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An overview of oil and gas exploration and production
Module 1

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An overview
Agenda
Background of the oil industry Oil industry value chain Key stages of oil/gas exploration & production

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What is petroleum?

Petroleum, Latin word derived from Greek, first published in 1946 by the German mineralogist George Bauer

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Start of the oil industry

	Petroleum, is not a recent discovery, it was used more than four thousand years ago! It was reported 1000 years ago that asphaltene was used in the building of Babylon towers in Iraq In ancient Persia, oil found by the bank of rivers was used for medical and lighting purposes The first oil well drilled was in China to a depth of 800 ft (244 m) using a bit attached to bamboo Tar was used to pave streets in Baghdad in 8th century In 9th century, oil wells were drilled in Baku and Azerbaijan First oil refinery was built by the Russian Meerzoeff in Baku, which was producing 90% of world production

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Start of the oil industry

	The modern history of petroleum started in 1846 by the discovery of kerosene extraction from coal Soon after, Mr. Iqnacy Lukasiewiwcz, a Polish pharmacist, invented the first method to distill kerosene from crude oil First oil discovery in USA was by Sir Walter First commercial oil well in North America was drilled in Oil Springs in Ontario Canada in 1858 by James Miller Williams First oil well in USA drilled by Edwin Drake in 1859 down to 69 ft (21 m) at Oil Creek near Titusville Pennsylvania, which produced initially at 25 bopd Major discoveries followed by Dutch East Indies (Sumatra 1885) and in Iran in 1908 in Masjed Soleiman

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History of the oil industry

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Oil industry value chain

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Upstream

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Midstream

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Downstream

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Key stages

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Key stages (continued)

Start of production

Production

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Thank you
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