Proposal for Establishing Oil and Gas Academy

PROPOSAL FOR ESTABLISHING GAS AND OIL ACADEMY

EXECUTIVE SUMMARY

The attached proposal calls for establishing an Oil and Gas Academy in the
Eastern Province. The scope of services of the proposed academy encompasses
the following activities:

Preparing graduates trained in technologies specific to the oil and gas

industry. With the development of the proposed oil and gas program,
employers will be able to hire graduates who are fully trained and
prepared to meet the challenges of work in the oil and gas industry.
Offering research and advisory services to the gas and oil industrial sector

Developing and delivering short courses to the surrounding industrial

community. Targeted audience for these courses are professionals
working in the oil and gas industry, who want to enhance their knowledge
/ technical skills in a specific area.

Proposed size of the academy student body is 1000 student. The academy will
admit male students only (high-school graduates) and English will be the
language of instruction in all academic programs and short training courses.

The academy will recruit high quality faculty who possess good industrial
experience and have prior experience in teaching in student-centered
environment.

A distinctive characteristic of the Academy will be its emphasis on the utilization

of information technology resources throughout the institution, in all academic
programs and courses, and in the management of the Academy.

The proposed built-up area of the academy buildings is 20,000 m2, based on 20
m2 / student. The proposed owner and financier of the academy is Educational
Services Company of the eastern Province (TAALEM).

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Proposal for Establishing Oil and Gas Academy

1 Introduction

Saudi Oil and Gas industry is one of the largest industries in the world. Aramco alone
manages proven reserves of over 260 billion barrels of oil, the largest of any company in
the world, and manages the fourth-largest gas reserves in the world. It operates one of
the worlds largest integrated gas gathering, processing and industrial distribution
systems. Saudi Aramco also owns and operates one of the worlds largest tanker fleets
to help transport its crude oil production, which amounted to over 3.2 billion barrels in
2006.

The workforce needed for operation and maintenance of the Saudi oil and gas industry
is simply huge. Consequently, there is a great need to intensify the efforts being made to
improve productivity of the national workforce and to expand training programs aimed at
enabling Saudi nationals to take advantage of employment opportunities available
through growth or substitution of expatriate workers. This could be achieved only
through continuing to modernize educational curricula and develop them to meet labor
market needs, and expand participation of relevant sectors and agencies. This proposal
calls for the establishing of Gas and Oil Academy in the Eastern Province, which will
contribute to enhancing the technical skills of Saudi youths and qualify them for work in
this vital sector.

2 Scope of services of the Proposed Oil and Gas Academy

The proposed Oil and Gas Academy will serve as an education and training institution
whose mission is to provide educational instruction, research and professional
development and continuing education within a range of knowledge areas that relate to
the oil and gas industry. Its activities encompass the following:

2.1 Preparing graduates trained in technologies specific to the oil and gas industry

The proposed Oil and Gas Academy will offer academic knowledge to meet industry
requirements for graduates trained in technologies specific to oil and gas exploration and
production. In the past, companies hired graduates from other programs and trained
them in-house. With the development of this oil and gas program, employers will be able
to hire graduates who are fully trained and prepared to meet the challenges of work in
the oil and gas industry.

Oil and gas technical personnel are concerned with the design of subsurface wells and
well systems for producing oil, gas and other natural resources from the earth, and for
conveying fluids into, out of, or through the earths subsurface for scientific, industrial,
and other purposes.

Oil and gas technology generally involves:

Drilling and completion of subsurface well systems;

Geoscientific and engineering methods for characterization and evaluation of
subsurface geological formations and their resources;
Production, injection and surface handling of fluids;

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Proposal for Establishing Oil and Gas Academy

Application of reservoir-engineering principles and practices; and

Project economics and resource valuation recognizing risk and uncertainty.
All activities are integrated for optimal resource development and management in
the industry.

2.1.1 Benefits of Studying Oil and Gas Technology

The Oil and Gas Technology associate degree program proposed at the Oil and
Gas Academy will be designed to respond to the needs of the oil and gas
industry for graduates trained in technologies specific to high demand oil and gas
exploration and production. The knowledge and experiences gained in the Oil
and Gas associate degree program will be specific to industry requirements so
graduates can be sure that their degree is completely relevant to their field.
The petroleum industry in Saudi Arabia holds many exciting opportunities for
skilled technical personnel in the oil and gas field. Saudi Arabia, as one of the top
oil producers in the world, requires highly trained professionals to develop and
manage its gas and oil resources.

The Oil and Gas Technology associate degree program will not only teach
scientific and theoretical fundamentals, but will also provide graduates with
applied technical, communication and design skills so they can find success in
this dynamic discipline. Oil and Gas graduates will also have extensive hands-on
experience in operation and project management so they are prepared for the
real- world challenges of work in the industry.

2.1.2 Graduate Career Opportunities

Graduates will acquire extensive knowledge and technical understanding of the

engineering sciences and the designs / operation on which the profession is built. They
will possess excellent project-management, negotiation and communication skills, and
can also design and operate complex industrial systems specific to the oil and gas
industry. Oil and Gas graduates will be able to find employment in various petroleum-
industry organizations, including production and service companies. They can also work
for consulting firms, service providers or regulatory agencies.

2.1.3 Main Features of the Associate Degree Program Curriculum

The associate degree program curriculum will foster opportunities to develop a coherent
range of knowledge and abilities in inquiry, critical thinking, problem solving and effective
communication the essential competencies and lifelong learning skills associated with
graduates of a quality research university.

A - Interdisciplinary component
Emphasis will be placed on developing a keen appreciation of geological concepts. The
curriculum will also include a complementary studies stream that provides exposure to
the liberal arts through courses covering economics, communications, and thought
processes in the humanities and social sciences.

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Proposal for Establishing Oil and Gas Academy

B - Experiential learning
Course projects, field assignments and lab work will form the backbone of experiential
learning in the program. In courses specific to the Oil and Gas program, students will
learn theoretical and technical models that are directly applicable to industry practice. In
senior-level courses, students will participate in open-ended, industrial oil and gas
engineering group projects to gain additional hands-on design and project- management
experience. The internship program will provide another excellent opportunity for
students to acquire work experience in the local market

C - Faculty-student interaction
Students will have direct contact with instructors in labs, on field trips and through work
on course projects. Mentoring by faculty and graduate students will be particularly strong
in final year projects and internships, with mentors guiding student progress and
providing sustained contact throughout the term.

2.2 Research and Professional services

The proposed Oil and Gas Academy will offer research and advisory services to the oil
and gas industrial sector. Its specialized services relate to the following areas:

Exploration geophysics.
Drilling engineering.

Development and production of gas and oil reservoirs.

Production of gas fuels and their production.

Storage.

Transmission and distribution.

Control and automation of technological process.

Gas-fuel utilization problems.

Construction and use of gas appliances.

Quality assessment of gas-fuels.

Evaluation of gas industry installations.

Environmental protection.

2.3 Continuing Education and Short-Courses

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Proposal for Establishing Oil and Gas Academy

Continuing Education (CE) at the Academy should be seen in the context of the
Academy relationship to the business and general community. It will serve as an
important arm of the outreach mission of the Academy and as a partner with the
community in the development and delivery of courses.
The delivery of short courses will provide an opportunity for the Academy to establish a
reputation for quality as it delivers in-house short courses to support various oil and gas
professional fields. Targeted audience for these courses are professionals working in the
oil and gas industry, who want to enhance their knowledge / technical skills in a specific
area.

Short courses will normally last about five days over a one-to-two month period, with
approximately 40 hours of instruction. Possible recommended courses that the Academy
could offer are mentioned below:

Basic Petroleum Geology

Carbonate Reservoirs
Mapping Subsurface Structures
Operations Geology
Petroleum Geochemistry: Tools for Effective Exploration and Development
Basic Geophysics
Seismic Imaging of Subsurface Geology
Basic Drilling, Completion and Workover Operations
Basic Petroleum Technology
Exploration and Production Process Basics: Understanding the Petroleum
Industry Value Cycle
Economics of Worldwide Petroleum Production
Fundamentals of International Oil and Gas Law
Petroleum Finance and Accounting Principles
Petroleum Project Management: Principles and Practices
Petroleum Risks and Decision Analysis
Applied Rock Mechanics
Cased Hole Formation Evaluation
Coring and Core Analysis
Foundations of Petrophysics
Integration of Rocks, Log and Test Data
Well Log Interpretation
Advanced Hydraulic Fracturing
Artificial Lift Systems
Casing and Cementing
Downhole Remediation Practices for Mature Oil and Gas Wells
Formation Damage: Causes, Prevention, and Remediation
Gas Production Engineering
Gas Well Deliquification
Horizontal and Multilateral Wells: Drilling, Completions and Stimulation
Hydraulic Fracturing Applications
Surface Production Operations
Applied Reservoir Engineering
Basic Reservoir Simulation
Gas Reservoir Management
Horizontal and Multilateral Wells: Analysis and Design
Integrated Reservoir Modeling
Oil and Gas Reserves Evaluation

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 Proposal for Establishing Oil and Gas Academy

Oil Recovery Enhancement Techniques

Well Test Design and Analysis
Advanced Casing and Tubing Design
Basic Drilling Technology
Directional, Horizontal, and Multilateral Drilling
Drilling Fluids Technology
Fundamentals of Tubular Design
Managing Wellsite Operations
Practical Drilling Skills

Note: An ad-hoc industrial advisory group will be formed to help identify the most salient
educational and training needs for the industry and prioritize their list.

3 Students Sources and Admission Requirements

3.1 Source of Students: The Academy will admit students according to the Saudi Arabian
governing rules and regulations of higher education without regard to nationality,
geographical origin, or religion who can meet the competitive admission standards and pay
the required fees. Most students will be secondary school graduates who would wish to
pursue further post-secondary education. Others may include:
Employed persons with high-school certificates who wish to pursue further post-
secondary studies.
Individuals in the business community who wish to sharpen their competencies in
specialized areas.

3.2 Student Genders: The Academy will admit only male students.

3.3 Admission Standards: The Academy will maintain highly competitive admissions
standards as measured by an admissions examination and an interview. Summary of
admission requirements are as follows:

Application form and fee: A completed application form accompanied by the

prescribed application fee.
Secondary School grades: Results of the General Secondary Education Certificate
(70% minimum GPA score).
Total score of 60% on the Aptitude Test
TOEFL Score: a minimum of 510 or equivalent. Students who can not meet this
score will be directed to PMU ELI to improve their English Language skills.

Interview: The interview is conducted by the Admissions Committee; it assesses the

students ability to succeed at the Academy.

3.4 Size and Composition of Student Body: The academy will have a maximum total
enrollment of 1000 student. However, in the 1st year of operation it is recommended to
accept 250 students only and reach to the maximum enrollment capacity in the 4th year of
operation.

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3.5 - Language of Instruction: English will be the language of instruction in all associate
degree programs and short courses.
4 Faculty Characteristics
Degrees and Experience: The faculty should hold a doctoral degree or Masters degree in
Gas and Oil Engineering or any other related discipline. They also should possess a
minimum two years of teaching experience at the college level. In addition to teaching
experience, faculty should have relevant industrial experience in the gas and oil industry.
For all faculty, preference will be given to persons who possess prior experience in
teaching in cooperative, collaborative learning and student-centered environment.
English Language: All faculty must have achieved proficiency in the English language.
Preference will be given to faculty who are either native English speakers or have
achieved native-level proficiency as demonstrated by a band score of 8.0 or higher on
the IELTS, with minimum component test scores of at least 7.5 (or equivalent score on a
comparable exam).
5 Affiliations and Partnerships
The Oil and Gas Academy will endeavor to establish affiliations with peer institutions for
the exchange of experiences and the enhancement of the contents of educational and
training programs and their delivery. Of particular importance are partnerships with local
corporations for curriculum development and employment of graduates.

6 Proposed Sample for the Associate Degree Curriculum in Gas and Oil
Technology

INTRODUCTION TO PETROLEUM INDUSTRY 3 cr.

This introductory course covers sources of energy. Topics include: introduction to petroleum industry. Local,
regional, national and global energy requirements are discussed. This course contains a major chapter on
Economics of petroleum production, and Influence of Petroleum Economics on International Politics. The
course includes: an overview of petroleum technology including geological, geophysical and geochemical
prospecting, drilling mechanisms, formation evaluation, reservoir engineering, production engineering,
processing, transportation, refining and petrochemicals. The course contains discussions on Reservoir rock
properties (porosity permeability), Flow behavior in reservoir rocks and behavior of reservoir fluids (viscosity,
density, and phase). The course contains utilization of products, Highlights of local Petroleum industry, and the
Job scope of Petroleum Technology graduates.

ENVIRONMENT AND SAFETY 3 cr.

This Petroleum Technology-related environment and safety course is designed to provide specialized training
and technology transfer for the oil and gas industry. This introductory course covers environmentally safe
drilling techniques used to discover and produce oil and gas. Topics include: introduction to environment and
safety in petroleum exploration and production. This course covers Local, regional, national and global energy
environmental requirements. The course also discusses the influence of petroleum on global environment. The
course includes: an overview of the environmental impact of petroleum exploration and extraction including
geological, geophysical and geochemical prospecting, drilling mechanisms, formation evaluation, reservoir
engineering, production engineering, processing, transportation, refining and petrochemicals.

PETROLEUM GEOLOGY AND EXPLORATION 3 cr.

A course designed to develop working skills in petroleum geology. Includes: Geological history of Petroleum,
microscopic examination of well cuttings, isopach contouring, interpretation of geological maps, stratigraphic
correlation. The origin, migration and accumulation of Petroleum, Reservoirs with abnormal pressure and
temperature. Geological techniques used in exploration for oil and gas reservoirs. Discusses field types and
characteristics, traps and reservoirs, origin and migration of petroleum, stratigraphic distribution. Geological
basins in selected countries. Surface geological methods for petroleum exploration.

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WORKSHOP PRACTICES 3 cr.

Practical on topographic maps, aerial photographs, satellite images and geologic maps and cross-sections.
The course contains surveying using Total Station and GPS. Practical spatial data analysis for the identification
of leads and prospects are discussed in this course. Particular emphasis is given to data mining techniques
applied to local and commercial data bases, capturing and quantifying geologic data derived from cores and
logs, using information from outcrop analogs, making digital Isopach and contour maps.

INTRODUCTION TO GEOGRAPHIC INFORMATION 3 cr.

Topics covered in this course include definitions of geographic information, GI technologies, GI systems and GI
science. Geographic information is information about places on the Earth's surface; knowledge about where
something is; knowledge about what is at a given location. It can be very detailed, for example: information
about the locations of all buildings in a city, information about individual Oil Well or all the wells in an oil field, or
a tree in a forest or trees in a forest. It can also be very coarse, for example: climate of a large region
population density of an entire country. Digital geographic information is expressed in digital form. Three main
types of Geographic information technologies are used for collecting data and interpreting information: Global
Positioning System (GPS); Remote Sensing; and Geographic information system (GIS). Oil-field mapping and
interpretation of superimposed topographic.

DRILLING AND COMPLETIONS 4 cr.

Drilling and Completion covers Composition and Properties of Drilling and Completion Fluids, and the
fundamental principles of geology, chemistry, and physics that provide the scientific basis for drilling fluids
technology. New material for drilling, logging, and production supervisors and engineers explains how the
choice of a drilling fluid and proper maintenance can profoundly reduce total well costs. The course also
defines technical terms necessary to the understanding of instructions and information provided by the mud
engineers. The course discusses the introduction to drilling fluids, the development of drilling technology
equipment and procedures for evaluating drilling fluids performance, clay mineralogy and colloid chemistry,
rheology, filtration properties, hole stability, drilling problems, and completion fluids. Drilling technology covers
directional and horizontal drilling cementing, casing and casing design, drilling fluids and well control.
Completion technology covers Perforating, Stimulation, Acid and Fracing.

PETROLEUM & NATURAL GAS CHEMISTRY 3 cr.

An introduction to the basic principles of organic chemistry with major emphasis on the hydrocarbons:
purification, identification, structure determination and energetic. Corrosion, field water (brine) chemistry, gas
laws review, stoichiometry ( mass balance ) review, phase diagrams, viscosity, octant number, cetane number,
flash points, natural gas chemical composition and applications and natural gas hydrates are discussed.
Laboratory demonstrations will be conducted throughout the course.

STRATIGRAPHY AND STRUCTURAL GEOLOGY 4 cr.

This course covers Principles of Stratigraphy: Concepts of geological time and its scale. Correlation
techniques, isostasy and continental drift are discussed. Stratigraphy of northwestern Pennsylvania with
special emphasize of Devonian and Mississippian stratigraphy. The course also covers Introduction to
Structural Geology and its role in oil exploration. The course discusses the primary and secondary structures of
sedimentary rocks and determination of dip and strike and thickness of the beds. Mapping and completion of
outcrops and construction of cross sections using GIS technology is included in this course. Modes of
Deformation of Rocks are included in this course which includes: varieties and classification of Folds, Faults,
Joints, and Unconformities. Expression of the above features on geological field maps and construction of
cross sections. Geological mapping using photogrammetry. Three hours of lecture and three hours of lab per
week.

OIL & GAS GATHERING AND TRANSPORTATION 3 cr.

This course covers an introduction to oil and gas gathering and transportation. Phase behavior/separation of oil
gas and water. Oil and Gas pipeline modeling, Gas dehydration, Gas compression and Gas measurement and
Oil and Gas production facilities Artificial Lift.

WELL LOG INTERPRETATION 3 cr.

Open hole logging: Review of petrophysical parameters, rapid initial interpretation, log interpretation in complex
lithology, computer processed interpretation. Cased hole logging: Review of porosity tool principles, thermal
decay time log, cement bond logging, production logs, Cross plotting techniques.

INTRODUCTION TO GEOPHYSICAL PROSPECTING 3 cr.

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Proposal for Establishing Oil and Gas Academy

The course covers Place of Geophysics in Oil, Natural Gas and Mineral Exploration. The course contains
technological challenge of geophysics in oil exploration. Review of Geophysical prospecting methods. The
course covers the Geophysical techniques in Oil and Gas exploration. It includes Types of Seismic waves such
as Attenuation, Reflection, Refraction, and Diffraction of Elastic Waves. Seismic wave generation techniques
for oil and gas prospecting are included in this course. Absorption of seismic waves in Earth materials is
discussed. The course includes principles involved in measuring seismic waves and measurement of the
Velocities of Seismic waves in rocks. The course contains seismic recording instrumentation, practical work
with EG & G Geometric 12 channel seismograph in the field, and Geophones analog recording digital
recording and other field instrumentation techniques. Structural and Geological Interpretation of Seismic
Reflection Data, and Seismic refraction prospecting is included in this course.

OTHER REQUIRED COURSES

Competencies:
English Composition I 3
English Composition II 3
Precalculus 4
General Chemistry I 4
Physical Geology 4
Concepts of Modern Physics 3
Foundation of Physics I Lab* 1
Introduction to Geographic Information 3
Science & Technology
Engineering Geology 4

The Human Experience 6

Choose two courses from the following three areas:
Arts & Letters; Behavioural, Economic & Political Sciences;
History, Cultures & Philosophical Inquiry

TOTAL CREDITS TO GRADUATE 67 CREDITS

7 Facilities

The Academy campus will be designed with care to provide facilities for a full range of
academic and student services in a manner that recognizes and maintains the cultural
and religious values of the Kingdom. The entire concept should be built on the desire to
facilitate, encourage, and celebrate the Academys interactive learning environment.

The Academy will consist of the following buildings:

Administration building: It shall include offices for the Director of the academy
and his administrative staff, H.R dept, Accounting dept, Administration dept., P.R
dept.etc.
Academic Building: it shall include offices of chairs, faculty, spaces for class-
rooms, labsetc.
Library building.
Students services building: It shall accommodate offices for the following
departments: Admission and Enrollment dept., Registrars office, Advising and
Counseling dept., Student center, clinic, textbook storeetc.

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Proposal for Establishing Oil and Gas Academy

Physical Plant building: It shall accommodate offices for operation and

maintenance staff, I.T staffetc.
Recreation center Building for indoor athletic activities.
Auditorium building which can take up to 200 seats maximum.
Restaurant and Catering facilities Building.
Mosque.
The proposed total built up area of the Academy buildings is 20,000 square-meters,
based on 20 square meter / student.

8 Proposed Location
The proposed location of the Academy is near Jubail Industrial City. This location is
particularly appropriate to serving the business, industrial and community needs of the
gas and oil industry in KSA.

9 I.T Infrastructure
A distinctive characteristic of the Academy will be its emphasis on the utilization of
information technology resources throughout the institution, in all academic programs
and courses, and in the management of the Academy.

The Academy will be renowned for the pervasive, ubiquitous use of state-of-the-art
information technologies that enable the Academys learning-centered environment. .

The ultimate goal of utilizing the Information Technology is to make it possible for the
Academy to create a learning-centered environment. The infusion of technology into the
Academy environment will enable students to obtain the information they need, when
and where they need it, so they can effectively pursue their goals of academic
excellence and professional competencies.

Using technology, the Academy will be able to tailor instruction and focus the
development of competencies to each students needs and abilities. It will be able to
provide skills and knowledge that foster independent learning and build an ethic of
learning that continues throughout the lives of Academy graduates. Technology will
enable faculty to enhance their own abilities, create richer learning experiences by
bringing more resources into the classroom, and give students a more interactive
learning experience. It will help instruct students in personal skills and capabilities as
well as academic content. Finally, technology will assist the Academy in creating an
assessment process that not only measures what students already have achieved, but
helps direct them to the capabilities they need to develop in the future.

Based on the above, the Academy will implement an integrated MIS for H.R, Finance
and students affairs. All class-rooms and labs will be equipped with the latest audio-
visual equipment, wireless internet and smart class-room technology. The library will
implement an advanced Library Information system (LIS) and rely extensively on the use

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Proposal for Establishing Oil and Gas Academy

of electronic resources and databases in addition to hard copies of books, references.

Finally, Blackboard or Web-CT will also be utilized for on-line Course Management.

10 Laboratories
The associate degree program in the Academy will provide a strong hands-on emphasis
to the teaching and learning of gas and oil theory and practice. Key to successful training
will be the creation and maintenance of state-of-the-art laboratory facilities. Students
must be trained in depth in the oil and gas technology discipline so that they acquire a
complete knowledge of the techniques they must master and challenges they will meet
as practicing professionals.

Among laboratory-focused outcomes are the ability to design and conduct experiments;
analyze and interpret data; design a system, component, or process to meet desired
needs; identify, formulate, and solve engineering problems; and use the techniques,
skills, and modern technology tools necessary for the gas and oil practice.

Most important will be the adherence to consistent standards of technology, quality,

performance, and service in order to ensure students get the most from the Academy
technology-infused educational environment.

11 Proposed Owner and Financier of the Academy: Educational Services Company

of the Eastern Province (TAALEM).

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