Commercial discoveries of oil and gas deposits in U.S. domestic water, principally the Gulf of Mexico, are moving to significantly deeper waters (below 400 ft.) as shallow water reserves are being depleted. Owing to its very high cost, deepwater exploration is currently undertaken primarily by major oil companies. These companies must discover oil and gas fields with large reserves to justify the large capital expenditure needed to establish commercial production. The value of these reserves is discounted by the long time required to begin production using current technology. At a time when petroleum imports are increasing and secure domestic supplies are decreasing, this project will attempt to develop a system to significantly reduce the cost and time required to produce a deepwater gas and condensate discovery. Such reductions of cost and time to first production will make it commercially attractive to produce many smaller fields that would otherwise not be developed with conventional technology An increase in domestic energy supply, made possible by such a technological advance, would help to reduce the cost of natural gas for the ultimate user and help ensure its availability to an increasingly dependent consumer. The Phase I study established the technical and economic feasibility of the new Seastar platform and production system concept The overall objectives of the Phase II study will be to establish the commercial potential of the concept, determine its practical application to industry, and develop methods by which it can be interfaced into and with existing technology. For the platform concept to be successfully marketed to offshore operating companies, potential buyers must have a high degree of confidence in speciEc cost estimates to support their evaluation of risk and project economics. The system's structural integrity and safety with regard to human life and the environment is an absolute pre_requisite to its commercial success. Phase II will accomplish the above objectives by: (1) detailing the platform design, (2) conducting a model test to verify its performance, (3) obtaining estimates of cost from fabricators and vendors, (4) developing a fabrication and installation plan and estimates, and (5) reviewing the platform concept with appropriate regulatory authorities.Anticipated Results/Potential Commercial Applications as described by the awardee:With the new Seastar platform, it will be possible to economically develop smaller deepwater gas and condensate discoveries having reserves that have heretofore not been brought to market. The system was originally, conceived for Gulf of Mexico applications, but could be employed worldwide in cases where water depth of a discovery exceeds 400 ft The system planned for continuing study is targeted at gas/condensate production operations, but is equally suited for oil production operations.
