Oil & Gas Industry Operations Quiz Answers

Oil & Gas Industry Operations and Markets course is offered by “Coursera”. In this post you will get Oil & Gas Industry Operations Quiz Answers | 100% Correct Answers.

Oil & Gas Industry Operations and Markets

Offered By ”Duke University”

⭐ 4.8 stars (4007 ratings)

Instructor: Lincoln Pratson

N.B. We attempted our best to keep this site refreshed for our clients for nothing. You can likewise contribute by refreshing new inquiries or existing inquiry answer(s). There are numerous inquiries on our site, it is difficult for us to check them consistently. It will be extraordinary on the off chance that you can assist us with updating the site. Just let us know if you find any new questions through mail or comment . We will attempt to refresh the inquiry/answer ASAP.

Use “Ctrl+F” To Find Any Questions Answer. & For Mobile User You Just Need To Click On Three dots In Your Browser & You Will Get A “Find” Option There. Use These Option to Get Any Random Questions Answer.

Week- 1

Oil and Gas Exploration

1. What is the primary source of oil and gas?

Eroded sediments
Marine plankton

Dinosaur remains
Ancient swamps

2. What component of a hydrocarbon system must exist in order for there to be oil and/or gas?

A trap
A reservoir
A source rock

A migration pathway

3. Prior to the shale gas and shale oil revolution, shale was considered to be a poor reservoir rock because of its low ________________.

Enter answer here

permeability

4. What technology is used to image rock layering in the subsurface over regions extending many miles/kilometers?

Seismic data
Gravity data

Well log data
Magnetic data

5. A lease must first be obtained from the land company agent before drilling for oil and gas.

True
False

6. What isolates the interior of an oil/gas well from the surrounding rock and fluids?

Drilling mud
Drill cuttings
Cemented casing

The blowout preventer

7. The oil window is primarily defined by a range in which of the following?

Depth

Liquid content
Temperature
Organic matter in rock

8. In which of the following geologic settings do oil and gas deposits first form?

Large rivers
Deserts

Shallow seas
Mountain ranges

9. Which of the following technological innovations has reduced the number of drilling rigs needed to find and extract oil and gas?

Diamond tip drill bits
High-speed drill rigs
Fracking

Horizontal drilling

Production

1. In the oil and gas industry, what is a specific subsurface site where oil and gas might be found called?

A prospect
A structure

A play
A migration pathway

2. Production rates from an oil/gas well initially decline because of a loss of what?

Reservoir pressure
Gas
Water

3. What two substances are used to extract oil during the secondary recovery phase?

Natural gas and water

Carbon dioxide and water
Soap and water

4. What is increasingly being used as an injection gas in tertiary oil recovery?

Water
Natural gas
Carbon dioxide

Soap

5. After tertiary recovery methods have been applied to an oil field, how much oil is typically still left in the reservoir?

0–5%

10–20%
20–30%
40–60%

6. In tertiary recovery, the remaining oil is freed from its adhesion to sediment grains by…

Fluid flow
Pressurization

Reducing its viscosity
Increased pumping

7. Drilling of what type of additional wells turn an economic well into an oil field?

Dryholes
Injection
Development

Wildcat

8. What does the history of production rates for a large region or even country generally look like over a long time?

Exponential decline

Bell-shaped curve
Box-shaped curve
Linear rise

Processing and Refining

1. Wet gas is rich in what?

Condensate
Natural gas liquids
Water

2. What is a very common contaminant that must be removed from both natural gas and oil?

Sulfur

Carbon dioxide
Particulate matter
Salt

3. Methane gas is almost pure after it has been processed.

True.
False.

4. What is the core process in refining crude oil into petroleum products?

Reforming
Coking

Alkylation
Distillation

5. Among other products, naphtha is used to produce diesel.

True
False

6. The lower the viscosity of the crude in a barrel of oil, the more of what can be produced from it?

Sulfur
Kerosene
Gasoline

Diesel

7. In the U.S., roughly what fraction of a barrel of crude oil is refined into gasoline?

50%
75%
100%

8. The cracking unit in a refinery will increase the production of diesel.

True
False

Transport

1. An oil distribution pipeline carries refined fuels.

True
False

2. Where is oil in the U.S. Strategic Petroleum Reserve stored?

In large tanks surrounding refineries
In oil fields that have not yet been pumped
Underground in hollowed-out salt domes

In saline aquifers

3. Compared to other hydrocarbons, the energy content of natural gas is low per unit

Mass

Value
Volume
Weight

4. Natural gas is transferred from transmission pipelines to distribution pipelines at the…

City gate
Entrance to buildings

Wellhead
Natural gas processing plant

5. A sour smelling odorant is added to natural gas before it is put into distribution gas lines to reduce gas use.

True
False

6. “Stranded” natural gas is gas that…

Is associated with oil
Explodes
Cannot be moved to market

7. What is a LNG “train”?

A chain of natural gas pipelines

A train that carries compressed gas
An LNG tanker
A plant that liquifies natural gas

8. Before it can be used, imported LNG must first be…

Dewatered
Regassified
Cleaned of sulphur
Liquified

week- 2

Oil and Gas Markets – Costs

1. What has to be determined at the “casing point”?

Whether to complete the well
Whether to case the well
Whether to log the well

2. Which of the following is a major cost in oil and gas exploration that occurs before the casing point?

Lease costs
Production casing costs
Flow-line hook-up costs
Water disposal costs

3. Who bears the drilling and production costs of an oil and gas well?

The overriding interest owner
The mineral rights owner
The driller
The working interest owner

4. In addition to a royalty, an overriding royalty may also need to be paid on sales of oil and gas production from a well if what?

There is a burden on the lease
The state requires it
The royalty owner demands a higher royalty
It is stipulated in the original mineral lease

5. What is the “payout” point?

When the cumulative net profit from a well equals its drilling and completion costs
When sales of oil and/or gas from a well produce a net profit
When the well starts to produce oil and/or gas that can be sold
When drilling and completion costs for a well must be paid

6. The “1” in the 3-2-1 crack spread refers to a barrel of diesel.

True
False

7. Variation in what leads to significant differences in the price of gasoline from one state to the next?

State production of crude oil
State taxes
State production of refined petroleum products
State distribution of costs for petroleum products

8. What is an important component to the cost of natural gas for residential customers but not for operators of natural gas power plants?

Taxes
Drilling and completion costs
Transmission costs
Distribution costs

Oil and Gas Markets – Prices

1. Demand for oil changes significantly with the price of oil; e.g., demand falls when the price of oil rises.

True
False

2. Crude oil prices in the U.S. are particularly sensitive to which of the following?

Mudslides
Climate change
Hurricanes
Tornadoes

3. U.S. natural gas prices vary seasonally because…

Demand is seasonal
Total amount of storage capacity is seasonal
Supply is seasonal
Temperatures vary seasonally

4. When during the year do gasoline prices in the U.S. tend to be lowest?

Fall
Summer
Winter
Spring

5. A decrease in the production of oil from Saudi Arabia has often what?

Decreased oil prices
Increased oil prices
Had no effect on oil prices
Spurred increases in oil production elsewhere in the world

6. When futures prices for oil increase with increasing months into the future, the prices are said to be in what?

Speculation
Inversion
Normal backwardation
Contango

7. Which is a factor that determines the spot price for a crude oil in the U.S.?

Futures prices beyond one month out
Its quality relative to West Texas Intermediate crude
The world price for benchmark crudes from the Middle East
The price for its delivery at Henry Hub

8. Over-the-counter contracts for oil and gas are…

Unique futures contracts between buyers and sellers
Standard futures contracts marketed by NYMEX and ICE
Another term for spot transactions
Futures contracts involving the U.S. Federal Government

Oil and Gas Markets – Future of O&G

1. Which of the following is the most important factor governing the market value of an oil/gas exploration company?

Its current reserves
Its projected acreage holdings
Its volume of past production
Its most recent revenues

2. The “net pay” of a reservoir differs from it “gross pay” in that the former is…

One minus the water saturation in the reservoir
The potential amount of revenue from oil/gas sales after cost and taxes
The percentage of reservoir volume containing oil/gas
The reservoir porosity divided by the formation volume factor

3. For an oil & gas company listed on a U.S. stock exchange, what type of reserves can the company claim as being producible in their financial reports?

4. A decrease in the price of oil does what?