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Role of TNO’s AGE team: Support to MEA (Directorate Energy). Regarding energy & subsurface matters. This presentation. What is AGE and what does it do? Recently expressed priorities in the policy of the Dutch Ministry of Economic Affairs (MEA) (example of one of our projects).
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Role of TNO’s AGE team:Support to MEA (Directorate Energy) Regarding energy & subsurface matters TNO - AGE
This presentation • What is AGE and what does it do? • Recently expressed priorities in the policy of theDutch Ministry of Economic Affairs (MEA) • (example of one of our projects) TNO - AGE
1. What is the “Adviesgroep EZ” (AGE) TNO - AGE
A brief historical overview Once upon a time ……….. ……there was a Geological Survey of the Netherlands (Rijks Geologische Dienst, part of MEA)and it had a department advising MEA on E&P matters Until 1997 1997 : take-over of RGD by TNO TNO - AGE
TNO-NITG consisted of 6 departments GS GE DOC (geo-information& systems) Geo-Energy Deep SubsurfaceConfidential GI GW MK (engineeringgeology) (groundwater) (marinegeology) 15 individual TNO institutes Position of TNO-NITG, 1997-2004 TNO-NITG(~350 staff) (in totalsome4500 staff) TNO - AGE
15 individual TNO institutes Overall TNO reorganisation per January 2005 “ex-TNO-NITG” 4 ‘Divisions Geo-Energy DINO Groundwater & Soil Geology (Quarternairy) TNO-NITG NITG no longer exists! TNO - AGE
Reorganisation per January 2006 TNO B&O contains 2 Geoscience business units Geo-Energy & Geo-Information Soil & Groundwater 5 “kerngebieden” TNO Bouw & Ondergrond)(Built environment & geosciences) TNO - AGE
Oil & Gas A G E Geobiology DINO SustainableGeo-energy Extra Firewall etc. TODAY : AGE’s position within the Business unit Geo-Energy & Geo-Information TNO Built Environment & Geosciences 6 other business units b.u. Soil & Groundwater LocationUtrecht b.u. Geo-energy & Geo-information (~150 staff)bu manager : Chris te Stroet Oscar Abbink Henk Pagnier Barthold Schroot Roel Verreussel Martin Peersmann CONFIDENTIAL TNO - AGE
Advisory Group for MEA (AGE) • ‘Special’ position within TNO (advise and information task) • Ref. Article 123 of the Mining Act • Mining Act states (Art. 123) that …. the Minister can appoint a body (institution) which manages the supplied data on behalf of the Minister and which advises the Minister on the basis of this data … Mbr 11.4.1 defines TNO, Utrecht for this role TNO - AGE
Advisory Group for MEA (AGE) • Works exclusively for the Ministry of Economic Affairs(but is not a government organisation itself) • Main tasks twofold: • Advise Ministry on E&P and the deep Dutch subsurface (all licensing matters, reserves estimates, risks, use of the deep subsurface etc.) • Assist DINO dept. in maintaining / managing the Mining Act related database TNO - AGE
How does these tasks relate to what other TNOteams in the b.u. do? TNO - AGE
Oil & Gas A G E Geobiology DINO SustainableGeo-energy TODAY : AGE’s position within the Business unit Geo-Energy & Geo-Information TNO Built Environment & Geosciences 6 other business units b.u. Soil & Groundwater LocationUtrecht b.u. Geo-energy & Geo-information (~150 staff)bu manager : Chris te Stroet Oscar Abbink Henk Pagnier Barthold Schroot Roel Verreussel Martin Peersmann CONFIDENTIAL TNO - AGE
The different ‘faces’ of TNO to the industry Advice to MEA TNO-AGE DINO Oil & Gas +Sustainable Submission ofMining Act related Data Release ofMining Act related Data Technical discussionsw/r applications andproduction plans etc Contract research,JIP projects etc InternalBarrierin TNO TNO - AGE
Applied research-task information-task Advisory Group for MEA (AGE): Policy support to the Directorate Energy market of MEA • TNO-AGE works exclusively for the MEA, on project basis • Traditionally tasks in the Work package Policy support are: • A) yearly report of reserves (inclusive prognoses), • B) advise with regard to field monitoring, • C) advise with regard to production related risk’s, • D) communication & information on E&P matters (operators & other parties on various issues) • E) advise MEA on license applications. • QC E&P data in DINO database • Regional mapping deep subsurface of the Netherlands TNO - AGE
2. Recently expressed priorities of MEA TNO - AGE
Overall objective of MEA • To maintain the level of exploration and production in next fifteen years. TNO - AGE
Current priorities in MEA’s policies • “Gaswinningsbrief” Minister Brinkhorst (Oct. 2004)stated that “to improve access to information” was a priority • Letter of Minister van der Hoeven (11 Feb. 2008) to Parliament • to report on the evaluation of the Mining Law after 5 year • trends and implications emerging from the evaluation: • New entrants E&P • Underground storage of natural gas and/or CO2 • Geothermal energy TNO - AGE
Current priorities in MEA’s policies(ref. letter of 11-2-2008) Evaluation of the Mining Law was in general positive, but some improvements are needed • Objectives: • Maximize development small fields (also stimulate exploration) • Improve the Mining Climate • Related Actions: • Agreement (convenant) with the industry (which may include addressing fallow acreage) • Make procedures w/r awarding of licences (and permits) more efficient • Improve access to information (for new entrants) through the Dutch Oil & Gas portal, www.nlog.nl (immediate and important ROLE for TNO) TNO - AGE
Current priorities in MEA’s policies(ref. letter of 11-2-2008) • Other Actions: • Revise Mining Law w/r to storage of CO2 and natural gas • Adjust Mining Law for the production of geothermal energy • Identify & evaluate interference of activities on the North Sea (IDON) e.g. E&P wind farms TNO - AGE
Access to information: www.nlog.nl • A new release of the Dutch Oil & Gas Portal was launched in December 2007 • Improved functionality • More data & information • Well data • Seismic data • Field data • Producing fields • Stranded fields • Petroleum Geology maps & models • Licensing • Petroleum Geological bibliography of the Netherlands TNO - AGE
Dutch Oil and Gas Portal: WWW.NLOG.NL TNO - AGE
Access to information: www.nlog.nl • A new release of the Dutch Oil & Gas Portal was launched in December 2007 BUT : a lot more is still needed ! Bottleneck : capacity (incl. budget) to make changes (IT) to bothwww.nlog.nl and DINO modules behind it TNO - AGE
Has the policy been effective (2005 – 2007)? • # of new entrants? • How many licenses have they obtained? • Their expected level of activity? • Development of stranded fields • Exploration wells TNO - AGE
Change in licences November 2006 November 2007 TNO - AGE
New entrants taking stranded fields (2005-2007) • About 10 new entrants have takenlicenses (exploration or production) • Now almost all stranded fields are in licensed areas • Still some 90 stranded fields left with approximate 35 bcm reserves. • Listing can be found on www.nlog.nl TNO - AGE