Talking at the Offshore Northern Seas (ONS) 2014 event in Stavanger, Norway, John Vicic, manager of ConocoPhillips deepwater technology program, stated that “for ultimate growth, we are looking to deepwater.”

Vicic was speaking in an ONS special session focused on the deepwater U.S. Gulf of Mexico (GoM) organized by INTSOK, the Norwegian government and industry-backed oil and gas trade organization. In his presentation, titled “Deepwater Technology Gamechangers,” he outlined how ConocoPhillips—which with the spinoff in 2012 of its refining operations to Phillips 66 is now fully focused on upstream operations—is focusing both internally and via various industry collaborations on identifying and tackling the key technology challenges.

Last year the company spent heavily to ramp up production, specifically in the United States, but that was thanks largely to continuing growth in its Lower 48 unconventional assets in the Permian Basin, Eagle Ford and Bakken shale plays. As a result it grew its total production by 7% in its Lower 48 segment last year, including 24% growth in domestic crude oil production.

Vicic, however, said the company believes deepwater holds the key to future production growth. It has in recent years been essentially a nonoperating partner in its deepwater U.S. Gulf projects, he said. But according to Vicic, it is stepping up its game.

Highlighting the largest oil and gas discoveries made by the industry in recent years, he pointed out that the vast majority had all been made in deepwater where—although the wells are expensive to drill—they require the fewest wells due to their reservoir productivity, especially when compared to unconventional wells.

Faced not only by extreme water depths but also reservoir pressures ranging from 8,000 psi to 25,000 psi and temperatures of between 66 C and 191 C (150 F and 375 F), ConocoPhillips has undertaken detailed analysis of the technology gaps.

In the exploration arena he flagged up ongoing efforts to try to “translate” the experience gained offshore Norway with chalk and carbonate reservoirs and HP/HT fields to use that knowledge in the GoM. He also highlighted the increased need for ever-more capable AUVs and ROVs to work and monitor in the extreme depths for extended periods of time, mentioning Liquid Robotics’ Wave Glider autonomous unit as an example. Digital oilfield solutions with integrated sensing were also another key area, he said, as well as real-time data centers.

In terms of drilling and completions technology advances, Vicic went on to highlight examples such as a well to be drilled later this year offshore Africa that will see a deepwater drillship carry out managed pressure riserless drilling for the first time.

In the production sector he listed several key issues to be tackled to specifically improve flow assurance, including advances that would be required when dealing with asphaltenes, hydrates, scale and corrosion. He also acknowledged the potential for improved subsea boosting and processing solutions, both on the seabed and downhole.

Virtually every presentation at ONS this year included ongoing efforts by the industry to control spiraling costs. Vicic was no different, pointing out that goals such as greater standardization are required by operating companies along with more industry collaboration.

As an example of the latter he highlighted the recently announced 20K joint development project, to which ConocoPhillips belongs along with BP, Shell and Anadarko, all working with FMC on next-generation standardized subsea production equipment.

“This is looking at everything from the wellhead to the HIPPS [High Integrity Pressure Protection System],” he said. With the program expected to initially cover “about a three-year period,” it is focusing on items including 20,000-psi trees, jumpers, flowlines and HIPPS. “We are also as a company working on 20K drilling systems,” he added.

Editor's note: An extended version of this article appears in the Sept. 8, 2014, edition of Deepwater International.