It takes energy to make energy

The easy oil has already been recovered. Mature fields are depleting and oil extraction is becoming more expensive and energy intensive. 70% of the world’s remaining oil is thick, vicious crude, known as heavy oil. The leading method of producing heavy oil is steam injection, a type of thermal enhanced oil recovery (EOR) that injects steam into a reservoir to heat the oil making it easier to pump to the surface. Thermal EOR has proven to triple well productivity, recovering significantly more oil from today’s resources.

To produce the steam for EOR more than 1.4 trillion cubic feet (TCF) of natural gas is burned each year—that’s more than 10% of all liquefied natural gas (LNG) traded globally. This number continues to increase each year as more heavy oil fields are developed.

The oil industry is the next major solar market

The majority of heavy oil can be found in regions with ample sunshine, such as the Arabian Gulf. Most Gulf countries are also faced with critical gas supply shortages. By using solar to generate steam, oil operators can reduce EOR gas consumption by up to 80%. The gas saved can instead be exported as LNG, used for power generation or redirected to the private sector to power new industries and create jobs.

GlassPoint is focused on deploying solar EOR in markets with heavy oil and abundant sunshine that lack affordable fuel for generating steam.

Oman – Oil production in Oman consumes nearly a quarter of the country’s total gas supply. EOR projects are competing for limited gas resources, while demand for power generation and industrial development are on the rise. Deploying solar EOR can free gas for these higher value applications, while generating in-country value through local manufacturing.

Kuwait – Heavy oil projects underway in Kuwait and the Neutral Zone will represent some of largest steam flooding projects worldwide. To produce steam for EOR, Kuwait—which has already been importing gas for years—will need to significantly increase its gas imports or use expensive petroleum fuels. Using solar energy to generate steam will reduce the country’s reliance on imported energy.

California – Thermal EOR accounts for nearly half of California’s oil production. GlassPoint offers the lowest cost steam to produce California’s heavy oil—lower cost than steam made from burning natural gas. Considering 60% of the cost of operating a heavy oil field is fuel purchase for EOR, solar steam can deliver significant savings.

Additional markets that could benefit from solar steam deployment include Saudi Arabia, Western China, Venezuela and Indonesia.

GlassPoint Solar Inc. Downloads

Solar Enhanced Oil Recovery: An In-Country Value Assessment for Oman Brochure

Solar Steam Generators for Enhanced Oil Recovery Brochure