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Senin, 28 Januari 2019

Game Technology: History and Development


Game Technology: History and Development

        It is undeniable that technological developments have infiltrated all sectors both in terms of industry, business, economy, and even the entertainment world, which also has its own technology. One of them is the video and console game is a technology that has successfully penetrated into the entertainment sector. Playing games can indeed dispel boredom, boredom, as well as useful to fill the time when it is empty. The more modern technology, the easier it is for someone to play games. Especially in the smartphone era, there are so many games that can be played with amazing graphics. The game itself turned out to have a history or origin which is certainly very interesting to know. For example, who exactly was the inventor of the game, and what was the first game console that was made up to how it is developing now. Therefore, the following is a complete review of the inventor as well as the development of existing games in the world.

The origin of video / video game gaming was in the early cathode ray tube based missile defense system in the late 1940s. These programs were later adapted into other simple games in the 1950s. In the late 1950s and through the 1960s, more computer games were developed (mostly on mainframe computers), gradually increasing sophistication and complexity. After this period, video games deviated to various platforms: arcade, mainframe, console, personal computers and then handheld games.

        The first commercial video game console company was Computer Space in 1971, which laid the foundation for the new entertainment industry in the late 1970s in the United States, Japan and Europe. but this long-lasting company was largely due to the flood of video games that came to the market resulting in the total collapse of the console game industry worldwide, eventually shifting market dominance from North America to Japan. But this only affected the game console market, the computer gaming market was largely unaffected. The next generation of video game consoles will continue to be dominated by Japanese companies. Although some efforts will be made by North America and European companies, the fourth generation of consoles, their efforts will ultimately fail. . Not until the sixth generation of video game consoles will non-Japanese companies release a commercially successful console system. The market has followed the same path several times failed by American companies who all failed beyond some limited success in handheld electronic games early on. At present only Japanese companies have successful large handheld game consoles, although in recent years handheld games have come to devices such as cellphones and PDAs.

Game Technology Development
It's no secret if more technology is developing, more and more innovations from creative people in this world are also born. And one of them helped develop game technology, which is routinely developed every time. The game is indeed a promising business because it is not only used by small children but also many adults who are addicted and enjoy playing games, especially console-based games. The technology seems to have developed several generations from year to year, among others;

First Generation (1952-1975)
Year 1952
Game technology apparently was first created by the U.S. Douglas in 1952 at the University of Cambridge. Douglas demonstrated his game through a thesis in order to interact between computers and humans. The first game in the world turned out to be very simple, namely a game of Tic-Tac-Toe or XOXO which was programmed using an EDSAC vaccum-tube computer, where the computer had a CRT (Cathode Ray Tube) screen.

First Game: Tic-Tac-Toe

1st Generation. EDSAC Tic-Tac-Toe

Year 1958
William Higinbotham created the Tennis for Two game played on oscilloscopes at Brookhaven National Laboratory, New York. Same with Douglas, this game is also still very simple. The interface itself displays a tennis court from the side and is still very limited.

Second Game: Tennis for Two

Year 1961
A few years after the creation of the first game technology or more precisely in 1961 — the next game came along with the rise and fall of computer technology. Computers at that time were still very fancy items, from here Steve Russell created a game called Spacewar because it was inspired by the science fiction story by Edward E Smith entitled Skylark. Steve Russell designed "Spacewar!" On the PDP-1 computer mainframe at the Massachusetts Institute of Technology (MIT). The Spacewar game was created by Russell using computers and utilizing the MIT PDP-1 mainframe feature commonly used for statistical calculations. With this computer, Steve successfully made Spacewar.

Third Game: Spacewar

Year 1972
Because gaming technology became a hot topic in the past, some students decided to innovate by utilizing existing technology facilities on campus to make video games more attractive while also channeling creativity. But in 1972, game technology was more developed when for the first time released a video game device made by the Magnavox Odyssey Company, they created a new technological breakthrough in the world of games which succeeded in creating video games that could be connected to television.

Maganavox 'Odyssey, designed by Ralph Baer, ​​became the first console game. Nolan Bushnell and Ted Dabney made Atari. They rented the Al Alcorn program, whose first project was designing an arcade game "Pong".

Year 1975
But unfortunately three years later, in 1975, Magnavox Odyssey stopped producing video games. But they actually introduced a new technology, namely console-based microprocessor. Until finally the Magnavox produced a new type of video game that specifically presents the Pong game. "Pong" became the first product of Atari's game. "Gunfight" comes out, the first arcade game that uses a microprocessor.
 
Birth of Video Games

Second Generation (1976-1983)
Year 1976
In the second generation, game technology developed to be better than before. This period is known as the presence of 8 bit graphics or approximately 4 bits in the history of computers and video games. In 1976, Fairchild tried to revive the world of video games by creating VES (Video Entertainment System). VES is the first machine called "console". This console uses magnetic tapes called cartridges. Well, this concept was followed by several other manufacturers, including Atari, Magnavox, and RCA, the three companies also released similar consoles.

Generation 2. VES (Video Entertainment System)

Year 1977
Atari issued a "home video game system" (Atari Video Computer System / VCS), which came to be known as the Atari 2600. Price: $ 249. Coleco issued a game console that they could program, Telstar Arcade. Nintendo released their first home video game, "TV Game 6". RCA issued the RCA Studio II home video game system. The video game has black and white.

Generation 2. Atari 2600

Year 1980
Mattel released the Intellivision home video game after testing the marketing system in California the previous year. David Crane, Alan Miller, Bob Whitehead, and Larry Kaplan founded Activision, the first company that specializes in making games. Atari released the arcade game "Battlezone", a game with the first 3D perspective. Namco takes out "Pac-Man". APF issued Imagination Machines, computer add-ons for APF MP-1000 home video games. Nintendo was the first to issue a video game-handheld series called Game & Watch.

Generation 2. APF MP-1000

The first "Easter Egg" for video games was born. Warren Robinett programmed it in a game called "Adventure" from the Atari 2600 engine. Broderbund stood. Curtains stands.

Year 1982
GCE released the first portable video home game based on vector, Vectrex. Price: $ 200. Entex released a portable home video game, AdventureVision. Coleco released home video game, ColecoVision. Price: $ 175. Atari released a home video game, the Atari 5200 Super System.

Arcadia SuperCharger was released for Atari 2600, adding graphics and program power to the console. Arcadia then changed its name to Starpath. Mattel issues IntelliVoice, an expansion module for Intellivision. North American Phillips released "The Voice" an additional module for Odyssey2, this module makes "system clear" and "independent voice syntesis".

Commodore released a home computer, Commodore 64. Emerson released a home video game, Arcadia 2001. Amazing 'Software (which later changed its name to Electronic Arts) was founded by Trip Hawkins. Interplay Productions was founded by Brian Fargo. Since 1985 they only use the name Interplay.

Third Generation (1983-1986)
Year 1983
Nintendo released home video games, the Famicom in Japan. Infogrames stands. Origin Systems, famous for its role-playing games "Ultima", stood up. Sega Enterprises stands up. Failed and then sold to Bally, who then only survived for one year Virgin Interactive stood up.

3rd generation. Nintendo

Year 1984
The video game market experienced sluggishness, as a result dozens of companies in the field of games, both software and hardware closed or stopped production. Among them are Apollo, US Games, Telesys, Data Age, Spectravision, and 20th Century Fox. Apple released a Macintosh home computer. The speed of the small engine that has a black-and-white monitor is 7.83mhz. Price: $ 2000. Atari released Atari ST, a home computer. IBM released IBM PC AT, a home computer. Atari released the arcade game "I, Robot", the first game to apply "3D polygon" graphics. Accolade was formed by ex-Atari and Bob Whitehead and Alan Miller from Activision. Ocean were formed. Pygnosis was formed.

Year 1985
Nintendo released a home video game, Nintendo Entertainment System (NES) to test the market in New York, NES became the Famicom. Price: $ 199. Microsoft released the first version of Windows. Alex Pajitnov designed the game PC "Tetris". The first CD-ROM is issued for PC (Personal Computer). Price: $ 1295. Dataset is established. Titus was founded. Westwood Studios was founded.

NES - Famicom

FAMICOM is the first game console that displays high resolution images and animations. And the presence of these devices is of course welcomed by people throughout the world. Even the legendary game Super Mario also first appeared on this Nintendo and Famicon device.

The presence of Super Mario has finally made the game console sales increase, even because there are many software and hardware companies that stop production. Considering that Super Mario at that time sold very fast, it was later feared that making other devices both software and hardware were not sold in the market, so it was not surprising because they did not want to take risks, many companies chose to temporarily stop production.

Super Mario game on Nintendo

Super Mario sales finally made Nintendo expand its marketing to America. And they succeeded in dominating the video game market there, so this indirectly also led to competition between game console companies, namely Nintendo, which is a newcomer, with SEGA which is actually located in America.

Year 1986
Sega released the Sega Master System. Price: $ 199. Atari released the Atari 7800. It was the first system with a "backwards-compatibility" feature, compatible with Atari 2600 cartridges. Cosmi is formed. The Holobyte Spectrum is formed. Soft yams are formed.

3rd generation. Sega

Fourth Generation (1988-1993)
The skyrocketing of Nintendo sales with Super Mario lasted a long time. This was proven in 1988, Nintendo re-issued its new game console with the 16-bit generation while bringing drastic changes to gameplay, sound system, graphics, and so on. The new Nintendo game console is finally welcomed by the world.

Do not want to be stressed by the atmosphere of Nintendo's success, SEGA also released a new version of the game console, Sega Mega Drive with almost the same quality. In fact, SEGA managed to create a game console that has sharper images and smoother animation than Nintendo. But that apparently did not affect the sale of Nintendo devices in the world. This device still survives at the highest selling peak for game consoles.

Nintendo's new game console SNES (Super Nintendo Entertainment System) can indeed rival the SEGA Megadrive in 1990 ago. But a year later, SEGA launched a game called Sonic the Hedgehog, which eventually attracted game lovers. Because the quality of gameplay, graphics, etc., of course, this game is much better than Nintendo Super Mario. And finally Sonic the Hedgehog officially became a super rival of Super Mario.

Year 1989
Nintendo released a game-handheld, Game Boy. Price: $ 109. NEC released the North American version of the Turbografx-16 video game system. Price: $ 189. Sega released the Sega Genesis video game system. Price: $ 249. Atari released the first color handheld game Atari Lynx. Price: $ 149. NEC released an upgraded version of their PC Engine console in Japan, SuperGrafx. Only 5 game titles make use of this video game and have never been sold commercially outside Japan.

4th Generation Game Boy
Year 1991
Commodore released a CD-based home video game, CDTV. Price: $ 999. Fujitsu released FM Towns Marty, the first 32-bit console in the world. Nintendo released Super Nintendo. Price: $ 199. Joe Santulli and Kevin Oleniacz founded Digital Press, an independent publication collector of various video game systems. Two major PC entertainment publishers, Cinemaware and Epyx, close.

Year 1993
Atari released the first 64-bit system (this is still debated) for home video games, Atari Jaguar. Price: $ 250. Commodore released Amiga CD32, a 32-bit game console based on the Amiga 1200 computer. Price: $ 399. 3DO's Hawkins Trip released CD-based home video games, 3DO Multiplayer. The Panasonic version is at the top, followed by Goldstar a few months later. Price: $ 699.


Fifth Generation (1994-1999)
To compete with Nintendo and SEGA, it didn't sound long, Atari finally launched its console, the Atari Jaguar, which has the same SNES and Mega Drive sophistication. But unfortunately, its use is more difficult to make game lovers less interested. Even in this generation, Sony for the first time released a CD-based game console. And then issued a Playstation that uses 32-bit technology.

The two consoles made by Sony finally managed to reap success and grab the attention of game lovers. The CD-based console alone is one of the best-selling game consoles of all time, beating Nintendo and SEGA. Of course, feeling rivaled, then Nintendo released a new console, the Nintendo 64 and SEGA released the SEGA Saturn, which was created to beat the dominance of Sony's console.

Year 1994
The Entertainment Software Ratings Board (ESRB) was formed by the United States government, to rate video games. Sega issued a Sega 32X expansion module for Sega Genesis, price: $ 159. Sony issued a CD-based home video game, Sony PlayStation in Japan.

Generation 5. PlayStation

Year 1996
Nintendo released 64-bit home video games, Nintendo 64. This is the last console to use a cartridge. Bandai released the @World home video game, better known as Pippin. Price: $ 499.

Year 1997
Tiger Electronics issued a video game handheld, game.com. In 1998 Sega released the home video game Sega Dreamcast in Japan. Nintendo released Game Boy Color color handheld video games. The system is compatible with cartridges from the early Game Boy. World of Atari, which the following year became known as the "Classic Gaming Expo", was first held in Las Vegas. Hasbro Interactive bought Atari for $ 5 million.

Year 1999
Sega released the Sega Dreamcast in the USA on 9/9/1999. Price: $ 199. SNK released the Neo-Geo Pocket colored handheld video game.

Generation 5. Sega Dreamcast


Sixth Generation (2000-2013)
Despite launching a new console, but in fact Nintendo and SEGA still can't beat Sony's Playstation sales. Even in 2000, Sony was increasingly rampant with the release of Playstation 2 DVD-based with a much better display than all Nintendo and SEGA consoles. The presence of the Playstation 2 finally left far the gaming technology of the two companies that competed in previous generations. The only console that can compete with Sony is Microsoft's Xbox. This intense competition also made SEGA admit its defeat and they would rather concentrate in the field of making console games.

Despite getting new rivals, Microsoft's Xbox was still unable to compete with the Playstation 2 competition. In that era, the Playstation 2 was the highest selling peak for game consoles.

Year 2000
Sony releases home video games, PlayStation 2. Price: $ 299.

Year 2001
Microsoft released their first home video game, Xbox. Price: $ 299. Nintendo released GameCube home video games. Price: $ 199. Nintendo video game handheld Game Boy Advance.

Generation 6. Xbox

GTA game on the Xbox

Seventh generation (now)
Due to the increasingly sophisticated technology in the field of technology, then the 3 biggest console companies (Sony, Nintendo, and Microsoft) are releasing their next-generation console the latest output. Sony released a next-gen console named PS3 (Playstation 3), then Nintendo with Nintendo Wii then Microsoft with Xbox 360. In this generation online game systems or games involving many players were connected to their consoles and the abandonment of single games. player.

God of war Game on PS4

PS4 cosole

Even though the Xbox display is very sharp and high quality, it turns out that the Xbox game can't beat the popular Playstation 2. So far Sony has launched Playstation version 3, and followed by version 4.

Development of Game Handhelds
The growing popularity of the game made various electronic companies try to make new breakthroughs. Among them is making a small game machine, which can be carried anywhere. Later, consoles were made mini, similar to handhelds, of course, this was a major breakthrough that should not be forgotten in the history of the game.

1976-1979, the history of this pocket video game began, some devices from Mattel were released to the market, but not so popular. Similarly, the Milton Bradley handheld was thrown into the market.

1980-1984, Japanese companies began to explore the handheld market, but still the same results. This continued until 1984. At that time, a name that was certainly familiar until now, Game Boy, appeared. This Nintendo handheld is in great demand and has been named the first handheld in the world with a successful sales figure.

1989, Atari ended the era of black and white handhelds. Its flagship product, Atari Lynx, brings a new dimension. This is the first handheld that is capable of displaying colors, as well as simple 3D animation.

1990, the world of handhelds became increasingly crazy, NEC, the leading electronics company in Japan, made handhelds capable of rendering 3D animation more complex, because it applied 3D graphics concepts to PCs (personal computers). Handheld is different generation: 1. Sony PSP, 2. GamePark XGP, 3. GamePark GP32, 4. Atari Lynx, and 5. NEC TurboExpress.

1994, Since that year, game manufacturers have increasingly been conducting research for handhelds. Sega released Game Gear and a year later, Nintendo updated its product with the Super Game Boy. In fact, Sega manufactures a screenless handheld, Mega Jet, to be implemented on airplanes to entertain passengers. Nintendo Virtual Boy followed, complete with its 3D glasses, which are now being replicated to complement various 3D graphics product packages.

1995, there was an idea to shrink the size of the console, starting with Sega Nomad. This console requires Sega Mega Drive cartridges, but it is small in size, therefore it is classified as a handheld.

1996, Neo Geo Pocket appeared, followed by several variations of Game Boy Pocket and Game Boy Color, which continued to innovate every year.

1998-2000, Sony released the PocketStation and gave a big surprise in the console world. This handheld has a visual quality that is far better than other handhelds on the market. One of Nintendo's frontman, Gumpei Yokoi, decided to leave and join Bandai, then released WonderSwan and WonderSwan Color. Nokia NGage QD, the business of the Nokia mobile phone manufacturer penetrated the gaming industry.

2001, the GP32 Game Park appeared. This Korean-made handheld is very unique, in addition to multimedia features, the owner can design his own applications and games for the GP32. Nintendo also released the Game Boy Advance in the same year. In fact, Nokia's mobile phone manufacturer is no stranger to you, releasing the Nokia N-Gage handheld. This is a cellphone as well as a gaming device that is complete with multimedia features and interconnectivity, such as Bluetooth. And also this year, Game Boy Advance SP was released with a beautiful, solid and solid model.

2004-2006, Sony released the first handheld to use a disc named PSP and was accompanied by the presence of the Nintendo DS, which uses the concept of dual screen. Followed by Game Boy Micro and XGP Game Park. The Nintendo DS Lite and Pelican VG Pocket Caplet are the latest handhelds that are thrown into the market.

Mobile & Online Generation Games
This is the most exciting generation game because there are many games / games developed for mobile purposes such as Flash Games, Web Version Games, Android Version Games and with the support of web technology, the HTML5 Version of the Game is emerging which has been increasingly developed since 2012.


Reference:

Jumat, 25 Januari 2019

INTRODUCTION TO OIL AND GAS INDUSTRY (UPSTREAM, MIDSTREAM & DOWNSTREAM)


INTRODUCTION TO OIL AND GAS INDUSTRY 
(UPSTREAM, MIDSTREAM & DOWNSTREAM)

As we know the uses of Oil & Gas in Our Life there are Transportation Fuel (gasoline, diesel fuel, jet/aviation fuel, marine fuel oil/MFO, natural gas vehicle/NGV, high speed diesel/HSD), Power Plant Fuel (natural gas, compressed natural gas/CNG, diesel fuel), Household Fuel (heating oil, liquefied petroleum gas/LPG, kerosene), Petrochemical Products (plastic, fertilizer, synthetic fiber, synthetic rubber, insecticides, pharmaceuticals, detergent, paints, creams, solvent, industrial chemical, industrial gas, etc), Asphalt / bitumen

 Oil & Gas in Our Life

Oil & Gas Early History
Oil & gas had been used for centuries like ancient peoples worshipped sacred fires (eternal flame) fuelled by natural gas seeping to the surface through pores and cracks. About 6000 BC, thick gummy asphalt was used to waterproof boats and heat homes.  About 3000 BC, the Egyptians used asphalt in the construction of the pyramids, to grease axles of the Pharaoh’s chariots, and as an embalming agent for mummies & medicines. When whale oil (extracted from whale fat), the main source of lamp fuel in early 1980, became scarce, a new source is introduced by distilling natural petroleum seeps and coal into lamp oil / kerosene.

Modern Oil & Gas Industry
The First refinery begun in 1846 when Abraham Gessner of Nova Scotia, Canada, invented a process to produce kerosene for lamp from coal. In 1858, James Miller Williams , a 39 year old carriage maker from Ontario, Canada, made the first major commercial oil discovery in North America at Oil Springs, Ontario, Canada. He struck oil at a depth of only 18 m by drilling in "gum beds" in Lambton County, 25 km southeast of Sarnia. Williams refined the oil he produced and sold the product as lamp oil. In 1859, Colonel Edwin L. Drake discovered oil in Titusville, Pennsylvania by drilling to 21 m. This discovery marked the birth of the modern petroleum industry in the United States.  The invention of the gasoline engine (1885) and diesel engine (1892) boosted the refineries industry to produce gasoline and diesel fuel.

UPSTREAM
“The upstream segment of oil and gas is also known as exploration and production, or E&P, because it encompasses activities related to searching for, recovering, and producing crude oil and natural gas.”

Finding, lifting, and processing oil & gas from subsurface into surface and ready for transportation. Also known as Exploration and Production (E&P).

 Drill well

Upstream is all about wells - where to locate them, how deep and how far to drill them, and how to design, construct, operate and manage them to deliver the greatest possible return on investment with the lightest, safest and smallest operational footprint.

Exploration
Let’s start with exploration which involves the operator obtaining a lease and permission to explore and drill from the owner of onshore or offshore acreage thought to contain oil or gas.

Then the operator must conduct geological and geophysical surveys to select the first well site to explore for, and hopefully find, economic accumulations of oil or gas. This well is often called a “wildcat well.”


 Oil and gas exploration 

Drilling
Drilling is physically creating the “borehole” in the ground that will eventually become a productive oil or gas well. This work is typically done by rig contractors and service companies in the Oilfield Services business sector. On a wellsite, there can be as many as 30-40 different service contractors providing expertise to the operator.

Wells can be relatively simple or unbelievably complex. Wells can totally vertical for miles or both deep and horizontal. There are also highly complex “J” and “S” configured wells with numerous branches, or laterals, emanating from the original, or “mother”, hole. These are called “deviated wells.”


Drilling well


Production
Finally, let’s discuss production, where reserves are “converted to cash” by maximizing the recovery of hydrocarbons from subsurface reservoirs. Essentially, production is efficiently bringing the hydrocarbons to the surface and treating them as needed to make them marketable.


Surface Production Facilities

Oil & Gas Processing Facilities

Typical production phase

Typical production phase start with ramp up period (increase production rate up to peak, normally less than a year), then plateau (maintain peak for several years, for oil production normally less than 5 years while for gas production between 5to 10 years), then declining until reach economic limit (timing when operating cost is higher than production revenue) or end of contractual period.

Plateau & decline phase can be extended by applying secondary recovery (i.e. gas injection & water injection) and tertiary recovery (i.e. chemical injection & steam injection), however cost to benefit ratio must be carefully calculated since secondary/tertiary recovery is more expensive than primary recovery.

Unconventional of Oil and Gas
Unconventional resources are defined as any resource extracted, or produced, by any method other than the traditional vertical or slightly deviated well.

The three main sources of technological breakthroughs that have made unconventional developments profitable include Horizontal drilling, Hydraulic fracturing, Subsea engineering (especially deep water production).

Unconventional of Oil and Gas

MIDSTREAM
“Midstream is the function of the oil and gas industry that provides the vital link between producing areas and the population centers where industrial, refining, and residential customers are located.”

Midstream is the function of the oil and gas industry that provides the vital link between producing areas and the population centers where industrial, refining, and residential customers are located. Field gathering, processing plants and transmission pipelines are the major assets in the midstream industry. Transportation assets include marine vessels, railroads and trucks. Storage assets exist throughout the chain.

Four major operating components of Midstream
1. Gathering
The first step in the midstream process is field gathering. Oil and natural gas production comes from thousands of wells.  Oil is moved through a “spiderweb” of smalldiameter pipelines to a central location. Here, a tank volume large enough to efficiently be sent to a refinery by truck, pipeline, barge or rail is gathered.  Natural gas is a little different. Unlike crude oil, it cannot be stored at or near the well. A series of smaller diameter pipelines moves it to a central treating or processing facility to remove water and impurities and separate out the NGLs.


Gathering

2. Processing - Fractionation
Field processing requires surface units that are designed and installed to:

  •  Measure the production rate of the oil, gas, and water from the reservoir
  •  Separate the oil and gas from the wastewater
  •  Remove any impurities
  • Temporarily store the crude or gas until it is ready to be moved.
Fractionation plants separate the high-valued natural gas liquids, or NGLs, from natural gas production. These NGLs are used as blend components in refineries and as feedstock in the manufacture of petrochemicals.

3. Transportation
After field processing, treated oil and natural gas is delivered via a huge and complex transportation, pipeline transmission and distribution infrastructure. In the US, there are hundreds of thousands of miles of natural gas, crude oil and liquids pipelines. Natural gas, which flows at much higher pressure than crude oil, is most often transported in large diameter inter and intrastate regulated pipelines.

LNG is natural gas that has been converted to a liquid for easier transport or storage. This occurs when the gas is cooled to approximately -162 degrees Celsius, or -260 degrees Fahrenheit. Large LNG vessels are used to transport natural gas for international shipments.To transport crude oil, pipelines are also the safest and most efficient shipment method. However, truck and rail are more flexible in terms of timing and being able to ship to alternative and multiple destinations.


4. Storage
Storage for crude oil and refined products is pretty straight forward. Methods include field tank batteries, product bulk terminals, refinery tanks and holding tanks. Natural gas is different. Because of its large volumes and high pressure, natural gas is generally stored underground until it is ready to be transported to market. Depleted gas reservoirs, salt caverns and aquifers are common storage facilities.

Oil Transportation – Onshore
Since most of the oil & gas field is located far from the civilization, it is crucial to deliver the crude oil & natural gas to increase its value. Initially, produced oil is stored inside wooden  barrel which then delivered by using horse carriage. It is the beginning of using “barrel” as oil volume measurement unit (1 barrel = 42 US gallon = 159 liter) . After invention of gasoline & diesel engine, horse carriage is replaced by truck & train. 

Once the volume getting bigger and the distance getting further, barrel method become uneconomic and pipeline was introduced. Pipeline is a long connected pipe to transfer liquid/gas. Pipeline characteristic is mainly defined by diameter, length, material, and thickness.

Oil Transportation – Onshore

Oil Transportation – Offshore
Normally, offshore pipeline laid on the seabed used to convey oil from offshore platform to onshore facility. However, if the distance is too far or the volume is too low, transporting liquid via pipeline can be technically and economically challenging. In this case, oil will be stored offshore (by using FPSO, FSO, or subsea storage) and then transported by using oil tanker.


Oil Transportation – Offshore

Gas Transportation
Initially, gas is considered by-product which is only disposed by burning or commonly known as flaring. Only after gas can be monetized / sold (petrochemical plant, power plant), gas transportation is required. Since natural gas cannot be stored easily like liquid, produced gas has to be delivered soon after processed by using pipeline, either onshore or offshore. However, if the distance is too far and the volume is too big, pipelines become un-economical. In this case, gas has to be transformed into liquid phase by condensing it up to -162o C in atmospheric temperature to reduce its volume by 600 times, which is known as Liquefied Natural Gas (LNG). LNG can be transported in a specially designed cryogenic tank attached to vessel (known as LNG tanker) or truck.

LNG process

Floating LNG (FLNG)

DOWNSTREAM

Refining

A portion of the industry that is responsible for the refining, distributing, and retail of petroleum products, sometimes also called Refining & Marketing (R&M). Refining means process the raw materials (crude oil & natural gas) into higher value product, either final product (ready to consume like LPG for home cooking) or intermediate product (raw material for further processing like ammonia for fertilizer). Downstream plants include oil refineries and petrochemical plants.

Oil Refinery
Crude oils are not uniform, but rather are mixtures of thousands of different compounds called hydrocarbons. Each component of each compound has its own size, weight and boiling temperature. Crude oils have low value if not processed/refined. Petroleum refining is a physical and chemical process to transform crude oils into useful products. First, crude oils are washed in a desalter and then heated.  Next, they enter the crude fractioner (tall vertical column) which separate the oil components based on each component’s boiling point without chemical reaction. From crude fractioner, crude components are further processed, sometimes involving chemical reaction, to create higher value products.

Simplified Oil Refinery Diagram

Petrochemical
Petrochemical is a chemical product derived from petroleum. Primary petrochemical are divided into 3 groups based on their chemical structures :

  • Olefins includes ethylene (C2H4), propylene (C3H6), and butadiene (C4H6). Ethylene and propylene are important sources of industry chemicals and plastic products. Butadiene is used in making synthetic rubber. Olefin is produced by fluid catalytic cracking of petroleum fraction or steam cracking of natural gas liquid.
  •  Aromatics includes benzene (C6H6), toluene (C7H8), and xylenes (C8H10) or BTX. Benzene is a raw material for dyes and synthetic detergents. Benzene and toluene is used in making polyurethanes. Xylenes is used to produce plastics and synthetic fibers. Aromatics are produced by catalytic reforming of naphtha.
  • Synthesis gas is a mixture of carbon monoxide (CO) and hydrogen (H2) used to make ammonia and methanol. Ammonia is used to make the fertilizer urea and methanol is used as a solvent and chemical intermediate.


Petrochemical Simplified Diagram

Fluid Catalytic Cracking is a chemical process using liquid catalyst to create new, smaller molecules from larger molecules (cracking) to make gasoline and distillate fuels. Steam Cracking is a chemical process using steam to thermally cracked the feedstock into lighter hydrocarbon.

Marketing
Downstream consumers includes commercial and retail consumers. Commercial consumers includes petrochemical & industrial manufacturers, utilities (especially power plant), transportation fleets (airlines, trucks, vessels), and municipalities. Downstream industry may also only involve in distribution and sales of petroleum product, either to commercial or retail consumer, without having any plant.

Downstream product pricing, especially mass product like gasoline, highly depends on oil price. However, specialized product like racing lubricant is less sensitive to oil price.


Downstream product



References:

  • Aryanto R., Puput, 2017, Introduction to Oil and Gas Industry Upstream Midstream Downstream, slide share presentation
  • EKT Interactive, Inc., 2017, Introduction to Upstream, Oil 101 series, Book 1
  • EKT Interactive, Inc., 2017, Introduction to Midstream, Oil 101 series, Book 2
  • EKT Interactive, Inc., 2017, Introduction to Downstream, Oil 101 series, Book 3