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Valuation of NGH Deposits

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Exploration and Production of Oceanic Natural Gas Hydrate

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Abstract

Valuation of a natural gas hydrate (NGH) deposit is concerned with determining the amount of natural gas that can be technically extracted from a deposit. NGH will rarely occupy all porosity , probably topping out at 80%, or slightly greater. NGH may also be patchy because of both inconsistent mineralization and variable porosity and permeability in the reservoir. There are different ways to value a NGH deposit: (1) reservoir analysis , which is an analog of valuing a conventional gas deposit, (2) 3D body analysis , which is based on high resolution seismic data, and (3) cell analysis , which is an analog of conventional economic-geology exploration . In addition to an estimate of gas-in-place , estimates for technical recovery must be made. NGH in place may not be technically recoverable gas. It is likely that a number of the NGH deposits, which may be discovered, will occur in discontinuous volumes that are not completely hydraulically linked through their pore water. For example, discontinuous impermeable shale beds and lenses can disrupt continuity. Where production -well bores cannot be expected to link some NGH volumes, the gas valuation figure must be discounted.

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Authors and Affiliations

  1. Marine and Petroleum Geology Research Group (Natural Gas Hydrate), iCRAG, School of Earth Sciences, University College Dublin, Belfield, Dublin, Ireland

    Michael D. Max

  2. Kenner, LA, USA

    Arthur H. Johnson (Deceased)

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  2. Arthur H. Johnson (Deceased)
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Correspondence to Michael D. Max .

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Max, M.D., Johnson (Deceased), A.H. (2019). Valuation of NGH Deposits. In: Exploration and Production of Oceanic Natural Gas Hydrate. Springer, Cham. https://doi.org/10.1007/978-3-030-00401-9_5

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  • DOI: https://doi.org/10.1007/978-3-030-00401-9_5

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