incurred at the beginning of a project, investment, or business venture. These costs may include expenses such as research and development, equipment acquisition, legal fees, and initial marketing efforts. In the context of a construction project, for example, front-end costs may include expenses related to design, permits, and site preparation. Understanding and managing front-end costs is crucial for assessing the feasibility and potential return on investment of a new endeavor.

Gamma-Ray Logging

Gamma-Ray Logging is a well logging method used in the oil and gas industry to measure the natural radioactivity of formations surrounding a borehole. This technique involves the use of a gamma-ray detector, which records the gamma radiation emitted by the formations. The recorded data helps geologists and petrophysicists identify lithology, differentiate between various rock types, and evaluate the presence of certain minerals. Gamma-ray logging is particularly valuable in determining the stratigraphy and identifying potential hydrocarbon reservoirs in the subsurface.

Gas Condensate

Gas Condensate is a term used in the petroleum industry to describe a type of hydrocarbon mixture that exists in the gas phase at reservoir conditions, but which can condense into a liquid phase when brought to the surface. It is often found in reservoirs that contain a combination of natural gas and lighter hydrocarbons such as ethane, propane, and butane. Gas condensate reservoirs typically exhibit behaviors of both gas and oil reservoirs, with the produced fluid initially resembling dry gas and later transitioning to liquid hydrocarbons as pressure decreases.

The condensation of hydrocarbons in a gas condensate reservoir can occur due to changes in temperature and pressure, causing the lighter hydrocarbons to liquefy. The presence of gas condensate in a reservoir has implications for production and processing, as special considerations are required to handle the liquid hydrocarbons that may be present alongside the produced natural gas.

Gas Lift

Gas Lift is a technique used in the oil and gas industry to increase the flow of fluids from a well. This method involves injecting gas into the well to reduce the density of the fluids, thereby easing their extraction to the surface. It is commonly employed in wells where the natural reservoir pressure is insufficient to bring fluids to the surface.

The gas lift process typically involves injecting compressed gas, such as air, nitrogen, or natural gas, into the annulus or tubing of the well. As the gas rises, it reduces the hydrostatic pressure of the fluid column, allowing the reservoir fluids to flow more easily. This artificial lift method helps improve the efficiency of oil and gas production by maintaining or enhancing the flow of hydrocarbons from the reservoir to the surface.

Gas-oil Ratio (GOR)

The Gas-Oil Ratio (GOR) refers to the amount of gas that is produced along with a specified volume of oil from an oil well. It is typically expressed in standard cubic feet of gas per stock tank barrel of oil (scf/STB). This ratio is an important indicator in the oil and gas industry as it provides insights into the productivity and behavior of oil reservoirs. By analyzing the GOR, engineers and geologists can assess the reservoir’s pressure, the presence of gas cap, and the potential for gas breakthrough. High GOR values may indicate a gas cap drive, while low values may suggest a water drive or depletion. Understanding the gas-oil ratio is crucial for reservoir management and production optimization.

Geophones

Geophones are seismic sensors used to detect ground movement or vibration. These devices are commonly employed in seismic surveys to record the variations in ground motion caused by seismic waves. Geophones play a crucial role in geophysical exploration for identifying subsurface structures, such as petroleum reservoirs or fault lines, by capturing and analyzing the seismic data. The information gathered from geophones aids geoscientists and petroleum engineers in understanding the characteristics of rock formations and potential hydrocarbon reservoirs.

Geophysicist

A Geophysicist is a scientist who studies the physical properties and processes of the Earth and other planets. This field of study encompasses a wide range of phenomena, including the Earth’s gravitational and magnetic fields, seismic waves, electrical and electromagnetic methods, and the behavior of rocks and minerals. Geophysicists often work in fields such as oil and gas exploration, environmental science, and earthquake research, using their expertise to understand the structure and dynamics of the Earth’s interior and its interactions with the surface and atmosphere.

Gravimeter

A Gravimeter is a device used to measure the local gravitational field of the Earth. It detects small variations in gravitational pull, which can be influenced by factors such as topography and subsurface density variations. Gravimeters are used in geophysics for various applications, including mineral exploration, geodesy, and oil and gas exploration. These devices play a crucial role in understanding the Earth’s subsurface and its geological characteristics.

Gross Income

Gross Income refers to the total income earned by an individual or business before any deductions are made for taxes, expenses, or other financial obligations. It includes all sources of income such as wages, salaries, dividends, interest, and rental income. Understanding gross income is important for tax and financial planning purposes, as it serves as the starting point for calculating taxable income and determining eligibility for certain benefits or deductions.

Groundwater

Groundwater refers to the water present beneath the Earth’s surface in soil pore spaces and in the fractures of rock formations. It is one of the most important natural resources, serving as a source of drinking water for many people around the world. Groundwater is replenished through the infiltration of rain and surface water, and it flows through aquifers, which are underground layers of rock or sand that hold water. This resource is accessed through wells and springs and plays a crucial role in sustaining ecosystems and human activities such as agriculture and industry.

Gun Perforation

Gun Perforation, also known as perforating, is a wellbore operation that involves creating holes in the casing and cement sheath of a well to allow reservoir fluids to flow into the wellbore. This process is typically carried out using shaped explosive charges or perforating guns, which are lowered into the well and then detonated to create openings in the well casing and surrounding formation. Once the perforation is completed, the reservoir fluids can flow into the wellbore for subsequent production. This process is a critical step in the completion of oil and gas wells, allowing for the extraction of hydrocarbons from underground formations.

HIJK

Heavy Oil

Heavy oil refers to a type of crude oil that has a higher viscosity and density compared to conventional crude oil. It is characterized by a high proportion of large hydrocarbon molecules and a high content of impurities such as sulfur and metals. Due to its thick and viscous nature, heavy oil is more challenging to produce, transport, and refine than light crude oil. In the oil and gas industry, heavy oil often requires specialized extraction and processing techniques to enhance its flow properties and remove impurities, making it a significant focus of research and development for many energy companies.

Held By Production

“Held by production” refers to an arrangement in the oil and gas industry where a property is retained by the operator as long as it continues to produce a specified amount of oil or gas. This concept is often related to the terms of a lease agreement, indicating that the operator can maintain control of the property as long as it remains in production. It’s a crucial factor in the management and ownership of oil and gas assets.

Horizontal Drilling

Horizontal Drilling is a technique used in the oil and gas industry to access and extract hydrocarbons from a reservoir. It involves drilling a wellbore at an angle and then gradually curving it until it becomes horizontal. This method allows for access to a larger section of the reservoir from a single well, increasing the efficiency of hydrocarbon extraction. Horizontal drilling is often combined with hydraulic fracturing to further enhance the recovery of oil and gas from the reservoir.

Hydraulic Fracturing

Hydraulic Fracturing, also known as fracking, is a process used to extract natural gas and oil from deep within the Earth. It involves the injection of a highly pressurized fluid mixture (typically water, sand, and chemicals) into a wellbore to create fractures in the rock formations. These fractures allow the release of the trapped hydrocarbons, which can then be extracted for energy production.

Hydrocarbons

Hydrocarbons are organic compounds consisting of only hydrogen and carbon atoms. They can exist in different forms, such as gases (e.g., methane and propane), liquids (e.g., gasoline and crude oil), and solids (e.g., paraffin wax and bitumen). These compounds are crucial as sources of energy and raw materials in various industries, including the production of fuels, plastics, and chemicals. Hydrocarbons are typically found in natural reservoirs beneath the Earth’s surface, and they form the basis of the oil and gas industry.

In Situ

In situ is a Latin phrase that translates to “in position” or “in place” in English. In the context of scientific research or study, it refers to observing or measuring phenomena or properties in their original or natural location, without disturbing or altering them. This approach allows researchers to gather data and observe natural processes without causing interference or changes to the environment being studied.

Initial Potential

Injection Well

An Injection Well is a type of well used to inject fluids into the subsurface for various purposes. These wells are commonly utilized for the disposal of wastewater produced during oil and gas extraction, as well as for the underground storage of hydrocarbons or other fluids. Additionally, injection wells can be employed in processes such as enhanced oil recovery, where fluids are injected into the reservoir to facilitate the extraction of remaining oil or gas. The design, construction, and operation of injection wells are regulated to ensure the protection of groundwater and environmental safety.

Intangible Drilling Costs (IDC)

Intangible Drilling Costs (IDCs) are expenditures related to the preparation of a site for drilling and the drilling of a well that have no salvage value. These costs typically include expenses for labor, drilling supplies, and other necessary expenses that do not result in a tangible asset. IDCs are an important consideration for oil and gas companies as they are eligible for tax deductions. This incentivizes investments in oil and gas exploration and production activities.

Jack

A “jack” refers to an oil well jack, also known as a pump jack or nodding donkey. It is a device used in the oil industry to extract crude oil from a well. The pump jack operates by mechanically lifting the oil from the well to the surface, where it can be collected and transported for further processing. This method is commonly used in oil production, especially in older or low-pressure wells.

Joint

A single section of drill pipe, casing, or tubing, usually about 30 feet in length.

Kick

A “kick” in the context of oil drilling refers to an influx of high-pressure gas or fluid into a wellbore, which can lead to dangerous conditions. The kick occurs when the pressure exerted by the fluids in the formation exceeds the pressure applied by the drilling fluid, allowing for the unexpected flow of fluid or gas into the well. This situation requires immediate attention and specific well control measures to manage and secure the well.

LMNOP

Lag Time

The time it takes for cuttings to be carried (circulate) from the bottom of the borehole up to the surface by the mud system.

Landman

A Landman is a self-employed individual or company employee who secures oil and gas leases, checks legal titles, and attempts to cure title defects so that drilling can begin.

Landowner Royalty

Landowner Royalty refers to the payment made to the owner of the land where natural resources, such as oil, gas, minerals, or other valuable substances, are extracted. This payment is typically calculated as a percentage of the revenue generated from the sale of the extracted resources. The specific terms of the royalty agreement can vary, but it is a common way for landowners to benefit from the extraction and sale of resources from their property.

Lease (oil & Gas)

A contract by which the owner of the mineral rights to a property conveys to another party, the exclusive right to explore for and develop minerals on the property, during a specified period of time.

Lease Broker

An individual engaged in obtaining leases for speculation or resale.

Lifting Costs

The costs of producing oil from a well or lease; the operating expenses.

Limestone

Limestone is a sedimentary rock composed primarily of calcium carbonate, usually in the form of calcite or aragonite. It often contains variable amounts of silica, clay, silt, and sand. Limestone can form in marine environments or in caves through the accumulation of shell, coral, algal, and fecal debris. It is commonly used as a building material, particularly in the construction of walls and floors, and it is also widely utilized in the production of cement and as a component in various industrial processes. Limestone reservoirs contain more oil and gas reserves than all other types of reservoir rock combined.

Liquefied Natural Gas (LNG)

Liquefied Natural Gas (LNG) is natural gas that has been cooled to a liquid state, typically at around -260 degrees Fahrenheit. This cooling process reduces the volume of the gas, making it easier and more cost-effective to transport and store. LNG is odorless, colorless, non-toxic, and non-corrosive. It is used as a form of energy for various purposes, including heating, cooking, and as a fuel for vehicles and ships. Additionally, LNG is increasingly being utilized as a cleaner alternative to other fossil fuels due to its lower emissions profile.

Logs

Records made from data-gathering devices lowered into the wellbore. The devices transmit signals to the surface which are then recorded on film and used to make the record describing the formations porosity, fluid saturation, and lithology. The filing of a log is required by the federal government if the drill site is on federal land.

Lost Circulation

Lost Circulation occurs when drilling mud, used in the drilling of oil and gas wells, does not return to the surface as intended. Instead, it seeps into porous formations, crevices, or caverns within the well structure. This can hinder the drilling process and is considered a serious condition in the industry.

MCF

MCF stands for “thousand cubic feet” and is a unit of measurement commonly used in the oil and gas industry to quantify large volumes of natural gas. It represents 1,000 cubic feet of natural gas.

MCFGPD

MCFGPD stands for “thousand cubic feet of gas per day” and is a unit of measurement commonly used in the oil and gas industry.

Midstream

Midstream refers to the stage of the oil and gas industry that involves the transportation, storage, and wholesale marketing of crude or refined petroleum products. This sector is responsible for the movement of oil and gas from the production site to refineries and processing plants. It includes activities such as pipelines, tanker trucks, and storage facilities. The midstream sector is a crucial link in the overall energy supply chain, serving to deliver petroleum products from the extraction site to the refining and processing stages.

Migration

Migration refers to the movement of oil and gas through layers of rock deep in the earth’s surface.

Mineral Rights

Mineral Rights refer to the legal rights to exploit and utilize minerals found beneath the surface of a tract of land. These rights can include substances such as oil, natural gas, coal, and other valuable underground resources. Individuals or entities holding mineral rights have the authority to extract, mine, and produce these resources. It’s important to note that in many cases, mineral rights can be separate from surface rights, meaning that different parties may hold the rights to minerals and the surface of the land.

MMBO

Million Barrels of Oil

MMCF

Million Cubic Feet

MMCFGPD

Million Cubic Feet of Gas per Day

Mud

Mud is a fluid mixture of clay, chemicals, and weighting materials suspended in fresh water, salt water, or diesel oil and used during drilling activities.

Mud Engineer

A “mud engineer” is a professional who is responsible for creating and maintaining the drilling fluid, also known as “mud,” used in the process of drilling oil and gas wells. The drilling fluid has several key functions, including controlling pressure, lubricating the drill bit, carrying rock cuttings to the surface, and forming a protective layer on the wellbore walls. The mud engineer’s role involves designing the appropriate drilling fluid for the specific well conditions, conducting tests to ensure its properties are suitable for the drilling operation, and monitoring its performance throughout the drilling process. This is a crucial role in ensuring the efficiency and success of the drilling operations.

Mud Log

A Mud Log, also known as a drilling mud log, is a detailed record of geological formations encountered during the drilling of a well. It includes information about the type of rock, depth, presence of hydrocarbons, as well as other relevant data. Additionally, a mud log provides insight into the drilling process, helps assess the potential for oil or gas production, and contributes to overall well safety and efficiency.

Natural Gas

Natural Gas is a fossil fuel composed mainly of methane, along with small amounts of other hydrocarbons, with a lower carbon-to-hydrogen ratio compared to oil. It is formed from the decomposition of organic matter deep beneath the earth’s surface over millions of years. Natural gas is an important source of energy and can be found in underground reservoirs, often alongside oil deposits. It is extracted using drilling methods similar to those used for oil, and it has various uses including as a fuel for heating and electricity generation, as well as in industrial processes and as a feedstock for the production of chemicals and materials.

Natural Gas Liquids (NGLs)

Natural Gas Liquids (NGLs) are a group of hydrocarbons that are commonly found in natural gas production. These compounds include ethane, propane, butane, isobutane, and natural gasoline. During natural gas processing, these liquids are separated from the raw natural gas stream and utilized for various purposes including as fuel, feedstock for petrochemical plants, and as a component in the production of plastics and other materials. NGLs are valuable by-products of natural gas production, and their extraction adds significant economic value to the overall natural gas industry.

Natural Gas Processing Plant

A Natural Gas Processing Plant is a facility designed to purify and refine raw natural gas extracted from underground reservoirs. Upon extraction, natural gas contains various impurities such as water vapor, hydrogen sulfide, carbon dioxide, and other contaminants which need to be removed before the gas can be safely transported and utilized.

The processing plant typically consists of several units including dehydration units, amine treating units, and cryogenic separation units, each serving to remove specific impurities from the natural gas. Once the impurities are removed, the natural gas is ready for transmission through pipelines to end-users or further processing into products such as liquefied natural gas (LNG) or ethane. The processed natural gas is a cleaner, more efficient energy source used for heating, electricity generation, and various industrial applications.

Natural Gas Processing Plant

Net Pay

Net pay refers to the thickness of productive oil- or gas-saturated rock encountered during drilling. For instance, a company may drill a 15,000-foot well and come across 300 feet of net pay in multiple intervals of, say, 100 feet each. Subsequently, the development well is specifically designed for production solely from the net pay.

Net Revenue Interest

In the oil and gas sector, Net Revenue Interest (NRI) refers to the share of production from a well attributable to the working interest owners after all burdens, such as royalties, overriding royalties, and production taxes, have been deducted. Essentially, it represents the proportion of the gross proceeds from the sale of production that the working interest owner is entitled to receive after accounting for these deductions. NRI is a crucial factor in determining the actual income that a working interest owner will receive from the sale of oil and gas production. Understanding NRI is essential for calculating the revenue and expenses associated with oil and gas investments.

Octane

Octane is a hydrocarbon compound found in gasoline, and it is known for its ability to resist “knocking” or premature fuel ignition in internal combustion engines. In the context of fuel, octane refers to the proportion of isooctane (an isomer of octane) in a blend of hydrocarbons that helps to determine the fuel’s resistance to engine knocking. Gasoline with a higher octane rating is less prone to knocking and is commonly used in high-performance or high-compression engines.

Offset Well

An Offset Well refers to a well drilled near an existing well location. It is typically drilled to intersect or reach a target formation that is adjacent to the formation being produced by the existing well. Offset wells are important in the industry as they can provide valuable information about the potential productivity and characteristics of a particular area or reservoir. Additionally, they can contribute to the overall understanding of the geology and hydrocarbon potential of a specific region.

Oil Column

An Oil Column refers to the vertical section within a reservoir rock formation that contains a significant amount of oil. It is an important concept in petroleum geology and reservoir engineering, as it indicates the thickness of the rock formation that contains commercially viable quantities of oil. Understanding the size and characteristics of an oil column is crucial for assessing the potential productivity and economic viability of an oil field.

Oil Gravity

Oil Gravity, also known as API Gravity, is a measure used to determine the density of petroleum liquids relative to water. It is an important characteristic of crude oil and other liquids derived from it. The American Petroleum Institute (API) gravity scale is used to gauge the relative density of oil, with higher API gravity values indicating lighter oils with lower density. Conversely, lower API gravity values indicate heavier oils with higher density. API gravity is significant because it can provide insights into the type of crude oil and its properties, affecting its refining, transportation, and commercial value.

In essence, oil gravity serves as an indicator of how heavy or light a particular oil is, playing a crucial role in the assessment of its quality and potential uses within the oil and gas industry.

Oil-In-Place

Oil-In-Place refers to the crude oil estimated to exist in a field or a reservoir. Oil in the formation not yet produced.

Oil Rig

An Oil Rig, also known as an oil platform or offshore platform, is a large structure with facilities to extract and process petroleum and natural gas that lie in rock formations beneath the seabed. These structures are used to drill wells in the ocean and are equipped with various machinery and equipment for the extraction, storage, and transport of oil and gas. Additionally, they may also house accommodation and catering facilities for the workers. Oil rigs come in different types, including fixed platforms, compliant towers, and floating production systems, each designed for specific conditions and functions in offshore oil and gas production.

Oil Shale

Oil Shale is a type of sedimentary rock that contains organic matter known as kerogen. When heated, the kerogen can be extracted and processed to produce shale oil, a type of unconventional oil. Oil shale is different from shale oil, as the former refers to the rock containing kerogen, while the latter is the liquid product obtained from the processing of the rock. The production of oil shale involves either mining and then heating the rock to extract the oil, or heating the rock in place (in-situ process) to produce the oil for extraction. This resource has gained attention as a potential alternative energy source, although the extraction process can be complex and costly.

Oilfield Services

Oilfield Services refer to the various activities and support functions provided to the oil and gas industry, with the aim of facilitating and optimizing the exploration, drilling, production, transportation, and refining processes. These services encompass a broad range of specialized tasks and operations, such as seismic surveying, drilling, well construction, well maintenance, reservoir evaluation, and production enhancement. Additionally, oilfield services may include the supply and maintenance of equipment, as well as the implementation of technologies to improve efficiency and safety in oil and gas operations. Oilfield services play a pivotal role in the overall functioning of the oil and gas sector, contributing to the successful extraction and processing of hydrocarbons.

OPEC

The Organization of the Petroleum Exporting Countries, commonly known as OPEC, represents a significant entity in the global oil market. Comprising 13 oil-exporting developing nations, OPEC operates as a permanent intergovernmental organization with the primary objective of maintaining stability and equity in petroleum prices for producers, ensuring an efficient, economic, and consistent supply of petroleum to consuming nations, and fostering a equitable return on investment for those involved in the petroleum industry. OPEC’s influence on the global energy landscape and its ability to shape policies and production levels have been central to discussions surrounding energy security and market dynamics.

Operator

The individual or company responsible for the drilling, completion, and production operations of a well, and the physical maintenance of the leased property.

Organization Costs

Direct costs incurred in the creation of a new business organization such as an oil and gas limited partnership.

Overriding Royalty Interest

These interests entitle their owner(s) to a share of the mineral production from a property or to a share of the proceeds therefrom. They do not contain the rights and obligations of operating the property and normally do not bear any of the costs of exploration, development, and operation of the property.

Pay Zones

A Pay Zone refers to a geological formation or layer within the earth that contains economically viable amounts of hydrocarbons such as oil and gas. When drilling for oil and gas, identifying and accessing these pay zones is crucial for successful extraction. The term “pay” in this context indicates that the particular geological formation has the potential to yield profitable amounts of hydrocarbons. Engineers and geologists use various methods, including seismic surveys and well logging, to locate and evaluate pay zones before drilling. Identifying and understanding pay zones is essential for determining the potential productivity and profitability of a given oil or gas well.

Payoff

A specific sedimentary layer in a cross section of land, especially one in which a petroleum reservoir is found.

Payout

The amount of time it takes to recover the capital investment made on a well or drilling program.

Perforating Gun

A Perforating Gun is a specialized tool used in oil and gas well operations to create holes in the casing and cement surrounding the wellbore, allowing hydrocarbons to flow into the well. The perforating gun is typically lowered into the well on a wireline and positioned at the desired depth. Once in place, the gun is detonated, releasing high-velocity bullets or shaped charges that penetrate the well casing, cement, and into the surrounding formation. This process creates channels for oil or gas to flow into the wellbore, enabling extraction. Correctly targeting and perforating the pay zones is critical for optimizing well productivity.

Perforation

Perforation is the method of making holes through the casing opposite the producing formation to allow the oil or gas to flow into the well.

Permeability

The capacity of a rock to transmit fluids. A tight rock, sand or formation will have low permeability and thus, low capacity to produce oil or gas, unless the well can be fracture-stimulated to increase production.

Petrochemicals

Petrochemicals are chemical products derived from petroleum or natural gas. These products are crucial in the manufacturing of a wide range of items such as plastics, fertilizers, medicines, solvents, and synthetic fibers. The petrochemical industry plays a significant role in the global economy, providing essential materials for various sectors including construction, agriculture, healthcare, and consumer goods.

Petroleum

Petroleum is a naturally occurring, yellowish-black liquid found beneath the earth’s surface. It is commonly referred to as crude oil and is a complex mixture of hydrocarbons. Petroleum is a vital natural resource used for the production of various fuels, including gasoline, diesel, and jet fuel. Additionally, it serves as a source of raw materials for the manufacturing of plastics, lubricants, and other essential products. The extraction, refining, and distribution of petroleum play a significant role in global energy production and the economy.

Petroleum Engineer

A Petroleum Engineer is a professional responsible for designing and developing methods for extracting oil and gas from beneath the earth’s surface. They work to maximize hydrocarbon recovery and are involved in analyzing geological data, planning and supervising drilling operations, and developing technologies for improved extraction. Petroleum engineers play a crucial role in ensuring the efficient and safe extraction of hydrocarbons from reservoirs, and they often collaborate with geologists and other specialists to achieve this goal.

Petroleum Geologist

A Petroleum Geologist is a professional who specializes in the exploration and production of oil and gas reserves. These geologists are responsible for analyzing geological data to identify potential areas where petroleum deposits may be found. They use their expertise to locate and evaluate underground formations that are likely to contain oil and gas reserves, and play a crucial role in the initial stages of oil and gas exploration. Petroleum geologists often work closely with other experts, such as geophysicists and reservoir engineers, to assess the commercial viability of drilling in specific locations and contribute to the development of strategies for extraction.

Pipeline

A pipeline is a system of pipes used to transport liquids or gases over long distances. This infrastructure is commonly used in the oil and gas industry to transport crude oil, natural gas, and refined petroleum products from extraction and production facilities to refineries, storage depots, and distribution points. Pipelines are also utilized for the transportation of water, chemicals, and other fluids. They play a crucial role in various industries, providing a safe and efficient method for conveying substances over land and underwater.

Pipeline Gas

Pipeline Gas refers to natural gas that is transported through a network of pipelines from production facilities to distribution points and ultimately to consumers. This method of transportation allows for the efficient and widespread distribution of natural gas for various uses, such as heating, electricity generation, and industrial processes. The infrastructure for pipeline gas includes compressor stations to maintain pressure, metering stations for measurement, and safety equipment to regulate the flow of gas.

Play or Trend

An area or region with a great deal of drilling and production activity involves a group of geologically related fields and prospects. A play is a set of known or postulated oil and gas accumulations sharing similar geologic, geographic, and temporal properties, such as source rock, migration pathway, timing, trapping mechanism, and hydrocarbon type. A play differs from an assessment unit; an assessment unit can include one or more plays. A play is often used to refer to a natural gas accumulation, i.e., a natural gas shale play, an oil play.

Plug Back

To block off the lower section of the borehole by setting a plug, in order to perform operations in the upper part of the hole.

Plugging a Well

Plugging a Well is the process of filling the borehole of an abandoned well with mud and cement to prevent the flow of water or oil from one strata to another or to the surface.

Pooling

Pooling is a term frequently used interchangeably with “Unitization” but more properly used to denominate the bringing together of small tracts sufficient for the granting of a well permit under applicable spacing rules.

Pore Spaces

Pore Spaces, also known as pore volume, refer to the void spaces within a rock or sediment that can contain fluids such as water, oil, or gas. These spaces play a crucial role in the storage and movement of fluids within geological formations. The size, shape, and connectivity of pore spaces influence the permeability of the rock or sediment, which in turn affects the flow of fluids through the formation. Understanding pore spaces is essential in evaluating the potential for hydrocarbon extraction and in assessing the overall productivity of a reservoir.

Porosity

Porosity refers to the measure of empty spaces, or voids, in a geological formation or rock. These spaces, known as pores, can contain fluids such as water, oil, or natural gas. Porosity is a crucial factor in determining the potential of a rock to hold and transmit fluids, which is essential in various industries such as petroleum, geology, and civil engineering. It directly influences the storage and flow of fluids within subsurface formations and is a key parameter in evaluating the suitability of a reservoir for oil and gas extraction. High porosity indicates a greater potential for holding significant amounts of fluids, while low porosity suggests limited capacity for fluid retention. Understanding the porosity of a formation is essential for assessing its economic viability and potential productivity in industries such as oil and gas exploration.

Possible Reserves

Possible Reserves are areas which production of crude oil is presumed possible owing to geological inference or a strongly speculative nature.

Present Net Value

The present value of the dollars (income, or stream of income) to be received at some specified time in the future, discounted back to the present at a specified interest rate.

Primary Recovery

Production in which oil moves from the reservoir, into the wellbore, under naturally occurring reservoir pressure.

Private Placement Offering

Insert definition.

Probable Reserves

Probable Reserves are areas which are unproven but presumed capable of production because of geological inference, for instance, proximity to proven reserves in the same reservoir.

Production

A term commonly used to describe taking natural resources out of the ground.

Production Test

A Production Test, also known as a well test, is a method used in the oil and gas industry to evaluate the potential productivity of a well. This test involves measuring the flow rate of oil, gas, and water produced from a potential pay zone over a specific period, typically a day. The results help determine the commercial viability and characteristics of the reservoir, which is crucial for making informed decisions regarding further production operations.

Proppants

Proppants are solid materials, such as sand or ceramic particles, that are used in hydraulic fracturing processes to hold open fractures in rock formations. This allows for the extraction of oil and natural gas by creating a pathway for the hydrocarbons to flow through.

Production in which oil moves from the reservoir, into the wellbore, under naturally occurring reservoir pressure.

Prospect

Is a lease or individual well that may be drilled because geology indicates it will probably be productive.

Prospective Acreage

Is where there are geologic, seismic and/or other reasons to believe the subsurface may contain oil or gas. Drilling will be necessary to form a conclusion.

Proved Acreage

Proved acreage refers to the oil and gas leases or properties within a company’s portfolio that have been proven to contain economically viable reserves of hydrocarbons. This means that the existence of these reserves has been established through geological and engineering data, making them economically feasible for production. The proved acreage is an important metric for assessing the value and potential of an oil and gas company’s assets.

Proved Developed Reserves

Proved Developed Reserves refer to the estimated quantities of hydrocarbons that can be recovered from known reservoirs under existing economic and operating conditions. These reserves are located in such a way that they can be extracted using existing wells and operational methods, without the need for major additional investment. This essentially means that the oil or gas is accessible and recoverable from the wells using current technology and without requiring further drilling or significant infrastructure development.

Proved Reserves

Proved Reserves refer to the estimated quantities of hydrocarbons that analysis of geologic and engineering data demonstrates to be recoverable with reasonable certainty under existing economic and operating conditions. This typically involves a high degree of confidence in the estimated quantities and the validation of their economic viability. These reserves are an important indicator of an oil or gas company’s value and future production potential.

Public Lands

Public Lands refer to large areas of land that are owned and managed by the government for the benefit and use of the general public. These lands can include national parks, national forests, wildlife refuges, and other areas designated for recreational, conservation, and resource management purposes. Public lands are often used for activities such as hiking, camping, hunting, fishing, and conservation efforts. Additionally, they may contain valuable natural resources such as timber, minerals, and water sources, and are subject to regulations and management plans to balance conservation and human use.

Proved Undeveloped Reserves (PUDs)

PUDs stands for Proved Undeveloped Reserves, which refers to estimated quantities of hydrocarbons that are expected to be recoverable from new wells on undrilled acreage, or from existing wells where a relatively major expenditure is necessary for the reservoir to be developed. It’s an important concept in the oil and gas industry for evaluating the potential future production and value of a particular area or asset.

Pump

A Pump is a mechanical device used to move fluids (liquids or gases) from one place to another. Pumps are commonly used in various applications such as industrial processes, water supply systems, and transportation of fluids in pipelines. Depending on the specific requirements, different types of pumps can be used, including centrifugal pumps, positive displacement pumps, and others. Pumps play a crucial role in many industries by facilitating the transfer of fluids for different purposes.

Pumping Well

A Pumping Well, also known as a pump well, refers to a type of well used in the extraction of fluids from underground reservoirs. This process typically involves the use of a pump system to bring the fluid, such as water or oil, to the surface. In the context of oil extraction, a pumping well is utilized when the naturally occurring reservoir pressure is not sufficient to bring the oil to the surface, requiring artificial means to facilitate its extraction.

In the case of oil extraction, a pumping well is often employed when the reservoir pressure is low, and additional energy is needed to bring the oil to the surface. This is in contrast to a flowing well, where the oil moves into the wellbore and up to the surface under naturally occurring reservoir pressure.

QRSTUV

Quitclaim Deed

A Quitclaim Deed is a legal document used to transfer interest in real property from one party to another. It transfers the current owner’s interest without making any guarantees about the extent of that interest or the owner’s right to transfer the property. This means that the new owner receives only whatever interest the current owner has in the property, if any. Quitclaim deeds are often used in situations where the transfer of ownership is between family members, as a gift, or to clear up a cloud on the title.

R&D

R&D stands for Research and Development.

Re-entry

A well was abandoned, but subsequent drilling and production in the area suggest that a potential pay zone in the well was missed or passed over.

Reamer

A Reamer is a cutting tool designed to enlarge, shape, or smooth out a hole in metal, wood, or other materials. It typically consists of a set of parallel straight or helical cutting edges along the length of a cylindrical body. Reamers are commonly used in machining and metalworking processes to achieve precise and accurate hole dimensions.

Reclamation

Reclamation refers to the process of restoring a site that has been used for industrial or agricultural purposes to its natural state or to a state safe for future use. This typically involves mitigating any environmental damage and returning the land to a condition suitable for wildlife or other productive uses. In the context of oil and gas, reclamation can involve restoring drilling sites or pipelines to their original state or to a condition approved by regulatory authorities.

Recoverable Resources

Recoverable Resources refer to the amount of a natural resource, such as oil or gas, that can be extracted from a reservoir using current technology and under existing economic conditions. This includes the portion of the resource that can be feasibly recovered from the ground and brought to the surface for use. It is an essential factor in assessing the potential value and longevity of an oil or gas field.

Refining

Refining refers to the process of purifying raw materials or substances to enhance their quality or extract valuable components. In the context of oil, refining involves the purification of crude oil to produce various refined products such as gasoline, diesel, and jet fuel. This process involves distillation, cracking, and other methods to separate the different components of crude oil based on their boiling points and molecular structures.

Reserve

That portion of the identified resource from which a usable mineral and energy commodity can be economically and legally extracted at the time of determination.

Reservoir

A Reservoir is a natural or artificial storage area for fluids. In the context of oil and gas, a reservoir refers to the underground pool of hydrocarbons, such as oil or natural gas, contained in porous rock formations. These formations act as a natural storage space for the hydrocarbons. When extracted, the reservoir is where the valuable resources originate from.

Reservoir Pressure

Reservoir Pressure refers to the force exerted by fluids within an underground reservoir. It plays a crucial role in the production of oil and natural gas, as it determines the ease of extracting these resources from the reservoir. When the reservoir pressure is high, it can facilitate the movement of oil or gas to the surface, making extraction more efficient. Conversely, low reservoir pressure may require additional techniques, such as artificial lift methods, to bring the resources to the surface. Understanding and managing reservoir pressure is essential in optimizing production processes.

Retained Interest

A fractional interest reserved by the owner of a whole interest when the balance of the whole interest is transferred to another party.

Roustabout

A Roustabout is a semi-skilled hand who looks after producing wells and production facilities.

Royalties

Royalties are payments made to the owner of a property, asset, or patent for the use or sale of that property, asset, or patent. In the context of oil and gas, royalties are the payments made to the mineral rights owner or lessor by the lessee or operator for the extraction and production of oil and gas from the property. These payments are typically calculated as a percentage of the value of the resources extracted.

Royalty Interest

Royalty Interest is a share of the revenue generated from the production of oil, gas, or other natural resources, typically granted to the owner of the mineral rights. It entitles the owner to a portion of the production without being responsible for the costs of exploration, drilling, and operation. This form of interest is often expressed as a percentage of the proceeds from the sale of the extracted resources.

SWD

Salt-Water Disposal Well

Sample

Cuttings of a rock formation broken up by the drill bit and brought to the surface by the drilling mud. These are examined by geologists to identify the formation and type of rock being drilled.

Sample Log

A Sample Log refers to a record of data obtained from measuring and analyzing properties of rock formations and fluids in a wellbore. This log is typically created through well logging, which involves lowering tools into the well to gather data on properties such as rock type, porosity, permeability, fluid saturation, and pressure. The data collected helps in evaluating the potential productivity of the well and making decisions related to drilling, completion, and production operations.

The sample log data may include measurements from tools such as gamma ray, resistivity, neutron, density, and sonic logging tools, among others. These measurements are crucial for understanding the subsurface geology and the characteristics of the reservoir, aiding in the optimization of oil and gas production.

Secondary Recovery

The introduction of water or gas into a well to supplement the natural reservoir drive and force additional oil to the producing wells.

Section

A Section is a square tract of land having an area of one square mile (+640 acres). There are 36 sections in a township.

Seismic

Seismic refers to the study or analysis of the vibrations and shock waves that travel through the earth, often as the result of natural phenomena or human activity. This can involve using instruments to measure and interpret these waves to understand the structure and composition of the earth’s subsurface, particularly in the context of locating resources such as oil and gas.

Seismic Exploration

Seismic Exploration is a method used to gather information about the subsurface of the Earth. It involves creating and recording sound waves (seismic waves) that travel through the Earth and bounce back to the surface. By analyzing the returning waves, geologists can create images of the underground layers and identify potential locations for oil, gas, or mineral deposits. This technique is vital in the process of locating and evaluating resources beneath the Earth’s surface.

Seismograph

A Seismograph is an instrument used to detect and record the intensity, direction, and duration of seismic waves caused by earthquakes or other geological phenomena. These instruments are crucial for monitoring and studying the Earth’s internal structure and seismic activity.

Set Casing

A Set Casing refers to the process of placing metallic pipe sections, known as casing, into a drilled oil or gas well. This helps to support the wellbore and prevent it from collapsing, as well as to isolate different geological formations and protect the well from fluid migration or pressure imbalances. The casing is typically cemented in place to ensure stability and proper well function.

Severance

Severance refers to the process of separating or removing something from a larger entity. In the context of oil and gas, severance can refer to the separation of minerals or resources from the land or the separation of royalty interests from working interests. It can also refer to the physical act of removing oil or gas from the reservoir.

Severance Tax

A Severance Tax is a state tax imposed on the extraction of non-renewable natural resources such as oil, gas, or minerals. The tax is typically based on the value or volume of the resources severed (extracted) at the wellhead or mine. The revenue generated from severance taxes often goes towards funding state and local government programs, infrastructure, and environmental initiatives. Each state has its own set of laws and regulations concerning severance taxes, so the tax rates and rules can vary widely across different jurisdictions.

Shale

Shale is a fine-grained sedimentary rock composed of mud, clay, and mineral particles. It is characterized by its ability to split into thin layers along its stratification, making it an important source of natural gas and petroleum. Shale formations often play a significant role in the extraction of oil and natural gas through techniques such as hydraulic fracturing.

Shale Gas

Shale Gas is a type of natural gas that is trapped within shale formations deep underground. It is extracted using a process called hydraulic fracturing, or “fracking,” which involves injecting a mixture of water, sand, and chemicals into the shale to release the gas. Shale gas has become an important source of natural gas in recent years, contributing significantly to global energy supplies.

Shale Oil

Shale Oil refers to the unconventional oil that is extracted from shale rock formations through a process called fracking. It involves drilling into the shale and injecting a high-pressure mixture of water, sand, and chemicals to release the trapped oil and natural gas. Shale oil has become increasingly important in recent years as advancements in technology have made it more feasible to extract, contributing significantly to global oil production.

Sharing Arrangement

An arrangement whereby a party contributes to the acquisition, or exploration and development, of an oil and gas property, and receives as compensation, a fractional interest in that property.

Show

An indication of oil or gas observed and recorded during the drilling of a well.

Shut-down Well

A Shut-down Well refers to a well that has been temporarily or permanently closed off from producing oil or gas. This can occur for various reasons, such as depletion of the reservoir, equipment failure, or regulatory requirements. Shutting down a well involves sealing it to prevent the leakage of oil, gas, or other fluids into the environment. The process typically includes placing cement plugs or mechanical barriers to isolate the well from the surrounding formations. Additionally, production equipment may be removed or secured to ensure the well remains dormant. Safety and environmental considerations are paramount in the proper shutdown of a well.

Shut-in Well

A Shut-in Well refers to a well that has temporarily stopped production and has been closed off from the reservoir. This can occur for various reasons such as maintenance, safety concerns, or economic factors. During this time, the well is not producing oil or gas, but it can be brought back into production at a later time. Shut-in wells are a common occurrence in the oil and gas industry, allowing for flexibility in managing production and reservoir dynamics.

Shut-in Pressure

Shut-in Pressure refers to the pressure at the wellhead when valves are closed.

Side Track

When fishing operations have been unable to recover an object in the hole that prevents drilling ahead, the borehole can often be drilled around the obstacle in the original hole.

Skidding the Rig

“Skidding the rig” refers to the process of moving a drilling rig from one well location to another. This typically involves disassembling the rig, loading it onto trucks or trailers, and then reassembling it at the new location. The term “skidding” comes from the sliding or dragging motion used to move the rig, often facilitated by heavy equipment. This process is essential for accessing multiple well locations within a drilling site.

Sour Crude

Sour Crude refers to crude oil containing a higher sulfur content, typically more than 0.5%. The presence of sulfur compounds gives the oil a characteristic sour smell and presents challenges in refining, as sulfur must be removed to meet environmental and quality standards. The process of refining sour crude involves desulfurization to reduce sulfur dioxide emissions and produce higher quality refined products such as gasoline and diesel.

Source Rock

Source rock, also known as the “parent rock,” refers to a sedimentary rock rich in organic matter that has the potential to generate hydrocarbons through the process of thermal maturation. Organic material within the source rock, such as dead plants and animal remains, undergoes transformation under high pressure and temperature over geologic time, leading to the creation of oil and natural gas. This process, known as hydrocarbon generation, occurs within the source rock and is a crucial factor in the formation of petroleum reserves.

Spacing Unit

The size (amount of surface area) of a parcel of land on which only one producing well is permitted to be drilled to a specific reservoir.

Speculative

Relating to an asset or a group of assets with uncertain returns. The greater the degree of uncertainty the more speculative the asset.

Spot Market

A short-term contract (typically 30 days) for the sale or purchase of a specified quantity of oil or gas at a specified price.

Spud

A “spud” in the context of oil and gas drilling refers to the beginning of the drilling process at a new well. It involves the initial drilling of the hole in the ground to start the construction of the well. The term “spud” is commonly used to indicate the official commencement of drilling operations at a particular well.

Squeeze

The process of pumping a slurry of cement into a particular space in the borehole (often the annulus between the borehole and the casing), so that the cement will solidify to form a seal.

Step-out Well

A Step-out Well, also known as an “offset well,” is a drilling operation conducted near an existing well to explore the presence of oil or gas in an adjacent area. This type of well is drilled in order to expand the known boundaries of a reservoir, allowing the extraction of additional resources. Step-out wells are essential for evaluating the extent of hydrocarbon reserves and optimizing the overall production potential of a field.

Stripper Well

A Stripper Well, also known as a marginal well, is an oil or gas well that is nearing the end of its productive life. These wells typically produce small amounts of oil or gas and are considered uneconomical to operate at current market prices. The classification of a well as a stripper well varies by region and can depend on factors such as production rates and operating costs. Despite their low productivity, a large number of stripper wells collectively contribute to a significant portion of total oil and gas production.

Structural Trap

A Structural Trap in geology is a configuration of rocks that has retained oil and gas. It occurs when impermeable rock layers, such as shale or limestone, form a barrier or cap above a porous and permeable reservoir rock, preventing the upward movement of hydrocarbons. This trap can take the shape of an anticline, a fault trap, or a salt dome, among others. The presence of a structural trap is crucial for the accumulation and preservation of oil and gas deposits underground.

Structure

Subsurface folds or fractures of strata that form a reservoir capable of holding oil or gas.

Submersible Pump

A Submersible Pump is a device designed to be completely submerged in the fluid it is required to pump. This type of pump is widely used for pumping water from wells, boreholes, and other sources of liquid. The main advantage of submersible pumps is their ability to push the liquid to the surface, rather than pulling it, resulting in more efficient and consistent pumping.

Surface Rights

Surface Rights refer to the legal ownership and control of the surface of a particular piece of land, including everything above and below it. This concept grants the landowner the authority to use, lease, or sell the surface land for various purposes, such as agriculture, construction, or resource extraction. However, the ownership of surface rights may be separate from the rights to the minerals or resources beneath the surface, which can lead to complex legal arrangements and potential conflicts between surface and subsurface rights holders.

Sweet Crude

Sweet Crude refers to a type of crude oil that contains a low sulfur content. This characteristic makes it desirable for refining into gasoline and other high-value products, as it produces less pollution when processed. The term “sweet” is used to indicate the lack of sulfur, which gives the oil a sweet smell compared to sour crude with higher sulfur content. This type of crude oil is often more valuable than sour crude due to its lower refining costs and higher yield of valuable products.

Tank-Bottoms

Tank-bottoms are the sediment and residues that accumulate at the bottom of storage tanks. These residues consist of various substances, including water, hydrocarbons, sediments, and other impurities that separate and settle at the base of the tank over time. Proper maintenance and cleaning of tank-bottoms are essential in preventing contamination and ensuring the integrity of the stored substances.

Tar Sands

Tar Sands, also known as oil sands, are a type of unconventional petroleum deposit. They consist of a mixture of sand, clay, water, and a dense and extremely viscous form of petroleum called bitumen. Bitumen must be extensively processed to create synthetic crude oil. This process includes mining the sands or drilling wells in situ, then using hot water to separate the bitumen from the sand. The extraction and processing of oil from tar sands can be complex and costly, and it has raised environmental concerns due to its impact on land, water, and air.

Tax Preference Items

Certain items of income, or special deductions from gross income which are given favored treatment under Federal tax law.

TCF

Trillion Cubic Feet

Tectonic Map

A Tectonic Map is a geological map that displays the distribution of different rock units, faults, and other tectonic features within a specific area. It provides vital information about the structure and movement of the Earth’s crust, including the locations of tectonic plate boundaries, seismic activity, and volcanic regions. Tectonic maps are crucial for understanding the geologic history and potential geological hazards of a given area.

Tertiary Recovery

Tertiary Recovery, also known as enhanced oil recovery (EOR), refers to the extraction of oil from existing wells using advanced techniques after primary and secondary recovery methods have been employed. These techniques aim to extract residual oil that is difficult to recover using conventional methods. Tertiary recovery methods include thermal recovery, gas injection, and chemical injection, among others. The goal is to maximize the extraction of oil from the reservoir.

Therm

A Therm is a unit of heat energy equivalent to 100,000 British thermal units (BTU). It is commonly used for natural gas and other natural gas products. It’s important for measuring and billing purposes.

Tight Formation

A Tight Formation refers to a sedimentary layer of rock cemented together in a manner that greatly hinders the flow of any gas through the rock. This characteristic makes it challenging to extract natural gas or oil from such formations using traditional methods.

Tight Gas

Tight Gas refers to natural gas that is trapped within low-permeability reservoirs, such as shale, sandstone, or limestone. The low permeability makes it difficult for the gas to flow through the rock, requiring advanced extraction methods like hydraulic fracturing, or “fracking,” to release the gas. Tight gas has become an increasingly important energy resource, particularly as advancements in technology have made its extraction more feasible.

Tight Hole

A “tight hole” generally refers to a wellbore that has a smaller diameter than usual, often due to careful drilling and a more controlled process. In the context of oil and gas extraction, a tight hole can also refer to a well with reduced flow rates, often requiring specialized techniques for production. This term is commonly used in the energy industry to describe wells with narrow wellbores, especially in the context of unconventional resource development such as shale gas or tight oil. If the context is different, please provide more details for a more accurate explanation.

Tight Oil

Tight Oil, also known as shale oil, is a type of light crude oil trapped within low-permeability rock formations, such as shale or tight sandstone. The extraction of tight oil typically involves hydraulic fracturing (fracking) and horizontal drilling to release the oil from the rock. This process allows for the production of oil from reservoirs that were previously inaccessible using conventional extraction methods.

Tight Sand

Tight Sand refers to sandstone reservoirs with very low porosity and permeability, making it difficult for fluids such as oil and gas to flow through the rock. Tight sand formations require special extraction techniques such as hydraulic fracturing (fracking) to create pathways for the hydrocarbons to move towards the wellbore. This type of unconventional reservoir has become increasingly important in the oil and gas industry.

Title

The combination of factors that, together, constitute legal ownership of a property.

Total Depth (TD)

The maximum depth of a borehole.

Township

A square tract of land six miles on a side, it consists of 36 sections of one square mile each.

Transition Zone

An area in which water is too shallow for acquisition of marine seismic data with towed streamers, such as near the shoreline, marshes and lagoons. In some cases, source explosives can be rammed into the unconsolidated sediments of transition zone environments rather than drilling more costly shot holes. Likewise, hydrophones can be placed by ramming to couple the receiver to the Earth better and to save time and money during survey acquisition.

Trap

A configuration of rocks suitable for containing hydrocarbons and sealed by a relatively impermeable formation through which hydrocarbons will not migrate. Traps are described as structural traps (in deformed strata such as folds and faults) or stratigraphic traps (in areas where rock types change, such as unconformities, pinch-outs and reefs). A trap is an essential component of a petroleum system.

Tubing

A single length of pipe that is assembled to provide a conduit through which the oil or gas will be produced from a wellbore. Tubing joints are generally around 30 ft [9m] long with a thread connection on each end. The specification of the tubing material, geometry of the tubing, and design of the connection thread are selected to suit the reservoir fluid and wellbore conditions.

Turnkey

A type of financing arrangement for the drilling of a wellbore that places considerable risk and potential reward on the drilling contractor. Under such an arrangement, the drilling contractor assumes full responsibility for the well to some predetermined milestone such as the successful running of logs at the end of the well, the successful cementing of casing in the well or even the completion of the well. Until this milestone is reached, the operator owes nothing to the contractor. The contractor bears all risk of trouble in the well, and in extreme cases, may have to abandon the well entirely and start over. In return for assuming such risk, the price of the well is usually a little higher than the well would cost if relatively trouble free. Therefore, if the contractor succeeds in drilling a trouble-free well, the fee added as contingency becomes profit. Some operators, however, have been required by regulatory agencies to remedy problem wells, such as blowouts, if the turnkey contractor does not.

Unassociated Gas

Unassociated Gas refers to natural gas that is found in reservoirs without significant quantities of crude oil. It is also known as “dry gas” because it contains primarily methane and does not have associated liquid hydrocarbons. Unassociated gas is typically produced from dedicated gas fields and plays a crucial role in meeting energy demands for various industrial, commercial, and residential applications.

Unconventional Gas Resources

Unconventional Gas Resources refer to natural gas reservoirs that have different geologic characteristics and extraction methods compared to conventional gas reservoirs. These resources include tight gas, shale gas, and coalbed methane. The extraction of unconventional gas often requires advanced drilling techniques, such as hydraulic fracturing (fracking), to release the gas from the reservoir. As a result, unconventional gas resources have become increasingly important in meeting global energy demands.

Unconventional Resource Play

An Unconventional Resource Play refers to a type of hydrocarbon deposit from which natural gas or oil can be extracted, but not in the same way as from a conventional reservoir. Unconventional plays typically require advanced extraction methods, such as hydraulic fracturing or horizontal drilling, to access the resources. These techniques are used to access resources trapped in low-permeability rock formations, like shale or tight sandstone. The production in unconventional plays often involves stimulating the reservoir to increase the flow of hydrocarbons.

Upstream

Pertaining to equipment, facilities or systems located in the wellbore or production train before the surface choke or Christmas tree.

Viscosity

Viscosity is a measure of a fluid’s resistance to deformation or flow. It describes the internal friction of a moving fluid, with high viscosity indicating a thick, slow-flowing fluid, such as honey, while low viscosity refers to a thin, fast-flowing fluid, like water. In the context of oil production, understanding the viscosity of the oil is crucial for determining its flow characteristics through reservoirs and wellbores.

WXYZ

Water-Cut

Water-Cut refers to the ratio of water produced compared to the volume of total liquids produced. The water cut in water-drive reservoirs can reach very high values.

Water-Drive Reservoir

A Water-Drive Reservoir refers to an oil or gas reservoir where the primary mechanism for moving hydrocarbons towards the production well is the natural energy provided by water. In this type of reservoir, water displaces oil and gas, pushing them towards the production wellbore due to the pressure exerted by the water. This process occurs as part of the production in which oil moves from the reservoir, into the wellbore, under naturally occurring reservoir pressure.

Waterflooding

Waterflooding is a method of secondary recovery in which water is injected into the reservoir formation to displace residual oil. The water from injection wells physically sweeps the displaced oil to adjacent production wells. Potential problems associated with waterflood techniques include inefficient recovery due to variable permeability, or similar conditions affecting fluid transport within the reservoir, and early water breakthrough that may cause production and surface processing problems.

Wellbore

A wellbore refers to the hole that is drilled or created in the earth to explore for, develop, or produce resources such as oil, gas, water, or geothermal energy. It is typically lined with a casing to prevent the walls from collapsing and to allow for the extraction of substances such as oil and gas. The wellbore provides a channel for the movement of these resources to the surface for processing and use.

Well Casing

Well casing is a series of steel pipes installed inside a drilled wellbore to stabilize the well, prevent contamination of groundwater, and provide a secure pathway for extracting oil or gas. It is cemented in place to reinforce the well's structure and protect it from collapse or fluid migration.

Wellhead

A wellhead is a well made to produce oil or natural gas. Completion involves cleaning out the well, running steel casing and tubing into the hole, adding permanent surface control equipment, and perforating the casing so oil or gas can flow into the well and be brought to the surface.

Wet Gas

Wet gas is natural gas that contains a high concentration of natural gas liquids (NGLs), such as ethane, propane, and butane, which can be separated and processed for additional commercial use.

Working Interest

The ownership stake in an oil or gas well that grants the holder the right to explore, drill, and produce resources while also being responsible for a proportional share of the costs and liabilities associated with operations.

Workover

A workover is the process of performing maintenance, repairs, or enhancements on an existing oil or gas well to restore or improve production. This may involve cleaning out the well, replacing equipment, or stimulating the reservoir.

Write-off

A write-off is an accounting term that refers to the process of deducting an asset's reduced or zero value from a company's financial records. In the energy sector, it often applies to costs related to unsuccessful drilling projects, asset impairments, or non-recoverable expenses, allowing companies to adjust their taxable income accordingly.

Zone

A Zone refers to an interval or unit of rock differentiated from surrounding rocks on the basis of its fossil content or other features, such as faults or fractures.

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