Global demand for energy is expected to increase 40% by 2035, driven by growth in GDP and underpinned by an increasing world population. New sources of energy will play a vital role in meeting that demand, but hydrocarbon resources will still be required to provide as much as 75% of the needed supply. Of those resources, oil and gas will make up the major part.
In the shorter term, as much as half of the conventional oil production needed by the end of the current decade has yet to be found. By 2035, this proportion will likely have climbed to more than two-thirds. Natural gas resources show a similar trend, with over 60% of production in 2035 coming from fields not yet found or developed. The challenge for the oil and gas industry is clear: exploration activity will have to increase in an era when adding future reserves will be technologically more complex and intense, at both higher cost and higher risk.
The search for new reserves is already taking the industry to deeper waters and deeper prospects, often hidden below complex and seismically opaque geologic structures. But worldwide, two out of three of today’s frontier exploration wells are not successful in meeting their objectives. This low rate of success indicates that in spite of its many advances, the industry fails to adequately characterize the risk inherent in exploration. Schlumberger believes that exploration risk can be reduced through innovative technology and new workflows that enable exploration teams to better characterize uncertainty and meet the challenge of developing new supplies of oil and natural gas.
Next up in the continuing series Many Viewpoints, One Vision: Reservoir Characterization…by integrating technologies from geophysical services through well testing, the Schlumberger Reservoir Characterization Group unites the viewpoints of many disciplines to help achieve the vision of exploration success.
This is a continuing series about Schlumberger Reservoir Characterization Group, the leading provider of technology services and products for oil and gas exploration. Articles in the series will address how the Reservoir Characterization Group unites the many disciplines needed to help achieve exploration success.