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Egypt's Ministry of Petroleum and Mineral Resources has announced that Khalda Petroleum Company has made three new oil and gas discoveries in the Western Desert

According to a ministry statement, the discoveries are expected to produce nearly 12mn barrels of oil equivalent and 4mn barrels of recoverable reserves.

The ministry said the three discoveries are estimated to produce 2,750 barrels of oil and condensates and 20mn cubic feet of gas per day.

The discoveries will raise the gas production of Khalda Petroleum Company, a joint venture between the Egyptian General Petroleum Corporation and US Apache Corporation, to over 480mn cubic feet.

At its General Assembly meeting in March, Khalda Petroleum Company chairman Saeed Abdel Moneim said the company is planning to invest around US$1bn during FY 2024/25 and achieved 10 oil discoveries during the first half of the current fiscal year, which have added reserves estimated at approximately 35mn barrels of oil equivalent (mmboe).

This year has seen a high level of exploration and production activity in Egypt. Earlier this year, bp announced it had discovered substantial oil and natural gas reserves in the King Mariout offshore block in the northern Mediterranean. bp also announced the start of production ahead of schedule from the second development phase of the Raven field, part of the West Nile Delta (WND) project offshore Egypt, in late February. The project involves the subsea tieback of additional Raven infill wells to its existing onshore infrastructure. The new wells are expected to produce around 220bn cubic feet of gas and 7mn barrels of condensate.

In January, ExxonMobil Egypt, a subsidiary of U.S. oil giant ExxonMobil, announced it had made a gas discovery as part of a drilling campaign in the North Marakia Block offshore Egypt.

The Ministry of Petroleum and Mineral Resources is currently evaluating bids for 13 exploration and production areas, with offers totalling more than US$700mn in expected investments. These cover four blocks in the Mediterranean, and nine blocks onshore. The ministry is reported to be preparing to launch new investment opportunities, including additional exploration areas and mature fields, through the open acreage system. It is actively encouraging international energy companies to boost production by leveraging advanced technologies.

Halliburton and Nabors Industries have through their combined solutions achieved the first fully automated surface and subsurface execution of rotary and slide drilling operations in Oman, resulting in improved drilling performance and reduced well construction time

The integration of Halliburton’s LOGIX automation and remote operations solutions, and Nabors SmartROS rig operating system delivered land-based, closed-loop drilling solutions to improve operational efficiency, consistency, and real-time decision-making capabilities. It enabled seamless orchestration of drilling parameters, real-time data analytics, integrated experience management, and remote control of operations.

“The wells were delivered ahead of plan with a higher average rate of penetration and lower non-productive time. This milestone demonstrates our leadership in drilling automation,” said Steve Haden, senior vice president, Project Management, Halliburton.

“The success we are seeing in Oman is a testament to the power of collaboration as we work together to drive automation across the industry to improve safety and efficiency. This is just the beginning, and we are excited to continue to push the boundaries of innovation to achieve autonomous drilling,” said Subodh Saxena, senior vice president, Canrig and Nabors Drilling Solutions.

Halliburton’s LOGIX automation and remote operations drive reliability and efficiency in well construction, increasing the consistency and performance of well construction operations by integrating subsurface and surface automation, digital twins, and remote operations. It provides an array of advanced digital applications to enable critical engineering, operations insights, and automated operations. Halliburton LOGIX automation and remote operations, combined with Nabors’ SmartROS rig operating system, form a unified platform that enables consistent, repeatable drilling performance.

In June 2023,Halliburton and Nabors Industries announced an agreement to collaborate on leading well construction automation solutions, initially deployed in Iraq.These include the Halliburton Well Construction 4.0 digital surface and subsurface drilling technologies, the LOGIX Autonomous Drilling Platform, the Nabors SmartROS universal rig controls and automation platform and RigCLOUD high-performance digital infrastructure platform. Initially deployed in Iraq, the companies’ technologies automate well construction services from planning to execution across both subsurface and surface equipment and environments.

Earlier this month, Nabors Drilling Technologies and Corva AI are expanding their strategic alliance into the RigCLOUD high-performance edge computing platform, to accelerate digital transformation in the drilling industry. “RigCLOUD Powered by Corva” is a fully integrated drilling intelligence solution that will combine Nabors’ edge and cloud computing platform with Corva’s industry-leading AI-driven analytics.

Nabors Industries has also teamed up with SLB to scale adoption of automated drilling solutions industrywide. The collaboration, announced in January 2024, provides customers with access to a broader suite of drilling automation technologies and greater flexibility to utilise their existing rig control systems and equipment on either SLB’s PRECISE or Nabors’ SmartROS rig operating system.

As the world pivots towards a low-carbon future, the petrochemical industry finds itself at a crossroads, balancing growth prospects with evolving regulatory and sustainability challenges

The global energy transition is reshaping industries, compelling them to integrate clean energy solutions alongside their continued reliance on fossil fuels. While much of the focus has been on the deceleration of oil and gas consumption as primary energy sources, petrochemicals remain a critical segment with sustained demand projected well into the coming decades.

This sector, heavily dependent on fossil fuel-based feedstocks, produces essential chemicals that form the backbone of numerous industries, including plastics, fertilizers, and pharmaceuticals. Unlike transportation fuels, whose consumption forecasts have fluctuated, petrochemicals are expected to witness steady demand with fewer disruptions. The International Energy Agency (IEA) projects that petrochemicals will account for more than a third of oil demand growth by 2030, primarily driven by rising consumption in developing economies. In India, for example, demand for key petrochemicals such as ethylene and propylene is expected to increase two- to three-fold over the next two decades, fueled by urbanisation, industrial expansion, and the drive for decarbonisation.

Complex sustainability imperatives

However, this growth trajectory exists alongside increasing scrutiny of the industry’s environmental footprint. Governments and regulatory bodies worldwide are tightening climate policies, imposing restrictions on single-use plastics, and advancing circular economy initiatives. As a result, petrochemical producers must navigate complex sustainability imperatives while maintaining competitiveness.

The environmental impact of petrochemical production has become a focal point for policymakers, investors, and consumers. The industry accounts for approximately 18% of global industrial carbon emissions, with energy-intensive processes such as refining and steam cracking being major contributors. Key challenges include:
• Regulatory pressures: Carbon pricing mechanisms, plastic bans, and stricter emissions controls are being implemented globally, increasing production costs and pressuring profit margins.
• Circular economy and recycling: Advances in chemical recycling, biodegradable alternatives, and closed-loop manufacturing systems threaten to reduce reliance on virgin petrochemical feedstocks, reshaping traditional demand patterns.
• Investor sentiment: ESG-focused investment strategies are compelling oil majors and petrochemical producers to present credible decarbonisation roadmaps, with capital allocation increasingly favouring companies with sustainable practices.

To ensure long-term viability, petrochemical producers are exploring multiple strategic pathways:
• Feedstock diversification: Investments in bio-based and recycled feedstocks are gaining traction as companies seek to lower emissions and align with sustainability goals.
• Carbon capture and utilisation (CCU): The integration of CCU technologies is emerging as a key solution to mitigate emissions, though economic feasibility remains a challenge.
• Advanced materials innovation: Research into high-performance polymers, biodegradable plastics, and alternative chemicals is accelerating, offering new avenues for growth beyond conventional petrochemicals.
• Integration with renewable energy: Shifting production facilities towards renewable power sources and hydrogen-based processes is becoming a priority for reducing the sector’s carbon footprint.

The petrochemical industry stands at a pivotal juncture, balancing robust demand with the imperative to adapt to a rapidly evolving regulatory and sustainability landscape. While traditional growth drivers remain intact, companies that embrace innovation, diversify feedstocks, and integrate low-carbon solutions will emerge as industry leaders. The coming decade will serve as a litmus test for the sector’s resilience, ultimately shaping its role in a decarbonising world.

This article is authored by Synergy Consulting IFA.

Artificial intelligence (AI) has the potential to transform the energy sector in the coming decade, boosting electricity demand from data centres around the world while also unlocking opportunities to cut costs, enhance competitiveness and reduce emissions, according to a new report from the IEA

The IEA’s special report Energy and AI argues that, while the increase in electricity demand for data centres is set to drive up emissions, this increase will be small in the context of the overall energy sector and could potentially be offset by emissions reductions enabled by AI if adoption of the technology is widespread. Additionally, as AI becomes increasingly integral to scientific discovery, the report finds that it could accelerate innovation in energy technologies such as batteries and solar PV.

“With the rise of AI, the energy sector is at the forefront of one of the most important technological revolutions of our time,” said Dr Fatih Birol, IEA executive director. “AI is a tool, potentially an incredibly powerful one, but it is up to us – our societies, governments and companies – how we use it.”

AI applications in oil and gas supply can help play a role in energy transitions by ensuring that sufficient supplies are available at lower cost and with lower emissions, the IEA says.

Early adopters

The report notes that oil and gas companies have been among the earliest adopters of new technologies to boost exploration and production. In 2000, 11 supercomputers operated by oil and gas companies ranked among the world’s 500 fastest. By 2024, this number had increased to 24, and total computing capacity has grown at almost 70% annually, outpacing the broader supercomputing industry. Companies including TotalEnergies, Petrobras and Aramco are developing new supercomputer capabilities for applications across exploration and production, operations and safety and emissions management; Eni’s latest supercomputer is currently the fifth fastest in the world.

Oil and gas companies are also investing and partnering with AI experts to develop bespoke tools for their industry, with ADNOC announcing the completion of a trial of an AI agent based on a 70bn-parameter large language model that is reported to have improved the accuracy of seismic processing by 70%, along with other improvements.

Various applications

AI has various applications in the sector, the report notes, including for subsurface data processing, reservoir simulation, remote operations, predictive maintenance, regulatory compliance, leak detection and  automation.

In exploration and development, the use of AI in seismic processing improves interpretation and image quality and makes it up to 90% better at classification. It can also help to determine where precisely to drill production wells. AI can also enhance the accuracy and speed of processes for reservoir simulation models. The use of deep learning algorithms allows faster loading and processing of large volumes of data from multiple sources, which are entered into simulation models. Physics-informed machine learning has enhanced the ability to model more complex reservoir behaviour.

In the realm of operations and safety, various AI and machine learning techniques are being applied to production forecasting. Recently, Exxon-Mobil’s AI-powered demand forecasting model was reported to have reduced forecast errors by 25%. The use of AI can also allow operations, monitoring and control to be carried out remotely. A typical oil platform hosts tens of thousands of sensors, generating terabytes of data. Analysing and leveraging this data from a centralised remote location can increase efficiency and safety and reduce the costs of operations. Cloud computing facilitates the remote analysis of datasets, remote operational decisions and the creation of digital twins.

In terms of cost reduction, AI-led interventions could reduce the costs of finding, developing and operating a new deepwater offshore project by up to 10%, the IEA estimates.

In the area of emissions reduction, AI is being deployed to boost data processing techniques to detect and quantify emissions. For example, automated AI-driven methane emitter monitoring systems using two satellites were recently deployed at the International Methane Emissions Observatory’s Methane Alert and Response System, the IEA notes.

A particularly promising area is in rapidly detecting fugitive emissions, which comprise around 20% of methane emissions from oil and gas operations. These leaks can usually be repaired quickly once found. Leak detection and repair programmes, involving optical gas imaging cameras or the use of airborne and satellite observations can be enhanced with AI, allowing large amounts of data collected to be processed much more quickly.

Another important possible deployment of AI is to improve the planning of CCUS projects; by enhancing reservoir models, additional computing power and AI can provide more certainty around the efficacy and costs of long-term CO2 storage, the IEA notes.

https://www.iea.org/reports/energy-and-ai

Oil Review Middle East hosted a very well-attended webinar on 20 November on the future of offshore operations, in association with SAFEEN Group, part of AD Ports Group

The webinar explored the latest trends and challenges in the rapidly evolving world of offshore operations, focusing on groundbreaking innovations that are driving sustainable and efficient practices. In particular, it highlighted SAFEEN Green – a revolutionary unmanned surface vessel (USV), setting new benchmarks for sustainable and efficient maritime operations.

Erik Tonne, MD and head of Market Analysis at Clarksons, gave an overview of the offshore market, highlighting that current oil price levels are supportive for offshore developments, and global offshore capex is increasing strongly. The Middle East region will see significant capex increase over the coming years, with the need for rigs and vessels likely to remain high. Offshore wind is also seeing increased spending. Global rig activity is growing, while the subsea EPC backlog has never been higher, with regional EPC contracts seeing very high activity. Tonne forecast that demand for subsea vessels and other support vessels will continue to increase.

Tareq Abdulla Al Marzooqi, CEO SAFEEN Subsea, AD Ports Group, introduced SAFEEN Subsea, a joint venture with NMDC, which offers reliable and innovative survey, subsea and offshore solutions to support major offshore and EPC projects across the region. He highlighted the company’s commitment to sustainability, internationalisation and local content, and how it is a hub for innovations and new ideas, taking conceptual designs and converting them to commercial projects. A key project is SAFEEN Green, which offers an optimised inspection and survey solution.

Tareq Al Marzooqi and Ronald J Kraft, CTO, Sovereign Global Solutions ME and RC Dock Engineering BV. outlined the benefits and capabilities of SAFEEN Green as compared with commercial vessels, in terms of safety, efficiency, profitability and sustainability. It is 30-40% more efficient through the use of advanced technologies, provides a safer working environment given it is operated 24/7 remotely from a control centre, and offers swappable payload capacity. Vessels are containerised and can be transported easily to other regions. In terms of fuel consumption, the vessel is environment-friendly and highly competitive, reducing emissions by 90% compared with conventional vessels, with the ability to operate on 100% biofuel.

As for future plans, SAFEEN Green 2.0 is under development, which will be capable of carrying two inspection work-class ROVs simultaneously. A priority will be to collect data to create functional AI models for vessels and operations, with the first agent-controlled payload systems in prospect by around 2027.

To view the webinar, go to https://alaincharles.zoom.us/rec/share/mNHjZhAhQzn1sPzmFWZCgrq7_SckfLRcSb4w81I7aVlokO9sgHM_zVeOqgN3DgJS.bO4OIRqNeFP09SPu?startTime=1732095689000

UK-headquartered Carbon Clean has announced the successful completion of the world’s first industrial deployment of its CycloneCC carbon capture technology at the Al Ruwais Industrial Complex in Abu Dhabi

CycloneCC is Carbon Clean’s breakthrough modular technology, which provides a viable alternative to conventional carbon capture plants. Process intensification reduces mass transfer equipment by a factor of 10, decreasing the overall footprint by up to 50%. The combination of rotating packed beds (RPBs) and Carbon Clean’s proprietary amine-promoted buffer salt APBS-CDRMax solvent increases the efficiency of the carbon capture process while delivering extremely high performance.

The mobile CycloneCC unit was installed on site in under a week at Fertiglobe’s nitrogen fertiliser plant in the Al Ruwais Industrial Complex in Abu Dhabi – a record for the carbon capture sector.

The CO2 captured from a reformer flue gas stack has been used by Fertiglobe in urea production.

The modular unit has achieved the major milestone of around 4,000 operating hours over a six-month period. CycloneCC has been operating continuously, delivering a high purity CO2 product, which exceeds the projected target and meets Fertiglobe’s CO2 purity requirements.

System validation has confirmed that the industrial demonstration unit can now be further scaled up and commercialised.

Leveraging Carbon Clean-developed Artificial Intelligence (AI) has contributed to the plant’s increased reliability and availability, as well as maximising the performance of the solvent. The plant has been operating in open loop mode, with human operators implementing AI-suggested recommendations.

Aniruddha Sharma, chair and CEO of Carbon Clean, said, “Fertiglobe’s willingness to invest in first-of-a-kind (FOAK) projects cements its status as a decarbonisation pioneer. Our collaboration with Fertiglobe for this industrial demonstration unit is a major step towards CycloneCC’s full commercialisation, so that it can be deployed at scale globally. Installing a carbon capture plant in less than a week is a feat never achieved before. We’re excited to have delivered this industry first in carbon capture.”

Ahmed El-Hoshy, CEO of Fertiglobe, added, “At Fertiglobe, creating value via sustainability is at the heart of our operations. We are committed to meeting the increasing global demand for low-carbon solutions, which bring us closer to a more sustainable future. This collaboration with Carbon Clean at our facility in Al Ruwais reflects our commitment to leveraging advanced technologies, including AI, to advance our decarbonisation goals and meet rising global demand for our products.”

See also: https://oilreviewmiddleeast.com/energy-transition/celeros-flow-technology-and-carbon-clean-partner-for-carbon-capture