Executive Summary
University of Utah
Masters of Science in Petroleum Engineering
01/28/2013
Program Description
The proposed Masters of Science degree in Petroleum Engineering will be a 33 credit hours, sixteen-month
(September through December of the following year) program of course work, practical field and design
work, and a substantial research project resulting in a project-based thesis (internal publication only). The
degree will be housed within the Department of Chemical Engineering. The course work will involve
petroleum engineering fundamentals and advanced topics, fundamental petroleum geologic concepts as
well as exposure to constraints on energy technologies (geopolitical and economic considerations,
environmental issues). The motivation and intent is a program that will meet the needs of students,
including working students, industry, the state and the nation. Teaching would be collaboratively done with
primarily the Department of Chemical Engineering, Energy & Geoscience Insititute (EGI) and Department
of Geology and Geophysics.
To meet the needs of the anticipated local ,national, and international students, classes will be offered
through class room lectures and distance education. Short-term field studies and projects will require all
students to participate locally. The University of Utah currently has a MS Chemical Engineering program
with a project-based thesis requirment that can be completed with distance education. The thesis is
defended, but it is not published through the Univeristy. All of the departments in the college of engineering
offer non-thesis Master of Science degrees. This degree is very much in line with those programs.
Role and Mission Fit
The Department of Chemical Engineering has recently received increased interest in its petroleum-related
offerings. Furthermore, students involved in specific, petroleum-related programs have indicated the need
for a more fitting title for their degree. Industry has also observed that “retraining” engineers with more
petroleum-related courses is essential. It is clear that the name “petroleum” is needed for individuals
trained in this specific area and that this degree will fill a particular niche due to its research collaborations
with EGI.
Students will learn from, and collaborate with, faculty and industry professionals who are at the forefront of
their disciplines. The program is an excellent example of collaborative scholarship, accelerated to meet the
demands of the state and the nation. It embodies domestic and international involvement and explictily
incorporates social responsibility. This degree will give exposure of the Department's research to an
international corporate audience which, in turn, will strengthen the department’s research in the areas of
Petroleum Engineering.
Faculty
The proposed degree is based in the College of Engineering. The qualified ChEn faculty available to
participate in this MS degree include: Milind Deo (Professor, Chemical Engineering); John McLennan
(Associate Professor, Chemical Engineering); Richard Roehner (Associate Professor [Lecturing], Chemical
Engineering); and Ian Walton (Adjunct Professor, Chemical Engineering). EGI will be an essential partner
due to the impressive industrial expertise and distance education experience of its faculty (i.e., R. Sorkhabi
and Bill Keach). The Geology and Geophysics Department will participate by teaching one course and by
participating in the projects as appropriate.
Both on-campus and distance education students will take the courses in this program. Total enrollment in
the production and reservoir engineering courses may grow to the point that additional sections of these
courses must be added. To support the teaching needs of the program, an additional faculty member will
be hired. The Dean of the College of Engineering and the state-wide Utah Technology Initiative Advisory
Board have supported our request for this position with the idea that the new program brings additional
students and distance education opportunities to the state. In-house faculty are recognized experts in
petroleum and natural resource engineering and will be able to lecture, mentor, advise and participate in
this program without supplementary development.
Market Demand
Alumni and industrial colleagues have encouraged the Department of Chemical Engineering to develop
graduate-level Petroleum Engineering courses (see letters of support). In addition, the U.S. Energy
Information Administration projects that the United States and the world will continue to rely on petroleum
for decades. These advocates and the Department of Energy (DOE) emphasize the following:
The department needs to offer a degree in Petroleum Engineering. While Chemical Engineering
currently has an emphasis on energy, industrial advisors insist that it must offer a degree, as
opposed to a certificate or other specialty designation.
Three students from Quester recently gained MS degrees in Chemical Engineering through a
professional MS. They studied in Petroleum Engineering related areas but expressed the need for
a degree that is entitled “Petroleum Engineering.”
Innovative engineers are needed in new energy sectors to manage conventional and
unconventional opportunities efficiently and in an environmentally responsible manner.
Demographics suggest that large numbers of engineers will soon be needed to fill the positions of
those who will soon retire. In the petroleum industry, this is often colloquially known as the Great
Crew Change.
There will be a continuing demand for petroleum.
Student Demand
In addition to industrial support, in a spring 2012 survey of 70 juniors in Chemical Engineering, students
indicated a strong interest in petroleum engineering. Students are requesting additional electives, and the
enrollment in petroleum electives is strong. In the spring of 2012, the enrollment in two existing petroleum-
related courses offered in Chemical Engineering was over 30 students with 2/3 undergraduates and 1/3
graduate. Department alumni working in the oil and gas industry have reviewed the program, and their
suggestions have been incorporated. Local and national companies have indicated their interest in the
program (see attached letters of support).
Statement of Financial Support
Appropriated Fund ....................................
Special Legislative Appropriation .............
Grants and Contracts ................................
Special Fees/Differential Tuition ...............
Other (please describe) .............................
2
On-campus students will pay the regular University of Utah tuition and the College of Engineering
differential tuition. Distance-education students will join the program through continuing education by
paying special fees. A new faculty slot has been given to the department through the Engineering Initiative.
Similar Programs Already Offered in the USHE
There are no similar programs in the USHE. The program is not an attempt to duplicate others, but to
create a new educational experience, unique in Utah and in the United States. A similar program exists at
Imperial College, London, United Kingdom. A key is the synergy between people in the Department and
EGI, not replicated anywhere else. The department anticipates a strong statewide collaborative effort
because of:
Collaboration with Uintah Basin Applied Technology College offers hands-on training as needed
for oil and gas field operations.
Strong partnership to USTAR - strategically well positioned to act on the state’s critical energy
needs
Existing collaborations between the Department and EGI.
Distance education features will allow Utah energy professionals to participate statewide
Program Description
University of Utah
Master of Science in Petroleum Engineering
09/01/2012
Section I: The Request
The University of Utah requests approval to offer an “executive” Master of Science in Petroleum
Engineering effective fall 2013.
Section II: Program Description
Complete Program Description
The MS degree in Petroleum Engineering is a sixteen-month program of course work, practical field and
design work, and a project (September through December of the following year) which results in a project-
based thesis. A written report and oral presentation are required, but the thesis is not published beyond the
department. The course work involves petroleum engineering fundamentals and advanced topics,
fundamental petroleum geologic concepts as well as exposure to constraints on energy technologies
(geopolitical and economic considerations, environmental issues). A minimum of 33 semester hours is
required.
Purpose of Degree
Justification for this request is based on several factors.
Student Interest: Based on a spring 2012 survey of our 70 juniors, interest in petroleum
engineering is increasing and students are requesting additional courses. Current enrollments in
Production and Reservoir Engineering elective courses are 31 and 35, with approximately 1/3 of
the enrollees being graduate students and 2/3 under graduates. Clearly the topic is one of interest
to our students. However, industry has stated that a certificate or specialization is not adequate to
3
meet their needs for placement. The program must be a degree with Petroleum Engineering in the
name.
Societal Contributions: Engineering students are appreciating the fact that energy is an important
component in their discipline. They are asking for more exposure to energy related courses
because there are jobs in the energy sector and because they feel that they can make a difference
by working in this field. The petroleum industry is also diversifying into cleaner energy alternatives
and graduates will have opportunities in these sectors once they are within a particular company.
Accelerated Contribution to Employer: A 2008 human resources benchmark study prepared for
SPE [sic, Society of Petroleum Engineers] by Schlumberger Business Consulting shows that the
fastest companies take six to seven years to develop new employees into professionals who can
work autonomously, because of the complex decision-making and ability to exploit advanced
technology needed by today’s professionals. The report concludes that human capital is the
longest lead-time component of E&P [sic: Exploration and Production] delivery.”
1
The professional
MS program will reduce this development period.
Aging Workforce and Employment Opportunities:
We have all heard about the “great crew change,” the coming decade in which 50% of
experienced and managerial personnel of international oil companies industry wide are expected to
retire. While this will not all happen on a single day, it will create simultaneous gaps of
unprecedented proportions in the staffs of many international and national oil companies.”
2
“An aging workforce and the “big crew change” in the oil and gas industry have been widely
publicized as a disaster waiting to happen. So much publicity has been given to this topic that
many oil and gas executives that I have spoken with have become desensitized; they no longer
see the “crew change” as a looming threat. This is understandable since this was supposed to
have started several years ago and companies are actually laying off employees now rather than
struggling to find new employees. But the crew change is upon us; however, likely delayed due to
the poor economy. Many senior employees are postponing retirement trying to rebuild their
retirement funds and waiting for the economy to stabilize. For 10 companies the results suggest
that between 30% and 46% of the total companies’ current workforces are likely to retire by 2019.”
3
Meets the Needs of the State of Utah: This is a reasonable venture for a state university,
particularly in Utah, recognizing that hydrocarbon-based resources (oil, gas and coal) provide
significant royalty support to state (second only to tourism); and further recognizing an underlying
public desire for environmentally appropriate extraction and use of these resources. Natural gas
activity in the state is poised to expand, conditional on ultimate increases in commodity pricing.
Utah also provides a natural geologic classroom for students. There are abundant unconventional
hydrocarbon sources (oil shale, oil sands, and unminable coal) and the program is designed to
promote effective, environmentally sound development. “Sound” development can be achieved in
a variety of ways, including reduced surface footprints, recovery methods that require less water
and vehicular emissions, and improved monitoring.
Meets the goals of the Department’s Strategic Plan: The proposed program will certainly
increase the visibility of the department internationally. Much of the research underway for
petroleum engineering is a result of work with companies. The projects and students will help
foster additional research which could potentially transfer to our PhD program. In addition, an
1
www.spe.org/press/docs/SPE_WhitePaper_GraduateHiring2010.pdf
2
www.spe.org/jpt/print/archives/2011/04/16TalentTechnology.pdf
3
http://www.jptonline.org/index.php?id=357
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additional faculty member helps us meet the increasing interest in this area at the BS, MS, and
PhD level.
As evidenced by the letters of support, the department anticipates a strong statewide collaborative effort
with:
Uintah Basin Applied Technology College offers hands-on training as needed for oil and gas field
operations.
Strong partnership to USTAR - strategically well-positioned to act on State’s critical energy needs
Existing collaborations between the Department and the University’s Energy and Geoscience
Institute (EGI).
Distance education features which will allow Utah energy professionals to participate statewide.
Institutional Readiness
As indicated in the Executive Summary, with faculty strength, the University of Utah is already positioned
with expertise to offer the program. The researchers at EGI and the Departments of Chemical Engineering
and Geology and Geophysics currently co-advise students on petroleum-related projects. One new faculty
member was approved as part of the Engineering Initiative funding for 2012, and will enable us to continue
to deliver our undergraduate electives in this area while maintaining a cohort of professionals within the
program. Space and startup funding are available for this new hire. Initially, the program will use existing
advising and administrative staff within the department. As the program grows, an additional person will be
hired for the program.
The Department of Chemical Engineering has a history of graduate education using distance learning tools.
A previous collaboration existed with ATK for PhD and MS students. This program is an off shoot of our
successful implementation of that curriculum. In addition, a project-based thesis MS (course credit is given
in Advanced Design) is already in place and operational. While the thesis is reviewed and presented, it
does not get published by the University and is only an internal publication.
The faculty of the Department of Chemical Engineering has been involved in the process of the formation of
this degree. In April 2012 the concept was presented to the faculty and, in turn, our Industrial Advisory
Board (IAB). The IAB unanimously and enthusiastically supported the. Additional details and discussion
occurred during our annual faculty retreat, August 15, 2012. Comments and recommendations were
integrated from faculty and additional feedback from some industrial contacts. A final vote was taken at our
faculty meeting on September 21, 2012, and it was approved to move forward.
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Faculty
The faculty will comprise tenure/tenure-track faculty, professionals working in EGI (full-time non-tenured),
and lecturing faculty in the department. In addition, faculty from Geology and Geophysics will teach, but
they are not included in the numbers below. Differential tuition will help with costs associated with having
adjunct faculty (lecturing and research) teach the courses. The existing faculty will contribute only a portion
of their FTE to the program.
Faculty Category
Faculty
Headcount
Prior to
Program
Implementatio
n
Faculty
Additions
to
Support
Program
Faculty
Headcount at
Full Program
Implementatio
n
With Doctoral Degrees
Full-time Tenured
2
1
3
Full-time Non-Tenured
5
0
5
Part-time Tenured
Part-time Non-Tenured
With Master’s Degrees
Full-time Tenured
Full-time Non-Tenured
1
1
Part-time Tenured
Part-time Non-Tenured
1
1
With Bachelor’s Degrees
Full-time Tenured
Full-time Non-Tenured
Part-time Tenured
Part-time Non-Tenured
Other
Full-time Tenured
Full-time Non-Tenured
Part-time Tenured
Part-time Non-Tenured
Total Headcount Faculty
Full-time Tenured
2
1
3
Full-time Non-Tenured
6
0
6
Part-time Tenured
1
1
Part-time Non-Tenured
Total Department Faculty FTE (As
reported in the most recent A-1/S-11
Institutional Cost Study for “prior to
program implementation” and using
the A-1/S-11 Cost Study Definition for
the projected “at full program
implementation.”)
3.25 1 4.25
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Staff
The program will leverage the support staff already within the Department of Chemical Engineering and
EGI in the short term. As the program becomes more established, staff will be hired to aid in administration
and advising.
Library and Information Resources
Library facilities at EGI and at the Marriott library will be appropriate for the proposed program (see letter of
support). In addition, the department, EGI and research groups subscribe to one-petro, an on-line digital
database with about 250,000 articles and papers.
Admission Requirements
The program is designed for students with a B.S. degree in engineering, typically, chemical, mechanical,
civil or geological engineering. Entering students without industrial experience will be expected to take the
GREs. Professor McLennan will oversee admissions to the program with guidance from the Departmental
Graduate Committee. Exceptions to a B.S. in engineering will be handled on a case-by-case basis,
particularly for students in the industry. For foreign students, the results of the TEOFL test will be used to
establish English competency as is the current graduate school requirement.
Student Advisement
The Department has a full-time advisor and a faculty Graduate Director. Students meet with the graduate
advisor when they arrive on campus and the advisor keeps track of paperwork and helps students stay on
track. The department will hire a TA/part-time advisor to enroll and track students in the program. As more
students become involved, the department anticipates the need to hire an additional staff for advising and
marketing.
Justification for Graduation Standards and Number of Credits
Thirty-three credit hours are required. The proposed 16 month course schedule is outlined below. The
schedule could be extended in exceptional circumstances, on a case-by-case basis.
Coursework (24 Credit Hours)
Engineering Basics for Petroleum Engineers (3 credits). [Fall]
This will be taught by the new faculty member that is being recruited currently.
o Rock mechanics for petroleum specialists
o Fluid mechanics for petroleum specialists
o Thermal engineering for petroleum specialists
o Principles of chemistry for petroleum specialists
Midstream and Downstream Petroleum Engineering (3 credits) [Fall]
The course will cover pipeline and refinery engineering.
Petroleum Geology (3 credits) [Fall]
This course will cover fundamental aspects of geology that are important to a petroleum engineer.
This course will cover fundamental aspects of geology that are important to a petroleum engineer.
This includes relevant stratigraphic concepts, rudimentary geochemical concepts appropriate for
exploration, structural geologic basics and their relevance to drilling, production and reservoir
management. Reservoir characterization methodologies are introduced.
Drilling and Field Operations for Engineers and Geologists (3 credits) [Spring]
7
This will be two term-length courses (Production Engineering I and II, CH EN 6157 and 6159)
which are currently taught. The coursework includes all facets of well construction, including
drilling, cementing, acidizing and hydraulic fracturing; onshore and onshore for conventional and
unconventional applications.
Reservoir Engineering (3 credits) [Spring]
This will be the current semester length course (CH EN 6155). It includes the fundamentals of
reservoir engineering principles and will include the basics for modern reservoir simulation with
hands on simulation experience.
Petroleum Production Engineering (3 credits) [Spring]
This will be taught in four modules. These modules will be:
o Well testing and pressure transient analysis
o Logging and in-well measurements
o Pumping and surface facilities
o Operational safety
Energy and Society (3 credits) [Summer]
o Environmental and legal considerations for petroleum specialists
o Co-location and resource utilization
o Environmental impact of drilling and hydraulic fracturing
o Air and water quality considerations and waste minimization
Simulation (3 credits) [Summer]
This course, will use the visualization center at EGI, a unique facility, to take generic and library
three-dimensional geologic models and use these to develop rationale drilling programs, to develop
and simulate completion and stimulation campaigns and to use commercial and in-house reservoir
simulators to infer production and provide options for future reservoir management (waterflooding,
workover…). The intent is to use engineering simulators to optimize exploitation in various geologic
environments.
Field Study (3 credit hours) [Summer]
Each student will be required to spend at least two weeks in the summer in the Uintah basin on a
field study. The study will be coordinated by EGI. EGI runs a number of field trips a year and is
uniquely positioned to offer thematic field trips to students; for example, carbonates or shales or
tight sands. The field trips will consist of studying outcrops and other exposures. As appropriate,
the data and insight from the field studies will be integrated into the project.
Project (6 credit hours)
Each student will need to select a project within the first semester. The project will have specific
petroleum engineering applications upstream, midstream or downstream. This is a research-
based project with a required written, peer-reviewed report. The project will be spread out over the
16 months with a focus during the last four months. Students will be required to present their
project to a committee of three faculty.
External Review and Accreditation
Not required.
8
Projected Program Enrollment and Graduates; Projected Departmental Faculty/Students:
Please note that some classes will still be offered to the undergraduates and graduate students; and the
courses will be in separate sections.
Expansion of Existing Program
N/A
Section III: Need
Program Need
On the recommendations of alumni, industrial associates and the requests of students (see letters of
support), this new degree program is intended to:
Provide energy-related opportunities for students currently employed in petroleum producing or
related organizations, or anxious to enter those same organizations
Data Category
Current Prior
to New
Program
Implementation
Projected
Year 1
Projecte
d
Year 2
Projecte
d
Year 3
Projecte
d
Year 4
Projected
Year 5
Number of
Graduates in
Proposed Program
N/A 0 10 25 45 65
Total # of Declared
Majors in Proposed
Program
N/A 10 15 20 20 20
Total Department
Faculty FTE (as
reported in Faculty
table above)
3.25 4.25 4.25 4.25 4.25 4.25
Total Department
Student FTE (Based
on Fall Third Week)
0 10 15 20 20 20
Student FTE per
Faculty FTE (ratio of
Total Department
Faculty FTE and
Total Department
Student FTE above)
0 2.3 3.5 4.7 4.7 4.7
Program
accreditation-
required, if
applicable:
None
9
Hydrocarbon production will be a critical energy component for the next few decades at a
minimum. This degree recognizes the national interest related to energy security.
The national interest is also served by students who recognize the environmental and legal
aspects of hydrocarbon production and who recognize pathways and requirements for
environmental stewardship.
The need from a state perspective relates to an educated work force that can assist in
developing Utah’s abundant fossil fuel resources with a reduced energy footprint.
Significant ancillary research funding opportunities are envisioned with the relationships
developed between the University and these professional students.
Students recognize the opportunities associated with petroleum engineering and recognize the
opportunities for implementing greener technologies that are possible if they are employed by
larger multi-energy organizations.
With demographics in the petroleum industry showing the requirement for engineers because
of retirements, this is an excellent employment opportunity.
Labor Market Demand
Alumni and industrial colleagues have encouraged the Department of Chemical Engineering to develop
graduate level Petroleum Engineering courses. Estimates indicate that the United States will continue to
rely on hydrocarbons for decades. These advocates emphasize the following:
Half-measures are inadequate. This Degree needs to have “petroleum” branding Industrial
colleagues have been clear that this must be a degree and that the degree must have the
name “petroleum engineering” as opposed to specialty designation or certificate within
Chemical Engineering.
Local and multinational oil and gas companies have shown support for a Master’s degree in
Petroleum Engineering at the University of Utah.
Track Record - Three students from Questar recently gained MS degrees in Chemical
Engineering through our non-thesis Master’s program. These were all in Petroleum
Engineering related areas.
Innovative engineers are needed to manage conventional and unconventional sectors
efficiently and responsibly. The dramatic change in resource recovery methods in the United
States adds to the need for engineers trained in unconventional recovery..
Demographics suggest that large numbers of engineers are needed to fill anticipated
retirements. In the petroleum industry, this is often colloquially known as the Great Crew
Change. Data from Schlumberger Business Consulting suggested that by 2014 there would be
a 5,000 person shortage of qualified petrotechnical staff over the age of 35.
The fossil energy sector is expected to play a dominant role in energy supply over the next decades.
These degreed students will have flexible enough backgrounds to participate in these petroleum-related
ventures as well as low-carbon, green energy efforts by the same multinational and domestic organizations
that would hire them as petroleum engineering specialists.
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Student Demand
In a spring 2012 survey of 70 juniors in Chemical Engineering, students indicated a strong interest in
petroleum engineering. Students are requesting additional electives and the enrollment in petroleum
electives is strong. In the spring of 2012, the enrollment in two existing petroleum-related courses offered in
Chemical Engineering was:
Course
Name
Undergraduate
Enrollment
Graduate
Enrollment
Total
Enrollment
CH EN5155/
6155
Reservoir
Engineering
24 11 35
CH EN5157/59
6157/59
Production
Engineering
22 10 32
With this level of interest, the department believes it will be able to attract 15 on-campus students
consistently. This program will also expand this interest to industry professionals that need additional
training to work within petroleum areas. Courses will be aggressively marketed using the distance
education model. Various local and national companies have been consulted regarding the program and
its content. The companies have been very responsive to the plan. The department believes that the
program will attract 10-15 distance education students on a consistent basis.
Similar Programs
There are no similar programs in the USHE. There is a similar program at Imperial College, London,
United Kingdom. The program is not an attempt to duplicate others, but to create a new educational
experience unique in Utah and in the United States. It will be differentiated by its broad, robust curriculum,
field study, and interactions with EGI and industry.
Collaboration with and Impact on Other USHE Institutions
Due to the fact that there are strong unconventional resources in the state, the program expect
collaborations with other institutions, specifically:
Collaboration with Uintah Basin Applied Technology College offers hands-on training as needed
for oil and gas field operations.
Strong partnership to USTAR - strategically well positioned to act on state’s critical energy needs
Strengthen existing collaborations between Department and EGI
The program is a combination of distance education (targeted toward international students and
working professionals outside of the Salt Lake metropolitan area), cohort experiences, and a two-
week field study. Engineers within the state will also be targeted as a method of developing their
skills in a new field.
Benefits
There is an inescapable need for fossil fuel over the next decades and the mutual requirement for
engineering talent to participate in more efficient recovery and use of hydrocarbons with a smaller footprint
(energy, carbon, carbon dioxide, surface disturbance minimized). In conjunction is the requirement to
develop alternative energy sources meeting evolving societal criteria. The benefits to the individual are an
accelerated pathway to contributing to a secure energy future, the flexibility, and intellectual guidance to
implement change in hydrocarbon and other energy production. These are collaterally tangible benefits to
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the state and the university. There is a substantial employment opportunity and this is coupled with the
opportunities to make a difference in energy extraction processes.
Consistency with Institutional Mission
The Department of Chemical Engineering has seen a large interest in its petroleum-related offerings.
Furthermore, the students involved in specific, petroleum-related programs have indicated the need for a
more fitting title for their degree. Industry has also seen that “retraining” of an engineer toward more
petroleum-related courses is a need. It is clear that the name “petroleum is needed and that the
Department could have a particular niche due to its close collaborations with EGI and the expertise of that
organization. For these reasons, the Department has formed the proposed program and its structure.
The proposed program will accelerate dissemination of knowledge through teaching, effective presentation
in the classroom and in the field, and will provide technology transfer with dissection of the knowledge and
principles associated with those technologies. Students will learn from and collaborate with faculty and
industry professionals who are at the forefront of their disciplines. The program is an excellent example of
collaborative scholarship, accelerated to meet the demands of the state and the nation. It embodies
domestic and international involvement and explictily incorporates social responsibility.
12
Section IV: Program and Student Assessment
Program Assessment
The goals for the program and the metrics for success are as follows.
Accommodate growing enrollment;
Continue to recruit from major companies, internationally and locally;
Ensure that the program is financially solvent;
Increase research opportunities and funding through faculty, student and corporate involvement.
This involves working with student projects.
Expected Standards of Performance
There is no deviation from standards already in place for the Graduate School of the University of Utah and
the Department of Chemical Engineering. In particular:
All coursework must be completed with no grade less than C and an overall average of B.
A project-based thesis is required. It must reflect six credit hours of effort and there must be a
written report with oral presentation of the contents. A committee of three faculty review the written
and oral work of the student. This group decides on the award of the Advanced Design credit.
Use of any proprietary or confidential information needs to be agreed upon at the commencement
of the project work and an agreement must be in place. The work is an internal publication only.
Section V: Finance
Budget
In addition to two regular and one instructional faculty with this area of expertise, the department is in the
process of recruiting a new faculty. An additional faculty search (not specifically in this area) is also
underway. Funding has been approved and searches are underway for the new faculty. These additions
will enable us to readjust teaching loads to deliver the program without significant effect on the faculty
teaching load. The program will enroll students for on-campus classes and offer these classes by distance
education. The department has offered this type of instruction to students from the industry interested in an
advanced degree. A number of students have graduated from the department by using this method. For
budgetary purposes, it is assumed that the program is able to enroll on the average five (5) distance
education students. The distance education piece is expected to increase to 10-15 students as the
program grows. However, from a budgeting standpoint, conservative estimates are used. The on-campus
number of students is expected to grow from five to 15 as the program goes into the fifth year for a total of
20 students. If additional revenue is realized, it will be used to support the core graduate mission of the
department.
To involve the industrial expertise of EGI, faculty members from the institute have been included in
teaching various courses. They are considered auxiliary faculty and must be compensated. While this is an
additional cost, they will provide a unique industrial connection to students in the program. A budget of
$20,000 per class, four classes expected, has been estimated for the classes and field study.
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The distance education model is something that we have used in the department for several years.
Courses will be taped and streamed so that the distance education students will have access to the
material at their convenience. The cost of taping and streaming courses is $2,000/course.
In the field studies course, students will be expected to spend at least a week in the field studying and
gathering data. The field trip costs are estimated at $3,000/student - $340 for transportation, $1,680 for
hotel accommodations and $980 for meals and incidentals for a 14-day trip. The students are expected to
pay a course fee to cover the field-trip costs.
5-Year Budget Projection
Departmental Data
Current
Budget
Prior to New
Program
Implementation
Year 1 Year 2 Year 3 Year 4 Year 5
Personnel Expense
Salaries & Wages
0
80,000
80,000
80,000
80,000
80,000
Benefits
0
28,800
28,800
28,800
28,800
28,800
Academic Coordinator
0
15,000
20,000
25,000
30,000
30,000
Total Personnel Expense
0
$123,800
$128,800
$133,800
$138,800
$138,800
Non-personnel Expense
Field Studies
0
$30,000
$45,000
$60,000
$60,000
$60,000
Continuing Education
0
5,500
5,500
5,500
5,500
5,500
Distance Education Streaming
0
16,000
16,000
16,000
16,000
16,000
Miscellaneous program
management
0 1,000 2,000 3,000 3,000 3,000
Total Non-personnel Expense
$52,500
$68,500
$84,500
$84,500
$84,500
Total Expense
(Personnel + Current)
$0
$176,300
$197,300
$218,300
$223,300
$223,300
Departmental Funding
Year 1
Year 2
Year 3
Year 4
Year 5
Distance Education Fee
0
$137,500
$137,500
$137,500
$137,500
$137,500
Engineering differential tuition
0
$10,395
$20,790
$31,185
$31,185
$31,185
Field Studies Fee
0
$30,000
$45,000
$60,000
$60,000
$60,000
Total Revenue
$0
$177,895
$203,290
$228,685
$228,685
$228,685
Difference
Revenue - Expense
$0
$1,595
$5,990
$10,385
$5,385
$5,385
Departmental Instructional
Cost/Student Credit Hour*
(as reported in institutional Cost
Study for “current” and using the
same Cost Study Definition for
“projected”)
$ $ $ $ $ $
* Projected Instructional Cost/Student Credit Hour data contained in this chart are to be used in the
Third-Year Follow-Up Report and Cyclical Reviews required by R411.
14
Funding Sources
The funding source will be distance education fee ($2,500/course), engineering differential tuition
($63/credit hour for 6000-level courses) and a course fee expected at $3,000/student for field studies as
described above. The field studies cost will be adjusted according to the real costs incurred.
Reallocation
None.
Impact on Existing Budgets
None.
Section VI: Program Curriculum
All Program Courses
All the courses are listed below. New ones are also included. Not that the existing courses will have
separate sections to meet the demands of other students, undergraduates and graduates, who are not in
the program.
Course Prefix
and Number
Title
Credit
Hours
Required Courses
CH EN 6161
Engineering Basics for Petroleum Engineers
3
CH EN 6157, 6159
Drilling and Production Operations
4
3
CH EN 6155
Reservoir Engineering4
3
CH EN 6167
Petroleum Production Engineering
3
CH EN 6165
Midstream and Downstream Petroleum Engineering
3
CH EN 6163
Petroleum Geology
3
CH EN 6156
Simulation
3
CH EN 6158
Energy and Society
3
CH EN 6171
Field Study
3
CH EN 6169
Advanced Design: Petroleum Engineering Project
6
Sub-Total
33
Elective Courses
Sub-Total
Track/Options (if applicable)
Sub-Total
Total Number of Credits
33
New Courses to Be Added in the Next Five Years
The degree program is new and many of the courses will be new courses implemented in the first year.
Modifications, additions, and improvements will follow as appropriate from faculty insight and student
feedback. Below is a detail of the courses and when they are offered. Also in the list are existing courses.
4
Existing courses
15
Program Schedule
Semester Course
Course Title and Description
Credit
Hours
Fall
Year 1
CH EN
6161
Engineering Basics for Petroleum Engineers: This will be
taught in five modules. The intention is that all degree
participants be nominally on the same level by the Spring
Semester, whether they have come from a science or an
engineering background. The five course modules are:
1. Fluid mechanics for petroleum specialists including porous
medium, multiphase flow
2. Rock mechanics for petroleum specialists
3. Thermal engineering for petroleum specialists
4. Principles of chemistry for petroleum specialists
3
CH EN
6163
Petroleum Geology. Petroleum Geology: This course will
cover fundamental aspects of geology that are important to a
petroleum engineer. This includes relevant sedimentary,
stratigraphic, and geochemical concepts appropriate for
exploration, structural geologic basics and their relevance to
drilling, production and reservoir management. Reservoir
characterization methodologies are introduced.
3
CH EN
6165
Midstream and Downstream Petroleum Engineering. Often
lost in the glamor of exploration are the midstream pipelines,
transportation, pumping; and the downstream refining
aspects of petroleum engineering. The Department of Chemical
Engineering has a strong and supportive relationship with local
pipeline and refining organizations. A key component of this is
Nodal Analysis and couplin
g to subsurface constraints and
variability.
3
Spring
Year 1
CH EN
6157/
6159
5
Drilling and Field Operations: This will cover the basics of
drilling, completions, and stimulation. The specifics may be
catered to the background of the student and their particular
specialties
for example, their employer specializes in offshore
activities. The format of the class is designed to enfranchise
students and take advantage of previous experience in these
areas. The coursework includes all facets of well construction,
including drilling, cementing, acidizing and hydraulic fracturing,
onshore and onshore for conventional and unconventional
applications.
3
CH EN
6155
5
Reservoir Engineering: This existing course covers the basics
of single and multiphase fluid flow and flow phenomena that are
required for a production or a reservoir engineer. It includes the
fundamentals of reservoir engineering principles and will include
the basics for mode
rn reservoir simulation with hands on
simulation experience.
3
5
Existing courses
16
CH EN
6167
Petroleum Production Engineering:
Pumping, Wellhead and Surface Operations. After hydrocarbon is
at the surface and before it enters the pipeline there can be
complex processes required for separation of fluids and ensuring
that the product is ready for transportation by truck, pipeline.
Well testing and pressure transient analysis
Logging and in-well measurements
Monitoring (microseismicity and tracers)
Operational safety
3
CH EN
6169
Advanced Design
2
Summer
Year 1
CH EN
6171
Field Study. Petroleum geologic principles are best illustrated by
surface exposures. The same can be said for engineering
components such as pipeline facilities, drilling operations and
refining operations.
3
CH EN
6158
Energy and Society. Environmental and legal considerations for
petroleum specialists. Economics, risk and PRMS (Petroleum
Resource Management Systems)
3
CH EN
6156
Simulation: In this course, we will use the visualization center at
EGI, a unique facility, to take generic and library three-
dimensional geologic models and use these to develop rationale
drilling programs, to develop and simulate completion and
stimulation campaigns and to use commercial and in-house
reservoir simulat
ors to infer production and provide options for
future reservoir management (waterflooding, workover …). The
intent is to use engineering simulators to optimize exploitation in
various geologic environments.
3
Fall
Year 2
CH EN
6169
Advanced Design
4
Total
33
Section VII: Faculty
Qualified faculty are prepared to participate in this executive MS Program. These include:
Milind Deo, Professor, Department of Chemical Engineering, and Associate Dean of Academic
Affairs, College of Engineering
(Ph.D. 1987, Chemical Engineering, University of Houston) Deo is a petroleum engineering
specialist and recognized leader in reservoir modelling. In addition, his administrative experience
will be useful for student advising, curriculum development and program assessment. He currently
teaches courses on reservoir engineering and will teach this course in the program (CH EN 6155)
John McLennan, USTAR Associate Professor, Department of Chemical Engineering
(Ph.D. 1980, Civil Engineering (Rock Mechanics), University of Toronto) McLennan has 30 years of
industrial experience in drilling, resource assessment, and hydrocarbon recovery. He currently
17
teaches courses in production engineering which encompass these aspects and he will teach this
course (CH EN 6157/9)
Richard Roehner, Associate Professor (Lecturing), Department of Chemical Engineering
(Ph.D. 2000, Chemical & Fuels Engineering, University of Utah) Roehner is a well-known and
authoritative consultant on midstream and downstream activities, encompassing, pipeline
transportation of hydrocarbons and refineries. He will teach CH EN 6165.
Ian Walton, Research Professor, Department of Chemical Engineering, EGI
(Ph.D. 1972, Applied Mathematics, Manchester University) Walton’s areas of expertise include fluid
mechanics, near-wellbore geomechanics, rock-fluid interactions, unconventional gas production
and mathematical modeling. He has more than 20 years at Schlumberger and has taught
numerous courses at Imperial College and for EGI.
Rasoul Sorkhabi, Research Professor, Department of Civil and Environmental Engineering, EGI
Ph.D., 1991, Geology, Kyoto University) Global Structure and Tectonics expert with 22 years’
experience (Japan National Oil Company) and EGI. Sorkhabi has run major global projects for
industry from Utah and Wyoming to India, Africa, and SE Asia. In addition, he is the author of
numerous books and has taught short-courses. He has extensive expertise on structures and
faults.
Bill Keach, Research Scientist, EGI
(M.S. 1986, Geophysics, Cornell University) Keach has 28 years of geophysical experience,
starting at Cornell, to BP and then at Landmark (as head of the GeoProbe global product line). He
is currently teaching at the BYU master’s program and has taught for the Univeristy of Utah’s
Geology and Geophysics department. He has expertise is the visualization capabilities at EGI and,
as such, will team teach CH EN 6156.
Lauren Birgenheier, Assistant Professor, Department of Geology and Geophysics
(Ph.D. 2007, Geoscience, University of Nebraska-Lincoln) Birgenheier’s research interests lie at
the intersection of sedimentary geology and geochemistry. Recently, she has been working on
mud-dominated depositional systems that are of interest as unconventional, shale gas or shale oil,
resources.
Lisa Stright, Assistant Professor, Department of Geology and Geophysics
(Ph.D. 2011, Interdisciplinary Geosciences, Stanford University) Stright’s research focuses on
combining quantitative observations from modern, outcrop and subsurface processes and deposits
with geostatistical modeling. The goal is to expand our understanding of how to build predictive
geospatial models for the purpose of more efficient hydrocarbon exploration and recovery.
Additional Faculty Requirements
A new faculty member with expertise in Petroleum Engineering is required. A search for this person,
whose home department is Chemical Engineering, begins Fall Semester 2012. This person will teach CH
EN 6167, Drilling Production.
18