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Understanding Oil & Gas Business

1. Which among the following have highest centane number?

1. Iso-paraffins
2. Naphthenes
3. Normal paraffins
4. Olefins
5. Aromatics

2 The main processing blocks ofmoilfields is/are

1. Separation of oil, gas and water
2. Treatment of water before it can be discharged safely meeting environment requirements
3. Dehydration of oil and gas to remove water
4. Metering and pumping of oil
5. All of the above

3 Safety guidelines for CNG users immediately check cylinder/kit safety certificate are:
1. After the kit fitment, the workshop must issue a safety certificate that the conversion kit has has
been fitted in safe and proper manner.
2. Certificate issued by the dealer should have the details of Cylinder Make & No. and Re-testing
Date.
3. CNG Company will check the kit safety certificate before filling CNG , every time as a safety
measure.
4. All CNG users will need to carry their fitment certificate
5. CNG cylinders are required to be tested and certified for use after every five years.

4.Supervisory Control and Data Acquisition systems are distinguished from traditional control systems
1. By their extensive use of telemetry to link physically isolated measurement and control points
2. Generation of current raw database and processed data base
3. The program allows the operator to determine optimum product distributions based on current
economic conditions
4. The program allows the operator to calculate new control set points to achieve optimum
performance
5 The internal corrosion is prevented
1. By ensuring that there is no condensation of moisture in the pipeline
2. By the formation of anodic and cathodic sites on the body of the pipeline
3. by ensuring that there is no hydrogen produced during the process
4. All of the above

6 Acetylene is of petroleum origin produced by cracking of

1. Ethane
2. Methane
s
3. Naphtha
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4. Either 1 or 3

7 In Which of the following process, air and water are injected into the oil reservoir in alternate cycles?
1. In situ combustion
2. Gas Injection
3. Gas Lift
4. Steam Injection

8 In land- locked refineries, receipt of crude is normally by

1. Road tankers p
2. Railway tankers
3. Marine tankers
4. Pipeline

9 For safety reasons, however, an odorant called ------- is added to natural gas, so that any leak can be
easily detected because of the typical smell.
1. Nercaptan
2. Mercaptan
3. Sulphur
4. Cercaptan

10 High pressure steam can be used as utility steam for heating various process streams
1. true
2. false

11 A set of valves and flanges along with pipe header supported by steel structure, from where the
pipeline carrying oil, gas or any other material starts.
1. pig
2. Pipeline End Manifold
3. Single Buoy Mooring
4. Master Control Station

12 Ethane as feedstock produces mainly

1. Propylene
2. Butylene
3. Butadiene
4. Ethylene

13 A family of hydrocarbon that are typical components of gasoline.

1. Diesel
2. Octane
3. Heptane
4. Centane

14 Oil and gas as produced in the field is not transportable and does not meet customer specification.
1. true
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2. false

15 In its pure state, natural gas is

1. Odourless
2. Colourless
3. Tasteless
4. All of the above

16 The first step in exploration of oil obviously is

1. Entering into contract
2. Lease agreement
3. Obtaining licenses from the governments
4. Any of the above

17 On an average, the cost of oil exploration, development and operation comes around US dollar -------
per bbl.
1. Ten to twelve
2. Five to Ten
3. Two to twelve
4. Two to Five

18 Which of the following is held jointly by government and private entities

1. Haldia Petrochemicals Ltd
2. Reliance Industries Ltd
3. National Organic Chemical Industries Ltd
4. Indian Petrochemical Corporation Ltd

19 Which among the following will occur on a limited number of process inputs and will cause
production to stop, but will leave the systems in such a state as to facilitate a prompt restart?
1. Emergency shutdown
2. Temporary Shutdown (TSD)
3. Process Shutdown
4. All of the above

20 Dynamic model predicts responses of various equipment and process parameters due to any change in
1. Feedstock quality or quantity
2. Operating conditions
3. Utility parameters
4. Price of products
5. All of the above

21 The intermediate petrochemicals are synthesized

1. From ethylene derivatives
2. From base petrochemical
3. From the primary processing of cracking
4. From polymarization
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22 The unit cost of marine transport is primarily a function of

1. The capital cost of the tanker
2. Distance
3. The financing terms
4. Acceptable rate of return
5. All of the above

23 Geophysicists measure the properties and patterns of sub-surface rock strata by

1. Magnetic Survey
2. Gravity Survey
3. Seismic Survey
4. By knowing the velocity at which energy travels through rocks of different types
5. By measuring the time it takes for the energy to be reflected to the surface

24 Who developed one of the earliest thermal cracking processes?

1. Thomas Merriam Burton
2. William Merriam Burton
3. George Merriam Burton
4. Andrew Merriam Burton

25 Crude oil from indigenous sources is brought to the refinery by

1. Onshore pipeline
2. Subsea pipeline
3. Tankers
4. Pipelines

26 Which methods are tried after the water injection.

1. Enhanced Oil Recovery
2. Efficient Oil Recovery
3. Filters
4. Sucker Rod Pumps

27 Vinyl chloride is made by reaction of ethane with -------

1. Ethylene
2. Methyle
3. Ethane
4. Chlorine

28 To make ------- nitrogen produced by liquefaction of air and distillation, is reacted with the hydrogen.
1. Methane or Naphtha
2. Ammonia
3. Hydrogen Sulphide
4. Synthesis gas
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29 Which among the following is recovered from underground reservoirs, normally 1000 – 5000 meters
down the earth.
1. Petrol
2. Crude Oil
3. Well fluid
4. Carbon dioxide

30 Which among the following is used where either pipeline has got to cross the sea or the land is
inaccessible?
1. Pipelines
2. Onshore pipeline
3. Subsea pipeline
4. Tankers

31 Liquified natural gas upstream comprises of gas treatment and liquefaction steps
1. true
2. false

32 For bulk movement of ------- pipeline is often the most economical way of transportation.
1. Ethane
2. Hydrocarbon,
3. Methane
4. Carbon dioxide

33 These are possible causes that could potentially release the hazard and produce an incident.
1. Threats
2. Incidents
3. Hazards
4. Emergencies

34 Which of the following are zeolite granules manufactured under controlled conditions to create
microscopic pores at its surface?
1. Molecular sieves:
2. Calorific value
3. Absorption processes
4. Adsorption processes

35 Which of the following considerations start from conceptual stage of a project to operation and
abandonment stage?
1. Health
2. Safety
3. Environment
4. All of the above
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36 Which of the following tanks are used for highly volatile liquid, that can boil at normal ambient
pressures and temperatures?
1. Dome roof tanks
2. Floating roof tanks
3. Dome roof tanks
4. Rectangular tanks

37 The shift pattern in offshore vary from ------- in one shift.

1. Seven days to fifteen days
2. Ten days to fifteen days
3. Seven days to eight days
4. Six days to ten days

38 A higher cracking temperature does not favors the production of

1. ethene
2. benzene
3. propene
4. None of the above

39 Polymerization processes are carried out in the presence of a using organic mercaptans as the
polymerization

40 A very popular method used for low-pressure shallow wells is

1. In-situ Combustion
2. Sucker Rod Pumps
3. Primary Production
4. Gas Lift

41 Which of the following is an organization formed in 1961 to administer a common policy for the sale
of petroleum?
1. Organization of Petroleum Importing Countries
2. Organization of Petroleum Exporting Countries
3. Organization of Oil Exporting Countries
4. Organization of Petrol Exporting Countries

42 Crude oil is popularly known as

1. Well fluid
2. Oilfield
3. Petroleum
4. Petro Chemical
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43 It identifies data critical to the management of health and safety.

1. Safety audit
2. Risk determination
3. Process flow scheme
4. Process shutdown system

44 In steam reforming natural gas is first treated to remove traces of

1. Hydrogen Sulphide
2. Carbon Dioxide
3. Ammonia
4. Hydrogen

45 The regenerator operates at a temperature of about

1. 715 degree centigrade
2. 615 degree centigrade
3. 115 degree centigrade
4. 15 degree centigrade

46 Which of the following are widely used for the storage of many petroleum and chemical products?
1. Dome roof tanks
2. Floating roof tanks
3. Dome roof tanks
4. Rectangular tanks

47 Crude oil has a boiling range of around ------- degree centigrade

1. 200 to 600
2. 400 to 600
3. 40 to 600
4. 40 to 60

48 Naphthenes consist of carbon rings, with/without side chains

1. true
2. false

49 This signifies ignition quality of the gasoline in automobile engines.

1. Flash point
2. Octane Number
3. Vapour Pressure
4. Pour Point
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50 Petrochemical intermediates are generally produced by

1. Chemical conversion
2. Derivative products
3. Physical conversion
4. Ethylene

51 Petrochemicals consume ------- of the world’s oil production to give high value products.
1. A major fraction of seventy to eighty percent
2. Only a tiny fraction five to six percent
3. Good fraction of fifty percent
4. None of the above

52 Which of the following is the process of chilling the gas to moderately low temperatures to prevent
further condensation in the pipeline?
1. Liquefaction of gas
2. Gas dehydration
3. Gas sweetening.
4. Dew Point Depression

53 There are -------- tank wagons used to transport LPG all over India.
1. Four wheeler and eight wheeler
2. Two wheeler and four wheeler
3. 4 wheeler and Six wheeler
4. Eight wheeler and twelve wheeler

54 Which of the following is made by cracking ethane?

1. Ethylene
2. Butane
3. Ethane
4. Oxane

55 Several tankers are hauled in tandems are called

1. Chain tankers
2. Pig
3. Rakes
4. None of the above

56 Seismic Survey is used to draw subsurface maps using ------- waves.

1. Sound
2. Water
3. Light
4. Liquid
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57 In traditional -------- loading the product is loaded by inserting a loading arm from the top through the
open manhole in the tank compartment of the vehicle.
1. Pig
2. Bottom
3. Top
4. Tanker
58 Most of the free water comes out of the crude oil in the certain liquid paraffins

59 Which of the following is used for transportation on land and also along the bed of sea
1. Marine Tankers
2. Barges
3. Pipeline
4. Road and Railway Tankers

60 It is preferable to store a product below its -------

1. Octane Number
2. Pour Point
3. Flash point
4. Boiling Range

61 The world's first refinery opened at

1. India
2. United States
3. Nazi Germany
4. Ploiesti
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Understanding Natural Gas Business

Assignment – 2
1 The Advantages of LPG are -
1. Very less carbon build-up increases life of engine parts like spark plugs- Less carbon build up
automatically increases the life of any engine and because life is increased machine work more
faster.
2. Service life of a vehicle increases with LPG- Though less carbon is being emmitted service life and
quality of the vehicle automatically increases.
3. Little or no damage to soil and water if it is spilled, due to its rapid evaporation- Because of less
pollution in the environmentthere is very little damage to soil and water.
4. Fueling is akin to that of conventional diesel or gasoline and time needed is also similar.
5. Reduction in emissions - Because of less pollution in the environment emission is very less.

2 The physical properties of the fluidsdealing with in natural gas processing are -
1. Importance in the design of equipment and facilities to handle these fluids.
2. No Importance in the design of equipment and facilities to handle these fluids.
3. Importance in the oil ans gas and facilities to handle these fuels.
4. None of the above

3 Projections such as the EIA's foresee –

1. Worldwide stable shares for coal at around 41% and renewables (mainly hydro) at around 19% in
the mix of fuels for central electricity generation while there will be a switch of 3-4% from nuclear
to natural gas.
2. Oil demand for electricity generation will grow by about 1.8 mbd, instead of 3.2 mbd, which would
have been the increase if oil had retained its share of the generating markets.
3. Almost half the 'lost' oil demand is in the Middle East, as oil-exporting countries increase the use of
domestic gas in order to release oil for export.
4. Further erosion of the projected demand for oil for electricity generation could result from more
aggressive pricing and supply of new sources of gas
5. The switch will be higher in the OECD where nuclear plants built will be approaching the end of
their useful life over the next decades, and conventional forecasts have assumed that their share will
be compensated by natural gas Combined Cycle Turbine Generators

4 Synchronizing the Re-gasified LNG terminal with the main transmission pipeline involves :
1. Qualitative analysis of the risks including development of how accident occur, an evaluation of
their probability of occurrence.
2. Risk analysis is required to be conducted on both gas transmission pipeline and related facilities,
including the pigging station.
 Page 11 of 18

3. Quantitative analysis of the risks including development of accident scenarios, an evaluation of

their probability of occurrence, a risk assessment and a description of safety measures adopted to
ensure the integrity of the pipeline and public safety.
4. None of the above

5 The gas transportation charges along the HVJ pipeline system were fixed at ------- cubic meter (tcm)
based on the recommendations of the Sankar Committee.
1. 1,150 per thousand
2. 2150 per thousand
3. 3150 per thousand
4. 4150 per thousand

6 Some tariffs include a ------- clause, which provides for a set charge over a period of time, which serves
to limit the under-recovery of capital, or fixed costs.
1. Maximum bill clause
2. Average bill clause
3. Minimum bill clause
4. None of the above

7 One volume of gashydrates releases about ------- of methane and 0.8 volume of fresh water at standard
temperature and pressure.
1. 134 volume
2. 144 volume
3. 154 volume
4. 164 volume

8 A ------- may be conducted by plotting individual risk iso-contours on a map illustrating the path
of the gas pipeline.
1. Risk identification
2. Risk generation
3. Return generation
4. Risk quantification

9 In the year 2008 India's focus on natural gas production has been shiften from Mumbai to -------.
1. Calcutta
2. Bay of Bengal
3. Delhi
4. Hyderabad

10 When released, compressed natural gas will mix with air and become flammable only when the
mixture is within ------- natural gas.
1. 0 to 10 percent
2. 5 to 15 percent
 Page 12 of 18

3. 10 to 20 percent
4. 15 to 25 percent

11 The McKinsey & Co. had submitted draft recommendations in a report titled Developing a Pipeline
Regulatory Regime for India.
1. true
2. false

12 Gas Transmission Europe is -------

1. It is the organisation that gathers the transmission system operators.
2. It is the organisation that gathers the generation system.
3. It is an institute that gathers the education system operators.
4. None of the above

13 Under the current pricing mechanism, GAIL collects ------- every year from natural gas consumers on
behalf of the gas pool account.
1. 1.5 billion
2. 2.5 billion
3. 3.5 billion
4. 4.5 billion

14 The ------- , on the other hand, involves derivatives and sophisticated financial instruments in which
the buyer and seller never take physical delivery of the natural gas.
1. Physical trading
2. Financial trading
3. Non physical trading
4. Non financial trading

15 Majority of LNG trade occurs in Asia-Pacific, with the main ------- countries being Malaysia,
Indonesia and Australia.
1. Importing
2. Exporting
3. Parallel
4. None of the above

Germany
16 Based on Fisher- Tropsch the developed early in the 20th century, and widely deployed to
create synthetic fuel in World War 2

17 Statistics of ------- Journal of January 2011 show that India has approximately 5.7 billion barrels of
proven oil reserves.
1. Oil and Gas
2. Power trading
 Page 13 of 18

3. Energy and Petroleum

4. Coal and Gas

18 A ------- has the advantage of market maturity, established complex infrastructure and possibly many
suppliers
1. Developed market
2. Developing market
3. Underdeveloped market
4. None of the above

19 Future fuel choice is largely dependent on the ------- in the power generation sector.
1. Technological degradation
2. Technological advancement
3. Consumption of Oil
4. Production of Oil

20 A ------- is an Indian food security system which distributes subsidized food and non-food items to
India's poor.
1. Private distribution system
2. Public distribution system
3. Semi government system
4. None of the above

21 Risk management operations are:

1. Risk management operations are quite complex, and rely on complex statistical, mathematical, and
financial theory to ensure that risk exposure is kept under control.
2. Risk management operations are easy to handle and are very simple, sometimes risk exposures are
not under control.
3. Risk management operations are not under control and sometimes because of this companies face a
lot of problems.
4. Government has made compulsory for every company to have risk management department so that
if any problems occurs in the company it can be solved by this department.

22 GAIL initiated :
1. Techno-economic feasibility studies for gas distribution in the metro cities of Mumbai and Delhi
through Sofragaz & British Gas respectively
2. Financial-economic feasibility studies for gas distribution in the small cities of Madhya Pradesh and
Chattisgarh through Sofragaz & British Gas respectively
3. Technical feasibility studies for gas distribution in the villages of Calcutta and Orissa through
Sofragaz & British Gas respectively
4. Techno-economic feasibility studies for gas distribution in international countries through Sofragaz
& British Gas respectively
23 Gas transportation through pipeline or liquefied natural gas is comparatively more expensive than that
of oil. Why ?
 Page 14 of 18

1. This is due to the fact that capital extensive equipment is not required to overcome the higher
energy density of gas.
2. This is due to the fact that capital intensive equipment is required to overcome the lower energy
density of gas.
3. Reconciliation of political and economic interests is needed in case of long distance gas pipelines
which cross several countries.
4. Reconciliation of political and economic interest is not needed in case of long distance gas pipeline.

24 Gas Producer can be -

1. The entity, or a consortium of entities, privately or state owned, or in some combination thereof,
which is responsible for producing the gas and in most cases also for its processing into an
acceptable marketable quality.
2. The entity, or a consortium of entities, privately or state owned, or in some combination thereof,
which is not responsible for producing the gas and in most cases also for its non processing into non
acceptable marketable quality.
3. Gas producers are those manufacturers who produces gas and than supply it to local customer. They
do thos to make profit.
4. Gas producers produces gas and supply in India as there are no gas producers in India.

25 A mid-size interstate pipeline consisting of ------- miles pipe in the 20-inch diameter range will contain
two to three billion cubic feet of line pack.
1. 1000-3000
2. 3000-5000
3. 5000-7000
4. 7000-9000

26 The major ------- marketers are the 'big players', offering a full range of services, and marketing
numerous different products.
1. Internationally intergrated
2. Nationally intergrated
3. Geographically intergrated
4. Physically intergrated

27 he ------- can be with or without periodic review and are most often used with short-term gas contracts.
1. Variable unit price
2. Fixed unit price
3. Reversible unit price
4. Irreversible unit price

28 Commencement is-
1. A beginning or start
2. A end or finish
3. Middle point of any thing
4. None of the above

29 Coal supplies about ------- percent of world electricity generation, though the share varies according to
local coal availability.
1. 20
 Page 15 of 18

2. 30
3. 30
4. 50

30 Gas consumption and fuel choices are affected by the ------- policies and instrument types used for
implementation.
1. Private
2. State
3. Government
4. Multinationals

31 With the help of the prevalent technology, resources which can be economically produced are called --
----- .
1. Unproved reserves
2. Proved reserves
3. Natural reserves
4. Un-natural reserves

32 Shell has built a 12,000 bbl/day plant in 1993 in Bintulu, ------- .

1. Thailand
2. Singapore
3. Bangkong
4. Malaysia

33 The ------- was reframed as “Petroleum and Natural Gas Regulatory Board Bill”.
1. Petroleum regulatory board bill
2. Gas regulatory board bill
3. Petro-chemical regulatory board bill
4. Electricity regulatory board bill

34 Most natural gas comes from three types of wells: natural gas-and-condensate wells, oil wells, and coal
bed methane wells.
1. true
2. false

35 In which year there was rapid decline in Worldwide Natural Gas Production?
1. 2006
2. 2007
3. 2008
4. 2009

36 Production Planning and Control, Production Logistics and Work Organization play an increasingly
important role in order to reduce wasted time and to increase ------- .
1. Profit
 Page 16 of 18

2. Sales
3. Productivity
4. None of the above

37 The ------- has developed a commercial F-T system from natural gas feedstock.
1. Sasol
2. Shell
3. Exxon
4. Syntroleum

38 The existing gas pipeline infrastructure spans ------- km.

1. 6069
2. 6169
3. 6269
4. 6369

39 The using up of a resource is called -------.

1. Production
2. Consumption
3. Producer
4. Consumer

40 Multi Commodity Exchange of India Ltd. (MCX) located at ------- .

1. Indore
2. Mumbai
3. Calcutta
4. New Delhi

41 Trading in the physical market involves a certain degree of ------- .

1. Risk
2. Return
3. Income
4. Expenses

42 All gas pipelines will be built on ------- principle

1. Basic principle
2. Common carrier
3. Nuclear principle
4. Similar principle

43 The ------- has definite shape and is not compressible

1. Solid
 Page 17 of 18

2. Liquid
3. Gases
4. None of the above

44 The conversion of ------- into liquid fuels is an attractive option to commercialize abundant gas
reserves.
1. Natural gas
2. Oil
3. Petroleum
4. Solar

45 The ------- is a clean, high octane, abundant and eco-friendly fuel.

1. CPG
2. LNG
3. LPG
4. CNG

46 Full form of ONGC is

1. Oil and Gas Corporation
2. Oil and Natural Gas Corporation
3. Natural Gas and Petroleum Corporation
4. None of the above

exclusivities
47 CGD networks in developing gas markets generally have in terms of laying, operating and
marketing of gas.

48 Natural gas emits ------- percent fewer carbon emissions than coal.
1. 23
2. 33
3. 43
4. 53
Coalification
49 In the process for formation of coal from vegetable matter, very large volumes of
methane are also formed.

50 As per the pricing order, GAIL has been allowed 1% increase in the HVJ transportation tariff for every
10% increase in the ------- Index.
1. All India Consumer Price
2. All India Producer Price
3. All European Consumer Price
4. All European Producer Price
 Page 18 of 18

51 A ------- are small stations catering to the needs of even those areas where Pipeline cannot reach.
1. Adult station
2. Mothers station
3. Child Station
4. Daughter station

52 In ------- contract the seller agrees to supply individual buyer.

1. Demand
2. Supply
3. Sale
4. Purchase

53 A ------- outlets to the CNG pipeline network running (existing/proposed) throughout the length &
breadth in city/high way.
1. Adult station
2. Daughters station
3. Mothers station
4. Family station

54 GAIL is the ------- gas transmission and marketing company in the country.
1. Smallest
2. Medium
3. Largest
4. Third

55 A ------- basis is where the seller is responsible and pays for the loading the cargo.
1. CIF
2. LNG
3. FOB
4. FBA

56 The business model for the LNG industry has been the same as that for the ------- .
1. International Pipeline Trade
2. National Pipeline Trade
3. Geographical Pipeline Trade
4. Distributional Pipeline Trade