日本オイルエンジニアリング List of Products and Services

We assist in building a value chain for CCS (Carbon dioxide Capture and Storage) as a whole. When implementing CCS, it is necessary to consider the value chain of capturing, transporting, and injecting the emitted carbon dioxide (CO2). Our company can provide the following consultations regarding that value chain. <Consultation on Equipment> ✓ Solutions for CO2 capture from emission sources ✓ Solutions for separation and recovery processes ✓ Solutions for transportation processes ✓ Solutions for injection processes into storage formations <Consultation on Storage> ✓ Interpretation of acquired geological data ✓ Examination of geological data for FID (Final Investment Decision) ✓ Selection of CO2 storage sites and drilling plans for CO2 injection wells ✓ Monitoring plans ✓ Consideration of CO2 diffusion prevention during long-term storage ✓ Examination of storage stability <Others> ✓ Investigation of applicable laws and regulations We provide solutions not only for individual issues but also for the entire value chain.

• Machinery and equipment installation/dismantling/relocation
• Other services
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Our company can assist in various studies using CCS (Carbon dioxide Capture and Storage) technology as we consider CO2 capture for carbon neutrality in factories and plants. In particular, in industries such as steel, cement, chemicals, refineries, and waste treatment facilities, which inevitably emit large amounts of CO2 during their manufacturing processes, it is quite challenging to achieve carbon neutrality even with various measures such as energy conservation, efficiency improvements, and fuel switching. Therefore, the introduction of equipment for CCU (Carbon dioxide Capture and Utilization), along with the consideration of purchasing carbon credits, is expected to be one of the options alongside CCS. In CCS, there are two methods for sending CO2 to storage operators depending on the geographical environment and conditions of the CO2 emitters: one method involves sending it as a gas, and the other involves sending it as a liquid. The general flow from capture to shipment is illustrated in the left diagram. Our company can conduct training, seminars, and study sessions prior to the consideration of CCS/CCUS implementation, in addition to providing conceptual design and cost estimates for CO2 capture for emitters. Fees will be individually quoted based on the scale of the equipment, the content of the implementation, duration, and other factors.

• others
• Other plant design, development and maintenance
• Machinery and equipment installation/dismantling/relocation

Our Development Technology Department will support the planning and implementation of CCS (Carbon dioxide Capture & Storage) in the following areas: <Sub-Surface Field> - Support for site selection (screening) for CO2 injection (from the perspective of geological and reservoir evaluation) - Evaluation of reservoir performance for CO2 injection (initial assessment) - Interpretation, analysis, and evaluation of geological data for the reservoir for CO2 injection - Creation and evaluation of reservoir modeling for CO2 injection - Examination, calculation, evaluation, and risk analysis of CO2 storage potential - Creation and evaluation of behavior prediction simulations for CO2 injection - Creation and evaluation of CO2 injection scenarios - Investigation and comparative study of CO2 storage technologies - Lectures and training on CO2 storage technology, geological and reservoir evaluation, simulations, etc. We are available for consultations on specific items as well as general inquiries, so please consider reaching out.

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The Technology Department of our company will provide support for the planning and implementation of CCS (Carbon dioxide Capture & Storage) in the following areas: <Surface Facilities/Equipment> - Identification and confirmation of CO2 emission sources (equipment and devices) and estimation of emission volumes. - Comparison of CO2 separation and recovery methods, estimation of approximate costs, and selection support. - Comparison of CO2 transportation methods, estimation of approximate costs, and selection support. - Comparison of CO2 storage, absorption, and fixation methods, estimation of approximate costs, selection support, comparison of specific regions and locations, examination of necessary responses, and estimation of approximate costs. - Estimation of approximate costs for the construction of facilities and equipment for specific CO2 storage, absorption, and fixation methods and locations, as well as estimation of operational costs. - Comparison of monitoring methods and durations during and after the implementation of CO2 storage, absorption, and fixation, estimation of approximate costs, and selection support (some tasks may be outsourced to partner companies). - Comparison of closure, disposal, and waste methods for facilities and equipment related to CO2 storage, absorption, and fixation, examination of necessary responses, estimation of approximate costs, and advice on selection (excluding abandoned mine-related issues). - Examination of monitoring methods and durations after the closure of related facilities and equipment, cost estimation, and advice on selection. (Continued below)

• others

This document introduces some of JOE's initiatives related to CCS/CCUS. CCS (Carbon dioxide Capture and Storage) is a technology that allows for the long-term and stable storage of CO2 by separating and capturing CO2 emitted from power plants and factories and injecting it underground. Additionally, CCUS (Carbon dioxide Capture, Utilization and Storage) involves the effective utilization of the separated and captured CO2 for enhanced oil and gas production and other purposes. It is gaining attention as an effective technology for addressing global warming. We encourage you to read it. 【Contents】 ■ System evaluation using an integrated CCS model: P1 ■ Risk analysis of CO2 leakage: P2 ■ Sensitivity analysis and uncertainty analysis of input parameters: P3 ■ History matching incorporating seismic data: P5 ■ Mineral fixation simulation in CCS: P7 ■ Support for building a blue ammonia (blue hydrogen) supply chain using CCUS: P9 *For more details, please refer to the PDF document or feel free to contact us.

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We would like to introduce the services we can provide for the construction of a blue ammonia supply chain using CCUS technology aimed at realizing a decarbonized society. <Examples of Provided Services> Conceptual Study - Support for the formulation of CCUS implementation proposals - Primary evaluation of storage formations (oil and gas fields, aquifers) - Calculation of CO2 emissions - Site screening (CO2 capture, dehydration, compression, transportation, injection) - Process examination of various facilities (capture, dehydration, compression, transportation, injection) - Cost estimation and analysis/evaluation of facilities - Drafting of project schedule proposals - Preliminary examination of CO2 leak monitoring plans - Preliminary examination of MRV (Monitoring, Reporting, and Verification) - Risk assessment (environmental, safety, reservoir, construction period, finance, etc.) - Preliminary examination of project finance plans - Environmental impact assessments, etc. Basic Design - Technical examination necessary for CCUS - Storage formation simulation - Design of various facilities - Preparation of EPC (Engineering, Procurement, and Construction) tender specifications - Creation of CO2 monitoring plans - Preparation of MRV EPC - Construction management of CCUS projects - Project management Operations - Technical support for CCUS operations - Updates to storage formation simulations - Monitoring activities and MRV reviews

• Other services

The risk analysis of CO2 leakage to the surface after CO2 injection and upon completion of injection is important for evaluating safety. It is necessary to examine the presence of faults and abandoned wells, as well as the appropriate injection pressure, and to conduct simulations that consider the impact not only on the reservoir but also on the cap rock. By coupling rock mechanics models with reservoir simulators, it is possible to perform calculations that take into account the effects of pressure changes on the geomechanical properties of the reservoir. For example, in GEM, a modified Barton-Bandis model is applied to simulate the opening and closing of fractures and to calculate CO2 leakage from the cap rock. Our company primarily focuses on calculations using the reservoir simulator GEM and literature research to investigate and examine the following items: [Investigation and Examination Items] ■ Examination of the workflow for creating simulation input data from experimental, analytical, and literature data ■ Examination of the workflow for CO2 leakage risk analysis that reflects the uncertainty analysis of input data ■ Investigation of the workflow for CO2 leakage calculations in various reservoir simulators *For more details, please feel free to contact us.

• Other contract services

To mineralize a large amount of CO2 takes hundreds to thousands of years, and it is known that depending on the mineral composition of the reservoir, the amount of mineralization may not be significant. However, in recent years, there are methods like the Carbfix project that allow for mineralization within basalt in just a few years. To estimate the amount of mineralization and the time required for it, CO2 flow simulations that include geochemical reaction calculations (possible with simulators like GEM and TOUGH-REACT) need to be conducted. In addition to the usual CO2 flow calculations, solving for parameters related to geochemical reactions can increase the number of unknowns, leading to higher computational costs and difficulties in convergence. Furthermore, the input data for geochemical reaction calculations includes highly uncertain factors such as the reactive surface area of minerals, making sensitivity analysis and uncertainty analysis effective. Based on the above, JOE primarily uses the reservoir simulator GEM to investigate and examine the following items: [Investigation and Examination Items] ■ Setting appropriate chemical reaction data for simulation calculation convergence ■ Setting chemical reaction equations and evaluating the uncertainty of input data related to chemical reactions ■ Examining issues in scaling up from experimental data to reservoir data

• Other contract services

To understand the distribution of injected CO2 within the reservoir, 4D seismic surveys conducted with tools like slip sensors are promising as monitoring technology. History matching of reservoir models incorporating 4D seismic data has been conducted since the late 1990s and remains a focus of attention today. When quantitatively comparing seismic data with reservoir simulation results, the large volume of data necessitates the use of automated history matching techniques. In setting the objective function for automated history matching, it is essential to compare seismic data and reservoir simulation results on the same level, which requires data transformation using Rock Physics Models (RPM) or seismic models. Based on the above, JOE is investigating and examining the following items, primarily through literature review: [Investigation and Examination Items] ■ Methods for creating proxy models and automated history matching using them ■ Workflow for formulating mismatches between seismic data and reservoir simulation results as an objective function ■ Examination and comparison of various workflows for history matching, including differences in automated history matching techniques ■ Investigation and examination of various optimization methods

• Other contract services

We will introduce the sensitivity analysis and uncertainty analysis of input parameters in our CSS simulation. By applying commercially available sensitivity analysis tools and Python modules to reservoir simulators, we can efficiently conduct sensitivity and uncertainty analyses. Our company primarily uses CMG's GEM and CMOST, and we are considering their application to various evaluations related to CCS. Furthermore, we are investigating and examining suitable analytical methods for various reservoir evaluations by applying Python modules such as SaLib to other reservoir simulators. [Research and Examination Items] ■ Issues in scaling up from experimental data to reservoir data ■ Extraction of high-importance input data through sensitivity analysis ■ Proposals for methods to improve the accuracy of high-importance input data ■ Uncertainty evaluation of output values due to differences in the accuracy of input data at different stages of data acquisition References 1) GEM User Guide Computer Modelling Group Ltd. 2) CMOST User Guide Computer Modelling Group Ltd.

• Other environmental analysis equipment

We would like to introduce our "System Evaluation using an Integrated CCS Model." In oil and gas development, in addition to reservoir models, we link underground fluid behavior with surface production facilities through integrated simulations that include pressure losses from well design and impacts from surface facility networks, enabling simulation of the entire project at each time step. We are investigating and examining whether this can be applied to CCS system evaluation, focusing mainly on the following items: [Investigation and Examination Items] ■ Optimization of CCS with water production wells as pressure relief wells ■ Optimization of CO2 EOR ■ Production of hydrogen from natural gas production and its impact on the overall CCS system ■ Impact of uncertainty in reservoir parameters on the overall CCS system *For more details, please feel free to contact us.

• Other services

"SmartFAM" is an equipment and asset management system that enables effective utilization of equipment and assets at each site and organization from a holistic perspective. Based on the equipment ledger, it centrally manages information related to equipment maintenance, from the planning of maintenance schedules to inspection and failure history, thereby supporting the efficiency of maintenance operations. Additionally, with an eye on the future, it is a system that can easily evolve into big data analysis of accumulated information and predictive diagnostics using AI, adapting to future DX developments and contributing to our customers' acquisition of super business site certification. 【Features】 ■ Centralized management of equipment and asset maintenance information ■ Support for improving equipment and asset operational rates and longevity ■ Support for building an IoT information collection infrastructure ■ Compatibility with various management methods ■ Work efficiency improvement through tablets *For more details, please refer to the PDF materials or feel free to contact us.

• Other operation management software

Japan Oil Engineering (JOE) offers training that encompasses not only reservoir studies conducted in various regions both domestically and internationally but also the technical knowledge and expertise accumulated through research and development of advanced technologies. <Technical Lectures on Reservoir Engineering, Production Facilities, and HSE in General> JOE plans and conducts seminars aimed at acquiring technical skills in reservoir engineering, production facilities, and HSE in general, as well as developing educational curricula. Lectures and practical training are provided by knowledgeable and experienced experts on topics such as reservoir engineering, simulation, and geostatistics, based on the latest information and insights. Additionally, based on the know-how accumulated over many years through production facility engineering, development production technology consulting, and environmental and safety consulting, we also conduct lectures and exercises on process theory and process simulation for oil and gas processing facilities, pipeline design, shipping facilities, and HSE management.

• Technical Seminar

Japan Oil Engineering (JOE) has been providing HSE consulting services related to the exploration, development, production, and decommissioning of oil and natural gas, contributing to the "reduction of natural and social environmental impact" and the "prevention of occupational accidents." Our knowledge, experience, and technology can be applied to a wide range of businesses. JOE conducts HSE consulting with the aim of ensuring the safety of all involved, protecting health, striving for environmental conservation in local communities and the planet, and promoting the development of a sustainable society where humans and nature coexist harmoniously. HSE: Health, Safety, and Environment.

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Our company is capable of comprehensively evaluating the potential of the target mining area by collecting and analyzing relevant information from an engineering perspective, conducting analysis and assessment of geological and geophysical exploration data, sedimentary basin analysis, and evaluating the feasibility of development plans. We utilize advanced software for the processing and analysis of a wide range of data, determining various reservoir parameters and estimating original reserves either deterministically or probabilistically. 【Main Evaluation Items】 ■ Well stratigraphy analysis ■ Evaluation of fluid characteristics within the reservoir ■ Evaluation of reservoir rock properties ■ Assessment of original reserves *For more details, please download the PDF or feel free to contact us.

• Contract measurement