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Show Some Oil Wells Are Just Shut-Ins Why all this hullabaloo about a petroleum shortage when there are about 4,000 wells in the Gulf of Mexico not producing? THESE WELLS are called "shut-ins"; that is, they are potential producers, but are not now producing for various reasons, according to the American Petroleum Institute's Insti-tute's magazine. Petroleum Today. Figures compiled by the U. S. Geological Survey's Conservation Division for 1973 and 1972 show a sharp jump in the number of shut-in wells over 1971. They tripled in number. HOWEVER, Dr. V. E. McKelvey, director of the Geological Survey says this dramatic increase is misleading. He says the apparent ap-parent increase in non-producing non-producing oil wells in the Gulf from 947 in 1971 to 2,978 in 1972; and in gas wells from 602 to 872, reflects a change in the reporting of statistics by USGS, and not in the actual number of non-producing wells. UNTIL 1972 the shut-in category ca-tegory did not include those wells temporarily out of production for such reasons as delays in waiting for facilities, plugging by sand. mechanical, or various other problems. More than half of the shut-ins shut-ins wells (55 peicent) are plugged because of reservoir problems. Pressure from water drives the oil or gas to the surface in many of these wells. A well is reported shut-in when the well becomes full of water and no longer produces petroleum in quality. MECHANICALproblemsac-count MECHANICALproblemsac-count for another 41 percent of shut-in wells. Instruments, tools, or other materials may plug a hole, interfering with its flow. Some wells need equipment - compressors, separators, dehydrators, heat exchangers exchang-ers - before they can begin production. They may become plugged with sand, or even have to wait for a pipeline connection. IN ANY case, a shut-in well is costly - to the nation as well as the operator. Whatever Wha-tever the problems, federal regulations require that a lease must be rapidly and diligently produced within five years. Many shut-in wells eventually become producers. Instead of being called "shut-in," these should bear the sign: ""Open for business soon." |
