Essay on The Stage of Production of Oil

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Essay on The Stage of Production of Oil

The Stage of Production of Oil


From discovery through refinement, there are various phases in the stage of production of oil. Since oil and gas prices have been growing for the past three years, it appears that the oil and gas sector has recovered from the recession that occurred in 2008–2009 as a result of the economic crisis. The petroleum business, which includes the oilfield service sector, was not an exception to this pattern.

Over the past three years, the oilfield services sector has seen an increase in profitable quarters, and it has continued to expand despite the current Eurozone crisis and all the difficulties the service sector is currently experiencing as a result of economic circumstances like the BP Deepwater Horizon incident.

Most of us picture the dark liquid that emerges from the earth when we consider the many stages of oil extraction. We may also consider how oil is utilized to heat our houses and power automobiles. However, we hardly ever consider the procedure that results in oil production.

This article will examine the detailed steps involved in producing oil. Starting with the fundamentals we’ll next move on to the more particular elements of the procedure, such as drilling and extraction. By the conclusion, you’ll know more about what goes into producing oil and how it’s manufactured.

Definition and Purpose of Production of Oil

The process of acquiring oil through exploration, extraction, refining, marketing, and distribution on a worldwide scale is included in the global oil industry.

Because it is essential to many sectors and the contemporary civilization depends on it as a source of energy for numerous industries as well as meeting other energy demands, oil is a significant source of energy and has been dubbed “Black Gold.”

Hydrocarbon exploration is the method used in the search for oil. Geologists utilize cutting-edge equipment to find hydrocarbons, and they apply the skill of exploratory geophysics to collect data on the presence and amount of the substance. The tests are conducted both above and below the surface of the earth.

Regardless of the money involved, oil prospecting is a tremendously dangerous endeavor. Only businesses with significant financial resources and stature can afford to explore distant or offshore locations.

National governments are the other organizations that can fund such exploration. This is because to the great danger and millions of dollars required to explore it. Smaller businesses are the ones who look for onshore oil and gas resources, and they are very inexpensive because some wells may be built for as little as $100,000 USD.

Exploration and Extraction Phase

The initial step in the exploration and extraction process is to locate the oil. The extraction procedure can start as soon as it is found. Typically, pumping or drilling are used to accomplish this.

Processing and Treatment of Crude Oil

Let’s examine the numerous processing and treatment techniques that may be used to crude oil now that we have a better understanding of the refining procedure. As a result of the oil flowing through the reservoir from the upper to the lower regions, there is also the expansion of gas that is present in crude oil as well as drainage by gravity.

Recovery rates at this stage typically range from 5% to 15%. All that is left to do is link the material to a system of intricate pipes and valving before it can be transported for processing and storage.

Refining and Distribution Phases of Production of Oil

After the primary production of oil is finished, the next stage is refining and distribution. During this process, crude oil is transformed into finished products like gasoline, diesel and jet fuel through a process known as fractional distillation.

During fractional distillation, oil is heated up and then passed through a column of trays or plates. Different components of the oil have different boiling points, which means they boil off at different temperatures. Because of this, you can end up with a whole range of different products like kerosene and asphalt.

Once these processes are finished, the oil products are moved to distribution centers where they are stored until they’re ready for sale.

The distribution centers are usually strategically located in order to provide efficient delivery services to customers across a wide area. In addition, pipelines may also be used to transport oil from production sites to refineries or storage facilities.

They rely on the external force in the reservoir in the secondary stage since, over time, the subsurface pressure will decrease and become insufficient to propel the oil up the well. This is accomplished by pumping fluids to raise the reservoir’s pressure.

Pumps are used in the secondary stage of recuperation as well. The fluids used to increase pressure might range from water, natural gas, air, or injections of carbon dioxide.

Depending on the characteristics of the oil and the characteristics of the reservoir rock, the secondary recovery recovery factor ranges from roughly 30%. The main procedure in the tertiary recovery stage is to lessen oil viscosity in order to boost oil output.

This entails using techniques referred to as Thermally Enhanced Oil Recovery (TEOR). By heating the oil, this process makes extraction simpler. Steam injection, which uses a cogeneration facility, is the most used type of TEOR.

Latest Technological Advancements in the Industry

The fifth and final stage of oil production is the technological advancements that have been made in the industry. With new techniques such as fracking, horizontal drilling, and enhanced oil recovery, it has become easier to reach even the most difficult locations for drilling.

As a result, drilling costs are reduced and more oil can be extracted in a shorter period of time. These advances have allowed for an increase in production capacity and an increase in efficiency throughout the industry.

The exploration process is faster, safer and more reliable than ever before thanks to these advancements. Additionally, companies are now able to monitor their operations with greater accuracy and reduce emissions through better management processes.

Overall, technological advancements have had a positive impact on Oil Production processes by improving safety measures, reducing costs associated with exploration, increasing production capacity and improving efficiency — making it a more profitable venture for all involved.

From the point of manufacturing until the point of marketing, different processes are now followed. The manufacturing of petroleum products is the first phase. Finding the location of hydrocarbon deposits is the purpose of this step’s exploratory procedures.

Due to the high expense of both the advanced equipment and technology required for this procedure as well as the highly skilled personnel, It also entails the extraction process, which is costly and, in certain cases, limited to extremely big firms due to offshore drilling and drilling in distant locations. It also needs cutting-edge tools and technology, as well as highly qualified personnel.

Environmental Impacts of Oil Production

There is also the transportation process, which uses pipes or vehicles as well. The building of pipeline networks is quite expensive since it involves a lot of manpower, both trained and untrained, and the maintenance costs of the trucks are also very high.

The process of converting crude oil into useful goods like gasoline and asphalt base is known as refining, which comes after.

Due to the utilization of sophisticated machinery and state-of-the-art technology, this procedure is also quite expensive. In addition to being highly skilled, oil refinery workers are also expensive to hire. Additionally, there is the labor, which consists of both skilled and unskilled workers in the refineries and is therefore quite expensive to employ.

Oil production has environmental effects, just like any other kind of production. These can include more subtle effects brought on by air and water pollution as well as more overt ones like the exploitation of finite resources.

Nitrogen oxides and carbon dioxide are released into the atmosphere during the combustion of fossil fuels, which contribute to pollution and global warming. Additionally, oil spills and leaks can contaminate nearby water supplies and land, which can harm local residents as well as the habitats of local species.

The final phase is the distribution one. This process involves delivering the finished goods to the final users. Due of the need for numerous modes of transportation, it is also a costly step.

Because tankers are to blame for the deteriorating road networks in the third world nations, there has been worry over their use in the transportation of oil products.

It is also regrettable that the governments find it difficult to fix the roads that the tankers have damaged since they are under pressure to balance their different budgets.


The oil and gas business is a very diverse one, and the engineers who work in it complement one another to get the best results possible. The operating system monitored by the company’s production capacity is referred to as the “performance” in this context.

Indeed, the top consideration throughout a performance is always safety. To boost the operation capabilities, a variety of methods and approaches are employed. Many of these approaches are connected to specific mechanical systems known as the artificial lift throughout the production stage.