Report on First SPE Industry - University R&D Conference

Abstract

Abstract The 2001 SPE R&D Conference was organized to address the critical issue of industry-university-government partnerships in education, technology development, and technology transfer. The Conference was very successful in the sense that representatives from both the industry and academia appeared strongly willing to continue working together, with the solidarity in purpose, to expedite timely development and delivery of technology needs. Specifically, it was concluded that industry is looking for new technologies and innovations that reduce cost and improve profitability; therefore, it is looking for value in R&D. Furthermore, R&D funding is not a major issue because good ideas will be funded. Background The first SPE Industry-University R&D Conference was the result of a recommendation from the July 2000 Colloquium on Petroleum Engineering Education (SPE 64307 and SPE 64308).1,2 The purpose was to bring together representatives from the industry and academia to address the current and future status of petroleum engineering education, technology development, and technology transfer. The overriding concerns were:Diminishing interaction and dialog between the industry and academia, specifically as a result of the closing of many industry R&D centers in the U.S.Reduction of industry's financial support of the university R&D.High expectation to produce viable R&D results in shorter time frames.Concerns for the availability of appropriately trained technical manpower Group Discussions The key items discussed are listed below. These items reflected the state of the technology-related issues at the time of the Conference:Industry has faced a very competitive environment in the last decade and competition will be even fiercer in the future.Technical advances and breakthroughs in deepwater exploration (seismic imaging), drilling and completion have reduced cost of finding and developing major fields. In older fields enhanced recovery, via miscible flooding (e.g., miscible CO2 and selective re-injection of NGLs), has increased oil recovery. There will be even more need for novel technologies both to reduce cost and create value.There has been less funding for academic research but industry will fund the R&D projects, which will create value. The industry expectations will require significant changes in academia. Successful universities will cooperate and collaborate.Demographic of the technical workforce is of great concern. There is also a strong need for a highly skilled workforce. We, therefore, need to recruit and keep bright students to work in our industry.In approximately two decades, world consumption demand for hydrocarbon will exceed supply.Gas is future fuel of choice, but oil will be a close second followed by coal, nuclear, and renewable resources.Technology trends include smart wells, down-hole factory, produced water management, and CO2 emission control.Universities are in the education business; therefore, education should be first.