JPT Spe

JOURNAL OF PETROLEUM TECHNOLOGY www.spe.
org/jpt
FEBRUARY 2014
F E B R UA RY 2 0 1 4 VO LU M E 6 6 , N U M B E R 2
Carbon Dioxides
Unconventional
Possibilities
DRILLING TECHNOLOGY
OFFSHORE FACILITIES
WELL TESTING
NANOTECHNOLOGY
JOURNAL OF PETROLEUM TECHNOLOGY
FEATURES
Electric-Powered Subsea Systems

Largest, Most Complex Subsea
Development
Digitizing E&P
Managing SEMS Audits
Feb14_JPT_Cover.indd 1
1/15/14 3:41 PM
Vx Spectra
SURFACE MULTIPHASE FLOWMETER
Full-spectrum, single-point measurement

for the most accurate production fow rates.
Only the Vx Spectra fowmeter captures the complete spectrum of gamma energy levels at high frequency from a
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Tested for robustness and accuracy at third-party reference facilities, the fowmeter acquired more than 400 fow loop
test points in a variety of fuids, fow regimes, and pressures, with results confrming excellent metrological performance.
Find out more at
slb.com/VxSpectra
Vx Spectra is a mark of Schlumberger. 2014 Schlumberger. 13-TS-0206
Schlum_IFC_jpt.indd 1
1/14/14 8:45 AM
Volume 66 Number 2
20 G
uest Editorial Digitizing E&P:
Accelerating the Pace of Change
The oil and gas industry is a major driver of high-performance computing
development, particularly for upstream seismic processing and permanent
field monitoring. But exploration and production still lags behind other
industries in the use of digitization.
38 M
ore Carbon Dioxide Means More Oil
Research into whether CO2 can be used to coax billions more barrels of oil
from unconventional formations is beginning to show promise.
52 C
arbon Dioxide May Offer An Unconventional
EOR Option
Tests showing increased recoveries in the Bakken formation using CO2
could have significant implications for the upstream oil and gas industry.
58 P
ioneering Subsea Gas Compression
Offshore Norway
Cover: A long line of pipes gathers
the flow from wells in a portion

of the GLSAU field where CO2
injections are used to enhance
production. The field, now owned by
Kinder Morgan, has added deeper
wells, allowing it to produce from the
residual oil zone (ROZ) as well as the
main pay zone. Photo courtesy of
MelzerConsulting.
Performance Indices
10
Regional Update
12
Company News
14
Presidents Column
18
Comments
24
Technology Applications
30
Technology Update
34
Young Technology Showcase
36
Techbits
128
SPE News
130
People
131
Professional Services
135
Advertisers Index
136
SPE Events
Printed in US. Copyright 2014, Society of Petroleum Engineers.
ContentsFeb14.indd 1
The worlds first full-scale subsea gas compression system is the final
stages of construction and is on schedule to be installed in the sgard gas
field offshore Norway by years end.
66 D
eveloping Long-Distance Power-Distribution
Systems
Over the next decade, the number of electrically powered subsea systems
in operation around the world will increase as companies adopt new
technologies to produce oil and gas offshore more efficiently.
72 M
anagement Managing SEMS Audits:
Past, Present, and Future
Oil and gas companies are adapting to new safety regulations governing
operations in the US Gulf of Mexico.
127 Drilling Conference Covers Depth and Breadth

of Industry
A preview of the 2014 IADC/SPE Drilling Conference and Exhibition in Fort
Worth, Texas.
An Official Publication of the Society of Petroleum Engineers.
1/17/14 11:09 AM
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1
1
9/12/13
9/10/13 12:44
5:17 PM
PM
Rhino RHE
DUAL-REAMER RATHOLE
ELIMINATION SYSTEM
SonicScope is a mark of Schlumberger. 2014 Schlumberger. 13-DT-0227
TECHNOLOGY
76
Drilling Technology
Mike Weatherl, SPE, Drilling Adviser, Hess
77
ECD-Management Strategy Solves Lost Circulation Issues
82
Annular-Pressure Losses While Casing Drilling
86
Managed-Pressure DrillingA Solution for Challenging Wells
inVietnam
90
Re-Engineering and Upgrade of a Semiautomated 3,000-hp
DrillingRig
94
Offshore Facilities
Ian G. Ball, SPE, Technology Advisor and Project Manager, Intecsea
95
Deepwater Floating Production Systems in Harsh Environments
Offshore Norway
98
Turret-Mooring-System Experience and Enhancements in the
AtlanticFrontier
101
Offshore Dry-Docking of FPSOs
i-DRILL system design ensures

reamer placement does not interfere
with RSS directional capabilities.
104 Well Testing

Angel G. Guzmn-Garcia, SPE, Independent Energy Consultant
105 Integrated Well-Test Strategy in Unconventional Tight Gas Reservoirs

108 New Techniques in Interpretation of Closure Pressure in the
MontneyFormation
112 Pressure-Transient Testing of Low-Permeability Multiple-Fracture

Horizontal Wells
116
Nanotechnology
Niall Fleming, SPE, Leading Adviser for Well Productivity and
Stimulation, Statoil
117
Application of a Nanofluid for Asphaltene Inhibition in Colombia
120 Nanotechnology Applications for Challenges in Egypt
123 High-Performance Water-Based Drilling Fluids Offshore Cameroon
Dual-reamer system
enlarges rathole, avoids
arun, and saves 16 hours
on a deepwater rig.
Rhino RHE rathole elimination system
enlarged 178 ft of rathole while drilling
adeepwater well in the Gulf of Mexico,
saving 16 hours of rig time. The RhinoRHE
systems dual-reamer process uses a
hydraulically actuated reamer positioned
above the MLWD tools to open the pilot
hole and an on-demand reamer located
near the bit to enlarge the rathole.
The dual-reamer system eliminated
a dedicated rathole cleanout run.
Read the case study at
slb.com/RhinoRHE
The complete SPE technical papers featured in this issue are available
free to SPE members for two months at www.spe.org/jpt.
1/16/14 9:48 AM
Quality
Sustainability
Innovation
Minerao Curimbaba is a proppant manufacturer that is

focused on quality from raw material identication and
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including the most thorough SQ standards for sampling and
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testing and test procedures is the ISO 13503-2 standard
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Curimbaba Proppants are distributed all over the world
through Sintex International and Sintex North America.
Curimbaba has a global reputation for the quality products,
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Sintex_004_jpt.indd 1
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SPE Bookstore
PERFORMANCE INDICES
world crude oil production+
THOUSAND BOPD
LE
EW
T
TI
OP E C
2013 APR
MAY
JUN
JUL
AUG
SEP
Algeria
1510
1510
1510
1520
1520
1412
Angola
1855
1890
1770
1790
1770
1810
516
522
524
531
537
535
Iran
3200
3200
3200
3200
3200
3200
Iraq
3175
3075
3100
3100
3275
2825
Kuwait*
2650
2650
2650
2650
2650
2650
Libya
1450
1420
1130
1000
590
360
Nigeria
2400
2420
2270
2400
2370
2420
Qatar
1200
1200
1200
1200
1200
1200
Saudi Arabia*
9440
9640
9840
10040
10240
10140
UAE
2820
2820
2820
2820
2820
2820
Venezuela
2300
2300
2300
2300
2300
2300
32516
32647
32314
32551
32472
31672
2013 APR
MAY
JUN
JUL
AUG
SEP
Ecuador
TOTAL
Print and Digital Versions Available
THOUSAND BOPD
Non-OPEC
Reservoir Surveillance
Argentina
532
541
539
545
542
546
Jitendra Kikani
Australia
344
338
356
363
356
354
Generating economic producing opportunities in

a new or existing feld is key to the success of an
oil and gas company, and reservoir surveillance
is an important part of that process. This book
will help the reader understand the broad
spectrum of issues to consider for surveillance
and provide tools, techniques, and templates
to adapt to specifc needs. The theory behind
some of the equipment as well as data analytics
is illustrated with examples. It is essential
reading for reservoir, production, and operations
engineers and earth scientists. In addition, the
theoretical concepts discussed will help students
gain fuency in this integrated subject.
Contents
Planning
Value of Information
Well and Production Systems
Subsurface Measurement Principles
Measurement Equipment and Procedures
Data Assessment and Quality Control
Data Analytics
Special Techniques
Unconventional Reservoirs
Case Studies
Visit our online bookstore at

www.spe.org/go/books
Azerbaijan
860
870
905
890
800
890
Brazil
1923
1993
2101
1974
2011
2148
Canada
3237
3036
3156
3317
3470
3679
China
4174
4174
4244
4043
4075
4107
Colombia
1007
1013
974
1020
1031
995
Denmark
183
181
169
177
162
157
Egypt
543
541
540
538
536
534
Eq. Guinea
248
248
248
250
250
250
Gabon
238
238
237
245
246
247
India
773
776
778
766
766
767
Indonesia
Kazakhstan
Malaysia
860
856
834
811
808
795
1580
1458
1555
1586
1466
1545
506
511
522
509
508
535
Mexico
2557
2548
2559
2522
2554
2563
Norway
1395
1567
1563
1386
1648
1546
Oman
910
920
948
931
947
958
Russia
10002
10018
9955
10052
10064
10082
Sudan
115
248
336
301
277
312
71
71
71
71
61
61
Syria
UK
USA
Vietnam
Yemen
Other
827
864
783
790
629
735
7332
7298
7242
7513
7532
7794
359
348
332
325
322
322
91
90
131
133
128
110
2437
2429
2448
2432
2440
2384
Total
43276
43171
43348
43752
43528
44264
Total World
75792
75818
75662
76303
76000
75936
JPT FEBRUARY 2014
Perf_Indices_Feb.indd 6
1/16/14 7:27 AM
MULTI-STAGE COMPLETIONS
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Our QA/QC process provides 100%
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Packers_007_jpt.indd 1
1/14/14 8:41 AM
Society of Petroleum Engineers
TR AINING COURSES
PERFORMANCE INDICES
Setting the standard for

technical excellence.
Henry Hub Gulf Coast Natural Gas Spot Price*

5
4
3
2
NOV
SEP
JUL
JUN
MAY
APR
MAR
FEB
2013
JAN
DEC
2012
NOV
AUG
USD/Mil. BTUs
world crude oil pRICES (USD/bbl)
Relevant.
109.49
87.86
112.96
2012 DEC
Reliable.
102.25
111.28
116.02
2013 JAN
92.02
102.56
APR
Rewarding.
94.76
111.60
AUG
108.47
FEB
94.51
102.92
MAY
106.57
95.31
MAR
95.77
107.93
JUN
106.29
107.79
OCT
Attend an SPE training course to

learn new methods, techniques, and
best practices to solve the technical
problems you face each day.
Find out more at
www.spe.org/training.
93.86
NOV
Brent
Courses are available for

all levels of professionals.
104.67
JUL
109.08 100.54
SEP
92.94
WTI
WORLD ROTARY RIG COUNT

R EGI O N
2013
JUN
JUL
AUG
SEP
OCT
NOV
DEC
US
1761
1766
1781
1760
1744
1756
1771
Canada
183
291
368
387
378
385
372
Latin America
423
418
399
404
420
411
417
Europe
138
139
143
139
136
137
126
Middle East
389
379
362
379
383
388
405
Africa
133
128
125
119
131
135
138
Asia Pacific
250
241
238
243
245
240
249
3277
3362
3416
3431
3437
3452
3478
TOTAL
world OIL SUPPLY AND DEMAND 1

MILLION BOPD
Quarter
Get the current schedule

wherever you are. Scan here
with a QR code reader.
2013
1st
2nd
3rd
4th
SUPPLY
88.86
89.91
90.65
90.25
DEMAND
89.22
89.85
91.16
91.26
INDICES KEY
+ Figures
do not include NGLs and oil from nonconventional sources.

approximately one-half of Neutral Zone production.
Includes crude oil, lease condensates, natural gas plant liquids, other hydrocarbons for refinery feedstocks, refinery
1
gains, alcohol, and liquids produced from nonconventional sources.
Source: Baker Hughes.
* The US Dept. of Energy/Energy Information Administration discontinued its reporting of US Natural Gas Wellhead
Prices, replacing them with Henry Hub Gulf Coast Natural Gas Spot Prices.
Source: US Dept. of Energy/Energy Information Admin.

Includes
*
Society of Petroleum Engineers
Perf_Indices_Feb.indd 8
JPT FEBRUARY 2014
1/16/14 7:27 AM
1
2
3
4
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Forum_009_jpt.indd
1
2013 JPT.indd 1
1/14/14
4/1/13 8:35
4:22 AM
PM
REGIONAL UPDATE
AFRICA
with partners Octanex (22.5%) and New

Zealand Oil & Gas (12.5%).
Gas was discovered at two separate

levels in the Mronge-1 well in Block 2
offshore Tanzania. The discovery is
estimated at between 2 and 3 Tcf of
natural gas in place, bringing Block 2s
estimated total in-place volumes up to 17
to 20 Tcf. Statoil (65%) operates the Block
2 license on behalf of Tanzania Petroleum
Development Corporation, and partners
with ExxonMobil Exploration and
Production Tanzania (35%).
A new oil zone was found in the Cooper

basin, South Australia, in the Patchawarra
formation at the Worrior oil field. Senex
and Cooper Energy flowed 700,000 scf/D
of gas and 670 BOPD during production
testing of the Patchawarra formation in the
Worrior-8 well. Senex (70%) operates the
permit with partner Cooper (30%).
EUROPE
Oil was discovered at the Agete-1
Oil was discovered in the 7220/7-2S well
exploration well on Block 13T in northern

Kenya. The well, drilled to a total depth of
1929 m, encountered 330 ft of net oil pay in
good-quality sandstone reservoirs. Tullow
Oil (50%) is the operator with partner
Africa Oil (50%).
at the Skavl prospect in the Barents Sea

about 240 km northwest of Hammerfest.
The well has a proved 72-ft gas column and
a proved 76-ft oil column in the Jurassic
Tuben formation, with good reservoir
quality, and a 436-ft oil column in the
Triassic Fruholmen formation, with poor
reservoir quality. Operator Statoil estimates
the prospect holds 20 to 50 million bbl of
recoverable oil. Partners are Statoil (50%),
Eni Norge (30%), and Petoro (20%).
ASIA
Indonesia announced plans to offer 27
oil and gas blocks in 2014 in regular tenders
and direct offers. The blocks include 20
conventional blocks, six shale gas blocks,
and one coalbed methane block.
Oil was discovered at the Malida-1 well in

the G1/48 concession in the Gulf of Thailand.
The well encountered 31 ft of net oil pay
within the primary target between 2396m
and 2412 m measured depth. Mubadala
Petroleum (60%) operates, with Tap Oil
(30%) and North Gulf Petroleum (10%).
Drilling began on the YNG 3262 infill

development well in the southern Nyaung
Do area of the Yenangyaung oil field in
Myanmar. The well has a planned depth of
1646 m. The primary objective is to produce
oil from undrained portions of the several
reservoirs in this part of the Nyaung Do
fault block. Goldpetrol Joint Operating
Company (60%) operates the MOGE-1 block.
AUSTRALIA
Drilling began on the Matuku-1 well
in petroleum exploration permit 51906
offshore Taranaki basin, New Zealand.
The well, with a planned depth of 4750 m,
targets the F Sands reservoir sandstones
of the Kapuni Group. Secondary targets
are sandstones of the Kapuni Group D sand
and Pakawau Group North Cape formation.
OMV New Zealand (65%) is the operator
10
RegionalUpdateFeb.indd 10
Well 16/2-20S explored the Torvastad

prospect located in PL501 in the Norwegian
North Sea. The well, drilled to a total
depth of 2070 m, encountered a Lower
Cretaceous/Upper Jurassic sequence with
poor reservoir properties of approximately
78 ft above a water-bearing Upper
Jurassic Draupne sandstone sequence of
approximately 33 ft of excellent quality in
a 46-ft gross sequence. Lundin Petroleum
(40%) operates PL501 with partners Statoil
(40%) and Maersk Oil Norway (20%).
MIDDLE EAST
Gas was discovered at the Tamar
Southwest (SW) exploration well offshore
Israel. The well encountered approximately
355 ft of net gas pay within the targeted
Miocene intervals. The well, drilled to a
total depth of 5310 m in 1647 m of water,
is estimated to hold gross resources
between 640 and 770 Bcf of gas. Noble
Energy (36%) operates Tamar SW,
with Isramco Negev 2 (28.75%), Delek
Drilling (15.625%), Avner Oil Exploration
(15.625%), and Dor Gas Exploration (4%).
NORTH AMERICA
Oil was discovered at an exploration
well on Keathley Canyon Block 93 of the
Gila prospect in the deepwater US Gulf

of Mexico. The well, drilled to a total
depth of 8907 m, penetrated multiple
Paleogene-aged reservoir sands. BP
(80%) operates Block 93 with partner
ConocoPhillips(20%).
Oil was discovered at the Dantzler

exploration well in the deepwater Gulf of
Mexico. The well encountered more than
120 net ft of primarily crude oil pay in
two high-quality Miocene reservoirs. The
well, located in Mississippi Canyon 782,
was drilled to a total depth of 5863 m in
2006 m of water. Noble Energy (45%) is
the operator in partnership with entities
managed by Ridgewood Energy (35%)
and with W&T Energy VI (20%).
SOUTH AMERICA
Oil was discovered at the 1-BRS-A-1205RNS well, informally known as Pitu, on the
BM-POT-17 concession in the deep waters
of the Potiguar basin offshore Brazil. The
oil column was confirmed through log data
and fluid samples during drilling. Petrobras
(80%) is the operator with partner Petrogal
Brasil (20%). After obtaining approval from
the National Agency of Petroleum, Natural
Gas, and Biofuels for a farm-out agreement,
BP Energy do Brazil (40%) will become
operator of the concession, with partners
Petrobras (40%) and Petrogal (20%).
Good-quality oil was found offshore

Brazil in the subsalt Carioca field, which
might have about 459 million BOE in
recoverable reserves. A consortium,
consisting of operator Petrobras (45%),
with partners BG Group (30%) and a
joint venture (25%) between Repsol and
Sinopec, found the oil.
Spectrum and CGG jointly launched

a large 3D multiclient survey program
offshore Brazil focusing on a large
proportion of open acreage in the Foz do
Amazonas basin. The survey, which will
cover 11,220 km2, will be acquired by the
Oceanic Endeavour survey vessel.
Oil was discovered in the Leon 1

exploration well located in the Llanos
basin of Colombia. The well encountered
133 ft of net oil pay within four different
reservoirs. Canacol Energy (80%) is the
operator with partner Petromont S.A.
Sucursal Colombia(20%). JPT
JPT FEBRUARY 2014
1/16/14 7:27 AM
Subsea services
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services you need to improve uptime,
lower lifecycle costs, and increase
recovery for the life of the field.
For the life of your field.
Copyright FMC Technologies, Inc. All Rights Reserved.
www.fmctechnologies.com
FMC_011_jpt.indd 1
1/14/14 8:34 AM
COMPANY NEWS
MERGERS AND ACQUISITIONS
BreitBurn Energy Partners will acquire
additional oil and natural gas properties
in the Permian Basin in Texas for around
USD 282 million from CrownRock. The
acquisition includes approximately 93
producing wells and over 300 potential
drilling locations. Estimated average net
production is 2,900 BOE/D.
New Western Energy acquired two oil

and gas leases encompassing 600 acres
in Wilson County, Kansas, which have a
combined production of 7.5 BOPD. The first
lease consists of 440 acres with 14 existing
oil wells and three water injection wells that
currently produce at the rate of 5 BOPD.
The second lease consists of approximately
160 acres with three existing oil wells that
currently produce at the rate of 2.5 BOPD.
Kvaerner sold its onshore construction

business in North America to Matrix
Service for an enterprise value of
USD80.3million. Matrix will receive
ownership of certain assets of Kvaerner
North American Construction in the US
and the shares in Kvaerner North American
Construction in Canada.
Centor Resources purchased a 55%

working interest in shale oil resources in
the Pasquia Hill region of Saskatchewan,
Canada. The assets are estimated to hold
more than 1.1 billion bbl of recoverable oil in
leases that span 21,658 acres.
MOL Hungarian Oil & Gas agreed to pay

BASF USD 375 million for North Sea oil and
gas assets. MOL will acquire 14 licenses on
the UK continental shelf from BASFs oiland-gas unit Wintershall. The transaction
is expected to close in the first quarter
thisyear.
design for Statoil with additional options

for work in later phases.
GOL Offshore signed a USD115million

contract with Oil & Natural Gas
Corporation for the reconstruction of BPA
andBPB, two gas processing platforms off
the west coast of India. GOL Offshore will
provide the engineering survey, detailed
design and engineering, procurement,
fabrication, transportation of materials
(from shore to offshore), installation, and
hookup as well as commissioning.
Total signed an exploration and
COMPANY MOVES
The American Bureau of Shipping
(ABS) will establish an office, scheduled
to open in the first quarter, in Houstons
Energy Corridor. The new facility will
colocate members from ABS engineering,
project management, technology, and
business management. In addition to
classification services, the facility will
offereducation and training seminar
roomsfor local industry to use
on demand.
Saudi Aramco opened the Aramco
production-sharing agreement for

deepwater Block 41 offshore Oman. The
block covers almost 24,000 km2 of seabed
at depths of up to 3000 m. The exploration
program is expected to begin with seabed
coring this year.
Salamander Energy signed a production

sharing contract (PSC) for Malaysias Block
PM322, located in the Melaka Strait on the
Malay side of the Central Sumatra basin,
offshore west coast Peninsular Malaysia.
The PSC is located in shallow water
and covers approximately 20,000 km2.
Salamander will operate the PSC with an
85% working interest.
gas in southeastern Poland with local

state-controlled gas firm PGNiG. If the
cooperation is successful, they might set up
a joint company in which both parties would
hold a 50% stake. Binding agreements are
expected to be signed thisyear.
Research Center in Cambridge,

Massachusettsthe first of three US-based
research and development centers aimed
at expanding Saudi Aramcos global
research network and capability. The
32,000-ft2 research center is expected
to create approximately 50 scientific and
researchjobs.
New Western Energy acquired an
Safetec opened a new Competence
oil and gas lease consisting of 80 acres

adjacent to its Winchester and Thomas
leases in Rogers County, Oklahoma. The
lease, Winchester II, has five existing oil and
gas wells and one water injection well that
currently produce an average of 4 BOPD.
Center in Bergen, Norway, which will

provide onshore and offshore education
and training for organizations. The center
will provide clients with experienced
trainers and advanced facilities for teaching
and training in risk management, safety,
and emergency management.
Shell entered into a 3-year contract
CONTRACTS
A subsidiary of McDermott
Chevron will jointly explore shale
The Cambay Joint Venture secured

the Essar Rig 4 for drilling the Cambay77H well in its Cambay Tight Hydrocarbon
Project in the Cambay basin in India
through Essar Oilfield Services. The well
is expected to be spudded in the middle of
the firstquarter.
with Transocean for the Polar Pioneer

drilling rig to start work off the coast of
Alaska beginning July of this year. The
rig is expected to earn a rate of USD
620,000 per day from July to October and
USD589,000 per day the rest of the year.
Jones Energy entered into a definitive

agreement to acquire producing and
undeveloped oil and gas assets in the
Anadarko basin from Sabine Oil & Gas
for USD 195 million. The assets consist
of approximately 26,000 net acres in
the Cleveland, Tonkawa, and Marmaton
plays in the Texas Panhandle and western
Oklahoma. The assets have proved reserves
of 14.3 million BOE.
12
CompanyNewsFeb.indd 12
Aker Solutions won a contract to

provide engineering services, procurement,
and management assistance for up to 10
years for the Johan Sverdrup oil field in
the Norwegian North Sea. The first part of
the contract is worth USD 106 million and
consists of the front-end engineering and
International was awarded a USD200-million engineering, procurement,

construction, and installation project for a
customer in the Arabian Gulf. The contract
includes the fabrication, transportation, and
installation of offshore facilities including
two production deck modules and 10
observation platforms.JPT
JPT FEBRUARY 2014
1/16/14 7:28 AM
MD-2
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This unique package recently enabled a South Texas operator to process drilling fluid at 658
gallons per minute (GPM), more than twice the combined capacity of two rig-owned shakers.
The MD-2 shaker consistently handled 100% of the fluid returns, maximizing flow rate and ROP.
For throughput and efficiency the MD-2 shale shaker using DURAFLO composite screens
makes one unbeatable combination.
www.miswaco.com/MD2
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MISwaco_013_jpt.indd
1
350087
MD2 Advert_JPT_FullBleed
Af.indd 1
12/11/13 9:57
AM
27/11/2013
09:52
EMERGING FRONTIERS
SPE BOARD OF DIRECTORS

OFFICERS
Focus on Myanmar
Jeff Spath, 2014 SPE President
2014 President
Jeff Spath, Schlumberger
2013 President
Egbert Imomoh, Afren
2015 President
Helge Hove Haldorsen, Statoil
Vice President Finance
Janeen Judah, Chevron
In this third column on emerging geographic frontiers, I want to

focus on what may be the fastest developing country in the Eastern Hemispherepolitically, demographically, and certainly
from the standpoint of upstream oil and gas. Myanmar, often
referred to as Burma, has been largely isolated from the global
economy for roughly 50 years due to oppressive military rule
and extensive human rights violations. In 2012, under newly
appointed president Thein Sein, Myanmar began to reform its
foreign direct investment laws about the same time the US and the European Union
began suspending sanctions. E&P industry players, large and small, have been watching and waiting for just such reformations and are now being attracted by the potential for huge growth in the existing gas production and the potential of the countrys 17
sedimentary basins, largely offshore and unexplored.
Production History
Myanmar is one of the worlds oldest producers of oil; it exported its first barrel of
crude in 1853. Two oilfields discovered in 1887 and 1902 are still in production. Today,
the country is a net importer of crude oil as 90% of production is gas, most of which
is exported to Thailand. With a current production of 21,000 B/D, primarily from only
two fields, the need and attraction of foreign investment is clear.
The sedimentary basins are extremely underexplored and much of the available
geological data were acquired with outdated technology. Estimates of reserves therefore vary widely. In 2012, the Ministry of Energy estimated offshore Myanmar crude
oil reserves at roughly 540 million bbl and natural gas reserves at 65 to 72 Tcf.
Myanmar Oil and Gas Enterprise (MOGE) was created in 1963, shortly after nationalization of the oil and gas industry, in an effort to consolidate the oversight and
management of the various local and global efforts to increase reserves and production. However, foreign operators were not allowed to participate in the efforts until
1988, when generic foreign investment legislation was passed. The Ministry of Energy
held its first formal licensing round for onshore blocks in 2011, but due to the existing
sanctions, western companies were largely absent. More recently, 30 offshore blocks
were offered for licensing in June 2013, including shallow- and deepwater blocks.
Participation was prolific, including most major international oil companies. In
fact, according to an energy ministry source, foreign companies tenders will be given
priority, as they have the technology and expertise required to bring the complex and
costly deepwater resources to market. Significantly, the government waived the initial requirement that foreign companies partner with a Myanmar-owned firm for the
deepwater blocks, which increased the participation greatly. Results of the bidding are
expected in early 2014 but one thing is clear interest in finding and developing deepwater resources is widespread and intense.
Local Talent Needed
Myanmars repressive military rule of the past 50 years has resulted in a seriously
inadequate educational system. Some universities were closed for decades following
REGIONAL DIRECTORS
AFRICA
Anthony Ogunkoya,
TBFF Upstream Oil and Gas Consulting
CANADian
Darcy Spady, Sanjel Corporation
Eastern North America
Bob Garland, Universal Well Services
Gulf Coast North America
Bryant Mueller, Halliburton
Mid-Continent North America
Michael Tunstall, Halliburton
Middle East
Fareed Abdulla, Abu Dhabi Co. Onshore Oil Opn
North Sea
Carlos Chalbaud, GDF Suez E&P UK
Northern Asia Pacific
Ron Morris, Roc Oil (Bohai)/Roc Oil (China)
Rocky Mountain North America
Mike Eberhard, Anadarko Petroleum Corporation
Russia and the Caspian
Andrey Gladkov, Modeltech
South America and Caribbean
Nestor Saavedra, EcopetrolICP
South, Central, and East Europe
Maurizio Rampoldi, Eni E&P
Southern Asia Pacific
John Boardman, RISC
Southwestern North America
Peter Schrenkel, Vision Natural Resources
Western North America
Tom Walsh, Petrotechnical Resources of Alaska
TECHNICAL DIRECTORS
Drilling and Completions
David Curry, Baker Hughes
Health, Safety, Security, Environment,
and Social Responsibility
Roland Moreau, ExxonMobil Upstream
Research Company
Management and Information
Cindy Reece, ExxonMobil Annuitant
Production and Operations
Shauna Noonan, ConocoPhillips
Projects, Facilities, and Construction
Howard Duhon, Gibson Applied Tech PF&C
Reservoir Description and Dynamics
Olivier Houz, KAPPA Engineering
AT-LARGE DIRECTORS
Liu Zhenwu, China National Petroleum Corporation
Mohammed Al-Qahtani, Saudi Aramco
To contact the SPE President, email president@spe.org.

Search the Groups Field for Society of PetroleumEngineers.
14
PresColumnFeb.indd 14
JPT FEBRUARY 2014
1/16/14 12:38 PM
Mew_015_jpt.indd 1
12/17/12 1:13 PM
EMERGING FRONTIERS
student-led anti-government protests in 1988. Void of government support for advanced education, the scarcity of local
engineering talent is obviously the biggest challenge facing the
oil and gas industry. This is a recurring theme in all countries,
emerging or mature, but nowhere is the problem more critical
than in Myanmar.
Since 2011, new policies and new foreign investments have
enabled Myanmar to triple its investment in education. Although the Yangon Technological University (YTU) is the only
university currently offering petroleum engineering education,
oil and gas companies and service companies are donating resources in the form of buildings and information-technology
infrastructure, and providing for guest lecturers to bring essential global industry knowledge.
As a part of SPEs newly adopted strategy, we have an obvious role to play in helping develop the resources. Efforts were
initiated with the attendance of YTUs newly appointed petroleum engineering department chair at the SPE Forum on Petroleum Engineering Education in August 2013. This Forum
was designed to help petroleum engineering educators understand the issues and the resources required to fulfill future
industryneeds.
EW
Flow Assurance
Technical Section
SPE has formed a Technical Section to give

members the opportunity to focus on flow
assurance, a key area of interest for facilities
engineers. This new section seeks to further the
objectives of SPE in the free discussion of matters
relating to flow assurance, to establish consensus
on industry best practices, and to promote these
practices widely.
Deepen your learning and share your insights on
the subject during discussions at study groups,
monthly meetings, forums, and workshops.
Enjoy the convenience of virtual meetings and the
benefits of at least one face-to-face meeting a year.
Learn more and join today at
connect.spe.org/fts.
16
PresColumnFeb.indd 16
Technology Required
Given the lack of modern technology used to initially evaluate

Myanmars hydrocarbon resources, foreign operators licensing blocks need to be technology savvy, bringing knowledge
of global state-of-the-art techniques in exploration, drilling,
and development. Operators winning offshore blocks, as in
any emerging play, will initially focus on acquiring seismic
data using advances proven elsewhere in sensors, multi-sensor
cables, and cable design enabling high-resolution near-surface
imaging as well as deep reservoir characterization. The integration of newly acquired seismic data with advances in basin
modeling technologies should give the necessary confidence for
early exploration drilling.
Exploratory drilling will also benefit from recent advances
in logging while drilling. Measuring azimuthal resistivity, neutron porosity, elemental capture spectroscopy, and formation
pressure in real-time as well as borehole imaging increases the
likelihood of optimum well placement in basins that have little
or no offset data.
Onshore, the existing production from mature fields will
undoubtedly benefit from technology advances and best practices gleaned from elsewhere in the world, such as the ability to
analyze formation properties behind casing to reveal additional
pay and the application of newly developed EOR techniques to
improve recovery of existing pay.
SPE in Myanmar
One of my goals as SPE president is to increase the internationalization of SPE, extending the reach of our programs and
providing the benefits of SPE membership with more local relevance, and I cant think of a better example than Myanmar of
an underdeveloped country that can greatly benefit from SPEs
presence. Myanmar has huge potential for SPE programs and
services to help existing and incoming industry professionals
alike and Im pleased to say that SPE has just finalized the formation of our 214th professional section in Myanmar. The inauguration will become official with the meeting of the SPE International Board of Directors this month in Yangon. The response
by industry, academia, and government has been remarkable.
Myanmar is one of the worlds most geologically unexplored and talent-challenged countries, so the cooperation between SPE and the operators and service companies is a necessity; under the capable eye of Ron Morris, Northern Asia
Regional Director, I have high expectations for progress. The
organization of technical programs, the application of global
best practices, the engagement with local governments, the collaboration with companies on university programs, and the educating of the public on our industry are but a few ways I expect
to see valuable results.
Each month, I post my JPT column topic on the SPE
LinkedIn group for comment and conversation. I invite you
all to join in this discussion and look forward to hearing
yourviewpoints.JPT
JPT FEBRUARY 2014
1/16/14 12:39 PM
No growth, no glory
Statoil, an experienced oil and gas company, is part of North Americas fast growing energy business. So, whats
our recipe for success? We start with great people, consistent innovation and non-stop technological application.
Then combine that with our experience and our commitment to grow continuously in a positive way. We focus
on cultivating the best work environment for our team, which in turn, increases value for our shareholders
and creates vital connections with the communities in which we live and work. And no matter where we
are or what we do, we never forget the most important ingredient - a promise to improve continuously.
Discover more at neversatisfied.statoil.com
Statoil_017_jpt.indd 1
Always evolving
Never satisfied
1/14/14 8:49 AM
COMMENTS
EDITORIAL COMMITTEE
Syed AliChairperson, Technical Advisor,
Schlumberger
Francisco J. Alhanati, Director, Exploration
& Production, C-FER Technologies
Asia Pacifics Future

John Donnelly, JPT Editor
Asia Pacifics energy sector is on the brink of major change. New
areas are opening to foreign investment, national oil companies
are adopting more aggressive E&P strategies, and the supply/
demand balance is shifting. This months JPT contains a special
supplement outlining these and other trends and challenges and
describes what to expect in the regions upstream sector over the
next several years.
One of the major changes under way in the Asia Pacific region is the sharp rise in
energy consumption, which is leading to an increase in oil imports and cutting into gas
available for export. Several major liquefied natural gas (LNG) projects are under construction or in the planning stages to help meet the increased demand for gas, which
may eventually overtake oil as the regions main hydrocarbon source.
Nowhere is the shift in the global energy balance more evident than in China. BPs
Energy Outlook 2035, published in January, predicts that by 2035 China will be the
worlds largest energy importer and alone will account for more than a fifth of global
demand. Changes are forecast for India as well, with its energy production rising by
112% and its consumption by 132% over the same period.
Significant policy shifts are occurring in China as well. The countrys leadership is
pushing for changes in its energy sector that will better balance energy and economic growth with environmental protection. Liberalization of local fuel prices will be a
financial boost for Chinas major oil companiesSinopec, China National Offshore Oil
Corp. (CNPC), and PetroChinaallowing them to invest more both domestically and
internationally. Chinas state-owned companies are expected to continue to be aggressive at overseas mergers and acquisitions. The most recent deal was in November,
when CNPC bought Petrobras oil and gas assets in Peru for USD 2.6 billion, reinforcing Chinas growing presence in Latin America.
China continues to show interest in international unconventional plays, as the
Asia Pacific regions unconventional sector remains largely untapped. Only two shale
plays have produced commercial volumes of gas thus farone in China and one in
Australiaand shale gas exploration wells have been drilled only in China, Australia, and India. The US Energy Information Administration estimates significant volumes of shale gas and shale oil resources in those countries as well as in Thailand
andIndonesia.
Population in the Asia Pacific is forecast to rise significantly over the next 2
decades, putting additional strain on energy capabilities. Currently, about one-fifth
of the regions population still does not have access to electricity. This highlights the
need for additional energy infrastructure and suggests that energy demand will only
increase over the short to medium term. Although parts of Asia have exported gas,
regional gas consumption is now competing to keep those supplies at home. And many
of the oil fields in the areain places such as Vietnam, Thailand, and Malaysiaare
mature and in decline, which will lead to increased reliance on oil imports, primarily
from the Middle East. JPT
William Bailey, Principal Reservoir Engineer,

Schlumberger
Ian G. Ball, Technical Director, Intecsea (UK) Ltd
Luciane Bonet, Senior Reservoir Engineer, Petrobras
America Inc.
Robert B. Carpenter, Sr. Advisor Cementing,
Chevron Corp.
Simon Chipperfield, Team Leader Central Gas Team/
Gas Exploitation, Eastern Australia Development,
Santos
Alex Crabtree, Senior Advisor, Hess Corporation
Jose C. Cunha, Drilling Manager, Ecopetrol America
Alexandre Emerick, Reservoir Engineer,
Petrobras Research Center
Niall Fleming, Leading Advisor Well Productivity
& Stimulation, Statoil
Ted Frankiewicz, Engineering Advisor, SPEC Services
Emmanuel Garland, Special Advisor to the
HSE Vice President, Total
Reid Grigg, Senior Engineer/Section Head, Gas
Flooding Processes and Flow Heterogeneities, New
Mexico Petroleum Recovery Research Center
Omer M. Gurpinar, Technical Director, Enhanced Oil
Recovery, Schlumberger
A.G. Guzman-Garcia, Engineer Advisor,
ExxonMobil (retired)
Robert Harrison, Global Business Leader,
Reserves & Asset Evaluation, Senergy
Delores J. Hinkle, Director, Corporate Reserves,
Marathon Oil (retired)
John Hudson, Senior Production Engineer Shell
Morten Iversen, Completion Team Leader, BG Group
Leonard Kalfayan, Global Production Engineering
Advisor, Hess Corporation
Tom Kelly, Systems Engineering, FMC Technologies
Gerd Kleemeyer, Head Integrated Geophysical
Services, Shell Global Solutions International BV
Jesse C. Lee, Chemistry Technology Manager,
Schlumberger
Casey McDonough, Drilling Engineer,
Chesapeake Energy
Cam Matthews, Director, New Technology Ventures,
C-FER Technologies
Badrul H Mohamed Jan, Lecturer/Researcher,
University of Malaya
Lee Morgenthaler, Principal Technical Expert,
Chemical Production Enhancement, Shell
Alvaro F. Negrao, Senior Drilling Advisor,
Woodside Energy (USA)
Shauna G. Noonan, Staff Production Engineer,
ConocoPhillips
Karen E. Olson, Completion Expert,
Southwestern Energy
Michael L. Payne, Senior Advisor, BP plc
Mauricio P. Rebelo, Technical Services Manager,
Petrobras America
Jon Ruszka, Drilling Manager, Baker Hughes
(Africa Region)
Martin Rylance, Senior Advisor and Engineering
Manager Fracturing & Stimulation,
GWO Completions Engineering
Jacques B. Salies, Drilling Manager,
Queiroz Galvo E&P
Otto L. Santos, Snior Consultor, Petrobras
Luigi A. Saputelli, Senior Production Modeling
Advisor, Hess Corporation
Sally A. Thomas, Principal Engineer, Production
Technology, ConocoPhillips
Win Thornton, Global Projects Organization, BP plc
Erik Vikane, Manager Petroleum Technology, Statoil
Xiuli Wang, Vice President and Chief Technology
Officer, XGas
Mike Weatherl, Drilling Advisor, Hess Norge AS
Rodney Wetzel, Team Lead, SandFace Completions,
Chevron ETC
Scott Wilson, Senior Vice President,
Ryder Scott Company
To contact JPTs editor, email jdonnelly@spe.org.

18
CommentsFeb.indd 18
Jonathan Wylde, Global Head Technology,

Clariant Oil Services
Pat York, Global Director, Well Engineering & Project
Management, Weatherford International
JPT FEBRUARY 2014
1/16/14 4:47 PM
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AM
GUEST EDITORIAL
Digitizing E&P: Accelerating

the Pace of Change
Archana Deskus, Vice President and Chief Information Officer, Baker Hughes
Archana (Archie)
Deskus is vice
president and
chief information
(CIO) officer at
Baker Hughes. She
previously served as
vice president and
CIO for Ingersoll-Rand and has more
than 2 decades of experience in the
aerospace, industrial, and consumer
products industries. Deskus held various
positions at United Technologies for 19
years and has been executive director,
infrastructure and e-business at Pratt &
Whitney, and vice president and CIO at
Carrier North America. She also worked
as senior vice president and CIO for
Timex Corp. She earned a BS degree in
business administration/management
information systems from Boston
University and an MBA degree from
Rensselaer Polytechnic Institute.
The pace of change is accelerating on a global scale, and the agent of this accelerated
pace is digitization. Digitization has had a profound impact on our personal lives. It
has transformed and created industries and has creatively destroyed some existing
business models. Certain industries, such as finance, automotive, aerospace, communications, and media, have led the way. Others have been slower to adapt.
The oil and gas industry is a major driver of high-performance computing
development, particularly for upstream seismic processing and permanent field
monitoring. The oil and gas industry currently has the highest refresh rate across
all industry sectors that high-performance computing addresses. Yet findings from
leading information technology research and advisory firms such as Gartner and
AMR indicate that the exploration and production (E&P) industry is in the low quartile for digitization.
Realizing the Digital Vision
Digital oilfield is an umbrella term for technology-centric solutions that allow E&P
companies to leverage limited resources and improve decision making to maximize
production; minimize capital and operating expenses and environmental impact;
ensure the safety of the people involved; and protect the integrity of associated equipment across the entire upstream process. It encompasses both tools and processes
surrounding data and information management. Its success depends on capability,
organizational alignment, andultimatelyattitude.
The industry has crossed many of the technology barriers to enabling the digital oilfield. Remote sensing is available for almost all facets of drilling and production operations, and the number of choices for network transmission of data continues to expand. The industry has invested heavily in knowledge management
systems, real-time operations centers, and collaborative decision environments. It
has become adept at moving data gathered from field devices into software applications and using it to enhance some specialized field operations. However, the
industry has not yet succeeded in achieving the cross-disciplinary data transparency, information sharing, process integration, and collaboration that are essential to
realizing the ultimate vision and value of the digital oilfield. Examining other industries paths to digitization may help us in our quest.
A Look at Aerospace
A number of parallels can be drawn between the aerospace industry and E&P, including the fact that both involve flying in the dark; both rely on close, long-term partnerships among operators, service companies, and equipment manufacturers to generate economic value; and both envision varying degrees of unmanned flight to
reduce the margin of error, address safety and cost opportunities, and open additional
opportunities to create value.
Aerospace has benefitted from digitization for several decades. The first aspect
involved integrating the supply chain. Digitization of scheduling, logistics, inventory tracking, testing, and other functions reduced costs, improved efficiencies, and
20
GuestEdFeb.indd 20
JPT FEBRUARY 2014
1/17/14 11:01 AM
Mangrove
ENGINEERED STIMULATION DESIGN
IN THE PETREL PLATFORM
PetroChina Changqing beats previous-best

horizontal well production by more than 50%.
PetroChina Changqing used Mangrove* workfow in the Petrel* E&P software platform to capture the
complexities of the Ordos basin. The engineered fracturing design helped improve reservoir-to-wellbore
connectivity while cutting fracturing fuid consumption and pressure drawdown in half. Three months after the
wells were completed, sustained production rates were 50% higher than the previous-best ofset horizontal well.
Read the case study at
www.slb.com/Mangrove
*Mark of Schlumberger. 2014 Schlumberger. 13-ST-0101
Schlum_021_jpt.indd 1
12/11/13 2:53 PM
If knowledge
is power,
get ready
to be
supercharged.
Discover more at
www.petrowiki.org.
GUEST EDITORIAL
reduced lead and cycle times. Another area of focus was traceability and
visibility of critical parts and components through all tiers and within specified time constraints. Integrating asset
records, service bulletins, and safety
procedures throughout the supply chain
not only simplified traceability and prioritization, but also improved productivity, compliance, the ability to respond
when an incident occurred, and the ability to identify where a problem originated and quickly correct it.
The second aspect of aerospace
digitization focused on collaboration of
engine design. Traditionally, new design
cycles could span a decade or longer,
plus further time to prove manufacturability and drive down cost. Design
took place in isolation until the new
engine could perform at certain parameters, and only then did the supply chain
become involved. So, an engine may
meet certain design and performance
criteria, yet still need further modifications to be viable for manufacturing and
to meet customer price expectations. To
dramatically reduce design time frames,
the industry had to embrace a different
approach to new product design. The
new approach involved forming collaborative design networks across multiple organizations in the value chain for
joint development. This was to drive
greater customer value, eliminate waste,
leverage a wider net of talent (specialists), and, ultimately, lead to better and
fasterdesign.
Improved modeling and simulation
capabilities, and tapping into a wealth
of performance data from histories of
in-flight equipment, also contributed to
improving design capabilities and shortening lead time. Todays engine development cycles are dramatically different
from before digitization and collaboration, with significantly reduced development time frames.
The third aspect of digitization
focused on the life cycle of an asset.
The life cycle of an aerospace asset
spans more than 25 years and is dependent upon flight hours and conditions.
Managing the asset throughout its life
cycle can be extremely costly, and airline operators are continually pressed
to optimize flight time and reduce onground time. Historically, when an
engine needed repair or overhaul, the
service provider would literally tear
it apart to understand the configuration before making the repair. Heavy
repairs often required more than 100
days, resulting in millions of dollars in
grounded costs for a parked asset.
Today, integration of digital asset and
service record maintenance, remote
monitoring and diagnostics, and information mined from in-service equipment has helped to cut repair and maintenance cycle time, minimize time on
ground, and provide valuable feedback
for future product development.
Advances in remote monitoring and diagnostic capabilities have
advanced to the point that we literally
have a flying data center that provides
more data than we know what to do
with. The key is determining what business problem we are trying to solve.
With the insight provided by digitally enabled information and analytics,
business models in the aerospace industry have evolved and new ones have
emerged. Companies that began by
selling equipment and parts moved to
selling systems and then offering fleet
management programs, nose-to-tail
management, and power by the hour
all because the wealth of information
and the ability to effectively manage it
have made it possible to model the cost
of operating an asset.
Great Heights to Great Depths
Many of the digitization ideas that have

worked for aerospace can also be applied
to E&P. For example, a cohesive, integrated supply chain can enable consistent flawless execution with the right
people, the right equipment, and the
right materials. Automation in the field
JPT FEBRUARY 2014
GuestEdFeb.indd 22
1/16/14 7:33 AM
can drive productivity, visibility, and

knowledgecapture.
Cross-disciplinary, simultaneous modeling and simulation of discrete products, such as drill bits, and
formulated products or systems, such
as chemicals or drilling fluids, could
dramatically impact the ability to test
for variable conditions. For example, in
addition to modeling the drill bit and
simulating its rotation in a particular
formation, applying mud, and simulating under various conditions could not
only improve design and test time, but
also deliver higher quality, higher performance, and safer products and systems. Collaboration around the interoperability of systems and components
through industry standards would support system thinking.
Remote monitoring and diagnostics capabilities offer the same benefits
for managing the life cycle of hydrocarbon assets as for managing the lifecycle of aerospace assets. Integrated asset
monitoring enables simulation and
intervention for reservoir optimization.
We can evaluate the impact of variables
for desired outcomes, such as maximum
extraction of oil, minimal water production, and maximization of net present value. Whereas the variations that
exist in aircraft and flight conditions are
pretty much known, unpredictability in
geology and reservoir development
undeterministic characteristicslimit
the ability of the E&P industry to capture meaningful information and, thus,
impact the quality of decision making.
However, continued advances in technology will improve our ability to capture meaningful information and enable
reservoir-specific algorithmic knowledge development.
From Future to Present
Integrated operations are heavily dependent on technology and digitization.

Today we can monitor, manage, and
optimize specific operations remotely. End-to-end digitization will enable
remote operations from seismic to abandonment. Similarly, the ability to integrate disparate data from these operations, make it available in real time, and
couple it with collaborative techniques
that tap into expertise across disciplines,
without geographic bounds, will make it
possible to optimize production in real
time. Intelligent systems with embedded knowledge learned from humans will
be able to observe, evaluate, and make
adjustmentsin advance of changing wellbore and geologic conditions. These
achievements will both enable and be
predicated upon moving away from silos
of information and skills to collaborative,
real-time optimization of the entire supply chain and the entire asset life cycle.
Oilfield digitization will accelerate employee productivity. It will
enable fewer people to accomplish
more and better leverage their expertise. It will help close the labor and
skills gaps that threaten to inhibit the
oil and gas industry in reaching its full
potential for valuecreation.
While there are challenges thatneed
to be overcome with securing data and
communications, changing roles and
responsibilities, and changes in workflow, E&P digitization could lead to new,
and more productive, business models
for the industry.
The E&P industry has been on
the path to digitization for a long time
but has tremendous opportunities yet
to be realized. Many industries that
now lead in digitization were driven in
their resolve by either great economic
pressures or risk of industry destruction or disruption. The E&P industry faces no such immediate risk, but
it is not beyond the realm of possibility. The industry stands at a crossroads. It can decidenow to make investmentsand attitudinal changes necessary
to break down barriers to digitization and accelerate progress. Or it can
risk being forced by external forces to
make the same, or tougher, decisions in
thefuture. JPT
TIP No. 26
JPT FEBRUARY 2014
GuestEdFeb.indd 23
1/16/14 7:33 AM
TECHNOLOGY APPLICATIONS
Chris Carpenter, JPT Technology Editor
Measurement-WhileDrilling Ranging Service
Scientific Drilling Internationals MagTraC MWD Ranging system addresses

difficult wellbore-placement and riskmitigation challenges. First introduced in
1998, MagTraC targets applications where
uncertainty and risk are major factors
in well construction, isolating the Earths
naturally occurring magnetic field from
the magnetic interference signature of a
casing string, allowing the distance and
direction to the target to be determined
and using the raw measurement-whiledrilling data to calculate the relative position between wellbores (Fig. 1). Remote
data centers ensure that there is no interruption in operations, and results are typically available 15 to 30 minutes after Scientific Drillings specialists receive the data,
with preliminary results usually becoming
available in 15 minutes. MagTraC allows
remote ranging where data can be sent

without operational shutdown and provides increased safety assurance by eliminating additional survey runs or on-site
personnel. Since September of 2013, MagTraC has been used in more than 450
jobs across the globe involving production
recovery, fish bypass, plug and abandonment, close-proximity drilling, collision
avoidance, ghost-well detection, and kickoff assurance.
For additional information, visit
www.scientificdrilling.com.
Casing-Stabilizer Arm
Aker Solutions has developed a casingstabilizer arm (CSA) that eliminates the
need for a person to be elevated on a
derrick for tubular makeup. The CSA is
designed for both offshore and onshore
rigs. The stabilizing mechanism is stowed
approximately 33 ft above the drilling
floor and includes an internal hydraulic cylinder that extends and closes the
padded jaws operated by a radio remote
control (Fig. 2). The CSA uses only three
hydraulic cylinders to position and mobilize the pipe jaws: lifting, extension, and
clamping cylinders. Akers unit also provides increased safety features that allow
the device to interface with the rigs
anticollision-zone-management system.
A warning and alarm system is built
into the CSA along with an emergencyshutoff control. Additionally, a shear pin
is installed on the unit as a safeguard for
unexpected downward clash by hoisting
equipment. The CSA is equipped in tubular capacities of 2- to 22-in. diameter
without changing jaws. Additionally, it
offers wireless remote control and local
manual control.
www.akersolutions.com.
Infinite-Revolution Bit
Baker Hughes has introduced the Hughes

Christensen IRev infinite-revolution bit
that improves run life while minimizing trips and the number of bits required
when drilling in hard and abrasive intervals, including sandstones or complex
sections interbedded with softer shales.
IRev technology features a cutting struc-
Fig. 1Scientific Drilling Internationals MagTraC MWD Ranging system.
Fig. 2Aker Solutions CSA is designed for both onshore and offshore
applications.
24
TechAppsFeb.indd 24
Fig. 3The IRev infinite-revolution

bit from Baker Hughes offers
increased rates of rock removal
andpenetration.
JPT FEBRUARY 2014
1/16/14 7:41 AM
operating uptime.
Proven reliability.
AD01047OSS
OneSubsea Control Systems: High availability for continuous production

Designed to deliver the highest level of reliability. Built with technology that assures it. With the
subsea control module from OneSubsea, you benefit from a proven track record of 99.9% uptime
since entering the market in 2000. This reliability is a result of the OneSubsea unrivaled qualification
process, with industry-leading design, superior quality components and built-in redundancies.
From subsea processing to production systems, OneSubsea delivers industry-leading control systems
to meet your future technology challenges. Visit www.onesubsea.com/scm
ONESUB-127_Controls_JPT_1210.indd
OneSubsea_025_jpt.indd
1
1
12/10/13 9:58
12/11/13
5:49 AM
PM
cables with the use of high-speed telemetry and video-compression techniques
(Fig. 4). It has been designed for wellintegrity inspection and monitoring of
downhole corrosion and mechanical damage, including those found in marginal
conditions, and it successfully completed
a wide run of 100 field-trial jobs in Canada
before becoming commercially released
in the North Sea, the Gulf of Mexico, Saudi
Arabia, and Australia. The camera features improved speeds and picture quality compared with similar downhole video
cameras, allowing for advanced inspection of oilfield subsurface equipment for
integrity issues. The system tunes itself
to a wide range of cables so that the Optis
HD Electric camera works on virtually any
cable length or cable type. Its modular
design allows it to be run with downview,
sideview, or both. Deviation and internal temperature are digitally transmitted
to the surface laptop, providing essential
information when viewing images.
www.evcam.com.
Silicate-Based Preflush
Fig. 4The Optis HD Electric line camera from EV.
ture that includes diamond-impregnated posts that allow an increased rate of

rock removal, enabling the bit to drill in
places where polycrystalline-diamondcompact bits typically cannot perform
(Fig. 3). As diamonds wear away, new diamonds are exposed to enhance performance and extend bit life further. Other
new features of the IRev bit include a
design that enables higher torque output to
deliver greater rate of penetration (ROP).
Application-specific diamond grits provide optimal performance by matching
technology to application. Depending on
the application environment, additional features can be incorporated into the
IRev bit to deliver superior performance.
26
TechAppsFeb.indd 26
New profiles balance workloads better to

extend bit life, while improved hydraulics
enables more-effective cleaning in hard
sections interbedded with stickier, softer
shales and siltstones. Posts can be exposed
above the blades to improve aggressiveness in less-demanding applications,
delivering higher ROP.
www.bakerhughes.com.
Downhole Video Camera
EV has launched its Optis HD Electric

line camera to the well-intervention market. The cameras new technology allows
operators to stream color video at up to
25 frames/second on monoconductor
PQ Corporations Metso 66 Preflush was

specifically developed for the removal of oil-based drilling fluid and filter
cake and is also suitable for wells drilled
with water-based drilling fluid. This
multifunctional silicate-based preflush is
also designed to improve cement bonds
as well as prevent slurry migration and
fallback. Metso 66 is a blend of advanced
granular sodium silicate, specialty surfactants, and other additives (Fig. 5).
The soluble silica and alkali serve several
beneficial roles in enhancing the performance of surfactants, such as raising pH,
softening water, and reducing the interfacial tension between oil and water. The
silicate ion further promotes the partition between the oil and water phases. This translates into greater removal
of oil-based drilling fluid with a lower
volume of flush material and a corresponding reduction in disposal volumes.
Cement bonds are improved by having
clean wellbore and casing surfaces that
are water-wet as well as primed with
soluble silica. Metso 66 is formulated to
JPT FEBRUARY 2014
1/16/14 7:41 AM
Fig. 5PQ Corporations Metso 66 silicate-based preflush

is a blend of advanced granular sodium silicate and
specialty surfactants.
be readily soluble, even in cold water. A

10wt% solution of Metso 66 will achieve
complete dissolution in 5C water in less
than 10 minutes and can be dissolved in
fresh water or seawater.
www.pqcorp.com.
Fig. 6The interrogator unit from OptaSenses SubseaDAS system.
Distributed Acoustic
Sensing System
OptaSense is developing the worlds first

fully marinized and qualified distributed-acoustic-sensing (DAS) system in a
joint program with Shell. The OptaSense
Subsea-DAS system, which will be de-
ployed in water depths up to 10,000 ft,

will take proven onshore DAS technology
to the offshore oil-and-gas industry, allowing highly accurate acoustic-data acquisition for the first time in this sector. The
Subsea-DAS system will provide acoustic data for a wide range of subsea and
Optimizing Shales: New Lessons Learned

Third Annual AAPG/STGS GTW: Eagle Ford + Adjacent
Plays and Extensions
February 24-26, 2014 San Antonio, TX
This workshop focuses on prospectivity and producibility, with an emphasis on the conditions and characteristics of successful wells, and
the technologies and techniques used in achieving success.
The productive extent of the Eagle Ford has expanded, thanks to new information and understanding of the factors that make the formation
producible in a particular prospect or location. The same is true of adjacent formations such as the Buda and the Austin Chalk, along with
Cretaceous extensions of the Eagle Ford, which extend from the Eaglebine to the Tuscaloosa Marine Shale.
Topics:
Geophysics, regional geology, and Eagle Ford Extensions
Sweet spots, reservoir quality, and the Eagle Ford
Petrophysics
Geomechanical considerations
Drilling the new zones: Lessons learned and
Must-Know facts
Completions: Hydraulic fracturing, proppant selection,

understanding reservoir behaviors
The right kind of frac: How can geologists help? What can
engineers explain?
Decline curves: Seeking and finding answers
www.aapg.org/gtw/2014/houston/index.cfm
Geosciences Technology
Workshops 2014
JPT FEBRUARY 2014
TechAppsFeb.indd 27
27
1/16/14 7:41 AM
Are you reAdy to

explore the frontiers
of knowledge?
Fig. 7Schlumbergers Vx Spectra surface multiphase flowmeter.
A constellation of libraries.
An astronomical number of papers.
stellar search results.
OnePetro brings together specialized

technical libraries serving the oil and
gas industry into one, easy-to-use
websiteallowing you to search and
download documents from multiple
professional societies in a single
transaction. With more than 160,000
technical papers, one search can help
you locate the solutions you need. A
range of subscription options make
accessing the results easy.
Have you explored what OnePetro has
to offer?
deepwater applications, including pipeline

surveillance and leak detection, geo
positioning, in-well monitoring, subseaassembly-condition monitoring, and per
manent reservoir monitoring. The multi
application device will include functional
and technical parameters configurable
in software, thereby avoiding different
hardware for settings or functions. The
marinization process will require the
re-engineering of OptaSenses existing DAS
interrogator unit to reduce its size to fit
into a pressure canister (Fig. 6). The modi
fied optoelectronics will be tested to ensure
that they meet the stringent temperature,
vibration, shock, and electrical certifica
tions required of subsea equipment. The
Subsea-DAS unit is anticipated to be ready
for demonstration by mid-2014.
www.optasense.com.
Surface Multiphase Flowmeter
subscriptions available.
www.onepetro.org
TechAppsFeb.indd 28
Schlumbergers Vx Spectra surface multi

phase flowmeter enables operators to
obtain flow-rate measurements in pro
duction testing and permanent monitor
ing. Vx Spectra technology delivers flow

measurements in wider applications
than do conventional metering systems,
enabling measurements in various flow
conditions from heavy oil to wet gas. The
new flowmeter uses full gamma spec
troscopy to provide the highest accuracy
in multiphase-production measurement
(Fig. 7). The flowmeter introduces two new
Venturi throat sizes adapted to an extend
ed range of flow rates. The Vx Spectra
19 mm monitors low-rate producing wells
down to 30 B/D, and the 40-mm-Venturi
version introduces a midrange multiphase
meter with high flexibility to match oiland gas-production flow rates. Modular
design configurations offer easy integra
tion with operators production facilities.
To confirm the metrological performance
of the Vx Spectra flowmeter, extensive test
ing was conducted, acquiring more than
400 test points at four industry-reference
flow-loop-metering facilities. Tests were
conducted with various fluids and at differ
ent pressures and flow regimes. JPT
www.slb.com.
JPT FEBRUARY 2014
1/16/14 10:10 AM
18 manufacturing
plants throughout
North America.
Add up Dragons more than 50 years of building high quality oilfeld

equipment, a workforce currently 2,500 strong and growing; plus its
U.S. owned and operated

for over 50 years
18 manufacturing sites; 25 rental and service centersall familyowned and operated from the Beaumont, Texas corporate offce
and you have a formula that succeeds. This is what you get with
ASME Stamp Code Vessels

and API 12F Monogrammed
Production Tanks
State-of-the-art, in-door
steel grit blasting, painting
and coating booths
Dragon. This is why so many companies in the energy industry

choose to do business with Dragon.
The companys expansive inventory and product offering includes
a comprehensive line of exploration and production equipment
including, tanks, trailers, pumps, and rigs and all the parts that go
with them. Dragon equipment delivers exceptional durability under
the harshest conditions and in a variety of applications including
well servicing, bulk storage, liquid and solids hauling and many
Experienced personnel and

committed Health, Safety
and Environmental Staff
pumping solutions.
Make it happen Production Equipment
www.dragonproduct.com 1-877-231-8198
U.S. owned and operated for over 50 years.

Copyright 2014 Modern Group Inc. All rights reserved.
PROEQUIP
Dragon_004_jpt.indd 1
12/11/13 9:52 AM
TECHNOLOGY UPDATE
Smart Buoy Could Turn Waves

into Platform and Subsea Power
Paul Watson, SPE, Ocean Power Technologies
The use of moored, oceangoing smart

buoys that can harvest energy from
waves could be an efficient and economic means of supplying electric power for
various offshore oil and gas operations,
including well trees, monitoring systems, and autonomous underwater vehicles (AUVs). Potentially, such technology
could reduce, or in some cases eliminate,
the use of diesel-powered generators on
offshore facilities.
The PowerBuoy (Fig. 1), developed
by Ocean Power Technologies (OPT), is
new to the oil industry but has been used
for a number of years in the defense
and utility sectors. The autonomous buoy
system consists of a surface float, a spar
containing a power takeoff (PTO), a battery system, and a heave plate that constrains the spars motions. The system is
capable of delivering energy from a few
Fig. 1The PowerBuoy converts ocean

wave energy into electricity that
can power various offshore oil and
gas operations, including well trees,
monitoring systems, and autonomous
underwater vehicles.
30
TechUpdateFeb14.indd 30
kilowatts to several hundred kilowatts,

with future evolution planned to deliver
even more power.
The process begins with the rising
and falling of waves, and the resultant
mechanical stroking is converted by a
specially designed PTO to drive an electric generator. This power is transmitted to external equipment by means of
an underwater power cable or directly
to payloads integrated into the structure itself. Continuous power is then
available with the option of larger, timed
powerbursts.
Advanced internal control systems
continuously monitor the various subsystems and the surrounding environment and optimize performance of those
systems with data transmitted to shore
in real time, providing health and status
updates on itself and its attached payloads. With this information, the operator gains a high level of control. Depending on the model of the buoy, the system
is designed to need no maintenance for
up to 3 years, providing potential savings in operating and life cycle expenses
compared with existing power generation alternatives.
Advanced control algorithms have
been developed that actively assess
oncoming waves to tune the internal PTO
dynamically to ensure that it extracts
maximum power. In the event of especially large oncoming waves, the buoy will
automatically protect itself by locking the
float and PTO subsystems and continuing
to supply electric power to its payloads by
means of the embedded energy storage
system (i.e., batteries). The power management system of the buoy manages the
state of charge of the battery to ensure
efficient overall system operation and to

preserve battery life.
US Navy Project Case Study
OPT established the Littoral Expeditionary Autonomous PowerBuoy (APB)

(LEAP) project after being approached by
the US Navy, which was trying to increase
the coastal monitoring and security surveillance capability of its high-frequency
(HF) radar network.
To extend the offshore range of the
coastal radar system, an APB-350 unit
designed by OPT was deployed approximately 22 miles of the US east coast.
The HF antenna was mounted on the
top of the buoy to transform a monostatic shore-based network by enabling
it to operate in a bistatic mode for
improvedperformance.
Among the Navys specifications for
the LEAP project were:
Uninterrupted power supplied
to the HF radar payload and to
communications systems
Ability to remain on station in all
ocean conditions
Mechanical, electrical, and
mooring systems capable of
surviving defined extreme ocean
conditions
Dimensions suited to deployment
by a US Coast Guard cutter vessel
(transportable in a standard
ISO12m shipping container)
Deployment for a long period
Autonomous operation without
a constant need for on-site
monitoring and maintenance
These requirements guided the
design and testing of the APB-350 buoy
JPT FEBRUARY 2014
1/16/14 8:17 AM
Are you leaving money

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Tiguar Smart Fluid derivatized guar system
At Solvay Novecare, we know your number one priority is ensuring consistently high production
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www.solvay.com
Solvay_021_jpt.indd 1
8/12/13 12:38 PM
TECHNOLOGY UPDATE
PowerBuoy
Junction Box
Fig. 2The diagram shows how the PowerBuoy can be used to provide a security cordon for offshore production
operations, with the buoy hosting surveillance equipment.
system, including its electrical, mechanical, and mooring subsystems.

The use of the HF radar on the buoy
resulted in a major improvement in the
resolution and tracking of vessels, with
detection ranges doubled. This helped
reduce spurious alarms and improve the
management of the offshore monitoring
and security surveillance.
Beyond its communications ability, the robustness of the buoy was tested, including mechanical, electrical, and
mooring components. The structure
successfully withstood Hurricane Irene,
which passed just west of the deployment site. The buoy remained on station
despite 29.5-ft significant wave height
generated by the storm over 48 hours.
However, more notable was that
the system remained fully operational throughout to provide power to the
payload. A post-hurricane inspection of
the structure and mooring revealed no
damage. This highlights the technologys
capabilities that could be transferrable
to the extreme conditions of the offshore
energy sector, such as deepwater and
ultradeepwater environments.
In the programs next phase, starting in July 2013, a passive acoustic moni-
32
tor for subsea vessel tracking was added

to the system.
Oil and Gas Applications
OPT has developed a range of potential applications for the oil and gas
industry,including:
AUV garages that perform
permanent infield monitoring
orinspection of assets
The control of electric trees
forfield injection of CO2 and
water
Environmental monitoring
before and after the deployment
of offshore drilling and
production assets
Real-time, on-site field
monitoring and sensing
systemsfor 4D reservoir
analysisand preseismic and
post-seismic deployment
surveys
Security cordons for offshore
developments, in which the buoy
serves as a host for surveillance
equipment that can track vessels
and aircraft and potentially
provide early threat warnings
(Fig. 2)
Temporary navigational markers

for surface and submerged
structures
Diesel power replacement, using
the larger PowerBuoy 40 (PB40)
system
Three of these applications
AUV garages, the control of electric
trees, and diesel power replacement
align particularly with current needs in
offshoreoperations.
Prepositioned AUV Networks
Applying the technology as a persistent

power source for prepositioned AUV systems alongside AUV garages could enable
fast and cost-effective power delivery. Used
in this way, the buoy system can hold an
advantage over ship-centric AUV systems,
especially with the wide areas covered by
typical oil and gas fields and the increasingly remote locations being developed.
AUV performance is hampered by the
vehicles need to resurface for recharging,
for mission programming, and for uploading post-mission data. Doing so is particularly difficult in sea states higher than 2.
Using an AUV garage removes these limitations by providing an in-situ charging
JPT FEBRUARY 2014
1/16/14 8:17 AM
point and enabling two-way communication between the device and its control
point without the need to resurface.
Thus, the operator can address minor
maintenance issues quickly from the
desktop, requiring fewer staff members,
and more time is available for addressing
major problems that may arise, reducing
the risk of productionoutages.
The technology provides ample
power for AUV functions and could be
scaled up to support larger work vehicles. The system is equipped with a number of on-board communication capabilities, including satellite (Iridium), HF,
and Wi-Fi. The stable spar buoy can also
accommodate the specialized antennas
required to support high-bandwidth systems such as the very small aperture terminal systems used in the Gulf of Mexico.
Electric Tree Power and Control
Electric trees offer the potential for

improved control system response and
increased reliability compared with similar hydraulically controlled systems.
Using the buoy as a power source and
control hub potentially avoids a complex
and costly subsea umbilical installation.
Currently, electric wellheads obtain
power through connections with remote
surface infrastructure. Use of the buoy
system potentially can lower power delivery cost while maintaining equivalent
reliability and safety levels.
To use the buoy system, it must have
sufficient power and a margin of safety
to provide safe and reliable operation of
the electric tree. The tree is mainly a lowpower system that operates on a fraction of the power used by a subsea pump.
The subsea control module has no moving parts, and intermittent bursts of high
power are needed to operate valves.
Changing the power source to the
tree does not increase safety concerns.
Nonetheless, because the buoy is on the
surface, there is some added risk compared with that of a submerged cable.
However, up-to-date navigational aids
mounted on the buoy and its marked location on marine charts mitigate that risk.
The buoy continuously transmits a
health check status to operators to alert
JPT FEBRUARY 2014
them of incidents or failures. The buoy is

designed to include a high-integrity shutdown mechanism. To ensure that a communications failure does not lead to a buoy
power failure, the buoy has a failsafe closure signal that will be transmitted to the
tree if a reset signal is not received from the
control center within every 4-hour period.
Diesel Power Replacement
Diesel generators are the most common

source of electrical power in the offshore
operations market, but their use comes at
a price for the fuel and its delivery to the
facility. To meet the needs of an unstaffed
platform with PowerBuoy technology
requires the PB40 system. The system,
which delivers 40 kW of power and can
be scaled up to deliver 80kW, is being
prepared for a trial off the north coast
of Spain as part of the Waveport project
funded through European Commissions
FP-7 research and developmentprogram.
The buoy system can connect to a
platforms uninterruptable power sup-
ply by means of an underwater cable

to supply power that will support diesel generators and thereby significantly
reduce operational costs. The resulting
dual power source
Greatly reduces diesel
generatoruse and fuel
consumption, extending
generator life.
Reduces maintenance and
the associated staff needs,
transportation, and operational
downtime.
Increases the redundancy and
enhances the safety of the power
system.
Reduces the environmental
impact of platform operations.
As the technology evolves, larger systems being planned could further reduce or eliminate diesel generator use and reduce capital and operating
expense, which could especially benefit
marginal production facilities.JPT
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33
1/16/14 8:17 AM
YOUNG TECHNOLOGY SHOWCASE
Fiber Optic Feed-Through Packer

Technology Assists Multizone Fracturing
and Production Monitoring
Fiber optic pressure and temperature
(P/T) sensing technology for multizone
fracturing and production monitoring is enabled by a new feed-through
(FT) technology that integrates the optical fiber within the multiple elastomer
elements of a compact, swellable openhole packer system to achieve competent
zonalisolation.
It is important that a continuous length of optical fiber be installed
across the multiple zones isolated by the
swellable packer system. Splicing the
fiber is problematic because the process
is time c4onsuming, and the splice point
degrades faster than uncut fiber. Over
time, the splice presents a weak point
that can limit system life. This is compounded in long, multizone completions
that may require as many as 40 isolation
points along the well.
Weatherfords Fraxsis FT technology facilitates deployment of continuous lengths of optical fiber across multiple zones as part of a modular pack-
er system made up of short (24-in.)

swellable elastomer sections that provide high-pressure zonal isolation. The
FT technology is also a key enabler in the
development of a faster, spoolable fiber
deploymentcapability.
Fiber optic monitoring of a fracture stimulation and the resulting production across every stage of the completion provides engineers with the information to improve stimulation and completion design, and optimize production
over the life of the well. The FT technology enables fiber-optic monitoring using
a proven packer technology that achieves
high-pressure zonal isolation with a
much shorter inflatable element, which
reduces packer stiffness and makes the
system easier to run.
Technical Details
The FT packer design is based on a modular approach that uses single or multiple swellable elastomer elements to
create isolation points for the comple-
Fig. 1Fiber optic feed through enables data collection in multizone

completions when using a modular packer system made up of 24-in.-long
elements.
34
YoungTechFeb.indd 34
Editors note: If you have a

new technology introduced
fewer than 2 years ago and
would like to highlight it in
Young Technology Showcase,
please contact JPT Editor John
Donnelly at jdonnelly@spe.org.
tion (Fig. 1). Each element incorporates

a proprietary metal backup system to
achieve a higher pressure rating with less
than half the length of a conventional
swellable packer.
The metal backup system expands
concurrently with the elastomer to prevent extrusion of the rubber element and
form a higher pressure seal. Depending on the completions pressure requirements, 24-in. elastomer sections are
added to the packer system to achieve
1,500 psi (one element), 3,000 psi (two),
and higher-pressure specifications. As
a result, the technology allows a packer
only 7 ft long to seal up to 5,000 psi with
the same hole-conformance of traditional swellable packers.
The base module is a 24-in. packer element with exposed back-up rings.
Specifications for the initial 6.25-in.
hole-size packer include a 4.5-in.-OD
mandrel, 5.65-in.-OD element, and
5.75in.-OD gauge. A 5.5-in. open hole
size isplanned.
The new FT technology feeds two
-in. fiber lines through the packer
elements: one for temperature sensing
throughout the well, and one with integrated pressure gauges to provide pressure measurements along the wellbore.
JPT FEBRUARY 2014
1/16/14 10:12 AM
Feed-through deployment of the

optical fibers is achieved by incising two
precise -in.-wide slots approximately -in. deep and opposed 180 along
the length of the element. The fibers are
inserted in these grooves.
The cutting process produces an
extruded strip of rubber that is approximately the same size as the slot. After
the FT slot is incised, the extrusion is
retained and replaced in the groove prior
to wellsite delivery of the packer. The
incision has a rounded profile to help
hold the replaced extrusion in place.
Running Process
In the running process, the tool is made

up with the string in the same manner
as conventional swellable packers. The
pre-cut rubber extrusions are removed
from the FT slots in the element and the
two fiber cables are inserted. The extrusions are replaced and pressed into the
slot using a rubber extrusion insertion
tool (REIT).
The REIT hand tool sets the rubber
extrusion in place so that it covers the
fiber cables and integrates them within
the element. Sets of C-rings that are integral to the metal back-up technology are
installed at either end of the element to
further secure the fiber FT. Grooves in
the C-rings ensure that the clamps provide the optimal pressure against the
fibers as they exit the element. Full integration and sealing of the fibers within
the elastomer is further enhanced when
the elastomer swells and pushes against
the formation.
Installation time is always a concern with the deployment of downhole
monitoring systems. The FT installation
requires less than 15 minutes per packer.
Pressure Rating
(psi)
Continuous
Lines
Elastomer
Length
Overall
Length
1,500
2 in.
24 in.
30 in.
3,000
2 in.
48 in.
57 in.
5,000
2 in.
72 in.
83 in.
7,000
2 in.
144 in.
166 in.
Element
Segments
Fig 2The modular Fraxsis FT swellable packer system was tested in one-,
two-, and three-element configurations.
modified V3 ISO 14310 cased-hole standards to achieve a less-than-1% pressure

loss over a 15-minute period.
The modular system was tested in
one-, two-, and three-element configurations. Tests proved that a maximum
7,000 psi can be achieved with a six-
element assembly that has a combined
elastomer length of 144 in. and an overall
assembly length of 166 in. (Fig. 2).
Test results showed that the FT process of incising and replacing the rubber
extrusion avoided any communication
along the fiber FT channel. There was
no leak path and the FT incision healed

competently when the extrusion was
replaced and swelling took place. The
trials occurred during a standard 3-week
period for swell-testing procedures.
Field Deployment
The success of the tests proved the tool

was ready for field application and it
is currently pending initial commercial
deployment. Plans include manufacture
of a 5.5-in. openhole tool, and completion
of the development of a spoolable fiber
system enabled by the FT capability.JPT
Hardbanding Support
From Hardbanding Solutions by postle
ImprovIng StandardS
on-Site training for new applicators
Applicator Testing, Qualification & Licensing
SupportIng End uSErS

Educational technical Forums
Worldwide technical Support
Testing
Successful testing of the FT packer system was completed in October 2013. The
testing process applied the same standards used for conventional openhole
packer designs. An oil-actuated, H4WON
elastomer with a maximum 300 bottomhole temperature was used in the initial
tests. Pressure was applied alternately
to each end of the assembly according to
JPT FEBRUARY 2014
YoungTechFeb.indd 35
www.hardbandingsolutions.com
hbs250@hardbandingsolutions.com
35
1/16/14 12:51 PM
TECHBITS
First SPE Workshop-Webinar Held

on Waterflooding
The Technical Aspects of Waterflooding workshop held 23 October in Long
Beach, California, was the first SPE event
to involve both live participants and
members participating around the world
through a real-time video feed.
The workshop drew more than 70
participants from various companies
and organizations, including Occidental,
Signal Hill Petroleum, Berry Petroleum,
Santa Maria Energy, Termo, Spec Services, the California State Lands Commission, SPE board members, and students
from the University of Southern California and California State University of
Long Beach. The workshop was held by
the SPE Los Angeles Section and the oneday live webinar by SPE. Following are
highlights from the workshop.
When Water and Oil Mix
Abbas Firoozabadi
Water and oil sometimes mix due to formation of certain structures known as
emulsions, small droplets of water in oil
or small droplets of oil in water that add
surfactants. Some complex molecules in
oil may cause formation of emulsions
without adding surfactants. Emulsions
in production facilities are well known.
Functionalized molecules are added in
small quantities to separate oil and water.
The formation of water-in-oil emulsion in the reservoir is very undesirable
because of the high increase in viscosity and low recovery. Oil-in-water emulsion formation is desirable for improved
oil recovery. The talk centered on mixing
of oil and water when water-in-oil emulsion is formed. Extensive results from
laboratory core flooding were presented
to demonstrate that when water-in-oil
emulsions are formed from the contact of
36
TechbitsFeb.indd 36
water and oil, the flow has many complexities. These include pressure decrease in
the core at high injection rate and substantial pressure increase when water
enters the core. To alleviate the problem
and recover oil from the conditions in
which water and oil mix, the best option
is addition of small amounts of functionalized molecules that invert the waterin-oil emulsion to oil-in-wateremulsion.
Waterflood Management
and Surveillance
Ganesh Thakur
This presentation illustrated how practical application of surveillance and
monitoring principles are key to understanding reservoir performance and identifying opportunities that can improve
oil production and ultimate oil recovery. Implementation of various principles
recommended by industry experts were
presented using examples from fields
currently in production. Examples of
how to process valuable information and
analyze data from different perspectives
were presented in a methodical way on
the following bases: field, block or zone,
pattern, and wells. A novel diagnostic
plot, called the ABC Plot, was presented to assess well performance and identify problem wells for the field. Results
from the application of these reservoir
management and surveillance practices
in a pilot area were shared, indicating
that the nominal decline rate improved
from 33% to 18% per year without any
infill drilling. The change in the decline
rate was primarily attributed to effective
waterflood management with a methodical approach, employing an integrated
multifunctional team. Although the suggested techniques can be applied to any
oil field undergoing a waterflood, they

are of great value to mature waterfloods
that involve significant production history. In these cases, prioritization is a key
aspect to maintain focus on the opportunities that can add most value during the
final period of the depletion cycle.
Waterflooding Process and Design
Abdus Satter
Waterflooding as a process is the most
widely used post-primary recovery
method in the United States and contributes substantially to current production and reserves. Waterflooding consists of injecting water into a set of wells
while producing from the surrounding wells. It maintains reservoir pressure and displaces oil from the injectors to the producers. Waterflood
recovery efficiency=displacement efficiency within the volume swept by the
waterareal sweep efficiencyvertical
sweep efficiency. Displacement efficiency is affected by rock and fluid properties, and throughput (pore volume of
water injected). Areal and vertical sweep
efficiencies are affected by flooding pattern types, mobility ratio, reservoir heterogeneity, and throughput. Waterflood
design considerations are reservoir characterization, potential flooding plans,
estimation of injection and production
rates, facilities design, capital investments, operating costs, and economic
evaluation. Satter emphasized the following: Build integrated geoscience
and engineering model using available
data, simulate full-field primary performance, and forecast performance under
peripheral and pattern waterflood drive.
Choose peripheral and pattern development cases. Make economic analysis of
JPT FEBRUARY 2014
1/16/14 2:25 PM
Innovation
TM
the chosen cases using waterflood oil

recoveries obtained, and capital investments to determine which case would be
more profitable.
Waterflood on a Chip
Baldev S. Gill
Microfluidics are used to displace one
phase with another in a water-wet prefabricated microchip and the displacement can be seen under a microscope.
In Gills example, synthetic oil was displaced with deionized water using equipment from a laboratory at the University of Alberta, Canada. In essence, this
talk discussed the concept of reservoir
on chip (ROC). The process includes
several steps, from taking a core from
a reservoir rock and creating a series of
micro-structure images in FIB-SEM and
then constructing a 3D model of the reservoir pore space. From this, a pore network is extracted and a realistic 2D pore
network is developed from the crosssection of the 3D network. This network
is finally etched on silicon and the ROC
is developed. A video is developed that
highlights when the chip is originally
saturated with oil and then a blue dye
is introduced with the water velocity to
show the displacement efficiency as the
number of pore volumes increase. Of
particular interest is the entrapment of
oil globules around the pore throat network, which highlight the capillary pressure influence on the pore throat size
and the bypassing of oil once the water
breaksthrough.JPT
Rheometer
Redefning the Stand-Alone Rheometer

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An operator can record test
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select a pre-programmed API
test, or set up a test and touch
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The RheoVADRTM Rheometer has an illuminated sample cup,

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2014 Fann Instrument Company. All Rights Reserved
JPT FEBRUARY 2014
TechbitsFeb.indd 37
RheoVADR 3_4 Approved.indd 1
1/10/2014 3:56:04 PM
37
1/16/14 1:55 PM
More Carbon Dioxide

Means More Oil
But Building On That Can Get Complicated

Stephen Rassenfoss, JPT Emerging Technology Senior Editor
arbon dioxide (CO2) injected into oil fields is the gift

that keeps giving. The description comes from David
Schechter, an associate professor of petroleum engineering
at Texas A&M University, who is researching whether
CO2 can be used to coax billions more barrels of oil from
unconventional formations.
In the United States, 318,000 B/D of oil production is
credited to the injection of 3,443 billion ft 3 of carbon dioxide.
That estimate is based on a joint study by the US Department
of Energy (DOE) and the University of Wyoming, which
forecast that this technique for enhancing oil production
38
CO2 Projects.indd 38
could nearly double by 2018. That assumes a surge in the

amount of CO2 captured from industrial sources to meet the
growingdemand.
Offshore Brazil, carbon dioxide removed from natural
gas produced in the Lula field is being reinjected into that
reservoir to reduce carbon emissions. It offers a rare test
for learning how injecting CO2 affects the output of a young
field, and Petrobras has said reinjection will be applied to
other large offshore fields.
A growing body of evidence indicates that below the
aging giant oil reservoirs in west Texas, is a large untapped
JPT FEBRUARY 2014
1/16/14 7:10 AM
A long line of pipes gathers the flow from wells in

a portion of the GLSAU field where CO2 injections
are used to enhance production. The field, now
owned by Kinder Morgan, has added deeper wells,
allowing it to produce from the residual oil zone
(ROZ) as well as the main pay zone. Photo courtesy
of MelzerConsulting.
layer known as the residual oil zone (ROZ) that could produce
billions of barrels if enough CO2 is available to coax crude out
of formations with low oil saturations.
Some people working to find ways to reduce CO2
emissions see selling CO2 to increase oil production as one
of the only currently available methods to financially justify
capturing the gas blamed for global warming and store it.
The growth potential is strong if a lot more carbon
dioxide is available at the right price. The biggest problem
with carbon dioxide is there is not enough of it. There are
far more projects than carbon dioxide, said David Vance, a
JPT FEBRUARY 2014
geologist who is a principal scientist at Arcadis. Vance

moved a decade ago to Midland, Texas, to become part of a
community of people there who are focused on turning what
is still seen as a west Texas thing into something far larger.
The nature of that vision is on display annually at
the CO2 Flooding Conference and at its sister event, the
EOR Carbon Management Workshop, both held during the
same week in December 2013 in Midland, Texas. The pair of
meetings, which go back more than a decade, is evidence of
the marriage of necessity that has sprung up between those
who see CO2 as a means to greater oil production and those
who see oil reservoirs as the only growing option now for
long-term CO2 storage. As with many things related to CO2
EOR, the relationship is complicated.
Europes grand plan to pay to store carbon dioxide
as a waste product in saline aquifers sunk with the carbon
credit market, where the cost of buying the right to emit CO2
has dropped to around USD 5.50/t, far less than the cost of
pumping it into a deep aquifer forever. Those using CO2 to
enhance oil production will pay far more for the gas, giving
them a strong motivation to ensure a valuable commodity
does not escape into the atmosphere.
At the Midland conference, speakers played up how CO2
EOR can be used to pay for carbon capture, utilization, and
storage (CCUS). It is a positive environmental message, but
convincing environmental regulators that injected carbon
dioxide will remain stored in the ground permanently, is a
problem to be solved.
The US Environmental Protection Agency has
developed a permitting process for long-term CO2 storage
(Class VI), which is likely to be needed for facilities capturing
CO2 to meet emission limits on the gas. To do that, they
will need to prove it has been secured in an underground
formation where it will remain.
But operators fear large added costs and long-term
liabilities if the agency requires a mass migration by those
conducting CO2 EOR using a Class II permit to the new
standard, said Michael Moore, executive director of the North
American Carbon Capture and Storage Association and the
organizer of the EOR Carbon Management Workshop.
On the supply side, the US government is supporting
the search for greater supplies. The US Geological Survey
(USGS) is working on its first national survey of technically
available natural CO2 resources, said Peter Warwick,
research geologist at the USGS. It recently completed
a survey of CO2 storage space in the US. What it found
suggested underground capacity is not likely to limit storage.
The US DOE is backing research into potential sources
of manmade CO2 and supporting industrial installations to
39
1/16/14 7:11 AM
CO2 PROJECTS
This map shows the expected footprint of the ROZ (light blue) in the Permian Basin. This extremely slow moving, oily
aquifer runs beneath and between the major San Andres oil fields in west Texas. The map is based on data from wells
drilled through the zone showing hydrocarbons were present but at saturations too low for production without EOR
methods. This work was funded by the Research Partnership to Secure Energy for America (RPSEA).
Map courtesy of Melzer Consulting.
demonstrate that it can be captured in industrial plants. It

is also backing research to increase the effectiveness of
CO2EOR.
Gas supplies from industrial facilities are expected
torise from fivefold to sevenfold over the next 5 years.
CO2 is a nice business that is going along well.
But, now we are starting to think about the next phase
of CO2driven production, and we do not have the CO2 to
do that, said Chuck McConnell, executive director of the
Energyand the Environment Initiative at Rice University
andformer assistant secretary of energy for fossil
energy atthe USDOE. He said, Punching more holes in
the groundisnot the strategy for the next phase of the
CO2business.
40
The USD 40 Limit

There is a giant supply of manmade carbon dioxide, but much
of what comes out of smokestacks is mixed with other gases
such as nitrogen, noxious chemicals such as mercury, and
particles of soot.
The cost of extracting pure CO2 from that mix using
current technology typically exceeds what the oil industry is
willing to pay. That challenge was summed by one long-term
attendee to the CO2 conference, who said the messageoffered
every year is Carbon dioxide works. We need more of it. And
we are not going to pay more than USD 40 a ton.
The creator of the conference, Steve Melzer, founder of
Melzer Consulting, said those three themes are a given but
he is seeing signs of significant change.
JPT FEBRUARY 2014
1/16/14 7:11 AM
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AM
CO2 PROJECTS
The use of manmade (anthropogenic) CO2 is expected
to increase fivefold by 2020, according to Vello Kuuskraa,
president of Advanced Resources International, who
presented its region-by-region analysis of CO2 use at the
conference. By 2020, gas from industrial sources will nearly
equal the supply from natural ones, he said.
Every North American region he looked at is expected
to grow rapidly in terms of CO2 use and production. The
traditional center of the business remains the Permian Basin
in west Texas, but that areas dominant position in CO2 EOR is
expected to erode as others grow faster.
By far the largest expansion is expected on the US
Gulf Coast, where low-cost US natural gas is stoking a rapid
expansion of petrochemical plants capable of also producing
CO2 for sale.
Supply growth could allow CO2 EOR to move offshore in
the US. That could start in the shallow waters of the Gulf of
Mexico, where little-used natural gas lines might offer a lowcost supply route; but, the big prize is in the deep waters of
the US Gulf of Mexico, Kuuskraa said.
The predicted sources of supply vary by region.
Industrial supplies are critical in the midcontinent, while
drilling in the Rockies could increase production from CO2
fields there. If a large liquefied national gas plant is built
in Alaska to export natural gas from the North Slope, the
CO2 removed during chilling could be used for enhanced oil
projects there.
There are distinct systems for carbon dioxide, and
in all of them is a lot of expected growth, Kuuskraa said.
But, in some of those areas where he sees growth, such as
offshore, there is a cost gap, he said.
Puzzles to Solve
The man who started the conference is at the center
of the international network of those interested in CO2
EOR. Anengineer at the meeting in need of names for
some market research prefaced his request to Melzer
by saying,you are the guy who knows everybody in
thebusiness.
That is a testimony to the 19 years Melzer has been at
this, and to the relatively small size of this community. For
now, what they are doing looks tiny compared with the boom
in unconventional exploration.
Those visiting Midland for the meeting could see
how its landscape was being altered by new offices and
equipment yards for companies racing to develop the
enormous unconventional shale oil formations nearby in the
Permian Basin, such as the Wolfcamp shale.
The shale guys are winning the investment dollars
now, said Doug McMurrey, vice president of marketing and
business development for Kinder Morgan CO2. In the Permian
Basin, CO2 EOR is competing with shale plays, such as the
Wolfcamp, which appeals to investors who prefer projects
that break even sooner rather than later.
42
A gas separation facility at the Scurry Area Canyon Reef

Operators Committee (SACROC) oilfield, where CO2 is
removed for reuse and natural gas liquids are pulled out of
the stream for sale. Photo courtesy of David Vance.
When oil prices are around USD 100/bbl, the Wolfcamp

can offer relatively fast paybacks, despite the high cost
of drilling and completing those wells. Those involved in
CO2 EOR counter that a well-run project can produce oil for
less per barrel than shale and return equal or better profit
margins. But it takes years longer to deliver those returns
and an operator with the knowledge and experience needed
to manage the complex process of alternating between CO2
injection and waterflooding. While shale well production
quickly declines, CO2 EOR can provide a return on investment
for many years to come, McMurreysaid.
Tabula Rasa Partners, a young company in CO2 EOR
with private equity financing, has bought CO2 reserves
and isworking on four CO2 flooding projects in west Texas.
We feel it is important that we have a foot in both the
CO2 and the EOR worlds. What we find is there are a lot of
opportunities out there, said Tracy Evans, chief operator
officer at Tabula Rasa, who previously filled a similar position
at Denbury Resources, one of the largest operators in CO2
supply andEOR.
Evans said CO2 EOR developers need to seek out longterm investors. And he said production generated using
JPT FEBRUARY 2014
1/16/14 7:11 AM
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CO2 PROJECTS
Towers once used to refine oil are now used for the last stages of gas separation at Kinder Morgans SACROC unit. These
perform the last steps of the process that separates natural gas and gas liquids from CO2, which is reinjected into the
unit. Photo by Stephen Rassenfoss.
CO2 is better understood than the long-term outlook for

production from shale formations. The risk-adjusted rate
of return on EOR is as attractive as shale, Evans said. And
Tabula Rasas goals include exploring a frontier with some
significant upsidethe ROZ.
Next Generation
For those in carbon dioxide injection, the ROZ has been their
moonshot. This zone, which is also called the transition
zone, lies below the main pay zones that once held far higher
concentrations of oil. The ROZ looks appealing now because
it can be up to 400 ft thick and the oil found in it (20% to
40% saturation) is comparable to what is left in the main pay
zones after decades of production.
Operators are beginning to explore the ROZ, hoping
deeper wells into the zone can extend the life of old fields.
In the process, they are testing whether the ROZ extends
beyond the limits of the fields.
44
The Seminole San Andres Unit, operated by Hess,

was redeveloped to tap the ROZ. In a presentation at the
conference, Hess said it has 30 injection and production
wells in the ROZ and 80 in the main pay zone. It deepened
some wells to limit the cost of new drilling and injected only
CO2 for 2 years in the ROZ.
Results of the project were described as positive. When
asked for ROZ production numbers, Chad McGehee, team
lead for well servicing at Hess, said determining production
by zone is difficult because CO2 travels vertically from one
to another, adding that the company does not disclose such
detailed production information.
However, he did say that the ROZ there extends beyond
the boundaries of the Seminole. That comment supports
the theory that the residual oil zone exists well beyond the
boundaries of the fields. Those working on ROZ research
describe it as Mother Natures waterflood because they say
the aquifer moving at approximately 1 ft every 1000 years
JPT FEBRUARY 2014
1/16/14 7:11 AM
ultimately swept much of the oil out of the thick reservoir,

leaving behind a permeable carbonate reservoir with a low
oil saturation20 to 40%comparable to what remains
in the primary production zone above it after decades
ofwaterflooding.
If that is so, it could offer a new frontier for production
between fields using CO2 EOR. The US DOE has backed a study by
a team associated with the University of Texas of the Permian
Basin, led by Melzer, to study the ROZ and create reservoirmodeling tools to understand it better and produce oil from it.
Melzers current best estimate is 28 billion bbl in
the ROZ beneath conventional reservoirs in the Permian
called brownfield ROZ. If we are good at what we do, we
can get one-third of it, Melzer said. They are now working
on an estimate of the total resource in the Permian, but
the potential in the large areas between fields looks huge.
It is difficult to pin down because no one has ever drilled a
successful well in what is known as the greenfield ROZ. Melzer
said that could double or triple the total resource.
JPT FEBRUARY 2014
And the ROZ may well be found in other regions because

the geological factors found in the Permian are found in
other oil-producing regions, such as the Rockies. Given the
amount of CO2 needed, they would ideally be located near
large industrial sources of CO2.
It is a vision that has entailed years of work mapping
the ROZ from data from past projects that looked at,
and often drilled through, the zone. Melzer hopes to see
greenfield ROZ drilling in the next few years. As with many
things to do with ROZ, it is a complicated pursuit that will
depend on finding more carbon dioxide.
It will inevitably have a lot of moving parts when
selling and financing a project, Melzer said. It will require
getting engineers to speak the same language as financial
people and vice versa.
An awful lot of stuff we do relies on multiple processes
and finding markets for a couple products, he said. If we
can bridge that gap, we can see large volumes (of CO2) come
into the market.JPT
45
1/16/14 7:11 AM
CO2 PROJECTS
Carbon Dioxide:
From Industry to Oil Fields
he lifespan of a huge, old oil field in Oklahoma is now

linked to a fertilizer plant 68 miles away. Chaparral
Energy is capturing 45million ft 3/D of carbon dioxide (CO2)
that had previously been vented into the atmosphere in
Coffeyville, Kansas, compressing it, and sending it via a
pipeline to the Burbank field in Osage County, Oklahoma.
If the USD-250-million project works as planned,
Chaparral will revive a field that looked to be near the
end, with wells producing more than 99% water, adding a
projected 80million bbl more of oil production.
This is the biggest project for the company that is
filling a hole in the CO2 supply map in the middle of the
United States by building a CO2 supply system based only
on industrial sources for enhanced oil recovery (EOR).
Chaparrals 380-mile long system connects three fertilizer
plants and an ethanol plant with fields where it has EOR
projects.
The goal is a longer life for marginal oil fields, said Keith
Tracy, director of CO2 Midstream at Chaparral. We have
dozens of additional fields on the drawing board.
A worker coats metal that had been left exposed for

welding. Carbon dioxide is now flowing through the
pipeline built by Chaparral Energy to supply an enhanced
oil recovery project at the North Burbank unit in
Northeastern Oklahoma.
46
Those plans depend on finding more CO2. For Chaparral,

and for the industry as a whole, industrial sources appear
to be the most promising growth option. A nearly sevenfold
expected rise in CO2 captured from industrial waste
streamsis expected to account for more than half of the
86% increase in US CO2 supplies over the next 5 years,
according to a study by Phil DiPietro, strategic planner
at theNational Energy Laboratory of the US Department
of Energy (DOE), and Glen Murrell, a research scientist
at the Enhanced Oil Recovery Institute of the University
ofWyoming.
They (Chaparral) are the company that looks like other
companies will look like over time, in CO2 EOR, said Michael
Moore, who led the CO2 EOR Carbon Management Workshop
and leads the trade association representing those doing
conducting CO2 EOR, the North American Carbon Capture and
Storage Association.
The now small supply of CO2 for EOR from man-made
sourcesanthropogenic CO2is expected to grow far faster
than natural CO2 , which is produced in nearly pure form from
wells tapping ancient volcanic sources.
By 2020, the two sources are projected to be equal,
but a lot of work and innovation will be required to turn that
potential into a reality. The biggest source of industrial
gas growth is said to be the US Gulf Coast, where there is a
wave of petrochemical plant expansion aided by low US gas
prices, said Vello Kuuskraa, president of Advanced Resources
International, a geology and engineering services firm that
makes regional CO2 EOR forecasts.
The study looked at existing and planned facilities
with CO2 as a byproduct along Denbury Resources Green
Pipeline, a pipeline that runs past the many refining and
petrochemical plants along the coast of Louisiana and
southeast Texas. The pipeline handles both naturally
produced CO2 from the Jackson dome in Mississippi and gas
that is a byproduct of plants along the coast.
There is huge growth expected in the Gulf Coast,
Kuuskraa said. That is the vision and the direction that this
industry is headed.
Growth in industrial CO2 supplies is also predicted in
the midcontinent area, where Chaparral began injecting
gas last June into the North Burbank unit, which is where
the mineral rights are held by the Osage Indian tribe in
northeastern Oklahoma. Chaparrals plan predicts that
JPT FEBRUARY 2014
1/16/14 7:11 AM
STIMULATION MONITORING
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Hall_047_jpt.indd 1
1/15/14 10:19 AM
CO2 PROJECTS
Key
Potential Natural CO2 Source

Natural CO2 Source
NG Processing Source
Conversion Source
CO2 Pipeline
CO2 Pipeline planned
2.5 MMscf/d
150 MMscf/d
There is a massive resource

identified in mature oil fields that
can take more CO2. The trick is
more CO2 , Moore said. In all cases,
the next path for CO2 growth is
capturedCO2.
No Easy CO2
The biggest potential industrial

source of the carbon dioxide by far is
coal-burning power plants. It is also
one of the more expensive sources.
150 MMscf/d
The price is commonly estimated at
twice or more than the USD-40/ton
price commonly cited as the highest
ENHANCED OIL RECOVERY
INSTITUTE
1,800 MMscf/d
operators can afford for EOR, based
on littleexperience.
950 MMscf/d
TOTAL 3,453 MMScf/d
Most of what is used for EOR
now is from wells producing nearly
pure CO2 , which are concentrated
Key
either in the US RockyMountains
Potential Natural CO2 Source
Natural CO2 Source
orin the southern state
NG Processing Source
Conversion Source
ofMississippi.
CO2 Pipeline
CO2 Pipeline planned
Active drilling programs by
75 MMscf/d
the
two
largest CO2 suppliers,
200 MMscf/d
Denbury and Kinder-Morgan, are
also expected to increase the
amount from natural sources
because supplies are limited
10.5 MMscf/d
700 MMscf/d
for theircustomers and their
330 MMscf/d
EORprojects.
We had some pro-rationing
earlier this year (2013) in the
25 MMscf/d
M f/d
Permian Basin, said Doug McMurrey,
vice president of marketing and
ENHANCED OIL RECOVERY
INSTITUTE
business development for Kinder
Morgan CO2. It is drilling CO2 wells
2,200 MMscf/d
to increase its already high levels of
deliveries in West Texas.
Kinder Morgan sells 60% of
Projections of CO2 supplies show strong growth in regional pipeline supply
its CO2 to customers and uses the
systems, according to a study by the US Department of Energy and the
Enhanced Oil Recovery Institute of the University of Wyoming.
rest for its EOR operations, making
it a major oil producer in Texas.
And when there are curtailments,
McMurrey said, Kinder Morgans fields are treated the same
adding CO2 will push production there from 1,200 to
as third-party buyers.
12,000B/D, according to a company presentation.
The CO2 EOR business was built using reserves found
The company, which also develops unconventional oil
reserves, projects that CO2 EOR projects companywide will
and developed decades ago during the oil boom that ended in
the early 1980s. The cost of bringing on a new generation of
grow from 4,000 B/D now to more than 35,000 B/D in 2020.
CO2 wells is forcing users to consider whether they can live
Its growth requires finding industrial sources near fields
where CO2 injections are likely to be effective. The economics with higher carbon dioxide prices.
All the sources are more expensive than in the past,
of CO2 EOR put a strict ceiling on how much operators
McMurrey said. This is causing resistance. He said there have
can afford to pay for the gas, which limits how far it can
been customers who claimed to be desperate to find more
beshipped.
390 MMscf/d
48
10.5 MMscf/d
JPT FEBRUARY 2014
1/16/14 7:11 AM
Pipe is laid along the 68-mile line from Coffeyville, Kansas, to Osage County, Oklahoma, that is now delivering carbon
dioxide for an enhanced oil recovery project by Chaparral Energy.
carbon dioxide who said they could not sign a deal when they
saw the terms.
Big, Costly Supplies

The biggest sources of smokestack CO2 are ones where the
carbon dioxide is mixed with gases no one wants to inject in
an oil field, requiring separation methods that are costly and
have been little used in power plants.
To show that it is possible and how much largescale operations actually cost, the US DOE has funded
demonstration projects. There are proven methods for
separating carbon dioxide from industrial emissions, but
thecost is often an issue.
One of the larger grants went to Air Products to
retrofita unit supplying hydrogen to a Valero refinery in Port
Arthur, Texas, to capture CO2. After two steam/methane
reforming gas modules were replaced, the unit now is able
to capture 90% of the CO2 produced in the gas-separation
process. During its first 6 months of production, it produced
500,000 tons of carbon dioxide, which it delivered to
Denburys Green Pipeline.
Government support covered USD 284 million of the
USD 431-million cost, which included a 30-MW unit to power
the operation. This process does not make sense without
JPT FEBRUARY 2014
DOE support, said John Palamara, development manager for

research and development at Air Products and Chemicals, in
a presentation at the conference.
In Kemper County, Mississippi, a coal-fired power plant
being built by Southern Company will be equipped to capture
nearly two-thirds of the CO2 , which will be used for EOR. It
also will produce and sell ammonia and sulfuric acid to help
offset the cost of CO2 capture.
Capturing carbon dioxide means the plant would emit
less of it than a natural-gas-fired plant, which would put it
under the emission limits proposed by the US Environmental
Protection Agency for new coal plants.
But this demonstration, backed by USD 270 million
from the US DOE, has become a cautionary tale. The
electricutility developed and tested the technology, but
budget overruns have pushed up the cost of the plant,
coal mine, and pipeline to an oil field by USD 1 billion to
USD4.45billion. Its opening date has been delayed until
late2014.
When asked about the overruns in an interview posted
on Southerns website, Tom Fanning, chairman and chief
executive officer at Southern, said the budgeted cost was
calculated early in the engineering process and only a 6%
contingency was built in. Based on the cost per kilowatt
49
1/16/14 7:11 AM
CO2 PROJECTS
He has counted 18 projects in North America that could
capture industrial and supply it for EOR. His goal is a DOE
strategy backing development of methods to lower the cost
of CO2 capture from industrial sources and allow operators
to produce more oil per ton of CO2 injected.
CO2 Next
These compressors increase the pressure of carbon dioxide

captured from a fertilizer plant in Coffeyville, Kansas, from
1 to 2000 psi before it is moved through a pipeline to a
field 68 miles away.
hour of generating capacity, this plant could make sense in

international markets where power costs significantly more
than it does in the US, he said.
Another clean coal project, the Texas Clean Energy
Project, has yet to begin construction. The plant in west
Texas being developed by Summit Energy Group will use
nearly half the 400-MW generating capacity to capture
all itsCO2 and turn it to make salable commodities. It will
sell some of the gas for EOR and use the rest to make
urea, whichis used for fertilizer. The process also removes
sulfur, which the plant will use to make sulfuric acid to
sell. The project is supported by USD 450 million from the
USDOE plus more than USD 673 million in tax creditsplus
promisesfrom state and local governments to reduce future
tax bills.
As of yearend, Summit was still working on closing
deals needed to begin construction, which was likely to
continue in 2014, said Chris Tynan, vice president of project
finance for Summit Power. Among the loose ends were final
agreements with Chinas Export-Import Bank and Sinopec,
which are among the backers.
The surge in hiring related to the rapid rise in
unconventional exploration in the sparsely populated region
around Midland has pushed up the price of the plant. The
boom in the Midland economy has caused labor prices to
increase. We are trying to navigate that at this time, Tynan
said during the CO2 conference.
Meanwhile, the US DOE is looking for ways to capture
relatively clean streams of the gas that come from certain
types of plants, such as those removing carbon dioxide from
natural gas or makers of ammonia or ethanol.
I think there is a good opportunity there, DiPietro
said. There are early opportunities up and down the Gulf
Coast to add new industrial CO2 sources.
50
The enormous potential market for CO2 is attracting

innovators with ideas about how to close the price gap.
Inmid-December, former US Energy Secretary Michael Chu
became a board member for Inventys Thermal Technologies,
a Canadian company with a method using a ceramic
materialthat it says can capture CO2 for about USD 15 a ton.
When other costs associated with compressing and delivering
carbon dioxide are added, a company release saidthe price
per ton could be from USD 40 to 50, which is near what is
considered affordable for EOR. The company said it has yet to
demonstrate it can do this in a large-scaletest.
A group of technology developers from GE Research,
working on lower-cost CO2 capture methods, also was at the
CO2 conference.
Some companies at the conference presented ideas
for using natural gas to create CO2. For these processes to
be affordable, they must also produce power and sell it at
a good price. One innovator on hand was Robert Zubrin, the
chief executive officer of Pioneer Energy. The company was
created to commercialize its Portable Enhanced Oil Recovery
Technology, which turns natural gas into CO2 and hydrogen,
which then can be used to generate electricity for sale
onthegrid.
The initial target audience for its units, which will
be able to produce 500 Mcf/D of CO2 , will be operators
conducting field tests who now rely on tank trucks, which are
expensive. For the process to be cost-competitive, Pioneer
needs to be able to sell power for about USD 0.06/kW-hr,
Zubrin said.
Maersk has licensed another technology that, like
Pioneers, has roots in the space program. Its Trigen
system burns natural gas with pure oxygen to produce
CO2 , electricity, nitrogen, and water. It can use low-quality
field gas associated with oil production, which could
reduceflaring.
You can get to below USD 40/ton for carbon
dioxideifyou can get a reasonable power price, of from
USD0.070.09/kW-hr, said Pieter Kaptejin, director of
technical operations at Maersk Trigen, a venture that
includes Siemens. It changes the way you doupstream.
So far, Maersk Trigen is in talks with a national oil
company. A significant problem has been the complexity that
comes with negotiating agreements to divvy up multiple
income streams among partners. The whole value chain
creates a lot of value, Kaptejin said. But how do you
distribute it (revenue) is the hard part.JPT
JPT FEBRUARY 2014
1/16/14 7:11 AM
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CO2 PROJECTS
Carbon Dioxide May Offer

An Unconventional EOR Option
s the daily oil output of the Bakken and Eagle Ford

formations rose toward 1 million B/D, researchers
were seeking a way to push the ultimate recoveries in these
formations, where producing 6% of the oil in the ground is
now considered good.
One line of attack on the problem is using carbon
dioxide (CO2) to get more oil from tight formations where
rapid production declines are the norm.
In laboratories at the Energy and Environmental
Research Center (EERC) at the University of North Dakota
This device measures changes in surface tension between

CO2 and oil. As the CO2 pressure is increased, the oil level
in the capillary tubes drops, indicating reduced surface
tension. When the levels are equal, there is no surface
tension. The Energy and Environmental Research Center
at the University of North Dakota developed this as a lowcost way to predict the minimum miscibility pressure.
52
and at Texas A&M University, experiments have shown

that carbon dioxide circulated around a small sample of
source rock can remove a significant amount of oil. Now, the
scientists are trying to understand how it works and if those
lab results can be applied in the real world.
It is incredible what CO2 can do, said John Harju,
associate director for research at the EERC, while describing
the centers research program at the annual CO2 Flooding
Conference in Midland, Texas.
The really big prize is (overcoming) the innately
lowrecovery rate in these shale plays, said David Schechter,
an associate professor of petroleum engineering at Texas
A&M University who is turning his expertise in conventional
enhanced oil recovery to unconventional reservoirs.
While laboratory results normally show much higher
recovery than field results, even a 1% improvement of
recoveries in the Bakken formation could yield more than
1billion bbl of oil, according to an EERC paper.
Previous SPE papers, based on reservoir simulation
work at Montana Tech of the University of Montana and
the Colorado School of Mines, concluded that significant
increases in ultimate oil recovery might be possible using
CO2 injections.
One of the biggest backers of the work in North
Dakota has been Harold Hamm, the chief executive officer
at Continental Resources, which pioneered unconventional
liquids development and is the biggest acreage holder in the
Bakken, Harju said.
On the basis of early tests using CO2 and similar
positive results from using chemical surfactants, Texas
A&M is working to recruit support from oil companies for a
joint industry project called the Enhanced Oil Recovery in
Unconventional Reservoirs Joint Industry Project.
Both the EERC and Texas A&M have tested samples
ranging in size from Chicletssquare bits of reservoir
rock about the size of the popular chewing gumto small
core samples about the size of a disposable lighter. The
tests produced significant amounts of oil from samples
exposed to CO2 flowing through a test chamber simulating
reservoirconditions.
In a lab test, the EERC was able to recover
60to95%ofthe hydrocarbon in rock samples from the
middle, upper, and lower Bakken, according to a paper
on thework (SPE 167200). Researchers were surprised
JPT FEBRUARY 2014
1/16/14 7:11 AM
How CO2 Might Free Oil From Shale
Researchers at the Energy and Environmental Research Center at the University of North Dakota created this
four-step illustration to explain how CO2 might work to increase oil production from unconventional formations
such as the Bakken.
Courtesy of the Energy and Environmental Research Center at the University of North Dakota.
to find that the recovery rate at reservoir pressures and

temperatures was high for all three layers after 4 days
ofexposure.
The middle Bakken reached that recovery rate faster
than the tighter rock in the upper and lower Bakken. The
result in the middle Bakken was not surprising because that
rock is not as tight as the layers of source rock above and
below it. Researchers reported oil recoveries ranging from
60 to 80% from the upper and lower Bakken after longer
exposures to CO2.
In a test at Texas A&M, a small sample produced
0.4cm3 of oil, suggesting a potential recovery rate of more
than 18% of the oil in the sample. Schechter said testing
so far suggests the CO2 is dragged into the matrix of the
rock. The laboratory there also found that using chemical
surfactants produced similar results
In conventional fields, injecting CO2 aids production in
several ways: by reducing interfacial tension, which loosens
the hold of the rock and oil; by lowering the viscosity of the
JPT FEBRUARY 2014
oil; and by causing oil molecules to swell, forcing it out of

pores in the rock.
CO2 is high on the list of EOR methods to try because
the options are limited. Many unconventional reservoirs,
including the Bakken, are oil-wet, and that attraction
between the rock and the oil means waterflooding is very
unlikely to succeed, said Ed Steadman, a department director
at the EERC.
Researchers in North Dakota have begun working to
understand how CO2 is likely to act in the Bakken formation.
The expectation is that these tight reservoir rocks, where
thegas must flow through constricted fracture networks,
will act differently than porous conventional formations.
Testing on Bakken rock suggests CO2 s benefits will
require significant contact time, said Steven B. Hawthorne,
a senior research manager at the EERC.
Another question is: What does it take for CO2 to
become miscible with oil in shale reservoirs? The conditions
at which carbon dioxide is miscible with oil matter because
53
1/16/14 7:11 AM
CO2 PROJECTS
Production from unconventional formations now depends on fractures created by injecting a high-pressure stream of
water, such as at this fracturing job in North Dakota. Researchers there are trying to understand the fracture networks
can be created better in search of a way to increase production. One option would be injecting CO2. Photo courtesy of
the Energy and Environmental Research Center at the University of North Dakota.
that is the point when it is most effective at getting more

oil out of a reservoir. Carbon dioxide floods are engineered
to reach the minimum miscibility pressure (MMP)the
levelwhere there is no interfacial tension between the oil
andCO2.
At the CO2 conference, Hawthorne showed a video
offering a view of how CO2 interacts with oil as the pressure
rises to where it becomes miscible and beyond. The image
of what went on inside a small tube simulating reservoir
conditions in the Bakken showed a rising level of activity as
pressure increased, suggesting the line between immiscible
and miscible could be fuzzier than is suggested by precise
calculations of the MMP.
In the Ground
All the researchers involved say more work is needed before
they can say this will work in the field. If it contacts the
rock enough, under the right conditions, this could work,
Schechter said.
Two field tests using CO2 in the Elm Coulee field in
Montana in 2009 and in Mountrail County in North Dakota
were described by Harju as not particularly successful.
What has been learned will be applied in two to three tests
expected over the next year.
54
It could be a long journey. The first two CO2 EOR tests

tried injecting carbon dioxide into a field, closing off the
well, and then returning it to production to see if the CO2
increased the output. These huff n puff tests were not
successful, which is leading researchers to consider ways to
push a stream of the gas through the rock to maximize the
surface area and the duration of the CO2 contact.
Researchers in North Dakota are considering injecting
carbon dioxide inside the oil-rich shale layers that sandwich
the middle Bakkenthe layer of dolomite that has been the
primary source of production thereand the Three Forks,
which is also being produced.
Finding an effective CO2 EOR method would only
be a first step. Applying it widely in a shale play covering
half of a state and several adjoining states and provinces
would require enormous amounts of carbon dioxide in an
area where there is not enough CO2 to flood conventional
reservoirs left from the early days of oil production.
Grand Plan
Filling those projected needs could alter the economic
landscape of North Dakota. Because the state needs more
power and has large undeveloped coal resources, one idea is
to capture carbon dioxide from new coal-fired power plants.
JPT FEBRUARY 2014
1/16/14 7:12 AM
CM
MY
CY
MY
Orr_055_jpt.indd 1
1/14/14 11:27 AM
CO2 PROJECTS
It could generate more power, enhance oil production, create
a market for the coal, and emit little or no CO2. It would also
make the state a technology proving ground.
North Dakota has estimated it would need an
additional 2,500 MW of electric-generating capacity in the
future, much of it to support growing oil production, Harju
said. That is double the states current capacity, according to
the US Energy Information Administration.
That plan could create demand for a less-desirable
resourcelignite, which is a low-quality grade of coal that
needs to be burned near to where it is mined because it is
expensive to ship.
Realizing this vision will require reducing the cost
of removing CO2 from the exhaust gasses vented from
power plants burning coal. Another option would be
producing CO2 using the natural gas associated with oil
production in the Bakken, much of which is now flared.
Either way, the technical risks are large, but so might be
thepotentialreturns. JPT
For Further Reading

SPE 167209 Long Overlooked Residual Oil Zones (ROZs) Are
Brought to the Limelight by A Harouaka, B. Trentham,
University of Texas of the Permian Basin, and S. Melzer,
Melzer Consulting
SPE 123176 CO2 Flooding the Elm Coulee Field by Shehbaz Shoaib,
SPE, Montana Tech, and B. Todd Hoffman, SPE, DRC Consulting
SPE 168915 Geologic Characterization of a Bakken Reservoir for
Potential CO2 EOR by Basak Kurtoglu, Marathon Oil Company,
and James A. Sorensen, Jason Energy and Environmental
Research Center, et al.
SPE-167200 Hydrocarbon Mobilization Mechanisms From Upper,
Middle, and Lower Bakken Reservoir Rocks Exposed to CO2
by Steven B. Hawthorne and Charles D. Gorecki, Energy and
Environmental Research Center, et al.
SPE 168774 Hydraulic Fracture Orientation for Miscible Gas
Injection EOR in Unconventional Oil Reservoirs by Tao Xu
and Todd Hoffman, Colorado School of Mines
2014 SPE International Conference on
Health, Safety, and Environment

1719 March
Long Beach Convention & Entertainment Center
Long Beach, California, USA
www.spe.org/events/hse/2014
Register Now!
56
JPT FEBRUARY 2014
1/16/14 1:04 PM
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12/11/13
12/11/13 11:19
3:19 PM
AM
Pioneering Subsea Gas

Compression Offshore Norway
Trent Jacobs, JPT Technology Writer
he worlds first full-scale subsea gas

compression system is in the final
stages of construction and is on schedule to be installed in the sgard gas
field offshore Norway by years end. Norways state-owned oil and gas company, Statoil, says that the project is the
largest and most complex subsea development ever undertaken in both size
and scope and represents a leap forward
for an industry that has sought to produce hydrocarbons ever farther from
58
Subsea Processing.indd 58
shore for more than a century. With the

ability to process and compress gas far
beneath the harsh surface conditions
of the Norwegian Sea, Statoil envisions
a future where surface installations are
not required to develop subsea fields.
The concept is referred to as the subsea factory, and the company aims to
install one capable of producing both
oil and gas by 2020. If successful, the
sgard subsea gas compression project
will become the latest milestone in prov-
ing that the companys ambitious objective is possible.

Statoil selected Aker Solutions to
design and build the system after determining that a subsea compressor station was economically favorable and
had a greater technological potential
compared with constructing a semisubmersible platform. By installing a compressor train on the seafloor, you are
closer to the reservoir, which means you
can do more with less, said Svenn Ivar
JPT FEBRUARY 2014
1/16/14 3:34 PM
In June of last year, Aker Solutions

delivered the nearly 4-millionlbm frame
for Statoils subsea gas compression
system in Norway. The frame is now
installed on the seafloor approximately
124 miles offshore Norway. Image
courtesy of Aker Solutions.
Fure, Aker Solutions senior vice president of strategy and business development. You dont have to take the gas
up to a platform and then pump it down
again. That provides a lot of advantages,
hesaid.
Fure also noted that, besides requiring less energy to achieve the same end, a
subsea system requires far fewer personnel to maintain and oversee its operation.
While subsea facilities do require constant monitoring, it can be done remote-
JPT FEBRUARY 2014
ly and with far fewer people than necessary for a conventional platform. This
provides the operator with considerable saving in regard to salaries, logistical services, helicopter transportation,
catering services, and power generation.
And, because no personnel work directly on the system day in and day out, the
risk for injury and loss of human life is
greatly reduced. Additionally, Statoil and
Aker Solutions claim subsea compressors
involve a simpler build and installation
process compared with that of a semisubmersible platform.
Boosting sgard
To be installed at a depth of approximately 850 ft and scheduled to start up early

in 2015, Statoils USD-2.7-billion subsea
gas compression system will sustain natural gas production from the Midgard
and Mikkel reservoirs, two of the largest
resources in the sgard field. The subsea template will consist of two identical
compressor trains producing in parallel
and will be used to recover an additional
28 billion m3 of natural gas and 14 million
bbls of condensate from the field, equal
to 280 million BOE.
First production at the sgard field,
124 miles offshore Norway, began in
1999. Current production is supported
by two facilities, an oil production vessel,
sgard A, and a semisubmersible, sgard
B, for gas production. Produced condensate is stored in a tanker, sgard C. The
decision to move forward with gas boosting was made because Statoil projects
that, within the next few years, reservoir
pressure will become too low to maintain
a steady rate of gas flow, yet a large volume of technically recoverable reserves
remain in the fields reservoirs.
Some of the projects equipment has
already been installed on the seabed,
including the manifold station that will
direct the flow of gas and the enormous
steel frame that will protect the compressors. Measuring 65 ft tall, almost 150 ft
wide, and more than 245 ft long, the compressor frame takes up almost the same
area as a soccer field. Remaining work
consists of sailing out two compressor
trains later this year and connecting all
the pieces for the first time. We have
qualified the components. We have built
the components, and now we are starting to put the components together and
testing it all as a system, said Rune Mode
Ramberg, Statoils chief engineer of subsea technology and operations. It is a
big puzzle that is comingtogether.
Each train at the sgard system comprises approximately 10 different modules that include gas processers, coolers,
59
1/16/14 7:24 AM
SUBSEA PROCESSING
A worker walks under the steel frame that will house Statoils gas compressors expected to come on stream in 2015 and
process approximately 740 MMcf/D of natural gas. The company expects the system to ensure production from one of
Norways largest offshore fields for the next 2 decades and beyond. Photo courtesy of Statoil.
scrubbers, pumps, and compressors. As

the gas leaves each wellhead, it travels
through a flowline and into a manifold,
where it is directed into a larger pipeline
that takes the gas into the compressor
trains. At that point, the liquids are separated from the gas. The dry gas is boosted
using the compressor, and the liquids are
pumped to sgard B.
Subsea Reliability
To achieve a high degree of system reliability, Statoil commissioned Aker Solutions to build not just two compressor
trains, but three. The first compressor
train is submerged at a test facility while
it undergoes verification testing before
being sent offshore. The second compressor train will also be submerged and
subjected to testing. The first two trains
will be installed at the field, and the third
train will be kept onshore to provide
Statoil with replacement modules. Ramberg describes the physical process of
compressing gas subsea as not too dif-
60
ferent from what happens on a platforms

topsides or at an onshore facility. The
big difference is the way the components
are put together, he said. That is different from what you would have on a
platform because (on a platform) we can
modify the units instead.
The idea for a subsea system is that,
while the critical components of the system are connected together, they work
independently of one another, so that,
if one module fails, it can be replaced
without replacing the entire production train. The design life for the sgard
compression system is 25 years, and
Statoil wants the major components to
operate 2 to 3 years before requiring
maintenanceintervention.
Once operational, the compressors
will increase pressure to compensate for
the steady decline in natural pressure. If
one of the trains fails, the other will pick
up some of the slack and production can
be maintained at up to 70% of the full
flow rate. At the onset, only one com-
pressor train will be needed to provide

the required amount of compression and
boosting capacity.
New Subsea Technology
Because of their proximity to the existing

facilities, the 11.5-MW subsea compressors will be powered from the existing
generators aboard the fields oil production vessel, sgard A. A new 880ton module with high-voltage electrical
equipment has been installed onboard
the vessel to run the compressor station.
For future discoveries, where there may
not be a nearby floating facility to host a
power unit, operators likely will rely upon
emerging long-distance power transmission technologies to deliver high-voltage
electricity from shore-based stations.
Among the technologies being put to
use in a subsea environment for the first
time at sgard is the compressors rotating equipment. The electrical motors that
will turn the rotors are the largest ever
installed subsea, and, as the natural gas
JPT FEBRUARY 2014
1/16/14 7:24 AM
NCS_061_jpt.indd 1
1/14/14 9:28 AM
SUBSEA PROCESSING
When the modules are brought online inside sgards compressor station,
theywill use approximately 40% less energy on average to operate compared
with a platform and will produce approximately half the CO2 emissions.
Image courtesy of Statoil.
Statoils subsea compression system will be installed almost 25 miles from its
host platform, where it will receive more than 23 MW of electricity to power
the 20 individual modules inside the systems protective frame. Image courtesy
of Statoil.
62
flows into the system, it is compressed

by rotor blades elevated and held in place
with magnetic bearings. Before sgard,
Ramberg said that this type of magneticlevitation technology has only been used
effectively in onshore and offshore surface facilities where workers can easily
access and recalibrate the machines as
needed. We are using a lot of sensors to
measure the distance between the rotor
and the stator to detect an imbalance in
the system, he said. If there is an imbalance, the operators can try to avoid problems by manipulating the electromagnetic field.
The concept of producing hydrocarbons hundreds or thousands of feet
beneath the waters surface raises new
questions about environmental safety. One of those questions is: How to
know if gas is escaping from the system? To address concerns over hydrocarbon leaks, the subsea system at sgard
is being equipped with environmental
monitoring sensors that will use acoustics to detect the sound of gas or other
liquids venting into the water. Statoil says
that it is the most sophisticated leak
detection system there is.
Other integrity management systems will provide the ability to monitor
the various components and their condition around the clock using a highbandwidth fiber-optic communications
network to deliver large amounts of data
in real time. In the event of a system
shut down or failure of any kind, Statoil
has an onshore support facility and contracted a specialized vessel to provide
immediate support for replacement or
repair operations. To reduce the number
of moving parts and increase response
reliability, all of the subsea compressors
valves at sgard will be activated using
an electrical control system instead of a
hydraulically controlled systema notable achievement in itself, according to
Ramberg. This is the first time that a
subsea system like this is totally electric,
he said.
Ormen Lange and Beyond
The sgard subsea compression project is the culmination of more than 15
JPT FEBRUARY 2014
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SUBSEA PROCESSING
An artists impression of Statoils subsea factory concept. The company believes it is on course to achieve an installation
of this scale by 2020. Image courtesy of Statoil.
years of subsea research and development by Statoil and its partners, beginning in 1997 with the companys first
installation of subsea pumps. As Statoil
pursues the ultimate goal of installing the
worlds first subsea hydrocarbon plant,
Ramberg noted that the company needs
time to gain the experience of operating the subsea compressor at sgard as
it develops more complex subsea systems for the future. We are moving step
by step toward the subsea factory by
increasing the capabilities of each building block, he said.
He added that some of those building blocks included inside sgards compressor trains were first qualified through
64
the Shell-operated Ormen Lange pilot

program, of which Statoil is a nonoperating partner. Statoil had responsibility
for technical qualification of the Ormen
Lange compressors. Ormen Lange is Norways second-largest gas field, and, like
sgard, the field is predicted to begin
losing pressure in the coming years. Shell
is evaluating whether to build a tension
leg platform designed to host more than
32,000 tons of equipment and materials
on its topsides or to move forward with a
subsea facility capable of the same compression capacity but that would weigh
approximately 8,000 tons.
In some respects, the Ormen Lange
compression project could prove to be
more complex than the sgard subsea

compressor project. The Ormen Lange
pilot system is submerged and operating at a test facility in Nyhamna, Norway.
But once a full-scale system is installed,
it will be operating at a greater depth
of 2,950 ft. and approximately 75 miles
from its onshore power source, more
than twice the distance between the
sgard subsea compressor system and
its power source. Building upon its experience with both systems, Aker Solutions
is working with Statoil, Shell, and others
to study the use of subsea compression
on greenfield gas projects and to debottleneck existing subsea gas fields. Some
of the areas operators are expressing
JPT FEBRUARY 2014
1/16/14 7:24 AM
join the best

interest in deploying similar systems, including offshore Australia, eastern Africa, India, and west of the Shetland Islands
in the North Sea. The sgard and Ormen Lange projects have
attracted a lot of attention from international oil companies
with similar types of issues, Fure said.
If subsea compression technology is adopted on a wider
scale, sgard and Ormen Lange projects might prove to be
the exception rather than the rule, in regard to their size and
volume of gas compression. The industry, Fure said, is looking for more-compact solutions that are lighter and cheaper than the first-generation systems. Going forward, I think
we will see a few of these large projects, such as sgard and
Ormen Lange are, and a lot the smaller and midsized ones,
he said.
To miniaturize current subsea processing technology,
more work will be needed to simplify the power units, remove
as many parts as possible without losing efficiency, and standardize components to reduce manufacturing costs. Representative of this trend is Statoils next compression project at its
Gullfaks field, where it plans to install two 5-MW subsea compression units. For this project, Statoil selected OneSubsea to
design subsea gas boosters on the basis of technology derived
from multiphase subseapumps.
For a full-scale subsea factory to become a reality, Statoil
and its offshore partners must combine a suite of technologies
that have been qualified through other projects and deploy a
system that is fully independent of a surface structure. For areas
such as the Gulf of Mexico or offshore Brazil, the systems must
be built to withstand the extreme pressures of deep water. In
the Arctic, the challenges will involve mitigating the very serious risks posed by ice floes and icebergs at shallower depths.
For the concept to work in such an environment, companies
likely will have to take the extra precaution of excavating deep
pits in which to place the processing components and wellheads
to avoid being scoured off the seabed by slow moving chunks of
ice. Ultimately, the exact requirements for each subsea factory
will be based on fieldeconomics.
Regarding human resources, Statoil is using the sgard
subsea compressor project and other ongoing subsea projects
not only to qualify the components, but also to train its staff on
how to maintain and operate the systems optimally. Statoil also
wants to integrate more advanced subsea systems into its normal operations, which it believes will increase its personnels
familiarity with the technology.
Another issue that needs to be resolved is how to increase
the capability of subsea oil separation. Subsea bulk separation of oil, gas, and water has been successfully demonstrated by a number of companies but remains a young technology. Subsea factories will require much more sophisticated
processing than what is currently available. Statoil is interested in units capable of two and three stages of oil separation to be able to reintroduce clean produced water directly
back into the environment without transporting it beyond
thefield.JPT
JPT FEBRUARY 2014
7 11 April 2014
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1/16/14 7:24 AM
SUBSEA POWER DISTRIBUTION
Developing Long-Distance
Power-Distribution Systems
Trent Jacobs, JPT Technology Writer
The vision of installing large subsea production facilities in remote offshore locations is today, simply not feasible. The
problem is that subsea power systems
are not designed to transmit high-voltage
electricity to a production facility or pipeline tieback that may be under thousands
of feet of water and 100 miles away from
the nearest power plant.
Todays subsea power-distribution
technology is largely based on alternating-current (AC) technology, which,
because of its electrical characteristics,
can only be efficiently transmitted across
a distance of 90 miles. In most cases,
however, the effective distance is much
less. On average, subsea tiebacks receive
power from a platform or vessel located not more than 10 miles away and,
in the case of most subsea processing
systems, even closer. In an AC-supplied

system, the flow of electricity alternates
back and forth across the transmission
line and is the form of electricity most
commonly used in homes and businesses around the world. When long distances are involved, AC power distribution
becomes a complicated operation and
requires a great amount of attention to
detail because of the physics involved
with voltage regulation.
The search for an alternative to conventional AC systems has revealed the
need for multiple technological advancements, from pressure compensated electrical switches to highly-conductive cables
able to deliver power more efficiently.
About 5 years ago, We were looking at
going to farther distances with alternating current instead of direct current (DC)
In 2009, the Research Partnership to Secure Energy for America (RPSEA)

and General Electric began a 4-year study to design a long-distance directcurrent-based system that could distribute power to offshore fields more than
100 miles from shore. Image courtesy of RPSEA.
66
Subsea Power.indd 66
because most of the equipment we have

right now is AC powered, said James Pappas, vice president of the Research Partnership to Secure Energy for Americas
(RPSEA) ultradeepwater program.
He said that, after studying the issue,
however, it was determined that using AC
power could result in a 35% power loss in
a 100-mile-long cable because of resistivity and other factors. Not long after that
conclusion was reached, General Electric
(GE) approached RPSEA with a concept
to transfer all the power to a deepwater
field with DC and then use a subsea transformer module located within the field to
convert some of the power to AC. With
this system, the expected power loss over
100 miles could be as low as 25%. So, if
you have AC components, it can convert
power to AC for those components, and
if you need DC, then it has DC components, Pappas said. It all sounds pretty
simple until you want to put it in a package and then set it down in 10,000 ft of
salt water.
To prove the concept, RPSEA and
GE began a 4-year-long project in 2009
to develop the best method of transmitting DC electricity from an onshore or
platform-based power plant to a deepwater field located 100 to 160 miles away. A
DC solution has the potential to eliminate
some of the issues technology developers
are expecting to encounter in long-distance AC systems. One of the challenges
involved with AC is that, as the positive
and negative electrons move back and
forth across a power cable, they generate
an electromagnetic field. This can lead
to malfunctions in electrically controlled
rotating equipment, such as compressors. In contrast, the electrons in a DC
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RPSEA and General Electrics laboratory demonstration unit of an ultrareliable deepwater electricity-distribution system
is a scaled-down version used for verification and testing. Photo courtesy of RPSEA.
cable move in the same direction, which

eliminates the risk of creating an electromagnetic field.
The simulated deepwater field used
in the project was a four-well cluster supported by a number of all-electric subsea
components including downhole pumps,
seabed pumps, trees, compressors, and
a chemical-injection system. Then, we
needed to think about all the controls
that go to the well, to the manifold, and to
each one of those components, Pappas
said, noting that the power demands for
such a system could surpass 80 MW. A
few years down the road, if we have separation, we may be looking at reinjecting
water into disposal wells or even seabed
disposal if we can reliably get the water
clean enough.
68
RPSEA and GEs USD-5.8-million

project concluded in November and
resulted in engineering drawings and
working mockup units that they believe
can be scaled-up. RPSEA now wants
to move forward with a full-scale prototype system that can be tested in a
subseaenvironment.
Technology Gaps
The RPSEA and GE project answered

many questions, but it also identified
technology gaps that must be addressed.
Among them is the lack of a proven subsea DC connector, which is needed to provide a reliable connection from a power
cable into subsea machines. One of the
things we recognize is that we dont have
enough information on how connector
technology works in that subsea environment, he said. So we dont know what

we dont know.
Because they are exposed to the
environment, subsea connections are
more vulnerable than the internal components of a subsea system and, in many
cases, are the first pieces of critical
equipment to fail. To overcome the lack
of a reliable solution, RPSEA recently
solicited bids to develop a prototype of
a subsea connector that can handle high
voltages and highpressure.
The projects deliverables include
designing a DC wet-mate and dry-mate
connector for performance and durability testing. Pappas said that, because of
the complexity of what the project is
trying to achieve, the DC systems under
JPT FEBRUARY 2014
1/16/14 7:21 AM
development are nothing like what has

been designed thus far for onshore or
subsea applications.
Another issue yet to be resolved is
how to protect a subsea system from
power spikes that can occur during transient conditions such as a startup, shutdown, or an electrical fault. If not managed properly, an electrical spike can
resonate through the entire system until
burning out a component at the end of
the line. The large number of electrical
systems a spike could flow through inside
a complex subsea processing system only
adds to the likelihood of a failure.
To counter the risk of overloading
the electrical system, engineers must
develop technologies that can detect and
isolate faults and shutdown the subsea
system if warranted in time to avoid damage from a power surge. However, not
everything in a subsea system can be
turned off immediately, such as a compressor, which needs time to dissipate
its internal pressure before a safe shutdown is achievable. It goes beyond the
electrical components themselves, Pappas said. You have to have the smarts
installed so that the system knows exactly what to do in any type of situation you
can envision.
This conceptual design model of a subsea DC wet-mate connector was

developed by RPSEA and GE to begin validating a system that can be used
to connect subsea equipment reliably to high-voltage power cables.
Image courtesy of RPSEA.
is the one that failed, then it could be all

for nothing and when you try to reenergize (the power system) you will have the
same problem.
Rather than add sensors to the system to tell operators where the fault is, a
simpler solution may be to use a remotely
operated vehicle to place plugs onto the
systems external electrical connections
and run tests to determine where the
fault is located.
To keep it simple and improve the
availability of parts, Hazel said developers of next-generation subsea power dis-
tribution systems are trying to use as few

mechanisms as possible. Every time we
have to put something else in, you end up
creating a lot more potential problems
that could outweigh any possible advantage, he said.
Pressure Compensation
While there are drawbacks, AC is still the

preferred power solution for most subsea projects and developers are looking
for more ways to better enable long-distance AC systems using current technology. One of the more promising devel-
Fault Detection
The amount of time and money involved

with bringing a subsea power module to
the surface for repairs or maintenance
increases the need for simpler, more
durable designs. In some cases, companies will be able to endure isolated faults
on a temporary basis without shutting in
production. In other cases, a major fault
or a series of faults could force a total
shut in of production.
According to Terence Hazel, a senior
engineer at Schneider Electric who has
worked on subsea power solutions and
written numerous papers on the subject, faults in electrical equipment are
almost certain to occur, but the trick is
to know where. If you know what has
to be replaced, you put the replacement
module on the boat, retrieve the faulty
module and install the new one, he said.
If you dont know exactly what module
JPT FEBRUARY 2014
A completed subsea switchgear system is ready for testing before being sent
to the shipyard where it will be reassembled inside an enclosure capable of
handling subsea pressure. Photo courtesy of Schneider Electric.
69
1/16/14 7:21 AM
A computer-generated illustration of the subsea switchgear module enclosure. Image sourced from OTC paper 20468-PP.
opments in AC distribution is the Ormen

Lange subsea gas compression pilot project underway in Nyhamna, Norway.
The pilot system is in a 45-ft deep
tank where it is being tested to verify various subsea technologies, including the AC distribution system Schneider Electric designed and built inside
the subsea switchgear module. Schneiders system is using proven technologies to distribute power to the subsea
compression station. Upon completion
of the pilot operation, the system will
be reinstalled in the Ormen Lange field,
78 miles from its power source and at a
depth of 2,950 ft.
To prevent corrosion, normal air
was removed from the switchgear modules pressure vessel and replaced with
dry nitrogen gas, which provides an oxygen-free environment. For depths even
deeper than Ormen Lange, Hazel believes
that the absence of high-voltage switchgears capable of withstanding ultradeepwater pressures will push companies into building stronger enclosures for
power systems. The downside of using
that technology is that you have a higher
risk of leaks, he said.
A potential, and theoretically more
attractive, alternative to using pressure
vessels could be to use pressure compen-
70
sated equipment instead, which are typically filled with oil. The problem with
that concept is that no one has figured
out how to do it with subsea switchgears.
Either you make a very reliable pressure
enclosure, or you find someone who can
design a circuit breaker that can work in
a high pressure oil filled environment,
Hazel said. The oil majors would be
very keen on somebody coming up with
that idea.
However, Hazel added that the
development of such a technology would
have such marginal applications that
it could be too costly to develop. And
whether gas filled or oil filled, the switch
gears and other electrical systems must
be proven to be extremely reliable for
subsea use.
Nanotube Power Cables
In a separate but related subsea

power project, RPSEA subcontracted
NanoRidge Materials, a company that
specializes in developing nanomaterialenabled products, to develop a prototype
of an ultrahigh-conductivity umbilical
cable using carbon nanotubes as the conductive element. Originally conceived as
a lightweight power solution for aircraft,
carbon nanotubes have the potential to
become an enabling subsea technology.
Carbon nanotubes are a single atomic layer of graphene rolled into a seamless
cylinder many times stronger than steel.
If compared to a copper cable of the same
length and diameter, a carbon nanotube
cable would be only a sixth of the weight,
which means smaller and less-expensive
vessels could be used to transport and
install subsea power cables. Oil and gas
companies have been clamoring for a
lighter cable for quite some time, and they
see many applications for carbon nanotubes, said Chris Dyke, a senior chemist
at NanoRidge. Some people are looking
at this technology from a strength perspective, and others see it from a lighterweight conductorperspective.
According to RPSEA, a major driver
behind the development of carbon nanotubes is that they have the potential to
reduce power losses by up to 90% over
long distances when compared with AC
systems using copper. Delivering highvoltage electricity down a subsea cable
with enough capacity to power a subsea facility at distances approaching 100
miles is not an option using copper, but
that may someday be possible with nanotubes. As electricity flows through a copper wire, it builds resistance counter
to the direction of energy flow, which
raises the temperature and correspond-
JPT FEBRUARY 2014
1/16/14 7:21 AM
ingly lowers the wires ability to conduct electricity. Dyke said this phenomenon is known as the skin effect, where
the current density is greatest near the
surface and diminishes further into the
conductor. If the mechanism of carbon
nanotube conductivity is channelization
through many 1-nm-in-diameter conductors and we diminish or entirely overcome the skin effect, then the carbon
nanotube wire can be 35 to 50% smaller in the diameter with the same power
rating, he said. Or, he added, We can
make the same diameter conductor used
in current umbilicals but with decreased
resistance at higher frequencies, essentially putting more power down the line.
NanoRidge initially focused on purchasing nanotube materials and extracting fibers using a polymer agent. The
company found that the extracted material was a poor conductor of electricity and that it would be more feasible
to produce the nanotubes themselves
into the desired diameters. Now in the
second year of the umbilical program,
NanoRidge is yielding positive results
in terms of achieving conductive parity with copper but isnt quite there yet.
Were at a point now where we are getting 105 cm resistivity, where the copper is 106, Dyke said. The goal is to get
to 106.
As described in a technical report
by Nanoridge, to make the nanotube
wire, the company uses a custom-built
tube-shaped furnace arranged vertically so the end product can be drawn
out of the top. A liquid carbon source,
mixed with a set of chemical additives,
is fed into the furnace, where it undergoes thermodynamic and chemical processes that transform the liquid into a
black elastic gel, or aerogel. Inside the
furnace, the aerogel is then consolidated
into fibers and spun out in the form of a
bare conductive cable that is wound onto
a spooling system. The take-up velocity
is synced to the liquid feed rate so that
the product can be spooled up as it is
being formed. The idea is that this is a
continuous process where we can make
miles of material in a single production
run, Dyke said.
JPT FEBRUARY 2014
From there, a polymer jacketing

material routinely used on conventional copper wire is applied as a protective
measure, after which the cable is ready
for testing. In terms of cost, NanoRidge
says that its technology compares very
favorably with copper umbilicals but is
less competitive against aluminum, which
is also used in subsea power cables. In the
second quarter of this year, NanoRidge
plans to produce a mockup power cable
and test it under 5,500 psi of pressure.
After that, the next step is to produce a
power umbilical capable of transmitting
three levels of high-voltage electricity.
Because they are made of a nonmetallic substance, carbon nanotubes are
not susceptible to corrosion. Another
advantage carbon nanotubes hold over
copper is a longer fatigue life because of
the materials tensile strength. If you
look at the stress/strain curve of a carbon
nanotube fiber, necking and strain hardening do not occur as with most metals,
Dyke said.
Also, if you compare the tensile
strength of carbon nanotube fibers and
copper, 6 GPa and 0.22 GPa, respectively, the carbon nanotube fiber is considerably more tenacious than copper. This
allows designers to potentially reduce
armoring due to the higher top tension
capability, he said.
NanoRidge is also exploring the use
of its nanotube cables for wireline and
downhole monitoring operations. The
company believes that the strength of
the material and its high conductivity
will allow companies to multitask, using
a nanotube cable as a tool and a source
ofpower.JPT
For Further Reading

OTC 20468-PP Impact of Subsea
Processing Power Distribution: Subsea
Switchgear ModuleA Key Enabling
Component in Subsea Installations by
Terence Hazel, Senior Member IEEE.
et al.
13OTC-P-1410OTC Ultrahigh Conductivity
Umbilicals: Polymer Nanotube
Umbilicals by C. Dyke and L.M. Jacobs,
Nanoridge Materials, et al.
You dont get a

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floteks citrus-based CnF
fracturing nanotechnology
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For more information contact

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71
1/16/14 7:21 AM
MANAGEMENT
Managing SEMS Audits:

Past, Present, and Future
Greg Gordillo and Lucas Lopez-Videla, Bureau Veritas
Safety and environmental stewardship

have always been important priorities
for the offshore oil and gas industry. In
recent years, serious offshore incidents
forced the industry to take a hard look at
its processes and procedures for ensuring that every operation is conducted
with the highest regard for human safety
and protection of the sea, land, air, and
animal life. While the majority of offshore
operators and service companies implemented plans to continuously improve
their corporate safety and environmental standards, offshore operators are now
legally obligated to adhere to new regulations. In the US Gulf of Mexico (GOM),
the US Bureau of Safety and Environmental Enforcement (BSEE) established
Safety and Environmental Management
Systems (SEMS) regulations, which companies operating oil and gas and sulfur leases in the Outer Continental Shelf
(OCS) must meet with regularly audited
safety and environmentalprograms.
From Recommendation
to Requirement
The concept of SEMS was developed

in response to the 1990 finding of the
National Research Councils Marine
Board that the Bureaus prescriptive
approach to regulating offshore operations had forced the industry into a compliance mentality. Further, the Marine
Board found that this compliance mentality was not conducive to effectively
identifying all the potential operational
risks or developing comprehensive accident mitigation. As a result, the Marine
Board recommended, and the Bureau
concurred, that a more systematic
approach to managing offshore operations was needed.
72
ManagementFeb.indd 72
In response to the Marine Board

findings, the American Petroleum Institute (API), in cooperation with the
bureau, developed Recommended Practice (RP) 75-Development of a Safety and
Environmental Management Program
for Outer Continental Shelf Operations
and Facilities. The API also produced a
companion document, RP-14J, for identifying safety hazards on offshore production facilities. API RP-75 was published in May 1993 and, in 1994, the
bureau published a notice in the Federal
Register that recognized implementation of RP-75 as meeting the spirit and
intent of SEMS. RP-75 was updated in
1998 to focus more on contract operations, including operations on mobile
offshore drilling units. This recommended practice was updated several times in
the following decade; a third edition was
published in May 2004, which was reaffirmed in May 2008.
The Deepwater Horizon accident
in April 2010 dramatically changed the
regulatory landscape, leading to BSEEs
implementation of the first mandatory
SEMS rule for oil and gas operators in
the OCS. Also known as the Workplace
Safety Rule, it required all OCS lessees
to have a well-documented SEMS program in place by 15 November, 2011. On
15 November, 2013 all operators with
facilities in OCS waters of the GOM were
required to have a SEMS audit. According to BSEE, 84 operators were subject
to the November audit deadline, and 72
ended up completing the initial audit.
The 12 operators that did not complete
the audit were cited by BSEE for failure to demonstrate compliance with the
SEMS requirements of the Workplace
Safety Rule, 30 CFR Subpart S.
Of the 12 companies that had not satisfied the rule, five were notified by BSEE
to halt operations because they failed
to provide an audit plan and completed
audit report. Those operators were given
3 days to reach a safe point in operations
before ceasing activities. While most of
the companies were conducting decommissioning activities, the elements of a
SEMS program are applicable to all offshore operations.
The seven additional companies
submitted audit plans but had not yet
completed their SEMS audit. Those companies were directed by BSEE to immediately provide a copy of their SEMS
program and have the company chief
executive officer certify, under penalty of
perjury, that the company implemented
the SEMS program. Other enforcement
measures such as civil penalties could be
assessed if operators did not comply with
the rules.
SEMS compliance calls for these
programs to be monitored and, if necessary, updated annually through a comprehensive auditing process that includes
submission of an audit plan, a thorough
review of all aspects of the program and
reporting of audit findings through a formal report to BSEE. In the first round
of SEMS audits, companies had the
option to conduct these audits internally with their own designated and qualified personnel. BSEE has now expanded the regulation under what is referred
to as SEMS II, which is designed to
enhance existing SEMS programs adding
several additional requirements such as
employee participation plans, reporting
unsafe working conditions, and additional empowerment of field-level personnel
with safety management decisions under
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AM
MANAGEMENT
Stop-Work Authority and Ultimate Work
Authority. For conducting future SEMS
audits, SEMS II also requires operators
to hire an independent and third-party
(I3P)audit firm that is accredited by an
organization such as the Center for Offshore Safety. While the operator may
use members of its own internal organization on the audit team, a representative of the third-party firm must, at a
minimum, lead the audit. Operators now
have a SEMS II compliance deadline of 5
June 2015.
Many operators are now in the process of evaluating each audit optiona
third-party audit team leader supplemented with their own personnel or an
audit team fully staffed with I3P personnelto determine which route makes
the most sense for their organization.
To answer this question, operators need
a solid understanding of what kind of
information must be gathered, analyzed,
and tracked in the audit and weigh that
against the resources they have available
to successfully complete the audit. The
goal should be not merely passing the
audit, but also improving the safetyand
environmental management system.
Availability of
Internal Resources
Operators must assess whether they

have adequate personnel to dedicate to
the audit process. Operators will have to
coordinate with their audit service provider to ensure that the entire audit team
meets the guidelines set forth by BSEE
that reference COS guidelines published
on their website at centerforoffshoresafety.org. The centers qualification
guidelines for third-party SEMS auditors have now been incorporated into
federal law under SEMS II. These guidelines call for an audit team consisting of
a team leader and two additional members. More team members may be added
if the size and scope of the client asset
require it. Subject matter experts may be
brought in to help assess specific technical processes. While some operators
particularly majors and larger producersmay have the necessary number
of experienced personnel to fulfill these
74
requirements, they tend to represent a

minority share of facilities in the GOM.
The majority of facilities are owned
and managed by smaller operators that
may find it difficult to dedicate personnel
to an auditing cycle. In these cases, it may
be preferable to completely outsource
the audit to an I3P with the necessary
number of qualified personnel. Regardless of the option selected, no auditor on
the teameither from inside the operators organization or from a third party
is allowed to have had any involvement
in developing the management system
within the past 2 years.
Expertise of Internal Resources
Operators must not only consider the

number of personnel they have dedicated to the audit. Additional consideration must be given to the qualifications, experience, and skills of each
team member such that they complement those of the I3P lead auditor. Also,
the team, as a whole, must fulfill the
qualification and experience requirements contained within the COS guidance documents. The original SEMS rule
identified 13 program elements to be
audited, including management commitment, safety and environmental information, hazards analysis, management of
change, operating procedures, safe work
practices, training, quality assurance of
critical equipment, pre-startup reviews,
emergency response and control, incident investigation, audit of management
program elements, and documentation/
recordkeeping.
At a minimum, each audit team
member must meet a set of rigorous qualification requirements as defined by COS:
Deemed qualified or competent
as a safety and/or environmental
management system auditor
in accordance with the I3Ps
documented process
Has a minimum of 2 years of
offshore or related oil and
gas industry operations or
safety and/or environmental
management system audit
experience within the previous
5 years
Participated in at least three

onsite management system
audits in the past 3 years as an
active member of the audit team,
subject matter expert, observer,
or as an active management
representative
Trained in the application of
safety and/or environmental
management system standards,
management system auditing,
and audit techniques
Completed COS SEMS auditor
training
In addition to this list, the lead auditor is required to meet additional, more
stringent qualification and competency criteria. If any member of the audit
team fails to meet one or more of these
requirements, BSEE reserves the right to
reject the audit plan submitted by the I3P.
If an operator decides to conduct the
audit with minimal third-party involvement, they must ensure that their internal team is thoroughly equipped and
well-versed in how to audit each program element. An accredited third party
should not only be able to competently
audit these elements, but also provide
wider industry experience regarding how
these elements are managed in other offshore assets. In addition, large outside
auditing bodies must have auditor qualification and competence verification systems that have been in place for many
years. These verification systems exist
because of the auditing requirements of
the International Organization for Standardization and Occupational Health and
Safety Advisory Services.
Key Attributes of I3P Auditors
A third-party audit services provider should ensure that each SEMS auditor meets clearly defined prerequisites
for education, work experience, training, appropriate knowledge, and skills to
expertly conduct all functions of certification and auditing activity. This should
be achieved through a rigorous screening and selection process that ensures
auditors have the right profile of skills,
knowledge, and qualifications to conduct
JPT FEBRUARY 2014
1/16/14 1:13 PM
audits in a consistent and thorough manner. The screening process at Bureau Veritas includes in-person interviews, technical reviews of each auditor candidates
work history, competence reviews, verification of management system auditor
training completion, and periodic witness audit monitoring.
Unbiased Identification of
Potential Improvements
The primary goal of the audit process is

to ensure the SEMS program keeps the
operation running safely and sustainably.
Therefore, the audit team must be committed to continuous improvement built
on best practices. The team must be able
to identify work functions that are out
of date or falling behind with regard to
standards requirements, and then provide detailed analysis of any system gaps.
If done properly, this drives continual
improvement in the assets operation and
safety record. And if these procedural
improvements are captured and shared
with other assets as best practices, the
operational and safety track record of the
entire organizationimproves.
While a SEMS audit team with
internal members may be able to drive
sustained improvement through their
detailed working knowledge of the management system, there is a risk of familiarity with the system leading to an
underestimation of risk or lack of perception of gaps in the management system. Too much familiarity may also lead
to communication problems in employee safety, as the operators personnel
are typically so familiar with workplace
risks that concern disappears. This can
lead to a failure in noticing safety or
environmental hazards in the field or in
a management system. A fully independent third-party audit team, that regularly conducts audits from one operator
to the next, may be in a better position
to identify unsafe practices and then
leverage their experience from other
audits to communicate possible resolutions through industry best practices.
An operators auditing choice is also
guided by changes to the regulatory process. The SEMS II regulations are still
JPT FEBRUARY 2014
relatively new, but they will be updated

to reflect changes in offshore technology
and processes. While these changes tend
to be gradual, the auditor must beaware
and up-to-date on how regulatory revisions will impact an operation, and proactively communicate possible resolutions through industry bestpractices.
Finally, an operator must consider which auditing process will move
them most efficiently from a compliance mindsetconducting the audit
because they have to comply with regulationsto a behavior mindset
in which all personnel perform their
work with the goal of minimizing risk.
This new mindset also empowers every
worker to intervene when they see an
unsafe work practice, without fear of
reprimand from their superiors. At the
end of the day, we as an industry are not
meeting the intent of SEMS if we do not
reduce both accidents and spills.
Regardless of which auditing path
they choose, operators realize the im-
portance of maintaining their SEMS

programs to not only comply with regulations, but also to ensure the safety and
long-term productivity of their assets.
As operators have completed the first
round of SEMS, it has become apparent there is a need for contractors and
service companies to also undergo
third-party SEMS audits. One of the
primary goals of industry is to generate a standard that the industry can
use where one COS SEMS audit, either
on an operator or contractor, will be
accepted throughout the industry and
reduce the replication of audit. There is
an opportunity to adopt common language and frameworks throughout the
industry to drive improvements in safety management effectiveness. By carefully considering the factors presented
above, every company working offshore
can make the most informed auditing
decision and help drive the industry
towardnew levels of safety and environmental sustainability. JPT
75
1/16/14 7:30 AM
TECHNOLOGY
Mike Weatherl,
SPE, is a drilling
adviser in the
global services
organization of
Hess. He holds a
degree in petroleum
engineering from The University of
Tulsa. Weatherl started his career as a
production engineer with Chevron in
New Orleans. Over the next 25 years,
his career with Chevron included a
variety of positions in production
and drilling. Since 2004, Weatherl
has worked primarily on deepwater
projects, first as a drilling advisor
at Chevron before moving over to
Hess Corporation in November 2007.
He is a board certified professional
engineer in Texas and a 25-year SPE
member. Weatherl has authored
several papers and has served as
Technical Editor for SPE Drilling &
Completion. He is a member of the JPT
EditorialCommittee.
Recommended additional reading
at OnePetro: www.onepetro.org.
SPE 163957 Practical DirectionalDrilling Techniques and MWD Technology
in Bakken and Upper Three Forks
Formation in Williston Basin North
Dakota To Improve Efficiency of Drilling
and Well Productivity by Guangzhi Han,
Baker Hughes, et al.
SPE 166456 Newtonian Fluid in
Cementing Operations in Deepwater
Wells: Friend or Foe? by Polina Khalilova,
Schlumberger, et al.
SPE/IADC 163410 Large-Bore
Expandable Liner Hangers for Offshore
and Deepwater Applications Reduce
Cost and Increase Reliability: GOM Case
History by John McCormick, Halliburton,
et al.
SPE/IADC 163451 A Collaborative
Approach for Planning a Drilling-WithLiner Operation by Steven M. Rosenberg,
Weatherford, et al.
76
1DTFocusFeb.indd 76
drilling
technology
Once again, we find ourselves in a time of extreme challenges on many fronts in the
arena of well construction, with corresponding needs for technological advancements. Anyone who has been around the drilling-and-completion world during the
past several years can attest to the unique environment in which we operate today.
Ever-increasing drilling depths and formation temperatures and pressures are combined with depletion of mature basins and unprecedented geopolitical uncertainty.
The good news is that human innovation and problem solving continue to accelerate
commensurate with these challenges.
In this feature, we specifically highlight the persistent need for high-performance
drilling fluids. Back in the early 1980s, when I started in the business, in-house Drilling Engineering 101 courses with a major operator defined three primary objectives
for a drilling fluid: (1) hydrostatic pressure for well control, (2) delivery of hydraulic
horsepower to the bit, and (3) adequate rheology for hole cleaning. Of course, these
criteria must still be satisfied or the ability to deliver a given well to total depth is
jeopardized. However, today there is much more to consider: wellbore strengthening in low-fracture-gradient environments, special fluid systems for narrow porepressure/fracture-gradient windows, low toxicity for safety and environmental consideration, nondamaging water-based drill-in fluids, and wide-ranging formulations
for nonaqueous systems. The wealth of available SPE publications provides a fantastic
resource for the vast array of drilling-fluids strategies today.
With the ongoing evolution of managed-pressure drilling, companies are expanding the envelope of technical feasibility and successfully constructing wells thought
to be undrillable a few years ago. Onshore US and in many other areas of the world,
another revolution is taking place in the realm of directional drilling, with new tools
and techniques for rotary-steerable applications, measurement/logging while drilling, and bits. These technological advancements are profoundly altering the energy
outlook through horizontal and complex-directional-well design, with corresponding
delivery of reserves and value.
And, of course, unprecedented advancements have been made in zonal isolation,
cement-slurry design, and cement-placement techniques. Starting with clearer definition of permeable zones in the planning phase, operating companies, working in partnership with third-party service providers, are demonstrating the ability to hydraulically isolate water- and hydrocarbon-bearing formations, greatly enhancing well
integrity and reliability and reducing risk for the life of the well. Good news indeed
for all of us.JPT
JPT FEBRUARY 2014
1/16/14 7:45 AM
ECD-Management Strategy
Solves Lost Circulation Issues
rilling horizontal infill wells in

the Pierce field in the UK central
North Sea is challenging because of
a narrow drilling window caused by
depletion in a highly fractured reservoir.
Wellbore strengthening was attempted
in the reservoir section of Pierce B5
although, when a pre-existing fracture
further weakened by depletion was
encountered, losses occurred. A detailed
analysis of the losses event on Pierce B5
provided an improved understanding
of the loss mechanism, resulting in a
revised equivalent-circulating-density
(ECD) -management strategy.
C1
A11
Introduction
The Pierce field (Fig. 1) in the UK central

North Sea is a brownfield development
with 17 existing wells drilled around two
complex salt diapirs. Oil production was
depletion-driven for the first 7 years until
pressure support was provided by three
water injectors drilled around the southern salt diapir. Pierce B5 was drilled in
the proximity of the southern diapir, and
losses encountered in the reservoir section were severe enough that no further
drilling progress could be made. Preexisting fractures further weakened by
depletion were thought to be the cause
of the losses. Unfortunately, from a wellplanning perspective, these fractures
cannot be predicted or avoided when
drilling horizontal wells.
During a three-well infill campaign
(Wells B5, A11, and C1), considerable
losses on the first well led the operator
to re-evaluate how future wells would
B5
Fig. 1Pierce field, showing location of Pierce B5, A11, and C1.
be drilled. The outcome of this was the

development of a low-ECD-drilling-fluid
system, a revised ECD-
management
procedure, and a much-improved losstreatment strategy. This combined
strategy was applied in the field and resulted in the successful drilling of the
subsequentwells.
Loss Event on Pierce B5
Because of the close proximity in the

reservoir of the Pierce B5 well to a pre-
This article, written by Special Publications Editor Adam Wilson, contains highlights of
paper SPE 166134, Case StudyECD-Management Strategy Solves Lost-Circulation
Issues in Complex Salt Diapirs/Paleocene Reservoir, by David Murray, Shell; Mark W.
Sanders, SPE, and Kirsty Houston, SPE, M-I Swaco; and Hamish Hogg and Graeme
Wylie, Shell, prepared for the 2013 SPE Annual Technical Conference and Exhibition,
New Orleans, 30 September2 October. The paper has not been peerreviewed.
existing production well (Pierce B2), it

was determined that the localized depletion seen at this location because of the
drawdown effects of B2 would be on the
order of 2,300 psi, which would result in
a reduction in formation integrity. However, there was concern that the effects
of depletion could be higher than that;
3,200 psi through open fractures was
modeled as the worst case. Therefore, because of the potential for dynamic losses
when encountering zones that have seen
the lowest field depletion and to mitigate
the risk of open fractures, the recommendation was made to use a fluid design
incorporating wellbore-strengthening
materials (WSMs).
Drilling the first 2,066 ft of reservoir out of a planned total of 2,357 ft
exposed the wellbore to stable ECDs
For a limited time, the complete paper is free to SPE members at www.spe.org/jpt.
JPT FEBRUARY 2014
DT166134.indd 77
77
1/16/14 7:46 AM
Fig. 2Scanning-electron-microscope image of HF/HS-pill material in its

fibrous-lattice form (left). The HF/HS-pill material in defluidized state (right).
of 12.48 lbm/gal without any induced

losses, which suggested that wellbore
strengthening had been effective in
providing an additional drilling margin. However, at this point in the well,
losses occurred both dynamically (while
pumping) and statically, with initial loss
rates of 200 and 65 bbl/hr, respectively. These losses occurred shortly after a
connection was made and an ECD spike
of 12.67 lbm/gal was observed; drilling
then continued for the next hour with
a decreasing trend in the drilling ECD,
which was 12.38 lbm/gal when losses occurred. The ECD trend demonstrated
that there was no ECD spike or warning
of losses when they occurred, suggesting that drilling into an existing weakened zone or fracture was the cause of
the losses.
Over the next 10 days, more than
5,000 bbl of nonaqueous fluid (NAF)
was lost downhole and 15 individual
lost-circulation-material (LCM) treatments were performed in an attempt
to halt the losses. More than 51 t of
LCM was used without success before
the well stabilized enough to secure the
drilled footage and complete the well.
Two main types of LCM treatments were
used: (1) a combination of predominantly fibrous materials, ground nut shells,
and metamorphized limestone (marble), designated as Pill B; and (2) a thermally activated gelling agent for NAF.
It was suspected that the losses were
attributable to a pre-existing fracture
or fractures with a fracture width exceeding what the WSM was designed
to bridge.
78
DT166134.indd 78
Wellbore Strengthening
on Pierce B5
Wellbore strengthening was chosen

for B5 because of concerns about localized depletion around B5. Optimum
WSM treatments were derived using algorithms for particle-size distribution
and fracture sealing. Operationally, the
material was added as a concentrated slurry at the rigsite at a controlled
rate to keep the coarser particles in the
circulatingsystem.
Pierce A11: Low-ECD Drilling

Fluid and Losses Strategy
Planning for Pierce A11 was taking place

when the losses on B5 occurred. A11 was
clearly a challenging well, and additional
focus was drawn to the design team following the losses on B5 to accomplish the
following goals:
Decide if wellbore strengthening
was necessary for the successful
drilling of A11.
Develop a strategy to reduce
ECD while drilling, through
the development of a low-ECD
drilling fluid based on a high oil/
water ratio (OWR).
Design a robust LCM strategy
on the basis of the best products
currently available for the region
to cater to large fractures.
Low-ECD Drilling Fluid
The use of WSM on B5 was far from basic,

so with a larger drilling window available
for A11, the opportunity existed to drill
the planned 7,300 ft of reservoir conventionally. The key was ECD management,
where drilling-fluid properties and drilling parameters were monitored closely

to ensure the ECD was kept as low as possible. A successful system is one in which
its low rheological profile (low viscosity)
leads to a reduction in ECD while drilling but does not affect the drilling-fluid
cuttings-carrying capacity or increase
the likelihood of barite sag.
The solution on the Pierce wells to
achieving a low-ECD-drilling-fluid system together with high barite-sag resistance is in the OWR, coupled with an
optimum organophilic-clay content. In
NAFs using organophilic clay for viscosity, the concentration of organophilic clay
will increase as the OWR increases in
order to maintain a particular rheological
requirement. This is because the organophilic clay will yield less as the OWR increases. Organophilic clay can be thought
of as the backbone of an NAF for reducing the likelihood of barite sag when used
in sufficiently high concentrations.
The OWR range programmed for
A11 was from 75:25 to 85:15. The drillingfluids engineers were encouraged to aim
for the higher end of the range but allow
for dilution with base oil to control solids toward the end of the section. Limits for both ECD and rate of penetration
(ROP) were set to stay within the expectformation-integrity measurements;
ed
the ECD limit was set at 12.5 lbm/gal, and
an ROP limit was set at 50 ft/hr. The offshore team was made aware of the importance of ECD management. This is higher than the possible real low value for
formation-integrity measurements; however, fracture breakdown pressure will
exist even with depletion. The amount
of additional strength is unknown and
will be lost if ECDs are too high or a fracture is encountered. The result would
be the formation strength equaling the
formation-integrity measurements, and
losses occurring. The key to lowering
the induced-losses risk, therefore, was to
limit ECD as much as possible, adhere to
good drilling practices, and use the lowECD drilling fluid.
The decision to use the low-ECD
drilling fluid (weighted with ultrafine
barite) was the result of modeling predicted ECDs.
LCM Strategy. The operators well-fluids
team evaluated possible LCM treatments
JPT FEBRUARY 2014
1/16/14 7:46 AM
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from incumbent fluid vendors that

might enable the sealing of large fractures (>3mm). The following LCM solutions were proposed for Pierce A11:
High-fluid-loss/high-strength
(HF/HS) pill.
Soft-setting cement plugs
with additives to prevent
accidental sidetracking (reduced
compressive strength).
Specially selected synthetic fibers
originally designed for cement
spacers.
Shear-thinning water-based
mixed-metal-oxide fluid
treatment.
Pill A and Pill BLCM blends
including fibrous materials,
ground nut shells, and marble.
(Pill A represents a light
treatment, and Pill B represents a
heavy treatment.)
The LCMs chosen for Pierce A11 were
Pill A, Pill B, and the HF/HS treatment.
HF/HS Functionality
HF/HS is a one-sack inert multifiber lostcirculation pill treatment designed to

be easily mixable in a variety of media
and engineered to defluidize rapidly
within the loss zone, leaving behind a
resilient, high-solids plug in a fibrouslattice form (Fig. 2). As the filtrate is
squeezed into a permeable formation
and the consolidating matrix of solids
increases in thickness, its resistance to
differential pressure and mechanical
force also increases. Pill density can be
controlled either with a weighting agent
such as barite or through the use of a
brine base, as in Pierce, to help maximize shearstrength.
Results From Pierce A11
On A11, 2,169 ft of pilot hole and 4,608ft

of main bore were drilled by use of the
revised ECD-management and lowECD-drilling-fluid strategies. The ECD
throughout both hole sections was maintained below the 12.5-lbm/gal ECD limit.
One instance of losses occurred while
drilling the pilot hole when crossing a
fault with a 12.15-lbm/gal ECD, but this
cured itself and no LCM treatment had to
be used. No further loss events occurred,
80
DT166134.indd 80
with both hole sections being delivered

successfully as per the plan.
Pierce C1 Planning
Pierce C1 was the 17th development well

drilled in the Pierce field. It consisted of
a 2,850-ft horizontal reservoir section
targeting the Forties Paleocene reservoir
and was planned as the most northerly
production well at the top of the North
Pierce diapir.
The available drilling window was
assessed, and a low-ECD-drilling-fluid,
ECD-management, and LCM strategy
was planned to drill the well. ECD management would be critical, and the following lessons from A11 were introduced
to C1:
Establish optimum OWR with
laboratory testing on the lowECD drilling fluid.
Control ROP to a 50-ft/hr average
value and a 70- to 80-ft/hr
instantaneous value.
Limit ECD to 12.30 lbm/gal.
Track pressure-while-drilling
data and hole cleaning in real
time.
Optimize marble additions to the
drilling fluid (added in case of
stuck pipe).
Establish a testing method to
measure marble concentration in
an NAF.
Adopt narrow-margin drillingwindow practices (stage up
pumps, reduce surge pressures).
Provide additional wiping of the
hole on connections to improve
hole cleaning as per A11.
Use a minimum of 150 rev/min
when drilling the reservoir
section.
Pierce C1 Execution, Losses,

and Application of the HF/HS
Pill To Halt Losses
Pill A was prepared and pumped and allowed to soak for 50 minutes. Attempts
were made to achieve a drilling loss-free
flow rate; however, even at a lower flow
rate of 225 gal/min, the loss rate was
60 bbl/hr. This high loss rate at such a
low pump rate was considered too high to
continue drilling. The decision was made
to pump an HF/HS pill. To help maximize
product shear strength, the HF/HS pill

was prepared using 10-lbm/gal sodium
chloride brine. This was then increased
to 11.28 lbm/gal with barite. Subsequently, 20 bbl was pumped downhole with the
bit 3 ft off-bottom.
Circulation was then established
with 24-bbl losses at 450 gal/min, which
decreased quickly to loss-free status. On
the basis of this positive outcome, the
decision was made to drill ahead, increasing flow rate to 488 gal/min. Losses initially were as high as 60 bbl/hr but
reduced to a sustainable 8 bbl/hr. For
the next 2 days following the HF/HS-pill
treatment, no additional LCM treatments
were made to the drilling-fluidsystem.
The 75-in. liner was run and cemented successfully. Of the 188 bbl of
cement pumped, 22 bbl was lost to the
formation and 7 bbl of cement was circulated from above the hanger after the cement job, indicating that a complete cementation of the liner had been achieved.
Discussion
Evidence of pre-existing fractures was

captured by the neutron-density-logging
tool on Pierce C1 and, therefore, validates
the theory that losses on B5 and, subsequently, C1 were caused by pre-existing
fractures weakened by depletion. Because
losses of this nature are a recent phenomenon in Pierce, this would suggest
that increasing the reservoir pressure
in the field, from the lows before water
injection, has not improved the overall
strength of the formations encompassing
these fractures. On B5, the risk of losses was exacerbated further by the localized depletion from the nearby B2 well.
This implies that future drilling around
the Pierce diapirs may also suffer losses;
however, the likelihood of predicting preexisting fractures that would be problematic is low because many faults were
crossed without any issues.
The HF/HS pill has been shown to
be an effective LCM where losses occur
in pre-existing fractures. The ability to
apply a single effective treatment to cure
severe losses is a huge advantage when
planning depleted wells. The HF/HS pill
can be recommended for loss zones similar to those in Pierce C1 or B5, in fractured
and depleted sandstone reservoirs.JPT
JPT FEBRUARY 2014
1/16/14 7:46 AM
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and cuttings removal with MPRESS invert emulsion fuid system.
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BH_081_jpt.indd 1
1/14/14 8:30 AM
Annular-Pressure Losses While

Casing Drilling
asing drilling is a method by

which the well is drilled and cased
simultaneously. The small annulus from
casing drilling can create a controllable
dynamic equivalent circulating density
(ECD). Casing-drilling technology
enables obtaining the same ECD as
with conventional drilling but with
a lower (optimized) flow rate and
lower rheological properties and mud
weight. Frictional pressure loss during
casing drilling was evaluated with
computational fluid dynamics (CFD).
Having accurate models for ECD,
including the effects of pipe rotation and
eccentricity in the annulus, is essential
for success in these challenging jobs.
Introduction
Casing drilling builds on experience

gained from drilling liners to bottom in
troublesome holes. The technique was
implemented for drilling a formation sequence of highly pressured shale followed
by a depleted reservoir. The major problem when drilling depleted reservoirs is
the narrow operational mud-weight window. With advances in topdrive systems,
retrievable bottomhole assemblies, and
polycrystalline-diamond-compact bits,
the technology enables completing a well
by use of casing as the drillstring.
An often-reported benefit of casing drilling is significantly fewer lost-
circulation problems. The wellbore-
plastering effect that casing drilling
offers can enable drilling depleted zones
while causing less formation damage.
Plastering also enhances pressure con-
tainment by smearing the smaller drill

cuttings into the pore spaces. The aim
of this study was to simulate the casingdrilling operation through CFD modeling
to evaluate the combined effect of eccentricity and pipe rotation on the velocity
profile of a non-Newtonian fluid.
walls (both inner-pipe and wellbore).

The pipe and the wellbore were assumed
to be smooth. Also, the geometry was
held uniform along the pipe (i.e., the effect of tool joints on pressure loss was
neglected). The pipe section was considered to be 5 or 10 m long.
Approach
Methodology
Initially, the geometry of casing drilling

was constructed for a given wellbore condition. Then, the domain was discretized
such that the result would not be grid dependent. A series of cases was designed to
compare the CFD model with the analytical solution and validate the discretization scheme. Then, the non-Newtonianfluid (yield-power-law model) simulation
was run. Thereafter, an effort was made to
analyze the effect of eccentricity and pipe
rotation on the yield-power-law fluid.
Assumptions
In drilling operations, continuous fluid

circulation through the annulus results
in steady-state flow. In the shallow tophole section, the fluid can be treated as
an incompressible fluid. The simulated
laminar-flow regime verified the CFD results with the analytical solution. It was
assumed that a single-phase fluid flows
through the annulus and that the pipe
geometry provides a uniform concentric
annulus along the test section.
For simplicity, the effects of drill cuttings were neglected in the simulation to
be able to validate the CFD results with
the analytical solution. Initially, the casing was treated as stationary (no pipe
rotation) with a no-slip condition at the
This article, written by Dennis Denney, contains highlights of paper SPE 166103,
Evaluation of Annular-Pressure Losses While Casing Drilling, by Vahid Dokhani
and Mojtaba P. Shahri, SPE, University of Tulsa; Moji Karimi, SPE, Weatherford; and
Saeed Salehi, SPE, University of Louisiana at Lafayette, prepared for the 2013SPE
Annual Technical Conference and Exhibition, New Orleans, 30 September2October.
The paper has not been peer reviewed.
Analytical solutions are faster and more

convenient than numerical techniques,
but they lack generality in most cases. To
verify the accuracy of a given numerical
technique, its results can be compared
with the corresponding analytical solution, if available. To verify that the velocity profile was fully developed, the required entry length of the pipe in the test
section was estimated. Entry length is the
pipe length at which the centerline velocity is 99% of the fully developed centerline velocity.
Computational Mesh. The accuracy of
the steady-state numerical solution constitutes a base case for other complicated
geometries for which no analytical solution is available. Numerical-method validation was carried out by comparing CFD
results (i.e., pressure gradient and velocity field) with results of a narrow-slot analytical solution, as shown in Fig. 1.
The annular gap between the inner
pipe and the wellbore wall was configured as a concentric geometry and as an
eccentric layout. To analyze the effect of
eccentricity on pressure loss, five cases
were considered. Initially, an optimization process was performed to match the
best meshing size with the lowest error.
Several simulations were run with different mesh sizes, and the results were
compared with the narrow-slot analytical solution of a non-Newtonian fluid. To
capture the velocity field in the region of
high shear rate (i.e., close to the wall),
two inflation layers were defined within the cross-sectional area of the pipe.
82
DT166103.indd 82
JPT FEBRUARY 2014
1/16/14 7:47 AM
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VOLANT JPT JAN 2014.indd 1

Volant_085_jpt.indd 1
2014-01-10 4:45 PM
1/14/14 8:48 AM
W
2Ri
Ri
R
h
2R
Fig. 1Geometrical parameters of cylindrical (left) and narrow-slot (right)

configurations for concentric pipe in a wellbore. R=wellbore radius, Ri=pipe
outside radius, W=channel (annulus) width, h=channel (annulus) thickness.
TABLE 1FLUID PROPERTIES FOR SENSITIVITY ANALYSIS
Parameters
Value
Average velocity, m/s

Density, kg/m3
Viscosity model
Yield stress, Pa
Consistency index, kg/ms
Fluid-behavior index, m
A A
0.1
998.2
Herschel-Bulkley
1.5327
0.3745
0.5989
A A
Fig. 2Meshing configurations for a radius ratio of 0.76 and

(left), 0.5 (center), and 0.9 (right).
Discretization of the domain along the

tangential direction was selected in the
range of 200 to 300 divisions. It was confirmed that the numerical results were
consistent for 5- and 10-m pipe lengths.
Boundary Conditions and Fluid Properties. To simplify analysis sensitivity,
it was assumed that the fluid flows in
isothermal and laminar conditions. At
the inlet, a constant fluid velocity equal
to the bulk-fluid velocity along the pipe
was specified and the boundary condition at the outlet was set to zero static
pressure. To initialize the CFD analysis,
the fluid properties of a yield-power-law
fluid were assumed, as given in Table 1.
Verification of CFD Results
No analytical solution was available for

flow of a yield-power-law fluid in an annulus section. Therefore, the authors
used CFD simulation to generate the results for the cylindrical geometries. The
results of the CFD solution were verified
with the narrow-slot-approximation solution for a yield-power-law fluid. A sen-
84
DT166103.indd 84
values of 0.1
sitivity study of CFD simulation was performed by selecting different rheological

values to examine the accuracy of the
computation and meshing properness.
Values of yield stress y=0.833,
1.183, and 1.533 were used to quantify the error magnitude of CFD calculations. The simulation was performed
for each configuration (concentric geo
metry), and the results were compared
with the narrow-slot analytical solution.
Error values for all cases were reasonable, with the largest error <3%. The
frictional-pressure-drop curves showed
a similar pattern for the values of yield
stress. When the yield stress increased,
the frictional pressure drop increased.
The meshing scheme was nearly insensitive to the values of yield stress when
a good match existed between the CFD
result and the analytical solution. There
was a similar pattern in pressure drop for
the three selected values of yield stress.
Eccentricity Effect
The governing equations become complicated as the inner pipe (casing) be-
comes offset to an unknown value. An

eccentricity value describes how offcenter a pipe is within another pipe or
the open hole. A pipe is considered concentric (0% eccentric, =0) if it is perfectly centered in the outer pipe or hole.
The eccentricity of the inner pipe was increased to investigate the effect of eccentricity on frictional pressure loss. Five
cases were studied: =0.1, 0.3, 0.5, 0.7,
and 0.9. Note that the meshing scheme
of the eccentric pipe should be repeated
to discretize the wider-gap region properly. The meshing configurations shown
in Fig. 2 are for a radius ratio (inner-pipe
outside radius/borehole-wall radius) of
0.76 and values of 0.1, 0.5, and 0.9.
Monitoring the velocity profile in
the horizontal cross section (AA) reveals that the fluid velocity is higher in
the wider gap and lower in the narrow
region. The geometrical configuration
reduced the overall effect of wall friction on the fluid domain. Therefore, it
is expected that increased eccentricity
would reduce the pressure drop. The effect of eccentricity on pressure loss is
more dominant in the range of =0.2 to
=0.8. In general, it was concluded that
as eccentricity increases, the pressure
drop along the annulus decreases.
Pipe-Rotation Effect
The inner pipe was rotated at 20, 30,

40, 50, and 60 rev/min by selecting the
inner-pipe boundary condition as a moving wall. A velocity-ratio parameter can
be defined to specify the flow regimes in
the annular space. The for these geo
metries was set between 1 and 10. That
range specifies a mixed-flow regime (i.e.,
between axial-dominated and rotationdominated flow).
A pressure-drop pattern, similar to a
function of radius ratio, was recognized.
Pipe rotation promoted a shear-thinning
response to reduce the apparent viscosity exhibited by a yield-power-law fluid.
The effect of pipe rotation on frictional
pressure loss was explained by examining the velocity profile across the annular gap. For the first configuration (radius ratio=0.7), the effect of pipe rotation
was distributed almost along the radial direction. The plug zone disappeared
as pipe rotation was increased, which
was accounted for by the shear-thinning
properties of a yield-power-law fluid.
NO
JPT FEBRUARY 2014
1/16/14 7:47 AM
MCCO
Simulating Field Data
The geometry of the casing-drilling operation corresponded to the second eccentric case, with a radius ratio of 0.764. The
Fann-viscometer data were converted to
corresponding shear-rate and -stress values by use of appropriate conversion factors. The results then were recognized
as the rheological properties of a yieldpower-law fluid. Those fluid properties
were used to match the CFD prediction
with that of field data. The frictional
pressure drop for field data was reported as 135 Pa/m, which could be obtained
from ECD data. Initially, an attempt was
made to obtain the pressure drop of the
concentric geometry without pipe rotation. The CFD yielded a 330-Pa/m pressure drop for the given geometry. The
next step was to implement the effect of
pipe rotation, yielding a 178-Pa/m pressure drop. To match real data, an attempt
was made to determine the geometry by
use of estimated eccentricity values. The
closest match of pressure-drop prediction to field data yielded a possible eccentricity value. Increasing the casing
eccentricity to a value of 0.9 reduced
the pressure drop. The combination of
pipe rotation and eccentricity yielded a

151Pa/m pressure drop. The final velocity distribution is shown in Fig. 3. The discrepancy between simulation and field
data may be attributed to the following
constraints: Tool joints were not included
in the geometry, the walls were treated as
a smooth surface, and the effect of drill
cuttings on the flow regime was ignored.
Note that the wellbore shape might not
be circular, as envisioned in this model.
Also, assuming a zero-slip condition may
not be appropriate for real application.
Thermal effects and fluid compressibility
may contribute to overestimating pressure loss also.
Conclusions
Including eccentricity in the

simulation indicated that
a general pattern can be
recognized as a function of
pipeeccentricity for yieldpower-law fluids.
Increasing pipe rotation helped
reduce the frictional pressure
loss in the annulus.
Comparing the results of CFD
simulation with field data in a
1.48e+00
1.40e+00
1.33e+00
1.25e+00
1.18e+00
1.11e+00
1.03e+00
9.59e01
8.85e01
8.11e01
7.38e01
6.64e01
5.90e01
5.16e01
4.43e01
3.89e01
2.95e01
2.21e01
1.48e01
7.38e02
0.00e+00
Fig. 3Velocity-magnitude
distribution across annular space by
use of CFD to match the pressure
drop reported in the field.
stepwise manner indicated that

the casing may have been offcenter in the wellbore.
The effect of wellbore-wall
roughness should be considered
to yield a more-realistic
estimation of the frictional
pressure loss. Several pipe
jointsshould be included along
the test section to study the
effectof tool joints on pressure
losses. JPT
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DT166103.indd 85
MCCOY-089_weTorque_JPT_half.indd
1
1/16/14
7:48 PM
AM
1/9/14 5:13
Managed-Pressure Drilling
A Solution for Challenging Wells in Vietnam
anaged-pressure drilling (MPD)

has been used in Vietnam
since 2007 to address a number of
drilling and reservoir challenges.
The main application of MPD has
been to overcome the challenges of
granite-basement, fractured and
vugular carbonate, high-pressure/
high-temperature (HP/HT), and
overpressured clastic reservoirs.
This paper examines the procedural
approaches of MPD, including
constant bottomhole pressure (CBHP),
equivalent-circulating-density (ECD)
management, early kick detection, and
pressurized-mud-cap drilling (PMCD).
MPD Techniques
and Applications
The International Association of Drilling

Contractors (IADC) defines MPD as an
adaptive drilling process used to precisely control the annular pressure profile
throughout the wellbore. The objectives
are to ascertain the downhole pressure
environment limits and to manage the
annular hydraulic pressure profile accordingly. MPD is intended to avoid continuous influx of formation fluids to the
surface. Any influx incidental to the operation will be safely contained using an
appropriate process.
MPD Variants
The definition of MPD covers a wide

range of variations and applications, but
the most commonly used among them are
the PMCD and CBHP variations (Fig.1).
PMCD enables high rate of penetration,

less flat time, and lower-cost
drilling in extreme-loss situations.
The goal of MPD is
to control the pressure
profile in a way that
eliminates many of
the drilling and
wellbore-stability
issues that are
inherent to
conventional
drilling.
CBHP reduces NPT and enables fewer

and deeper casing strings when drilling
windows are narrow or relatively unknown.
Dual-gradient MPD enables total well depth

in the right hole size in deep-well and
deepwater drilling. Hydraulically speaking, it
tricks the well into thinking the rig is closer.
Returns-flow-control MPD reduces risk to

personnel and the environment from drilling
fluids and well-control incidents.
Fig. 1Various types of MPD.
PMCD as defined by the IADC as a

variation of MPD that involves drilling
with no returns to surface and where an
annulus fluid column, assisted by surface pressure [made possible with the
use of a rotating control device (RCD)],
is maintained above a formation that is
capable of accepting fluid and cuttings. A
sacrificial fluid with cuttings is accepted
by the [lost] circulation zone. This technique is applicable for cases of severe
[lost] circulation that preclude the use
of conventional wellbore construction
techniques. The PMCD variant of MPD
allows conventional drilling operations
until losses are experienced and has
been used successfully to drill through
This article, written by Special Publications Editor Adam Wilson, contains highlights
of paper SPE 165775, Managed-Pressure DrillingA Solution for Drilling the
Challenging and Undrillable Wells in Vietnam and Southeast Asia, by Ben Gedge,
SPE, Harpreet Kaur Dalgit Singh, Elsofron Refugio, and Bao Ta Quoc, Weatherford
Asia Pacific, and Nguyen Viet Bot, PVD Well Services, prepared for the 2013 SPE Asia
Pacific Oil and Gas Conference and Exhibition, Jakarta, 2224 October. The paper has
not been peer reviewed.
fractured and vugular carbonate for

mations where circulation losses can be
simultaneously sudden and severe. This
allows drilling to target depth despite
massive losses beingencountered.
The CBHP variant of MPD involves
the ability to maintain a constant bottomhole pressure (BHP), especially
when drillpipe connections are made
and the rig mud pumps are turned off.
In this instance, the MPD system exerts a backpressure value that corresponds to the frictional pressure loss.
This backpressure is slowly relieved
once the connection has been completed and the rig mud pumps resume
operation. However, given the sophistication of current MPD-control systems, BHP not only can be kept constant but also can vary to ascertain the
downhole-pressure-environment limits
and allow drilling personnel to manage the annular-hydraulic-pressure profile accordingly, thereby making the
drilling operation more effective and
moreefficient.
86
DT165775.indd 86
JPT FEBRUARY 2014
1/16/14 8:23 AM
HP/HT; Overpressured
Formations With Low Rates of
Penetration; Formations With a
Very Tight Kick/Loss Profile
For these applications, CBHP and earlykick-detection procedures are used with
an RCD and autochoke system, coupled
with a Coriolis meter and microprocessor. MPD enables a constant BHP to be
maintained while drilling an HP/HT well,
thereby reducing nonproductive time
(NPT), especially across pressure ramps
where kick/loss situations are common,
time consuming, and expensive. Benefits associated with the system are early
kick detection, better well control, and
ease of circulating kicks out, allowing
the well to be drilled through very tight
kick/loss margins with quick adjustment
to desired BHP. The dedicated choke allows maintaining BHP at a constant value
or range.
PMCD Used To Drill Fractured/

Karstified Carbonate and
Granite-Basement Formations
With High Fluid-Loss Rates
PMCD is implemented on wells to address severe lost circulation and
DT165775.indd 87
Fig. 2The Moc Tinh platform.
ydrocarbon-influx problems when drillh

ing through karstified/fractured limestones and granite basements. PMCD
rig-up will allow safe drilling ahead without delay if significant losses are encountered. PMCD can help achieve well objectives (time, depth, costs, safety, and
environmental) where high loss rates

lead to problems with well control, hole
cleaning, and high fluid costs. Using
PMCD with a low fluid weight enables
ECD to be managed, fluid losses to be
minimized, and rates of penetration to
be increased.
1/16/14 8:23 AM
Implementation of PMCD
To Manage Fluid Losses
in Granite-Basement Drilling
In the past, a dependency on high brine

consumption because of losses in the
fractured basement for wells drilled for
Hoan-Vu joint operating company resulted in very high brine and salt costs.
This led to suspension of the operation because of an interruption in brine
and salt supply, caused by bad weather and exhaustion of onshore supplier
stocks, resulting in the total planned
depth not always being achieved. Use
of seawater as the drilling fluid, common in the granite basement in Vietnam,
was not possible because of the slightly
overpressuredreservoir.
The MPD system was identified
as a possible solution to the brinemanagement and kick/loss-on-connection
problems for several reasons:
High loss rate when drilling the
fractured granite reservoir
Brine-supply difficulties during
the northeast monsoon season
Previous experience of drilling
disruption while waiting on brine
High mud weight to control
kick/loss, leading to ECD
issues while making/breaking
connections
The objectives of using MPD were to
minimize the dependency on brine during drilling and tripping operations on
the fractured granite basement and to reduce the overall amount of brine lost during these operations.
Implementation of MPD
To Manage ECD in an
HP/HT Overpressured Clastic
Formation With Low Rate
of Penetration
The Hoang Long Joint Operating Com

pany in Vietnam planned to drill a second
offshore appraisal well in the Te Giac Den
field offshore Vietnam. In the first well,
TGD-1X, hole instability was addressed
by increasing mud weights, which increased losses.
For the later well, TGD-2X, the
major objective for using MPD was to
manage BHP (remove ECD fluctuations).
The MPD equipment will also allow con-
88
DT165775.indd 88
ducting CBHP operations on the 14- or

14-in. and the 8-in. sections.
Losses During Drilling. The use of MPD
means drilling with minimal overbalance.
This will reduce the chance oflosses.
Instability During Drilling. The use of
MPD to keep BHP as close to constant as
possible will reduce cyclic stresses on the
formations drilled. Additionally, if splinters or cavings are observed in the cuttings, the use of MPD means that increased pressure on the wellbore can be
applied instantly, thus stopping pressureinduced instability much faster than could
be achieved by increasing mud weight.
Drilling Summary. Use of MPD has
clearly shown results that saved rig time
and minimized unplanned well-control
events and NPT. By use of CBHP, drilling expectations were met and exceeded in Well TGD-2X. The MPD setup with
RCD and semiautochoke manifold was
the most efficient way to reduce the cost
of drilling the HP/HT TGD-2X well. The
previous well incurred four sidetracks.
The MPD choke manifold was used to enable tripping with surface pressure. The
well was then stabilized by maintaining
a constant BHP. A drilling summary includes the following:
Reduction of the mud weight
during drilling facilitated by the
RCD was successful in reducing
the losses.
The maximum pressure seen on
the RCD (choke pressure) was
300 psi during tripping in the
1214-in. section and was
1,254 psi in the 8-in. section.
The CBHP hookup was efficient
for the purpose of reducing
mud weight and holding the
appropriate surface backpressure
(choke pressure) on connections
to replace the lost ECD increment
when drilling.
Implementation of MPD,
Early Kick Detection, and
CBHP in HP/HT Well With Very
Narrow Kick/Loss Tolerance
MPD was used on this project for the following reasons:
Narrow margin between pore

and fracture pressure would
require CBHP control to avoid
unnecessary kick/loss incidents
during dynamic and static
conditions.
Using a closed-loop MPD system
in a narrow pore-pressure/
fracture-gradient window
would allow wellbore breathing
or ballooning to be readily
identified.
Frequency of well-control
incidents is higher in
HP/HTwells, and the MPD
manifold enables easier
controlof kicks.
The MPD manifold allows
kicksto be circulated at
fullpump rates with pipe
verticaland with rotational
movement.
Project Results and Conclusions
MPD was deployed on all but one of the

wells drilled to date on the Moc Tinh
platform (Fig. 2). The Bien Dong drilling team employed strict, well-planned,
thoroughly engineered and defined
HP/HT procedures and practices, successfully avoiding incidents commonly
accompanying such severe HP/HT formations. Only some ballooning and
minor influxes were encountered. MPD
was used in the early-kick-
detection
mode but not in the CBHPmode.
Conclusion
Over a fairly short span of time, MPD

technology has been introduced and
accepted into drilling operations in
Vietnam to address a range of drilling
challenges, with generally good success in reducing drilling time, NPT,
and cost.
Some wells were previously unable
to reach their targets without the use of
MPD technology.
The technology will grow in use
in the various basins in Vietnam, as
the wells become ever more challenging when more-difficult reservoirs and
formations are drilled. These will include deepwater projects, which are
in their infancy, but currently growing
innumber. JPT
JPT FEBRUARY 2014
1/16/14 1:23 PM
Petrolink_089_jpt.indd 1
1/14/14 8:42 AM
Re-Engineering and Upgrade

of a Semiautomated 3,000-hp Drilling Rig
n 2011, the Kuwait Oil Company

(KOC) considered enhancement
of equipment specifications for deep
drilling rigs to integrate state-ofthe-art technologies. UPDC Rig 776
was thefirst to be upgraded, and this
workwas handled as an integrated
project by the rig contractor working
closely with the field operator. With
regard to the rig design, major
changes were made to enhance safety,
capacity, and automation of the
drillingfunctions.
Purpose of the Upgrade
The drilling of future deep high-pressure/

high-temperature wells in Kuwait will
become more challenging. New frontier
areas with increased depth and formation difficulty are being targeted. To ensure that the deep drilling rigs will be
able to meet these future challenges and
to improve safety and operational performance, KOC has enhanced the deepdrilling-equipment specifications for
their new contracts.
For Rig 776, this required a major
upgrade or replacement of all core rig
components.
The subbase height had to
be increased to be able to
incorporate a full 15,000-psi
blowout-preventer (BOP) -stack
rig-up.
The topdrive system had to be
upgraded to cope with higher
mud-flow rates and pressures,
and a control system for the

driller was to be installed.
Mud pumps were replaced with
new 2,200-hp pumps, producing
up to 7,500 psi.
The rig power system was
upgraded with five new 1,855bhp
(maximum) engines and a new
selective catalytic reduction
(SCR) system.
An upgrade of the drawworks
included an integrated disk
brakesystem and installation
ofasemiautomated control
system for the driller.
The iron roughneck was
enhanced.
The mud system was upgraded.
These improvements were aimed
at enhancing safety, capacity, and automation of the drilling functions. In addition to these major changes, the rig
camp was completely refurbished and
the camp power generation was upgraded to silentpackages.
Rig-Upgrade Works
Once Rig 776 finished drilling the last

well before the upgrade, the rig was prepared for the yard work. As the rig commenced to rig down for the move to the
project yard, all equipment had to be
cleaned properly. The mud tanks had
to undergo sand blasting before inspections could be conducted. The cleaned
equipment was then moved to the project yard. The rig offices were set up
This article, written by Special Publications Editor Adam Wilson, contains highlights
of paper SPE 164019, Re-Engineering and Upgrade of Semiautomated 3,000-hp
Drilling Rig for KOC HP/HT Exploration Program in Frontier AreasCase History
of UPDC Rig 776, by A. Al-Saleh, SPE, M.D. Al-Khaldy, SPE, A.A. Shehab, SPE, F.A.
Al-Naqa, SPE, and S. Baijal, Kuwait Oil Company; M.F. Karam and S. Schmidt,
United Precision Drilling; and D.C. McKinnell, SPE, Total Kuwait, prepared for the
2013 SPE Middle East Unconventional Gas Conference and Exhibition, Muscat, Oman,
2830 January. The paper has not been peer reviewed.
in the project yard to provide extra

officespace.
Subbase and Mast. The subbase height
had to be increased by 10 ft. This was
accomplished by changing out all existing subbase legs. With the new subbase
height, all stairs, escape slides, piping
and hoses, and the personnel elevator
to the rig floor had to be modified or
replaced and the V-door ramp had to
beextended.
In addition to increasing the height
of the subbase, the entire subbase and
mast underwent inspection and recertification. This required sand blasting of all
components, inspection, and repainting.
Any defects found had to be repaired,
with parts replaced as needed.
Once work on the subbase and mast
was completed, a new 120-ton BOP hoist
system had to be installed. The spill containment (drip pan) was replaced under
the rig-floor area.
On the rig floor, the existing ST-80
iron roughneck had to be replaced
with a large-capacity IR10-100 roughneck. A new 20,000-lbm air tugger also
wasinstalled.
Drillers Cabin. The old drillers console
was to be replaced with a modern enclosed drillers cabin that holds joystick
controls for the drawworks. This cabin
incorporates touch-screen controls for
all major rig functions (Fig. 1).
Topdrive. The topdrive was stripped
down, and all parts were inspected. The
main shaft had to be upgraded from 3in.
to a new large-bore 4-in. shaft with a
7,500-psi pressure rating.
Drawworks. The existing drawworks
had to be completely stripped down and
inspected and overhauled. The old drum
shaft and drum had to be replaced. A
new disk braking system was installed.
90
DT164019.indd 90
JPT FEBRUARY 2014
1/16/14 7:50 AM
CASE IN POINT
An offshore operator in Latin America

asked us to collaborate on solutions
for a series of problem wells.
2014 Weatherford. All rights reserved.
We have eight wells with a combined

281 days of NPT. The most common
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lost circulation, and stuck pipe.
Weve been unable to reach TD in
four of the previous wells. How can
we economically bring these field
developments back on track?
Delivered Results
USD
Our Well Engineering and Project

Management team delivered a drilling
and mitigation program that safely
drilled and completed several problem
wells. Our collaborative engineered
solutions spanned the well-construction
cycle, including managed-pressure
drilling (MPD), reaming with casing,
solid expandables, zonal isolation,
and managed pressure cementing.
80MM
saved in reduced
drilling-related NPT
hole sections
delivered in multiple
wells previously
deemed undrillable
100%
of the unstable or fluid-loss zones were

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Contact and collaborate with us at

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Formation Evaluation
Weatherford_091_jpt.indd 1
Well Construction
Completion
Production
1/17/14 9:30 AM
Fig. 1Drillers cabin and control system.
New semiautomated controls were installed for the driller.

Mud Pumps and Discharge Piping. The
three original 1,700-hp mud pumps were
replaced with new 2,200-hp pumps with
7,500-psi output. These new pumps include a quick liner and piston change
system. Also, an independent chargepump skid was added to the system.
These new pumps can deliver more mud
volume at higher pressures, as required
for the new drilling program.
All old 5,000-psi mud-discharge
lines, mud-discharge manifold, stand-
Fig. 2Rig 776 completed.
pipe manifold/lines, and rotary hoses had

to be changed to larger-inner-diameter
and higher-rated 7,500-psi lines.
Mud System. The existing mud tanks
were cleaned, sand blasted, inspected, and repaired as required. The
mud-volume capacity was increased to
4,500bbl with the incorporation of additional tanks. New larger 20-hp agitators were installed to improve agitation
of the heavy muds (up to 20.5 lbm/gal)
used in Kuwait. Also, one new shaleshaker unit was installed to provide better solids removal.
Rig Engines, SCR System, Accumulator Unit. To cope with the higher power
demands of the new mud pumps and
mud system, the five existing 12-cylinder
engines were replaced with larger,
16-cylinder engine packs. The old SCR
system was replaced with a new SCR system that integrates automated engine
control in the drillers cabin.
The original nine-station accumulator was replaced with an upgraded
12-station unit.
Camp Refurbishment. The entire main
camp and rigsite camp underwent re-
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92
DT164019.indd 92
JPT FEBRUARY 2014
1/16/14 7:50 AM
furbishment in the project yard. One

by one, the cabins were cleaned and
repaired and refurbished, as required.
Several cabins were replaced with
new-builtcabins.
24-Hour Testing and Final Inspection.
Once all work was completed, the rig
entered into a 24-hour maximum-load
test, which was witnessed by KOC representatives and a rig-inspection contractor. The test was set up to simulate heavy drilling conditions. To draw
maximum power from the engines, all
three mud pumps were pumping, the
topdrive was running, and all agitators
and shale shakers were running. The rig
systems had to withstand this 24-hour
load test without any shutdown of more
than 30minutes.
The rig was then rigged down and
moved to the first location in the South
Burgan field (Fig. 2). During rig-up, the
remaining smaller outstanding jobs were
completed and a final prespud check
was conducted by KOC. Once all was accepted, the rig spudded the first well on
18January 2012.
Main Challenges
and Recommendations
Yard Operations and Multiple Projects. Many challenges of this project

stemmed from the fact that, concurrently, there was a second upgrade project
(Rig 3) and two new rigs being built.
To deal with this, three project managers with their teams were used (one for
the new builds and one each for the upgrades). The upgrade teams for Rig 776
and Rig 3 worked at the yard in Kuwait,
while the new rigs were built in Dubai.
Rig 776 was the first rig to undergo
the upgrade works, followed by Rig 3.
The rigs were expected in the yard in Kuwait within a month of one another, so
the available yard space had to be used
efficiently. The project yard was separated into two areas to keep equipment
and materials from getting mixed during
the project.
Materials and Logistics. Another substantial challenge was the coordination
of all purchasing activity. Large quantities of equipment and parts were ordered
for all four projects. This required the
use of dedicated warehouse and logistics
JPT FEBRUARY 2014
DT164019.indd 93
teams to process the ordering, tracking, and shipping of materials. A major

problem was slippage in promised delivery times from various vendors, some
of which resulted in delays to the project work. To overcome these problems,
some equipment had to be urgently airfreighted and some had to be shared or
borrowed from other rigs until the new
equipment arrived in Kuwait. The main
lesson from this is that the sooner the
equipment is ordered, thebetter.
Refurbishing Existing Equipment.
While planning for the upgrade, all efforts were made to establish the condition of existing equipment accurately and to anticipate what work and
which parts were required. But some
of the equipment conditions remained
unknown until the particular item was
completely dismantled in the yard. On
a few items, equipment conditions were
found that were worse than expected,
and replacement parts had to be ordered
on an urgent basis.
For future upgrade projects, it
is recommended to negotiate with the
parts vendors to provide all possible required critical parts ahead of time and
then return the parts that are not needed. This will avoid waiting-for-parts
projectdelays.
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Connecting Systems From Different

Vendors. The new drillers cabin and
controls and the SCR house were made
by one manufacturer, and the main rig
equipment was supplied by other vendors (drawworks, topdrive, mud pumps,
and main engines). Getting the equipment set up properly to ensure smooth
communications between these systems was vital and had to be done with
care, using service technicians from all
involvedmanufacturers.
Initial Results. After final testing and
commission of the upgrade, the first
deep exploratory well was drilled with
the modified rig in the Kuwait South Burgan field. While drilling the first well, no
major problems were experienced with
the newly installed instrumentation system or other upgraded equipment. The
initial well was drilled under planned
time, with no lost-time injuries or environmental incidents. JPT
FOLLOW US ON
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+1.713.849.7400
www.wellcontrol.com
1/16/14 7:50 AM
TECHNOLOGY
Ian G. Ball, SPE,

is technology
advisor and project
manager with
Intecsea, focusing
primarily on
deepwater subsea
field development and technology
application. Previously, he was with
Reliance Industries as senior advisor
for deepwater challenges in opening
the Krishna Godavari basin off the
east coast of India. For most of his
career, Ball was with Shell, where he
specialized in deepwater subsea and
floater-based field development, with
assignments in Brunei, Norway, UK,
and the US Gulf of Mexico. He holds
a BS degree from the University of
Manchester Institute of Science and
Technology. Ball was cochairperson
of the 2008 and 2009 SPE Annual
Technical Conference and Exhibition
Program Committees and serves on
the JPT Editorial Committee. He is also
chairperson of the Editorial Committee
for Oil and Gas Facilities.

SPE 166639 An Assessment of the
Impact of Water-Injection-Systems
Uptime on Well and Reservoir
Management on Two North Sea FPSOs
by Olawale Adeola, Shell
SPE 166617 Improving the Economics
of Marginal Fields Through Technology
Transfer From the Defense and
Renewables Industry by Paul Watson,
OPT, et al.
SPE 166546 The Use of Multirotor
Remotely Operated Aerial Vehicles as
a Method of Close Visual Inspection of
Live and Difficult-To-Access Assets on
Offshore Platforms by Philip Buchan,
Cyberhawk Innovations, et al.
94
2OFFocusFeb.indd 94
offshore facilities
In recent years, an unprecedented upsurge in offshore field-development activity has
been driven largely by the corresponding sustained surge in oil price on world markets. Much of this activity has been focused on deep water, where the challenges have
stretched both the hardware supply chains and the availability of qualified workers
close to their limits.
One of the consequences of this offshore market stimulation has been a substantial increase in unit development costs to a point at which operators are increasingly
seeking ways to restore a better balance in supply and demand. Hence, an increasing number of field-development decision deferments are becoming a key part of
thatprocess.
One potential benefit to the industry that could be derived from a temporary
slowdown in major capital expenditure would be an opportunity for increased focus
on technology development and qualification in anticipation of the huge challenges ahead. The initiative, however, would have to be driven and funded largely by the
operator sector, with practical vendor solutions to real, tangible problems being the
prime target.
Here, we take a closer look at the kind of technology developments that are
already making a major contribution to our ability to move forward successfully and
safely into new and harsh frontiers for oil and gas development. The chosen papers
reveal the increasing importance of taking an integrated and systematic surface/subsurface approach when seeking solutions to the ever-more-complex challenges ahead.
The industry has demonstrated time and again that it is not sufficient for a vendor to have put huge effort and investment into getting a new solution into its catalog
of options. It is increasingly necessary to be able to show convincing and verifiable
evidence that a rigorous and recognizable testing and qualification program has been
followed in order to substantiate the claim that a solution is ready for field application.
The final ingredient necessary to justify the technology investment is an operator capable of analyzing the qualification evidence and confident enough in its own
staff to make the decision to be the first adopter of that technology offshore. Statoil
has shown itself to be a shining example of such an operator in the subsea arena, but
others, too, have risen to the challenge, especially where the technology is a key development enabler.
I hope you enjoy reading this small selection from a large body of recent papers
covering associated topics of technology-development interest. JPT
JPT FEBRUARY 2014
1/16/14 7:51 AM
Deepwater Floating Production Systems

in Harsh Environments Offshore Norway
eepwater field developments are

regarded as standard technology
in several areas of the world, but
in harsher environments, extreme
design loads and increased fatigue
loading become more challenging. In
particular, risers and mooring solutions
are vulnerable to loading conditions
in harsh environments. Development
solutions that work well in more-benign
environments may not work as required
in deepwater harsh environments such
as those offshore Norway.
Fig. 1Aasta Hansteen location and view of selected field-development solution.
Introduction
Floating production systems in harsh environments have long been in operation,

but have been limited to water depths of
400 to 500 m. Deepwater floating production systems have been in operation
in benign environments such as offshore
Brazil, west Africa, and the Gulf of Mexico (GOM) for almost 2 decades. After
Hurricanes Katrina and Rita, the design
level for the GOM has been increased,
and one can argue that the GOM is no
longer considered a benign environment.
But tropical-storm areas such as the GOM
have significantly less dynamic loading in
general than harsh-environment areas
such as offshore Norway.
Currently, Statoil and its partners
OMV and ConocoPhillips have sanctioned the gasfield development Aasta
Hansteen in 1300-m water depth in the
Norwegian Sea. Field developments are
moving into deeper waters in some of the
harshest conditions in the world.
Concept Selection: Deepwater

Floating Production in Harsh
Environments
Aasta Hansteen is a rich gas field located

300 km from shore. It consists of three
reservoirs, and the drainage strategy is
pressure depletion. Dry trees offer no
benefits; therefore, the field will be developed with subsea trees, seven in total,
tied back to a floating production facility.
There is also a limited amount of condensate present.
The plant processing capacity is
higher than needed because the development opens a new area; the production
facility will be used as a hub. The treated gas will be exported through a new
approximately 500-km-long pipeline to
Nyhamna for final processing and further
export (Fig. 1), and the produced water
will be cleaned and disposed of at sea.
However, the small volumes of condensate caused some challenges for concept
selection. Economically, the condensate
This article, written by JPT Technology Editor Chris Carpenter, contains highlights of
paper OTC 24511, Deepwater Floating Production Systems in Harsh Environments:
A Look at a Field Development Offshore Norway and the Need for Technology
Qualification, by T.S. Meling, Statoil, prepared for the 2013 Offshore Technology
Conference Brasil, Rio de Janeiro, 2931 October. The paper has not been peer reviewed.
Copyright 2013 Offshore Technology Conference. Reproduced by permission.
is more of a burden than a value because

a solution is required for the limited production. Export through the pipeline was
not feasible from a flow-assurance standpoint; and, because the closest existing
facility with storage capacity is 150 km
away, a separate condensate-export pipeline was not attractive either. Therefore,
local storage of 25000m3 of condensate
and offloading was required at the lowest
possible cost.
Because the large storage capacity provided by a ship-shaped floating
production, storage, and offloading
(FPSO) vessel was not required by Aasta
Hansteen, alternative solutions were
studied to identify the most cost-effective
solution. The use of circular-shaped
FPSOs is a field-proven concept in shallow water in the North Sea and the Barents Sea. The potential of a circular FPSO
was also studied for the Aasta Hansteen
project, and it was the preferred concept.
In the interests of competition, however,
alternative solutions were studied in the
next screening phase, including subsea
tiebacks to a floating production unit
located in shallow waters. The shallow-
water solutions were not competitive, but
one alternative deepwater-floater concept was the spar concept. The spar is a
popular deepwater concept because of
its favorable motions in storm condi-
The complete paper is available for purchase at OnePetro: www.onepetro.org.

JPT FEBRUARY 2014
OF24511.indd 95
95
1/16/14 7:52 AM
tions, which is beneficial for riser solutions such as steel catenary risers (SCRs).
Except for the Kikeh spar offshore Malaysia, all spars are installed in the GOM,
and even though the hard tank in the spar
hull can provide storage capacity, no spar
hulls are used for storage. Therefore, use
of a spar FPSO in the harsh environment
offshore Norway would definitely require
technology qualification.
An important driver for the concept
selection was the riser solution. Because
no deepwater risers have been installed
offshore Norway to date, all riser solutions would require some qualification
work. On the basis of Statoils costly experience with gas export through roughbore flexible risers, there was a desire to
avoid the flow-induced pulsations (FIPs)
caused by the carcass in the flexibles.
With subsea trees, there is no need for
top tension risers, and then the only riser
solutions that eliminate FIPs are SCRs,
smooth-bore flexible risers, or a hybrid
riser solution with smooth-bore jumpers.
Use of a hybrid-riser solution would eliminate the water-depth challenge for the
smooth-bore flexible riser because the
vertical steel riser section bridges most
of the water column. However, because of
its complexity and costs, the hybrid-riser
solution was not chosen for the Aasta
Hansteen project.
With the FIP challenge and the need
for technology qualification for smoothbore flexible risers, the preferred riser
concept was the use of SCRs. The hangoff area and the touchdown area are critical sections for the SCRs, and floater motions are critical to achieve a robust SCR
concept. Model tests were carried out,
and ultimately the spar FPSO was the selected hull concept because its motions
gave the most robust SCR solution and it
was the most cost-effective concept.
Spar FPSO and the Need for

Technology Qualification for
Installation in Deepwater
Offshore Norway
Because the spar used in the Aasta

Hansteen project would be the first spar
offshore Norwayand the first ever
with storage and offloading combined
with the first SCRs used on the Norwegian continental shelfthe need for a
technology assessment to establish a
technology-qualification program was ev-
96
OF24511.indd 96
ident. In addition, the spar will be the largest in the world, with a topside dry weight
of 22600 t, a hull dry weight of 41 000t,
and a total displacement of 165000 t. The
diameter of the hard tank is 50 m, and
total length of the hull is 195 m.
Both a truss-spar design and a new
type of spar with a belly were studied,
requiring different types of qualification.
Model testing has already been mentioned as essential in documenting the
global response. The design waves in the
GOM are not far from the design waves at
Aasta Hansteen, but the associated peak
periods are longer and there might be
wave energy at periods up to 30 seconds.
Hence, the natural period in heave must
be shifted toward a longer period than in
the GOM to avoid any resonance problems. Heave/pitch instabilities must also
be avoided. Additionally, vortex-induced
motions (VIMs) are another spar characteristic that must be limited. Therefore,
comprehensive model tests were carried
out for both spar concepts to confirm
predicted response. While strakes are
commonly used to control VIMs in the
GOM, the model tests revealed that the
waves in the Norwegian Sea dampened
the VIMs and that no strakes were needed for the truss-spar design. The effect of
increased fatigue loading was also thoroughly addressed for critical sections
such as the connection between the hard
tank and the truss section, and the pull
tubes. However, with proper structural
design, these issues were managed.
The storage consists of four separate compartments located below the
zone at risk of ship collisions. The tanks
are surrounded by cofferdams to prevent leakages. Two separate access
shafts are provided for normal operation
andmaintenance.
Offloading of the condensate to shuttle tankers will be performed by pumps
submerged in welded caissons from the
topside cellar deck. The design principle
is that all hydrocarbon-containing systems shall be determined on the process
side of the topside cellar deck. All valves,
headers, and flanges in the hydrocarboncontaining systems shall be located topside to minimize risk of leakages and required operator attention in the hull. The
design allows simultaneous loading and
offloading. Condensate offloading will be
carried out approximately once a month.
The marine operations connected to

upending and topside installation are another challenge for a spar offshore Norway. The standard GOM approach of upending the hull at the field and installing
the topside with a heavy-lift vessel is regarded as too risky in the harsh environment offshore Norway. Fortunately, Norway has several deep fjords providing
sheltered areas for upending of the hull
and installation of the topside before towing to the field. Upending and installation
of the topside for Aasta Hansteen will be
carried out in a fjord close to Stavanger.
The Aasta Hansteen topside will be installed by mating. Mating was also used
for the installation of the Kikeh topside.
Thorough assessments have been carried
out to ensure feasibility and robustness
for the selected manner of carrying out
the marine operations. The hull and topside will be fabricated in South Korea and
transported by dry tow to the fjord outside Stavanger for assembly.
For a thorough discussion of the
mooring system used, please see the
complete paper.
SCRs
Statoil has been working with qualification of SCRs for many years in order to
have them available as riser solutions for
its deepwater field developments. The
focus has been on critical areas such as
the hang-off area and the touchdown
zone. Documenting sufficient fatigue life
for the SCRs is very often the most challenging task, especially in the touchdown
zone. Fatigue damage caused by wave
loading is one contributor, but the largest uncertainty is linked to fatigue damage caused by vortex-induced vibrations
(VIVs) of the risers. VIVs have been studied for many decades, but the uncertainty is still considerable. Strakes are commonly installed more or less along the
entire free-spanning part of the SCRs to
limit VIVs to manageable levels. Although
one alternative to strakes is to use fairings, strakes were chosen in the Aasta
Hansteen project to limit VIVs.
At hang-off, the stresses for the SCRs
will be controlled by support from the
pull tubes. A riser-integrity-management
system is under development by the project, including riser monitoring, to ensure
that the risers respond as predicted to
the various loadings. JPT
JPT FEBRUARY 2014
1/16/14 7:52 AM
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Turret-Mooring-System Experience and

Enhancements in the Atlantic Frontier
he Schiehallion floating
production, storage, and
offloading vessel (FPSO) is moored by a
turret-mooring system (TMS) located in
a water depth of 400 m in the Atlantic
in very challenging environmental
conditions. The Schiehallion FPSO
went onstream in 1998. As part of the
planned field development, the Quad
204 FPSO currently under construction
will replace the producing unit in
2015. This paper compares the main
features of the Schiehallion and Quad
204 TMSs, reporting the performance
of key components over 15 years
ofoperation.
Introduction
for harsh weather and continuous operations in the west Shetland area.
BP Schiehallion FPSO
The Schiehallion is at this time the

worlds largest purpose-built vessel, capable of storing 950,000 bbl of oil, with
a length of 245 m, a width of 45 m, and a
depth of 27.25 m (Fig. 1). A simple bargetype hull was chosen, incorporating a
design life of 25 years in situ, with a fatigue life of 50 years and the capacity to
survive the 100-year-storm condition. A
high forecastle was designed to protect
the forward process area and the turret.
Accommodation astern of the vessel provides full temporary refuge facilities for
80 persons.
For stability performance, ballast
water tanks are segregated and arranged
to form a double-sided hull. Two aftmounted thrusters are implemented for
heading control during offloading operations to tandem-moored shuttle tankers.
Survival of 100-year-storm
condition (intact/one line broken/
transient case)
Four bundles of mooring lines
allowing for large corridors for
the risers
Mooring stiffness independent of
offset directions
Fourteen anchor legs, bundled in
an anchor pattern of 23 and 24 legs
and using a combination of 6-in. studless chain (a first) and 146-mm-diameter
sheathed spiral-strand steel cables, enable the criteria to be met. Suction anchors placed in a radius of 1650 m provide the required holding capacity.
Top-Mounted Internal Turret (TMIT).

The fixed part of the turret is composed
of a 14-m-diameter cylinder, inserted
through the vessel hull and supported at
the vessels deck level on the turret collar by a bogie-bearing system (for further details on the bogie-bearing system,
Mooring System. The mooring design please see the complete paper). This sysis based on an entirely passive moor- tem allows the vessel to weathervane
ing (i.e., no assistance of a dynamic- around the turret, and comprises a sepositioning system is required for ries of 20 vertical bogie assemblies and
station keeping). The natural FPSO 18 radial wheels. The vertical bogies and
weathervaning capacity ensures mini- the radial wheels run on bolted and secmum environmental loading on the cat- tored rails. All components can be reenary mooringarrangement.
placed in situ should the need arise.
The mooring system was conceived
Fluid-Transfer System. The FPSO
of by analytical methods validated by topside facility is designed to handle
a series of model tests in a 1:80 scale in excess of 145 million bbl of oil and
representing the 400-m water depth at 140MMscf/D of gas production. The production scenario comprises five drilling
thesite.
The criteria for the mooring design centers, with a total of 16 production
wells, 12 water-injection wells, and one
were as follows:
gas-disposal well.
The turret provides the link between
This article, written by JPT Technology Editor Chris Carpenter, contains highlights
the earthbound incoming and outgoing
of paper SPE 166560, From Schiehallion to Quad 204 FPSO: Turret-Mooring-System flowlines and the topside placed on the
Experience and Enhancements, by Lionel Fromage and Jean-Robert Fournier, weathervaning vessel. In addition to the
SBM Offshore; Pieter Drijver, BP; and Alwyn McLeary, BP North Sea, prepared previously mentioned services, there is
for the 2013 SPE Offshore Europe Oil and Gas Conference and Exhibition, Aberdeen, a requirement for individual-well test36 September. The paper has not been peer reviewed.
ing, well control (hydraulic and electric
A contract was signed in June 1995 between BP and an alliance of partners to
develop an FPSO for Schiehallion. Sanction was given to the project by BP and
their partners in February 1996.
The harsh environment encountered in the Schiehallion field, offshore
the Shetland Islands in the Atlantic Frontier area, required a new dimension of
a mooring system. An internal turret
was chosen to allow the vessel to freely
weathervane and to transfer the fluids
and services from subsea to the vessel
and vice versa. The required turret dia
meter to accommodate 24 risers precluded the use of a conventional slewing-ring
arrangement, as was used in previously
built North Sea turrets.
The new Quad 204 FPSO that will
replace the Schiehallion will be a doublehulled vessel 260 m in length designed
98
OF166560.indd 98
JPT FEBRUARY 2014
1/16/14 7:54 AM
Fig. 1Schiehallion FPSO.
signals), chemical injection, and gas lift.

A large, multipath swivel stack handles
the transfer of these lines from within
the turret-mounted manifold to the gantry structure placed on the vessel deck or
vice versa.
In order to allow for the initially installed 13 flowlines and two umbilicals,
and the additional risers planned for the
future, the turret contains 24 I-tubes.
The flexible risers that transfer the fluids
from the seabed to the FPSO enter the
turret structure through the bottom and
continue to the deck level of the vessel at
the top of the turret, where the end fittings are connected to the hard piping.
Fig. 2Quad 204 FPSO.
This allows an above-water dry connection of the flexible risers. Bend restrictors protect the riser sections below the
chain table (vessel keel level).
Upper-Turret Manifold and Gantry. An open manifold structure houses the shut-down and emergency-shutdown valves, the piping headers and
pigging equipment, the turret equipment
room, and the chain and riser installation winch.
Three elevated decks, stepped in
diameters from 22 to 16 m above the riser
deck, are arranged to form a cone with
a height of 27 m above the main deck. A
three-legged pyramid gantry structure is
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fitted over the manifold. This structure

carries all the piping to the vessel deck
and supports a hydraulic turret crane for
maintenance and a windshield structure
allowing personnel to work protected in
the manifold, which is equivalent in size
to a 10-story building.
Swivel Stack. The swivel stack is the
heart of the TMIT, transferring all fluids
and services from the fixed turret to the
freely weathervaning vessel. It accommodates a full 360 rotation during full service life. During the design of the Schiehallion TMS, it became apparent that the
required swivel stack would become extremely complex and large. Previously
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OF166560.indd 99
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2014 Offshore Technology Conference
COM E
TOGE T H E R
produced stacks were mounted atop the

manifold, with the external housing driven from the gantry. This normal concept
resulted in a total height of 36m from the
vessel deck for the top of the turret crane.
A challenge to reduce the overall
height resulted in an unusual inverted
swivel stack with a number of advantages,
including reduction in overall height for
the turret top, reduction in gantry height
and piping length, and protected access to
swivels for inspection andmaintenance.
BP Quad 204 FPSO
The vessel will be able to store 1,000,000bbl

of oil, with a length of 270 m, a width of
52m, and a depth of 27.25 m (Fig. 2).
Mooring System. The FPSO will be turret moored in the same location as the
existing vessel through an anchor-leg
system composed of four bundles of five
legs laid within the same sectors as the
present Schiehallion anchor-leg bundles,
thereby keeping free the access corridors
for the existing risers andumbilicals.
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TMIT. At the turret bottom, the risers

and umbilicals are routed through tubular guides (I-tubes) to, respectively, a
riser support deck and an umbilical connection deck in the upper portion of the
turret cylinder. Piping spool pieces connect the riser termination flanges in the
turret to the piping on the decks of the
manifold. From the manifold decks, the
fluids are routed to the fluid swivelstack.
The chain stoppers are mechanical
systems that transfer the mooring load
to the lower-turret fixed structure. The
chain stoppers are considered to be key
technology items because of the resulting mooring-load level and chain-fatigue
aspect. In addition, the connectors offshore changeout is possible without interrupting production.
Bogie-Bearing System. For bogiesystem designs after the Schiehallion
TMS, the bogie radial-guide wheels fulfill
the function of guiding the bogies along
the track and replace the former tie rods.
Otherwise, the weathervaning-system
materials recently used are very similar
to those of Schiehallion, the system being
scaled to specific requirements.
The axial wheels mounted in each
bogie (32-off) counteract the gravity,
heave acceleration, mooring lines, and
riser loads and moments. The radial

wheels (36-off) counteract the horizontal loads caused by vessel motions, wind,
current, and waves.
To minimize friction, both the axial
and radial wheels run on roller bearings.
The wheel/rail interface is greased by an
automatic system fixed on the bogie in
order to prevent corrosion and to reduce
friction and wear.
Fluid-Transfer System. Turret
Manifold and Gantry. A multideck super
structure (manifold), located on top of
the turret, houses installation and production equipment and piping manifolds, and supports the fluid swivel stack.
Access to the fixed part is achieved directly from process deck to collar deck. A
gantry structure is positioned above and
around the superstructure. The turret design allows for maintenance in operation,
which maximizes availability over the full
field design life.
Swivel Stack. The swivel-stack assembly includes all individual swivel units,
the swivel supports between swivel units,
and all internal piping and cabling of the
stack. The swivels allow the transfer of
fluids, utilities, chemicals, electric power,
and electrical and optical signals between
the vessel, turret, and seabedequipment.
The fixed portion of each swivel pipe run extends downward from the
swivel-inner-shell flange connection to
the turret-deck-piping flange connection.
The rotating portion of each swivel pipe
run extends outward from the swivel-
outer-shell flange and is flange connected
to the pipe runs on the overheadstructure.
Compared with the Schiehallion
swivel stack, weighing 100 t and with
a height of 12 m, the Quad 204 stack
is much larger, with 14 swivel units, a
height of 26 m, and a 265-t weight.
The space allowed between each
swivel allows for the replacement of offshore seals without disrupting operations using the other swivel paths.
On Quad 204, the high-voltage swivel is located at the bottom of the stack
to avoid the routing and supporting of
high-voltage cables through the stack. A
large-diameter unit with slip rings transferring the requested power levels was
thus developed. The air swivel is located at the stack base to accommodate a
large air swivel without impacting productionunits. JPT
JPT FEBRUARY 2014
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Offshore Dry-Docking of FPSOs
he large number of floating

production, storage, and
offloading units (FPSOs) commissioned
more than a decade ago now require
offshore-asset-integrity management
and maintenance. The FPSOs were
originally designed for continuous
service for periods up to 25 years.
However, although designed to
strict criteria, structural and hullmaintenance shortcomings have
become apparent, prompting remedial
actions or extensive offshoremaintenance campaigns. An offshoredry-docking concept was developed to
lift an FPSO out of the water without
disconnecting it from its mooring
system and leaving the flowlines
connected. The stable working platform
allows work access to the FPSO hull,
appendages, and mooring system.
Introduction
The proposed offshore dry-docking concept lifts the FPSO out of the water by
submerging the floating dry-dock vessel and moving it underneath the FPSO
offshore without disconnecting the
FPSO from its mooring system or flowlines, as shown in Fig. 1. The bowless
concept of the dry-dock vessel with a
high load-carrying capacity enables dry
transportation of more-traditional semisubmersibles and other floating production units and FPSOs. The proposed offshore dry dock investigated the use of
dry-transportation technology for offshore dry-docking of complete floating
productionunits.
Fig. 1Offshore dry-docking.
Technical Specifications
The largest heavy-transport vessel currently operating is designed to dry-

transport offshore production facilities
including ultraheavy semisubmersibles
and FPSOs. In the past, an offshore unit
would need to be wet towed from the fabricator to its production location. Scaling
up the existing heavy-transport vessels
was not sufficient because of the length
of FPSOs, which can exceed 300 m. A
bowless design is capable of transporting
and offshore dry-docking FPSOs longer
than 300 m, with the strength of the
FPSO being the limiting factor. The design is shown in Fig. 2. With its bowless
design, the total length of the Dockwise
Vanguard (275 m) can be used. Its cruis-
This article, written by Dennis Denney, contains highlights of paper OTC 24330,
Offshore Dry-Docking of FPSOs: A Response to Industry Needs, by T. Terpstra and
E.A. Hellinga, Dockwise, prepared for the 2013 Offshore Technology Conference
Brasil, Rio de Janeiro, 2931 October. The paper has not been peer reviewed.
ing speed of 12 knots is at least twice the

speed of a wet tow. Floating cargoes with
a maximum draft of 16 m can be loaded
(not considering cribbing or grillage).
The dry-dock vessels bowless design and
the movable casings allow use of the vessels entire deck to transport units. Also,
there are no vessel restrictions for overhang forward and aft. The bowless design
is created by placing the crews accommodation on the extreme starboard side
of the vessel together with the lifeboats.
Carrying Capacity. The capacity to drydock FPSOs is governed by the deadweight capacity of the vessel and the
width and length of the FPSO. Deck-load
requirements and stability are not considered critical in this case. The deadweight capacity of the Vanguard allows
a payload of 117 000 t. Depending on the
position of the center of gravity of the
cargo, ballast water is required only for
weight-offset compensation. With the
FPSO overhanging the stern of the drydock vessel, it is expected that ballast

JPT FEBRUARY 2014
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Fig. 2The Dockwise Vanguard.
water will need to be added to achieve

zero trim.
The allowable width to accommodate an FPSO depends on the available
width between the fixed accommodation
block and the variable-position buoyancy casings. This width ranges from approximately 52 m to 65 m. The support
length for supporting an FPSO is 275 m.
Depending on the structural capacity of
the FPSO hull girder, some overhang can
be allowed, enabling the dry-dock vessel to accommodate FPSOs greater than
300m in length.
Compliance With Det Norske Veritas

Heavy-Lift Notation. This dry-dock vessel is one of the first vessels to be built
according to the Det Norske Veritas notation for semisubmersible heavy-lift
vessels. The notation had a major influence on the design of the casings and
the accommodation tower. The requirement to provide 4.5% of the submerged
displacement as reserve capacity in submerged condition, and a minimum of
1.5% of the submerged displacement in
each end of the vessel, resulted in additional freeboard.
Ballast System. The ballast system of

the dry-dock vessel is a pump-based system selected for its potential to be adapted to ballast-water treatment. Such a
system with sufficient capacity is not
yet available. To achieve sufficient redundancy, the ballast system consists of
a dual-ring line, serving all tanks, and
dual pump rooms. The system is compliant with the latest regulations, including
avoidance of crossflooding through vent
lines in case of damage. All vent lines
are routed to a safe zone, which will remain dry in case of damage, before venting in a central duct. To avoid pressures
building up in tanks and the occurrence
of water locks in the venting system, use
has been made of drain tanks in the forward and aft ends of the vessel.
FPSO Limitations. The deck capacity

and carrying capacity of the dry-dock
vessel will not limit offshore dry-docking
of FPSOs. Two aspects that limit the concept are the dimensions and mooring
system of the FPSO.
Dimensions. The dimensions of the
deck are 27570 m. The maximum width
of the FPSO must be less than 65 m to install the safety and sea-fastening equipment. Clearance is required for maneuvering the FPSO between the casings of
the dry-dock vessel and is necessary for
repair work on the FPSO. A width of 60 m
or less is preferred for loading, offloading, and performing repair work on the
FPSO. The maximum length of an FPSO
is limited by the strength of the overhang
of the FPSO, the bending-moment capac-
ity, and the static and dynamic loadings

on the turret from moorings, risers, and
flowlines. The largest FPSOs are 370 m
long. These FPSOs will have an extensive
overhang on both ends of the dry-dock
vessel, potentially limiting access for inspection or repair work.
Mooring System. The offshore-drydock concept uses the mooring system
of the FPSO to moor both ships. The
most common mooring systems are internal-, external-, and spread-mooring
systems. These systems are used by most
of the current FPSOs. Both external and
internal mooring systems are suitable
for dry-docking. Spread-moored FPSOs
have mooring lines in all directions, and
some lines will need to be disconnected to avoid collision with the casings
of the dry-dock vessel during loading
and offloading operations. FPSOs with
disconnectable turrets have not been
assessed, and it is assumed that drydocking onshore or near shore is more
economical than an offshore operation.
Offshore-Dry-Docking
Operation
The offshore-dry-dock operation can be

divided into four steps. During all phases, the FPSO can stay on location and the
turret system can stay intact. Scenarios
considered for the feasibility assessment included the possibility for contin-
Fig. 3Loading operation of an external-turret-moored FPSO.
102
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ued production and the configuration of

moorings and the turret. Two scenarios
were assessed.
No productionall production
systems and tanks emptied and
gas free
Limited productiondirect
offloading into shuttle tanker,
with limited use of FPSO storage
tanks
The following steps are for an FPSO
with no production.
Prepare the FPSO. Preparation consists
of emptying cargo tanks and freeing gas
from them and depressurizing all processing plants onboard. An underwater
inspection with a remotely operated vehicle is performed before dry-docking to
determine the required work and to supply information necessary for loading
the FPSO (e.g., protrusions). Cargo in the
tanks will be offloaded to a shuttle tanker until no oil remains in the FPSO. After
offloading is completed, all tanks must
be cleaned and gas free. Risers must be
depressurized and flushed.
Loading Operation. After both vessels
have been prepared, the loading operation commences. This operation comprises approaching the FPSO, positioning the dry-dock vessel, and loading the
FPSO. The loading operation is illustrated in Fig. 3.
The FPSO remains on its position,
and the dry-dock vessel is maneuvered
by use of its thrusters and winches and by
assisting tugs. After the initial load transfer is achieved and the floating assets are
moving as an integrated body, initial utility and safety connections can be established. Once these connections have been
established and confirmed to be in working order, the dry-dock vessel will deballast to dry-docking conditions.
Dry-Docking. The dry-dock-vessel/FPSO
combination will be moored by the turret of the FPSO. The bow of the FPSO
will overhang the stern of the dry-dock
vessel, and the bow thrusters of the drydock vessel can assist in station keeping.
After positioning the cargo on
deck, it will be sea fastened. Sea fastening keeps the cargo in position during
the dry-docking stage. Permanent utility
JPT FEBRUARY 2014
OF24330.indd 103
connections will be established to support the FPSO during the dry-docking

period, including electrical power, water
supply, waste and gray-water discharge,
and cooling-water discharge. Lifesaving
appliances and escape routing are installed to support both the contingent
crew of the FPSO and the dry-docking
labor during the dry-docking period. Logistics for the dry-docking work are put
in place, including deck barges, accommodation barges, and standby safety vessels. Thereafter, the repair work can commence in favorable weather with modest
movement of the dry-dock-vessel/FPSO
combination. The scope of work during
the dry-docking stage will include inspection, maintenance, and repairs.
Discharge. After completing the drydocking work, the reverse of the loading
operation can be initiated, implementing proper hold points to perform checks
that would normally take place before
leaving any dry dock.
Hydrodynamics of Offshore
Loading and Discharge
Normal loading and discharge operations are performed in sheltered waters,

resulting in limited environmental effects. Performing the same operation offshore leads to significantly higher loads
and will affect workability. The main
challenge during offshore loading and
discharge is controlling the relative horizontal movements of the dry-dock vessel
and the FPSO. Another specific hydrodynamic challenge during loading and
discharge of an FPSO is to estimate the
vertical movement when a very small
gap exists between the FPSO and the drydock vessel.
Hazard-Identification Process
and Safety Assessment
The hazard-identification study assessed the offshore dry-docking of an

external-turret-moored FPSO as the base
case considering no production from the
FPSO and process equipment fully depressurized, but not necessarily gas free.
The cargo tanks are gas free and made
inert. General hot work is performed on
the hull, but not the topside. Next, an
internal-turret-moored FPSO was as
sessed, with the same considerations as
the base case. The assessment of the
spread-moored FPSO was not developed

because the operating conditions were
not fullydefined.
A variation of the base case was assessed for external- and internal-turretmoored FPSOs to account for crude oil
in the FPSO cargo tanks (no hot work, or
hot work only in limited areas). No production would occur at the FPSO. Most
tanks would not be gas free, and some
tanks could contain cargo, although some
operators may not permit dry-docking
of a single-bottom FPSO with cargo onboard because of the potential of an oil
spill if the bottom is damaged (e.g., by
thecribbing).
Another case was assessed for reduced production to an attached shuttle
tanker during dry-docking. Production
might be shut down for a short period
during the loading operation, but would
be restarted directly from the production train to the shuttle-tanker export
hose. The production rate would be significantly less than full production capacity. Cargo tanks would be emptied and
made inert.
Conclusion
The main challenge during offshore-drydock loading and discharge is controlling the relative horizontal movements
of the dry-dock vessel and the FPSO. The
model test of a large semisubmersible
showed positive results, providing confidence in the feasibility of the system.
The mooring loads were within a realistic range for safe operation. Further
model tests will be required to verify the
relative movements during loading and
discharge of an FPSO. The dry-dock vessel must be able to load and discharge
the FPSO with a preferred significant
wave height of at least 1.5 m to make
it financially attractive in most cases.
Areas with favorable wave characteristics would allow a maximum significant
wave height of 1.0 m.
Use of a dry-dock vessel for offshore
dry-docking can be of benefit when the
FPSO is permanently moored by an internal or external turret and all lines have
sufficient slack, repairs are related to the
underwater portion of the FPSO and are
accessible, significant advantages exist
vs. executing an underwater repair, and
no dry-dock repair yard is available within a relatively short distance. JPT
103
1/16/14 7:55 AM
TECHNOLOGY
Angel G. GuzmnGarcia, SPE, is

an independent
energy consultant.
He holds a PhD
degree in chemical
engineering
from Tulane University. GuzmnGarcia spent more than 23 years with
ExxonMobil, where he held a variety of
positions: conducting research on the
response of resistivity tools in shaly
sands; investigating nuclear-magneticresonance petrophysical applications;
conducting and interpreting production
logging; designing fluid-sampling
collection and pressure/volume/
temperature analyses; and designing,
executing, and interpreting well tests
in both siliciclastic and carbonate
environments. He is an instructor in
well testing, production logging, and
petrophysics and is a member of the
JPT Editorial Committee.

SPE 164349 Innovative Single-Phase
Tank Technology for In-Situ Sample
Validation Enhances Fluid-Sampling
Technology by Francisco Galvan Sanchez,
Baker Hughes
SPE 164482 Inferring Interwell
Connectivity in a Reservoir From
Bottomhole-Pressure Fluctuations in
Hydraulically Fractured Vertical Wells,
Horizontal Wells, and Mixed Wellbore
Conditions by Anh V. Dinh, Schlumberger,
et al.
SPE 166074 In-Situ Poissons-Ratio
Determination From Interference
Transient Well Tests by Mojtaba P. Shahri,
The University of Tulsa, et al.
IPTC 16711 Deepwater Reservoir
Characterization Using Tidal Signal
Extracted From Permanent Downhole
Pressure Gauge by Xingru Wu, University
of Oklahoma, et al.
104
3WTFocusFeb.indd 104
well testing
As throngs of people crowd the car dealerships eager to buy hybrid or electric vehicles
to stop using fossil fuels to drive their cars, I reminisce about the good old days when
hydrocarbons ruled the world of energy. Oh, wait, that is the start of my upcoming
novel! Renewable energy and nuclear power are the worlds fastest-growing energy
sources, each increasing 2.5% per year. However, it is estimated that fossil fuels will
continue to supply nearly 80% of world energy use through 2040. Natural gas is the
fastest-growing fossil fuel, as global supplies of tight gas, shale gas, and coalbed methane increase.
Rising prosperity in China and India is a major factor in the outlook for global
energy demand. This is great news for our industry because it forces us to continue
finding new resources to meet the worlds demands. The massive deepwater reservoirs
seem to have been discovered and are, for the most part, in the field-development and
production phases. The unconventional reservoirs open new possibilities. Although
the term is used indiscriminately for rocks that exhibit permeability values in the
nano- to microdarcy range, these unconventional reservoirs fall into various categories that must be exploited differently. Common practice is that massive fractures are
required to stimulate hydrocarbon production. But, in many developed countries, the
mere mention of the word fracturing, or fracking, sends shivers down the collective spine of the general population to the point that governing bodies have simply prohibited such practice. Thus, the reservoirs remain unproduced. And they will
remain so unless new technologies are developed or the public is eventually educated
on the benefits and safety of this procedure.
In the meantime, shale gas and coalbed methane, or coal-seam gas, continue to
gain acceptance in countries other than the US, where most of the initial techniques
have been tested with reasonable success. Interest in exploiting these types of reservoirs has gained momentum in places such as Australia, Argentina, China, Canada,
Russia, and even the Middle East. Allow me to say that this is not a comprehensive list;
other countries are also opening the doors for companies to find, develop, and produce hydrocarbons from these reservoirs.
During the last year, a large number of publications have dealt with testing unconventional reservoirs. Although it was difficult to select three articles from the many
manuscripts, I hope that the three chosen convey the interest in these reservoirs and
the clever use of well-test data to add knowledge into understanding the producibility
of these reservoirs. Finally, let me remind the interested reader that many other articles on this subject are available in the OnePetro library.JPT
JPT FEBRUARY 2014
1/16/14 7:56 AM
Integrated Well-Test Strategy in

Unconventional Tight Gas Reservoirs
ight gas reservoirs and shale

gas reservoirs are economically
viable hydrocarbon prospects that
have proved to be successful in
North America. In such reservoirs,
established methods of well testing
and data analysis are often impractical.
This paper presents an integrated
well-test program developed for a
tight gas reservoir in southwestern
China. The program, designed and
modified from conventional methods
to meet the project-delivery timeline
and cost constraints, makes use of a
combination of various formationevaluation techniques.
Introduction
The northwestern and central areas of

the Sichuan basin have been identified as
having basin-centered gas potential. In
particular, there are several blocky sand
intervals in the Late Triassic Xujiahe formation that contain a relatively immature, continuous gas accumulation. The
tight-gas-reservoir project described in
this paper is located in the central uplift area of this basin and is operated by
Shell and PetroChina as a joint venture.
In this tight gas block, the Xujiahe formation has a gross thickness of greater than 500 m and is found at 3000- to
4000-m drilling depth. The hydrocarbon system in the block is an overpressured section of tight gas sands that are
sourced by imbedded and surrounding

shales and coals. Gas and condensate can
be produced from this objective section
through massive multistage hydraulicfracturing treatments.
As with the exploration and development of any tight gas reservoir, the
economic delivery of this project requires
the integration of various well-testing
methodologies to identify the economic
feasibility of the reservoir. Well tests are
normally conducted during various stages of the well life (Fig. 1). The objectives
of well tests include the following:
Identifying the hydrocarbonbearing horizon
Characterizing reservoir
parameters
Obtaining initial reservoir
pressure
Characterizing well damage and
the extent of the damage
Determining well deliverability
and drainage area
Evaluating well-completion
efficiency
Evaluating reservoir
heterogeneities
Estimating recoverable reserves
Unlike conventional hydrocarbon
prospects, however, the formation permeability in a tight gas reservoir is extremely low, and commercial production
generally requires stimulation through
extensive hydraulic fracturing. The ma-
of paper IPTC 16950, Integrated Well-Test Strategy in Unconventional Tight Gas
Reservoirs: Learning and Experiences From an Actual Field Project, by Minquan Jin,
SPE, Shell Exploration & Production; Wenxia Zhang, SPE, Shell China Exploration
and Production; and Hongli Zhang, PetroChina Southwest, prepared for the 2013
International Petroleum Technology Conference, Beijing, 2628 March. The paper has
Copyright 2013 International Petroleum Technology Conference. Reproduced by
permission.
ture and well-defined methods of well

testing and data analysis, although applicable, are often impractical because
of excessive test duration. Therefore,
the true potential in tight gas reservoirs
can be established only when well tests
are combined with a well-hydraulic-
fracturing program.
We present an integrated well-test
program developed and implemented for
reservoir characterization and formation
evaluation of this particular tight gas reservoir. The program makes use of a combination of various formation-evaluation
techniques that include diagnostic fracture-injection tests (DFITs), perforationinflow tests (PITs), pressure-buildup
(PBU) tests, rate-transient analysis, and
production logging.
Major Components of the

Integrated Well-Test Program
DFIT. The DFIT is also sometimes

called the minifracture test. Minifracture pumping is a routine part of a
hydraulic-fracturing operation. DFITs
provide information for fracture design
(leakoff types) and reservoir properties
(initial reservoir pressure and system
permeability), which is used for predicting future production.
PIT. A PIT is a cost-effective technique
for the evaluation of prefracture reservoir parameters. The PIT provides estimates of the reservoir pressure, flow capacity, gas-in-flow rate, and skin.
PBU. A PBU is the most familiar transient well-testing technique; it has been
used extensively in the industry. The
primary purpose of a PBU test is to estimate system permeability, initial reservoir pressure, and fracture half-length,
height, and conductivity. In most tight
gas reservoirs, however, the PBU test requires very long buildup timesmonths
are typicaland supercharging. There-
JPT FEBRUARY 2014
WT16950.indd 105
105
1/16/14 8:02 AM
Drilling
Prefracture
Well Tests
(DFIT, PIT)
Fracture
Flowback
Post-Fracture
Well Tests
Fluid
Sampling
Production
Production-Data
Analysis
Well-Program Sequence
Fig. 1Well-test programs in various stages of well life.
fore, the PBU test is often not feasible in

very tight rock.
tween the cost of the program and the

amount of data potentially acquired.
Production-Data Analysis (PDA). PDA

includes a series of well-test techniques
such as absolute open-flow potential,
decline-curve analysis, rate-transient
analysis, and the production-logging
test. The purpose of these well-test techniques is to determine the well deliverability (including initial well potential),
well-decline behavior for expected ultimate recovery, well drainage area, reservoir properties, and well-flow profiling.
Well-Test Results, Challenges,

and Solutions
Development of an Integrated
Well-Test Program
The development of a tight gas reservoir generally requires extensive multistage hydraulic-fracturing jobs. Therefore, the integration of various well tests
with multistage hydraulic-fracturing jobs
becomes very complex, and a successful
integration requires careful planning. To
facilitate this integration process, we developed a decision flow chart. For a discussion of this flow chart and its application, please see the complete paper.
The ultimate selection of a well-test
program depends on the balance be-
Significant amounts of well-test data

have been collected during the appraisal
phase of this particular program. However, because of the limitation on the
amount of data that can be practically
presented in a single paper, we focus on
the estimation of initial reservoir pressure. Initial reservoir pressure is one of
the most critical reservoir parameters
for estimation of the gas in place and recoverable reserves. For the purposes of
comparison, we present the pressure-
estimation results for the same fracture
stage of a particular well by use of a PIT, a
DFIT, and a PBU test.
PIT Results. A PIT was conducted in this
particular well in the Xu4 formation at a
depth of 3262 m. The well was perforated
and allowed to bleed off for a short time
period and then was shut in; this was followed quickly with a relatively higher
rate (approximately 1,800 B/D) for approximately 0.32 hours. The well was
then shut in for approximately 2 days,
and the surface-pressure responses were

recorded. An impulse plot yields an extrapolated initial reservoir pressure of
7,375 psi.
In summary, we found that PITs are
successful when reservoir permeability is
relatively high and good communication
with far-field reservoir formations is established. However, PITs are unsuccessful when matrix permeability is low. Costwise, PITs are the most favorableoption.
DFIT Results. A 1-day DFIT was executed successfully in the same formation of this particular well immediately following the PIT. During this test,
a total of 88 bbl of water was injected into the formation, and the surface
pressure was monitored for 16 hours.
The DFIT data were analyzed by use of
the standard software package. The recorded breakdown pressure at the surface was 8,214psi, with an injection rate
of 2 bbl/min. The maximum injection
rate reached 10 bbl/min. The recorded surface maximum pressure reached
9,000 psi. The instantaneous shut-in
pressure was estimated at 7,650 psi, corresponding to a bottomhole pressure of
12,286 psi. The after-closure analysis
4000
35
30
3600
25
3400
3200
20
3000
15
2800
Tubinghead Pressure
2600
10
Temperature, C
2400
2200
2000
9/17
Wellhead Temperature, C
Tubinghead Pressure, psi
3800
9/22
9/27
10/2
10/7
10/12 10/17
10/22
10/27
11/1
11/6
11/11
11/16
11/21 11/26
Date
Fig. 2Example of PBU-survey results.
106
WT16950.indd 106
JPT FEBRUARY 2014
1/16/14 8:02 AM
was used to estimate an initial reservoir pressure. The estimated initial reservoir pressure in this case was approximately 7,819 psi. This number is slightly higher than the 7,375 psi
estimated from the PIT. The difference, however, is reasonable and within 6%. Also, the flow in this case is still in the
pseudolinear-flow regime, and the pseudoradial flow has not
yet started. Therefore, the initial reservoir pressure estimated
from this test may contain some uncertainty, and that could
contribute to the observeddifference.
We observed that DFITs are successful when the formation
can be broken down at the initial attempt. The success rate is
approximately 70%, although operational cost is an issue.
PBU-Test Results. This particular well was put under production for a short time following completion of well flowback
to clear up the completion fluid. The well was subsequently shut in for a total of 70 days while waiting for tie-in to the
production pipeline. The tubinghead flow pressure and temperature were monitored during this time period (Fig. 2). The
data were not used for pressure-transient analysis because of
the presence of multiphase fluid inside the wellbore, and the
depth of fluid contact was also unknown during this time period. A pressure and fluid-density survey was conducted with
a production-logging tool at the end of the shut-in period. The
results indicate that the reservoir pressure at the sand surface
at a depth of 3262 m was 7,234 psi. This number is lower than
those for the DFIT and the PIT. However, this is probably to be
expected because the wellbore pressure had not yet completely
reached equilibrium with the formation. Therefore, the pressure estimation from the pressure survey is generally consistent with the results from the PIT and DFIT.
We found that PBU tests are the most-expensive and -timeconsuming option and should be considered only when the well
is idle, and should be coupled with a wellbore-fluid survey.
Challenges and Solutions
Not all of the well tests conducted in the field were successful.
There were many challenges and issues during the conduct of
the well-test program. For example, the initialization of breakdown of the reservoir formation becomes a major issue during
the DFIT. In one such example, the formation failed to break
down during several continuous attempts even though the bottomhole pressure reached 18,000psi (approximately 6,000psi
above overburden pressure). Over the course of field operations, several actions were taken to mitigate this issue, including increasing the number of perforation shots and using better perforating tools, longer slugs, and acid and crosslinked gel.
These and other actions did improve the success rate of subsequentDFITs. JPT
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JPT FEBRUARY 2014
WT16950.indd 107
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1/16/14 8:02 AM
New Techniques in Interpretation of Closure

Pressure in the Montney Formation
he Montney formation in Canada is

one of the largest resource plays in
North America. Horizontal multistaged
fracturing is the best method for
developing this vast resource. Before
hydraulic fracturing of the wellbore, the
toe stage is frequently minifractured
to obtain reservoir and geomechanical
properties. Various pressure-transientanalysis (PTA) -based interpretation
techniques have been introduced to the
industry over the last few years for the
determination of closure pressure. From
a theoretical viewpoint, unification of the
fields of traditional PTA and minifracture
interpretation has beenachieved.
Introduction
Despite low natural-gas prices, the

Montney-play region of northeast British Columbia remains one of the most active of such plays in North America. Operators continue to push drilling activity
in the Montney, with increased liquids
production within many portions of the
trend. Characterization techniques and
stimulation and production mechanisms
continue to make economics favorable.
Prefracture diagnostic testing is an approach that regulators and operators are
now more commonly using in unconventional and tight formations. Industrys
current use of minifracture analysis for
the determination of fracture closure and
after-closure reservoir properties, how
ever, still presents several challenges.
The conventional approach to all
minifracture analysis is the 1D Carter
(a) Carter Linear Flow, (b) Carter Linear Flow,

High Permeability
Low Permeability
(a) Fracture
Linear Flow
(b) Formation
Linear Flow
(c) Radial Flow
(c) Fracture Linear Flow
Fig. 1Schematic of the beforeclosure linear-flow regimes (verticalwell planar view).
Fig. 2Schematic of the after-closure

linear- and radial-flow regimes
(vertical-well planar view).
leakoff model, which leads directly to

the concept of G time. For more than
30 years, G time (or the G-function) has
played the dominant role for the determination of closure stress, but there remains ambiguity in performing minifracture analysis. Part of the problem is that
the recommended plots do not rigorously identify the various flow regimes
that occur during a minifracture/falloff.
Minifracture analysis requires a general
theory that accounts for all of the actual
observed flow regimes (both before and
after closure).
The objective of this paper is to create and perform a consistent workflow
process of four Montney diagnostic injection tests (one vertical and three horizontal wells) on the same pad, with a
systematic approach highlighting the
characteristic flow-regime slopes when

using the Bourdet log-log derivative plot.
In brief, the Bourdet derivative function
used in the PTA-based log-log derivative approach accounts for rate variation
before the analyzed shut-in period. The
workflow we present is also dependent
upon plotting the primary-pressure derivative (PPD) in combination with the
Bourdet log-log derivative plot.
of paper SPE 163825, Interpretation of Closure Pressure in the Unconventional
Montney Using PTA Techniques, by Robert V. Hawkes, Pure Energy Services; Irene
Anderson, Talisman Energy; R.C. Bachman, Taurus Reservoir Solutions; and A.
Settari, SPE, University of Calgary, prepared for the 2013 SPE Hydraulic Fracturing
Technology Conference, The Woodlands, Texas, USA, 46 February. The paper has
Overview of Flow-Regime
Identification in Minifracture
Analysis
The log-log derivative plot is the preferred flow-regime-identification/diagnostic tool for PTA. It is uniquely capable of identifying all flow regimes, from
early time through late time. The current paradigm for PTA is first to identify
flow regimes by use of the Bourdet loglog derivative plot and then to use secondary specialized plots to complete the
analysis. In contrast, the current practice in minifracture interpretation is to
give equal weight to various combination
plots (G-function and square root of t)
and the t (or delta-time) log-log derivative plot. The robustness of the Bourdet
108
WT163825.indd 108
JPT FEBRUARY 2014
1/16/14 8:01 AM
88000
84000
Instantaneous Shut-In Pressure=

End of Job=33.96 kPa/m
80000
76000
72000
68000
Pressure, kPaa
64000
Overburden=25.3 kPa/m
60000
56000
52000
48000
44000
40000
36000
32000
28000
24000
0.00 0.10 0.20 0.30 0.40 0.50 0.60 0.70 0.80 0.90 1.00 1.10 1.20 1.30 1.40 1.50 1.60 1.70 1.80 1.90 2.90 2.10
Time, hours
Fig. 3Well 058-L: bottomhole treating pressure vs. time.
log-log derivative plot is one reason that

it is one of the outstanding achievements
in the field of reservoir engineering over
the last 30 years. A brief overview of
the more-common before- and afterclosure flow regimes appears in Figs. 1
and2,respectively.
Log-log derivative plots have truly
revolutionized PTA. However, the reader
needs to be aware of a number of issues
when applying the technique to minifracture analysis. Generally speaking,
with most of the commercially available
software packages used for minifracture
analysis, a default decision about how
derivatives smoothing will be calculated for the observed pressure leakoff has
already been built into the software and
the degree of smoothing that is applied.
The software user will have some control
over how the derivative is calculated (i.e.,
the amount of smoothing that will take
place). Therefore, it is imperative that
the analyst understand the ideas behind
these algorithms. For a more detailed
discussion of consideration of derivatives, please see the complete paper.
JPT FEBRUARY 2014
WT163825.indd 109
Minifracture Tests on Pad 58-L. Talisman Energy is targeting the upper and
lower Montney in British Columbia. The
Montney formation, for the purposes of this paper, has been divided into
four groups: upper upper (UU), lower
upper (LU), upper lower (UL), and lower
lower(LL).
There are six horizontal wells completed on the 58-L pad. One vertical wellbore has also been drilled for geological
and microseismic-monitoring purposes.
For the seven wellbores, four minifracture/leakoff tests were conducted. One
was conducted on vertical Well D58-L
(LL) and one each in horizontal Wells
058-L (UU), F58-L (UU), and E58-L (UL).
Operational Procedure. All four minifracture tests were conducted in casedand-cemented wellbores within 4 days
of each other. The horizontal wells were
perforated near the toe of the wellbore
over a 1-m interval. The minifracture test
was then conducted by injecting fresh
water at a final rate of 0.5 m3/min (132gal/
min), with injected volumes ranging from
5.5 to 8.3 m3. The minifracture-falloffpressure data were collected at surface

with electronic surface gauges and converted to bottomhole pressures (BHPs)
on the basis of a water specific gravity of
1.0 (freshwater gradient=9.8 kPa/m) to
the wells respective true vertical depths.
The wells were shut in for approximately
3 weeks to observe the leakoff behavior.
Breakdown pressures for the horizontal wells (058-L, F58-L, and E58-L)
were exceptionally high (BHP gradients
in excess of 34 kPa/m), with end-of-job
treating pressures indicating average
gradients of 33 kPa/m. On the basis of
integrated density logs, the overburden
gradient in this area is 25.3 kPa/m. Two of
the four well tests are discussed here; for
test results of the other two wells, please
see the complete paper.
D58-L. This is the only vertical well in
our study area and was perforated over
an interval of 2612.7 to 2613.7-m measured depth. An apparent pressure-
dependent leakoff (PDL) signature is
pronounced near a G time of 2.5. This
109
1/16/14 1:34 PM
early-time feature of the falloff will be

described better with the Bourdet loglog plot.
The Bourdet log-log derivative plot
with the accompanying PPD curve shows
a late-time Carter leakoff (slope of 1.5)
ending at approximately 12 hours and
is consistent with the G-function closure pick. The after-closure flow regime
is identified as formation linear flow, as
indicated by the derivative slope of 0.5
and the PPD slope of 1.5. Unfortunately,
scatter in the derivative data masks the
confidence of the after-closure analysis.
This derivative scatter is common with
surface pressure data in the late-time region of PTA, and therefore the use of subsurface pressure recorders placed as low
as safely possible in the vertical section of
the wellbore is recommended.
The early-time derivative and PPD
slopes in the first three log cycles are of
special interest because a radial-flow regime is suggested by the zero slope of the
derivative and the 1.0 slope on the PPD
curve. This apparent radial flow is unique
to this vertical well and is an interesting
RESOURCES
110
WT163825.indd 110
observation, considering that wellbore

configuration (horizontal vs. vertical)
can play an important role in near-field
stimulation complexity. If we choose a
pressure at the end of the apparent radial flow, then we calculate a gradient of
24.0 kPa/m. This pressure is close to the
vertical stress gradient, either suggesting an incorrect closure interpretation
(the overburden gradient from the density logs is high) or indicating multiple
fractures oriented in various planes such
as horizontal parting of bedding planes.
058-L. During pumping of the toe of this
horizontal well, bottomhole breakdown
pressure was observed at 84 MPa with an
end-of-job injection pressure of 80 MPa,
or 34.0 kPa/m (see Fig. 3). The corresponding G-function plot demonstrates
the classical belly-shaped derivative
response observed. Typically, this shape
of the G-function has been referred to as
an indication of height recession or of
transverse storage according to current
practices. One motivation of this paper
was to study the flow regime of this
early-time belly-shaped pressure profile.
The Bourdet log-log derivative plot
with the PPD curve shows some earlytime complex flow behavior. The PPD
curve drops rapidly and has a slope of
less than 1 (an actual slope of 2.0 on
the PPD curve). The rapid drop in the
PPD continues until approximately 0.4
hours, when the pressure drops below
the vertical stress gradient (shown as a
gradient of 23.1 kPa/m). This diagnostic
behavior is observed in all three horizontal minifracture wells and must reflect
the significant near-wellbore tortuosity
in these horizontal wells.
The derivative develops into a Carter leakoff slope as identified by the slope
of 1.5, indicating a closure gradient of
22.6kPa/m. Following the 1.5 slope (fracture closure), there is an increase in
slope that transitions to an after-closure
flow regime of formation linear flow
(slope=0.5). The late-time linear flow
is also confirmed by the PPD slope of
1.5. Because formation linear flow is the
dominant flow regime, a pore pressure is
estimated by extrapolation of a specialized linear plot (not shown), resulting in
a pore-pressure gradient of 16.1 kPa/m.
The increase in the Bourdet derivative slope after closure is of particular
interest. The PPD response at the same

time is increasing. In a normal static reservoir situation, the slope of the falloffpressure time data should be decreasing
continuously, never increasing. The increasing Bourdet derivative and increasing PPD are considered a function of reservoir and fracture interaction during
prolonged closure. After full closure of
the main fracture, the PPD decreases at a
slope of 1.5 (linear flow).
Comments
The closure-pressure gradients

with the G-function range from
19.1 to 21.3 kPa/m. On the basis
of the Bourdet log-log method,
the gradients range from 20.0
to 22.6 kPa/m. These differences
might not appear significant,
but it should be recognized that,
using the G-function only, some
analysts would have concluded
that there was no closure for two
of the tested wells.
The PPD has been available to
the industry since 1992, but has
been overlooked in identifying
flow regimes. The PPD has no
superposition effects built into
its calculation, and addresses
concerns with erroneous
superposition assumptions.
The PPD function therefore has
practical independent diagnostic
capabilities to identify flow
regimes in minifracture analysis.
Although radial flow was not
observed with these field
examples, when the late-time
data were extrapolated to provide
an estimate of pore pressure, the
pore-pressure gradients were
comparable in Wells 058L,
D58L, and F58-L. A slightly
higher gradient was determined
for the E58-L well. However, this
falloff was shorter in duration.
As shown in vertical Well D58-L,
comparisons need to be made
between vertical and horizontal
wells in the same zone/interval
whenever possible.
It is recommended that
BHP measurements be used
whenever possible to help
with after-closure flow-regime
interpretation. JPT
JPT FEBRUARY 2014
1/16/14 8:02 AM
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Pressure-Transient Testing of Low-Permeability

Multiple-Fracture Horizontal Wells
common well-completion
configuration for shale-gas wells
is a horizontal well with multiple
transverse hydraulic fractures. This
configuration is becoming common for
tight gas reservoirs. Pressure-transient
testing of this completion configuration
has not been considered practical or
useful because extracting completion
parameters (e.g., fracture conductivity
and fracture half-length) from the
recorded response requires estimating
the effective formation permeability.
Estimating permeability directly
from a buildup or drawdown test can
be performed only if data from the
radial-flow period, which reflects this
parameter, are recorded. Unfortunately,
for this completion configuration in a
low-permeability reservoir, this flow
period occurs only after extremely long
shut-in or flowing times.
Introduction
The usual shale-gas completion is a casedand-cemented horizontal well, perforated with multiple perforation clusters.
Each perforation cluster is treated with
an independent fracture stimulation with
a large volume of fluid and relatively low
proppant concentration. The goal is to
create an induced-hydraulic-
fracture
system, spaced along and covering the
length of the horizontal well to provide
a large, effective surface flow area in the
reservoir. Interpreted microseismic images of these multistage-stimulation
treatments indicate that, in some reservoirs, the fractures created at each perfo-
ration cluster have dominant transverse

components. These dominant transverse
components may or may not be interpreted to be overlain with or coupled
to a more-complex system of secondary fractures. Even if the secondary system of more-complex fracturing occurs,
the relative importance of this secondary
fracture system and its relative contribution to the deliverability of the overall induced fracture system remain subjects of
debate. It is equally difficult to establish
or deny the importance of the overprint
of a natural-fracture system to the flow
response and performance of multiplefracture horizontal wells (MFHWs) in unconventional reservoirs.
Therefore, the natural starting
point for developing a useful pressuretransient-analysis method for horizontalshale-well data would be on responses
from horizontal wells affected by induced
transverse fractures alone. Building viable pressure-transient-data interpretation methods for this simple base-case
problem was the goal of this work. This
interpretation must be accomplished before considering how to solve the moregeneral cases that include inducedand natural-fracture complexity. The
main issues in analyzing the pressure-
transient response from an MFHW are
the same as those with a vertically fractured well.
1. An estimate of permeability is
required to perform a complete
analysis of any data set.
2. This estimate, in general, can be
obtained only from the formation
radial-flow regime.
This article, written by Dennis Denney, contains highlights of paper SPE 163983, An
Approach to Practical Pressure-Transient Testing of Multiple-Fracture-Completed
Horizontal Wells in Low-Permeability Reservoirs, by Richard Volz, Elvia Pinto, and
Omar Soto, SPE, BP America, and J.R. Jones, SPE, NSI Fracturing, prepared for the
2013 SPE Middle East Unconventional Gas Conference and Exhibition, Muscat, Oman,
2830 January. The paper has not been peer reviewed.
3. This flow regime is the last

transient-flow regime to occur.
The main barrier to practical analysis in unconventional reservoirs is that
this last transient-flow regime occurs
at prohibitively long times. With typical fracture half-lengths on the order of
hundreds of feet and expected permeabilities in the microdarcy-to-nanodarcy
range, the time to the beginning of this
final transient-flow regime (the radialflow regime) is thousands to hundreds of
thousands of hours. Because the form of
the flow-regime equations dictates that
the first issue cannot be avoided and the
essential physics of the problem defines
the third issue, the formation permeability must be estimated from data obtained
before the start of radial flow. The work
reported here focuses on a data-analysis
method that avoids the general limitation
of the second issue.
Type-Curve Development
One possible shape for the pressure-

transient response of an MFHW is a
log-log diagnostic graph of a drawdown
response generated by a numerical simulator with formation permeability of
10 nd and 10 transverse fractures with
fracture half-length xf and fracture conductivity set to 800 ft and 3 md-ft, respectively. Development of the type curve
is detailed in the complete paper. There
are several ways to use these type curves
in conjunction with flow-regime equations to analyze pressure-transient data
from an MFHW.
An analysis algorithm that uses the
type curves developed here requires data
in the fracture radial-flow regime. These
data are difficult, but not impossible,
to measure or capture. For the range
of parameters studied in these simulations, this flow regime exists for times on
the order of seconds to tens of seconds.
Collecting good data this early in time
112
WT163983.indd 112
JPT FEBRUARY 2014
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Fig. 1 shows the data recorded before and during the test sequence. The
upper part of the figure shows the pressure data from the downhole gauge, while
the lower graph shows the p roductionrate data used to analyze the pressure
data. Bottomhole-pressure measurements
started on 7 December 2011 and ended
on 10 April 2012.
During this test sequence, two main
sets of pressure-buildup data were collected. The first set of data was recorded for 331 hours, and the second set
was recorded for 95 hours. The second
pressure-buildup test was performed
to determine the effect of changes to
the surface recording equipment on
the quality of the measured data. This
second test was shortened on the basis
of the interpretation of the response
captured during the first pressure-
buildup period. For both tests, a down-
JPT FEBRUARY 2014
WT163983.indd 113
Pressure, psi
300 400 500 600 700 800

0
5,000
10,000
5,000
10,000
15,000
20,000
25,000
15,000
20,000
25,000
Time, hours
Rate-Normalized Pseudopressure
and Derivative, (psi2/cp)/(Mscf/D)
Fig. 1Woodford-well-test overview.
1.00101
1.00102
1.00103
Short-test pseudopressure
Short-test derivative
Long-test pseudopressure
Long-test derivative
1.00104
1.00105
0.00001
0.0001
0.001
0.01
0.1
10
100
1,000
Pseudotime, hours
Fig. 2Log-log diagnostic graph of both pressure-buildup-test responses.
To test the viability of these new type

curves and the associated data-analysis
approach, a field trial was performed
in a Woodford-shale-gas well (Arkoma
basin). When this well was selected, it
had been on production approximately
3 years.
The general plan for collecting data
was as follows.
1.Shut in the well, pull the
existing tubing, return the well
to production, and perform a
production-log test.
2. Reinstall the tubing with a
bottomhole-pressure gauge
system.
3. Return the well to production,
and flow the well for
approximately 30 days.
4. Run a downhole shut-in device
approximately 7 days before the
planned pressure-buildup test.
5. Activate the downhole shut-in
device, and collect pressurebuildup data for 14 days.
Rate, Mscf/D
Field Example
1,000 2,000 5,000
requires careful planning, high-quality

gauges capable of high-frequency data
collection, and the use of a downhole
shut-in device to minimize wellborestorage effects. Also, post-processing of
measured data by use of sandface-rate
convolution may be required to remove
wellbore-storage effects.
102
103
104
105
105
104
103
102
101
100
101
Pseudotime, hours
Fig. 3Flow-regime interpretation for the field-trial pressure-buildup response.
113
1/16/14 1:37 PM
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114
WT163983.indd 114
hole shut-in device was used during the

pressure-buildupperiods.
Fig. 2 shows a log-log graph of the
appropriately transformed data from the
two pressure-buildup tests. Both data
sets were smoothed by use of data- and
derivative-smoothing algorithms implemented in the analysis software. Data
smoothing was necessary to extract the
response quality and shape because the
raw data contained significant noise.
Subsequent retesting of this well with a
wireline-deployed, high-resolution, high-
recording-frequency gauge confirmed
that the response shape in Fig. 2 was
valid and representative. Note that the
two tests yield essentially the same response shape. Also, the use of pseudotime compressed the apparent test length
of the 331-hour test to less than 100 hours
of pseudotime and the 95-hour test to approximately 24 hours of pseudotime.
The interpretation of the test response is shown in Fig. 3, a log-log diagnostic graph of the response during
the shorter test. Focusing on the derivative, the early data appear to define a
constant-slope period thought to represent the fracture radial-flow regime. This
period is followed by a half-slope period
in the derivative that defines the fracture
linear-flow regime. After a flattened transition in the derivative, another half-slope
period develops that is broken into three
stair-step shifts. These stair-step shifts in
the half-slope are being investigated, but
may be related to how the data were recorded. However, the last half-slope period represents formation linear flow.
The first step of the analysis algorithm was performed in Fig. 2. Proceeding to the second step, a match of the
data in Fig. 2 to the type curve for the
dimensionless fracture conductivity
FcD=1,000 is shown in Fig. 4. The overlay of both pressure-buildup-test data
sets is matched to take advantage of the
slightly better definition of the fracture
radial-flow regime given by the shorter test and the extra definition of the
formation linear-flow regime given by
the longer test. The match shown here
was obtained by placing the derivative
data, defining the fracture radial-flow
regime, over the corresponding part of
the type curve and then sliding the data
graph to the right until the measured
datas derivative matched one of the de-
JPT FEBRUARY 2014
1/16/14 8:01 AM
FCD=1,000, HCD=0.1 to 0.25
1.00103
1.00101
1.00104
1.00102
1.00105
mwDHD=0.25
mwDHD=0.25
mwDHD=0.2
mwDHD=0.2
mwDHD=0.15
mwDHD=0.15
Short-test pseudopressure
Short-test derivative
Long-test pseudopressure
Long-test derivative
1.00103
1.00106
1.00104
1.00107
1.00104
1.00102
1.00100
1.00105
0.00001
0.0001
0.001
0.01
0.1
10
100
1,000
Dimensionless Time/HD
Fig. 4Overlay match of pressure-buildup data on FcD=1,000 type curve.

mwD=dimensionless pseudopressure drop.
rivative shapes on the type curve and

the late-time spacing between measured
pseudo
pressure and derivative honored the spacing between the type-curve
pseudopressure and derivative. This process was followed for type curves with
an FcD=500, 750, 1,000, 1,250, 1,500,
and 2,000. The best match obtained is
shown in Fig. 4 for FcD=1,000. However,
this match is not unique. Matches on the
FcD=750 and FcD=1,250 type curves (not
shown here) were of comparable quality.
Accepting this match yields an estimate of FcD=1,000. On this type curve,
the best match of the fracture linear-flow
regime and the subsequent transition period in the derivative was made on the
curve parameterized by a dimensionless
effective thickness HD=0.1. Formation
thickness of the Woodford shale in this
well is reported to be 173 ft. Combining
this with the matched HD gives an estimate for xf of 1,730 ft. This completes the
second step of the analysis algorithm.
Conclusions
A practical type curve was

developed that, when combined
with flow-regime equations,
allows analysis of pressuretransient responses from an
MFHW if the FcD characterizing
the well is greater than 500.
A field trial to test this combined
analysis approach was successful.
The use of downhole shut-in and
high-recording-frequency gauges
JPT FEBRUARY 2014
WT163983.indd 115
enabled capturing the very-earlytime data critical for applying the

combined analysis approach.
A modification of the original
combined type-curve/flowregime analysis was applied
successfully to the pressure-
buildup data collected in the

Woodford field trial. For this
well, the required estimate of the
number of near-well fractures
was derived by examining the
production-log interpretation.
The measured pressure-transient
response of the Woodford
is consistent with flow from
nanodarcy-permeability matrix
into long planar fractures created
during stimulation.
A reasonable interpretation
of the data supports relatively
few, but long, planar fractures
that may be amalgamations of
multiple clusters. If effective
fracture half-lengths are as great
as 1,800 ft, operators will need to
reconsider stimulation and wellspacing strategies.
Despite the ultralow
permeability, all pertinent flow
regimes were observed in the
Woodford well after only 4 days.
The resulting analysis can be used
to predict long-term performance
of the well. JPT
UAF DEPARTMENT OF PETROLEUM ENGINEERING

The Department of Petroleum Engineering at the University of
Alaska Fairbanks invites applications for a tenure-track, Assistant
Professor position. The position is available beginning Fall
semester 2013. An earned Ph.D. in Petroleum Engineering or
closely related discipline is required. Preference will be given to
candidates having a bachelor's degree in petroleum engineering.
Industry work experience is desirable but not required. The
successful candidate will be expected to teach undergraduate and
graduate courses, supervise graduate students, build an
independent research program and perform public, university
and professional service. The preferred area of expertise is
drilling engineering, but candidates with other specializations
will also be considered. Applications will be accepted until the
position is filled. Apply online at
www.uakjobs.com/applicants/central?quickFind=80070 paper
applications are not accepted. For further information regarding
this position, please contact:
Professor Shirish Patil
Department of Petroleum Engineering
Email: slpatil@alaska.edu
Phone: (907) 474-5127
THE UNIVERSITY OF ALASKA IS AN EEO/AA EMPLOYER AND EDUCATIONAL INSTITUTION. Persons
hired by UA must comply with the provisions of the Immigration Act of 1990 and are expected to
possess a valid social security number. Your application for employment with the University of Alaska
is subject to public disclosure under the Alaska Public Records Act. Women and minorities are
encouraged to apply. Applicants needing reasonable accommodation to participate in the application
and screening process should contact Human Resources (907) 474-7700.
115
1/16/14 1:42 PM
TECHNOLOGY
Niall Fleming,
SPE, is the leading
adviser for well
productivity and
stimulation with
Statoil in Bergen,
Norway. He has
previously worked as a production
geologist, chemist, and engineer.
Flemings main interest is within the
area of formation damage from drilling
and completion fluids and from wells
in production. In particular, he has
recognized the potential for several
different nanotechnology applications.
Fleming holds a PhD degree in geology
from Imperial College London. He
has authored several SPE papers, is an
associate editor for SPE Production &
Operations, serves on the JPT Editorial
Committee, and has been a member of
the organizing committees for several
SPE conferences and workshops.

OMC 2013-105 Nanotechnology
Applications in Drilling Fluids by
Katherine Price Hoelscher, M-I Swaco, et al.
SPE 164461 Illuminating the Reservoir:
Magnetic Nanomappers by Abdullah A.
Al-Shehri, Saudi Aramco, et al.
SPE 166140 Crosswell Magnetic Sensing
of Superparamagnetic Nanoparticles for
Subsurface Applications by Amir Reza
Rahmani, The University of Texas at Austin,
et al.
116
4NTFocusFeb.indd 116
nanotechnology
Nanotechnology has enormous potential in the oil industry, with numerous applications currently under investigation. These include, for example, improvements
in material design for enhanced resistance to corrosion or erosion, improved and
enhanced oil recovery, improved understanding of reservoirs through use of nanosensors, nanocoatings that prevent the adherence of deposits, and use of nanotechnology
in drilling and completion fluids along with production chemicals.
The key word with regard to nanotechnology applications in the oil industry is
potential. Realizing that potential is another matter. A survey of SPE papers published in 2013 describing nanotechnology applications that have been implemented in
the field showed only two. There are, of course, numerous explanations for the apparent lack of papers describing field experiences, with the most obvious being that we
are in an early-phase technology development and it will take time for new products to
emerge in the marketplace. Our industry can be cautious when it comes to new technology, and this resistance to change could be another factor here.
A further influence is the potentially unknown consequences of introducing
nanotechnology into the environment. For example, much research is focused on the
environmental effect of releasing nanoparticles and the potential health risk through
inhalation along with the potentially damaging consequences of these particles entering the food chain. It will take time to work through these issues before nanotechnology can be described as mainstream.
Where does the future lie for nanotechnology in the oil industry? It is too early
to say, with too many unanswered questions remaining. Nevertheless, given the effect
that nanotechnology has had in other disciplines (for example, medicine), it would be
surprising if nanotechnology had little effect on the oil industry.
The papers selected this year include two examples presenting field implementation of nanotechnology. Lets hope that, in the future, many more papers of this type
will appear in the SPE literature. JPT
JPT FEBRUARY 2014
1/16/14 7:56 AM
Application of a Nanofluid for Asphaltene

Inhibition in Colombia
his paper describes the

evaluationof a nanofluid
containing nanomaterials with
high adsorption capacity used for
asphalteneinhibition in the volatile
Cupiagua Sur oil field in Colombia.
Asphaltene precipitation has been
identified as one of the most potentially
damaging mechanisms affecting this
fields productivity. The goal of the
injection of nanofluids containing
nanoparticles of alumina with
high surface area is to absorb the
asphaltenes and carry them with the
condensate, avoiding precipitation
nearthe wellbore.
Niscota
Boyaca Florea
Laguna de Tota
Recetor
Complejo
Pauto
Piedemonte
Recetor
Yopal
Recetor
Casanare
Niscota
Piedemonte
YOPAL
Recetor
Tauramena
Rio Chitamena
Cupiagua
Aguazul
Santiago De
Las Atalayas
Cupiagua Sur
Tauramena
Cusiana
Tauramena
Rio Chitamena
Introduction
The Cupiagua Sur field is located 110km

northeast of Bogota in the foothills of
the Colombian Andes, close to other
fields such as Florea, Pauto, Volcanera,
Recetor, Cupiagua, and Cusiana (Fig.1).
Despite the fact that Cupiagua Sur is
very close to Cupiagua, this reservoir is
totally independent and separate. It is a
compositional volatile-oil reservoir with
an average gravity of 38API; there is no
free-gas cap at initial conditions (for a
discussion of asphaltene precipitation
in volatile oil, please see the complete
paper). The main formations are Mirador and Barco, which are quite similar in
terms of petrophysical and fluid properties (average permeability is 21md, and
average porosity is 6.5%).
10
Fig. 1Cupiagua Sur and other fields in the Andean foothills.
Cupiagua Sur is a prolific oil field

that in 15 years of production has recovered 88 million STB/D gross out of
189 million STB/D originally in place
from Mirador and Barco reservoirs in a
developed area with four producer and
two injector wells.
The current reservoir conditions in
this field are highly dependent on the
way the reservoir has been produced.
The first production well, CPXP1, started producing in March 1998, while the
first gas-injector well went into action
in January 2000; at that time one volatile well was on production. There are
currently six active wells in the field.
of paper OTC 24310, Application and Evaluation of a Nanofluid Containing
Nanoparticles for Asphaltene Inhibition in Well CPSXL4, by R. Zabala, E. Mora,
C.Cespedes, L. Guarin, H. Acuna, and O. Botero, Ecopetrol; J.E. Patino, Petroraza;
and F.B. Cortes, Universidad Nacional de Colombia, prepared for the 2013 Offshore
Technology Conference Brasil, Rio de Janeiro, 2931 October. The paper has not been
peer reviewed.
There are four producers and two

gas injectors.
Oil production reached its peak in
March 2001 at 41,722 STB/D. The average gas production at that date was
175 MMscf/D. Today, the recovery factors are 48.2% and 29.5% in the Mirador and Barco formations, respectively.
There was no production plateau in Cupiagua Sur; instead, a constant decline
rate is observed. This indicates the extreme conditions under which the reservoir was depleted, as well as the sources
of damage.
In Cupiagua Sur wells, the increase in CO2, compositional changes,
pressure drop, and the revaporization
caused by gas injection are the main factors favoring asphaltene destabilization and precipitation. Periodic cleaning jobs are performed in those wells by
use of a chemical blend composed of an
aliphatic/aromatic mix. These stimulation jobs have been effective in increasing oil production. However, the effective life of organic stimulation is very
short and the wells need to be stimulated

JPT FEBRUARY 2014
NT24310.indd 117
117
1/16/14 8:06 AM
again after a few months. Chemical inhibition jobs also have been performed
with polymers that act like resins for the
asphaltene-inhibitionmechanism.
The method of using nanofluids containing alumina nanoparticles is expected to effectively extend the life of organic stimulations, preventing asphaltene
precipitation downhole while maintaining a sufficient residual of nanoparticles within the reservoir. With the implementation of this nanotechnology,
it will be possible to compare results
between this novel method and the
polymer-inhibitionmethod.
Experimental Description
Asphaltene Isolation. The first stage

of the study consisted of asphaltene extraction from a sample of oil by use of
traditional methodology for asphaltene
flocculation (adding n-heptane). The nheptane/oil mixture was prepared in a
ratio of 40:1, and then the mixture was
sonicated for 2 hours at 25C, then put
through centrifugation for 2 hours to
complete decantation. The precipitate
was then filtered through 8-m What-
man paper and repeatedly washed with

n-heptane to obtain a clean leachate. Finally, the filter containing asphaltene
cake was dried in a vacuum for 24 hours.
Adsorption Test. A stock solution of
1 g of asphaltenes in 0.5 L of toluene
was prepared. Different dilutions were
then prepared from this stock solution in
order to produce a calibration curve by
use of a spectrophotometer measuring
runs at a wavelength of 295 nm.
To construct isotherm curves, three
different dilutions were prepared with
concentrations of 25, 750, and 1,500ppm
and nanoparticles were added at 0.1 mg
per 10 mL of solution. The vessels containing the solutions were submitted to
a magnetic stirrer for 15 minutes, and allowed to stand for 5 minutes afterward.
A sample of the supernatant was then
taken, and an absorbance measurement
was carried out in the spectrophotometer. This cycle was repeated continuously
until two consecutive equal values were
achieved, indicating that the equilibrium
point had been reached. The time was
recorded, and a curve representing ad-
sorption vs. time for the nanomaterial

waselaborated.
The nanofluid was prepared using a
mixture of solvents as a carrier fluid for
alumina nanoparticles. This carrier fluid,
or mixture of solvents, needed sufficient
viscosity to maintain nanoparticles in
suspension and needed low surface tension in order to maintain appropriate
dispersion of the nanoparticles. The solvent mixture also required good compatibility with the nanomaterial, avoiding
any further reaction that might degrade
or otherwise affect the nanoparticles.
Aromatic solvents were not included in
the nanofluid for environmental reasons.
Upon preparation of the nanofluid, effectiveness in a core plug obtained from the
Cupiagua Sur field was evaluated.
Coreflooding Test and Results. These
tests are fundamental for evaluation of the
nanoparticles effectiveness for asphaltene
inhibition in porous media, and also for
determining return permeability in porous media after each flooding-test stage.
For the coreflooding procedure used in the
field, please see the completepaper.
SPE Latin American and Caribbean

Petroleum Engineering Conference
2123 May 2014 | Maracaibo, Venezuela
www.spe.org/events/lacpec
LACPEC 14
Regist
er No
w!
Strategic Opportunities in Latin America
Conventional and Unconventional Oil and Gas Systems
118
NT24310.indd 118
JPT FEBRUARY 2014
1/16/14 8:06 AM
Changes in oil effective permeability show the alteration of permeability by asphaltene precipitation. After nheptane injection, without inhibition,
asphaltene precipitation creates skin
damage greater than 99% if it is compared with the original permeability.
After cleanout with an injection of diesel, alcohol, and xylene (DAX), the skin
damage was reduced to 37% and, after
application of the nanofluid containing
nanoparticles for asphaltene inhibition,
additional skin-damage reduction to
34% was achieved. Inhibition is proved
after application of nanoparticles; the
oil effective permeability is maintained
for a long time after 50 pore volumes
of injected oil. Additionally, the relative permeability to oil visibly increases
after application of the fluid containing
aluminananoparticles.
Field Application
For reasons detailed in the complete paper, Well CPSXL4 was the
first well selected for testing the new
stimulationtechnology.
Developing a New Technology With
Nanoparticles To Inhibit Asphaltene
Deposition. Four chemical stimulations
were performed in the well. The first
one was conducted in January 2004 to
attack inorganic deposits; this was followed in April 2006 with an inorganic/
organicstimulation.
In January 2011, a selective stimulation was performed in the Barco and Mirador formations; the instantaneous oilrate increase was 152 BOPD.
The chemical stimulation using inhibition developed with nanoparticles
was designed to overcome the main problems associated with the previous inhibition methods. Usually, organic stimulations are performed for periodic cleaning
or for removing asphaltene deposits that
precipitate in these wells. Management
of pressure drop is needed in the field
to avoid large pressure drawdowns that
accelerate flocculation and precipitation
ofasphaltenes.
High flow rates and high pressure
drops prevent good retention of conventional inhibitors of asphaltene formation. It is expected that asphaltene
inhibitors based on nanoparticles such
as nanoalumina have greater affinity for
the mineral structure of the reservoir

rock (stronger adsorption) and can be retained for extended periods.
Stimulation and Inhibition-Job Strategy in the CPSXL4 Cupiagua Sur Well.
The overall stimulation job was performed in several stages to ensure the
best reservoir conditions for the inhibition treatment.
A pickling job was set to clean the
production tubing, and an ethylene
diaminetetraacetic acid treatment was
begun to dissolve carbonate scale; an
organic treatment stage was intended
to dissolve organic scale. The inhibition
job in CPSXL4 was carried out in December 2012, pumping 220 bbl of nano
fluid containing alumina nanoparticles
and 411 bbl of displacing fluid to reach
the desired penetration radius of 7.2 ft.
As displacing fluid, the DAX mixture
wasused.
A coiled-tubing unit was used, and a
selective packer was set between the Mirador and Barco formations. The job was
performed, pumping fluid at a very low
rate and at pressures below the fracture
gradient. After 12 hours of soaking time,
the well was opened for production at
controlled flow rates.
Results
A production well test was performed between each stage to verify well performance.
The net initial incremental oil
rate was 1,280 BOPD.
A performance increase
(American Petroleum Institute
scale) was observed, from 40 at
the beginning of the stimulation
job to 41.5 at the end of the
inhibition with nanoparticles.
Nodal system analysis showed an
improvement obtained in inflow
performance relationship (skin
reduction); also, the vertical lift
performance relationship was
altered because of the increase in
oil production.
The post-inhibition/poststimulation production
performance has been monitored
for almost 8 months; during the
last 3 months of that period,
production has remained a
constant 300 bbl above the
baseline. JPT
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JPT FEBRUARY 2014
NT24310.indd 119
1/16/14 8:06 AM
High-Performance Water-Based Drilling

Fluids Offshore Cameroon
istorically, invert-emulsion
drilling fluids are the preferred
system for drilling offshore
Cameroon. However, with a regulatory
environment moving toward zero
discharge, associated costs are rising.
Therefore, an operator planning to
drill in this environment investigated
high-performance water-based-mud
(HPWBM) -system alternatives.
HPWBM systems offer the potential
advantage of offshore discharge of
drilled cuttings and effluents (owing
to the absence of oil contamination)
and lowered waste-management costs.
Experience in the field demonstrated
that the selected drilling fluid
met expectations by achieving the
required drilling performance and
high shale stabilization with zero
environmentalimpact.
KB Field
KF Field
BaF Field
Ebome
Ebodje
Introduction
Drilling with an overbalanced pressure

is a common operational technique used
to prevent formation fluids or gas from
entering the wellbore, thereby minimizing the risk of well kick and blowout.
However, overbalanced drilling can cause
drilling fluid to invade the formation,
resulting in formation damage, differential sticking, and sloughing if the formation consists of highly reactive clay
and shale. To avoid these consequences,
invert-emulsion drilling fluids have always been preferable for drilling highly
reactive clays and shale formations.
Fig. 1A location map of the BaF field in the Douala basin offshore Cameroon.
The HPWBM system is formulated

with a concept of total inhibition. Unlike
a conventional water-based-mud system,
designed chemical additives are used
explicitly in the formulation to achieve
desired drilling characteristics that
are similar to those of invert-emulsion
mud. The key features of HPWBM systems include high shale stability,
clay and cuttings inhibition, rate-of-
penetration (ROP) enhancement, mini-
of paper SPE 163502, High-Performance Water-Based Drilling Fluids: An
Environmentally Friendly Fluid System Achieving Superior Shale Stabilization
While Meeting Discharge Requirement Offshore Cameroon, by Anuradee
Witthayapanyanon, SPE, Baker Hughes; Jerome Leleux, SPE, Julien Vuillemet,
Ronan Morvan, and Andre Pomian, Perenco; and Alain Denax and Ronald
Bland, SPE, Baker Hughes, prepared for the 2013 SPE/IADC Drilling Conference and
Exhibition, Amsterdam, 57 March. The paper has not been peer reviewed.
mized bit balling and accretion, torque

and drag reduction, and environmentalcompliance.
A complementary benefit of its
aqueous base is that HPWBM captures the growing need for more-
environmentally-friendly drilling fluids.
During the past 10 years, more-stringent
regulations on drilling-waste disposal have been implemented worldwide.
The industry anticipates that the zero
discharge of oil-contaminated drilling
wastes will soon be the global standard.
By switching from invert-emulsion drilling fluids (oil-/
synthetic-based mud)
to an HPWBM system, operators can
achieve substantial cost savings on waste
management and logistics. These savings result from the use of on-site, offshore discharge allowed by an absence of
oil contamination.
120
NT163502.indd 120
JPT FEBRUARY 2014
1/16/14 8:05 AM
Field Background
Fig. 1 displays the location of the BaF

field in the Douala basin offshore Cameroon. The operator has been drilling
a number of wells in these fields, most
of which were development wells. According to the operators drilling campaign, three offset wells were drilled
with synthetic-based muds (SBMs) and
five wells were drilled with HPWBMs in
the BaF field. Our reference offset well
(Offset Well 3) was the last SBM well,
drilled in late2005.
Operators Selection
Criteria for HPWBM
On the basis of the historical data of

the offset well, approximately 1933 t
of oil-contaminated drill cuttings and
37,834 bbl of waste water were generated from drilling with SBM. With past
SBM practice, the operator obtained environmental permits that allowed the
discharge of untreated synthetic-based
wastes from the platforms directly into the ocean. However, there is a
strong anticipation that the Cameroonian government will begin placing stronger restrictions on ocean discharges of SBM and oil-contaminated
cuttings. If the regulatory agency leans
toward a zero-discharge limit, the operator will be liable for the transfer of oil-
contaminated drill cuttings to land for
any furthertreatment.
The secondary consideration was
that the operator had already used
the HPWBM system for shale inhibition onshore in the Peruvian jungle and
in Colombia, Cameroon, and Gabon.
The system showed success in achieving high shale inhibition, preventing
clay and cuttings hydration, and reducing bit balling. The operation was successful, without any hole-related problems. Therefore, when the operator
planned to drill the next offshore development well in BaF field, they selected
the HPWBM with a saturated NaCl system as an alternative to traditional SBM.
This transition has been taking place
since 2011.
HPWBM Design
The shale formation is known to act as

a semipermeable (selective) membrane
because the clay-rich matrix hinders the
movement of some solutes. The selec-
JPT FEBRUARY 2014
NT163502.indd 121
tivity of the shale membrane increases with decreasing shale permeability.

Therefore, the design of the HPWBM
formulation is aimed to form in-situ,
effective sealing under downhole conditions, improving the efficiency of
the semipermeable membrane. In this
work, the HPWBM components contributing to shale stability were sealing
polymer, aluminum complex, and NaCl
brine. Because of its extremely small
particle size, a nanosized polymer sealant provides a mechanical plug for shale
pore throats and shale microfractures,
while the aluminum complex chemically
precipitates inside the pore throats and
shale matrix because of the change in Fig. 2Electric-logging image with
pH or the interaction with multivalent six-arm caliper of the (left) 12-in.cations in the formation. A coprecipita- and (right) 8-in.-hole sections of the
tion of polymer sealant and aluminum HPWBM Well 6.
complex forms a good membrane sealing that imposes a water flow from the in membrane efficiency and osmotic
wellbore to the formation side. In ad- pressure differential of the HPWBM led
dition, the HPWBM formulation used to a significant reduction in the pore-
the NaCl brine to lower water activity of pressure transmission.
One of the technical challenges inmud and increase the osmostic gradient, causing the fluid to flow from inside volving water-based muds is control of
PressureAd_JPT9_12_Layout 1 8/7/12 8:27 AM Page 1
the pore to the wellbore. An increase the hydration of reactive clays. Clays
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Slugging
It Out
XXII
consist of negatively charged aluminosilicate layers kept together by cations.

Clay hydration begins with a surface hydration (a bonding between water molecules and oxygen on clay surface) and
ionic hydration (the hydration of interlayer cations with surrounding shells
of water molecules). The ability to adsorb water between the layers results in
strong repulsive forces and interlayer
expansion (swelling). Severe clay hydration and dispersion in water-based
mud can lead to poor fluid rheological
properties. In the HPWBM formulation,
an environmentally acceptable watersoluble clay-hydration suppressant was
used in conjunction with monovalent
salt (in this case NaCl) to reduce the
swelling and dispersion of highly reactive clays by a cation-exchange mechanism. A similar chemical inhibition
approach can also be applied to drillcuttings inhibition.
Drilling Performance
Evaluation: Offset vs.
HPWBM Test Wells
Fifty Shades
of Black
The Truth About
Bitumen Production
1 April 2014
BMO Centre at Stampede Park
Calgary, Alberta, Canada
www.spe.org/events/sio
Offset-Well Review. Well 3 is a J-type

directional well. There were two sections (12-in. and 8-in.) drilled with
SBM. The 12-in. section drilled with
1.25-specific gravity (SG) SBM was the
directional drilling, with a final inclination of 68 and an average ROP of
17.5 m/h. The following section (8-in.)
was drilled with 1.16-SG SBM, with an
average ROP of 11 m/hr and a final inclination of 90; then, the 7-in. slotted
liner was run to total depth with a gas
lift completion. The wells true vertical
depth was 700 m.
Test Wells: HPWBM Achievements.
The operator performed a 1-year campaign to evaluate the HPWBM system
for offshore drilling from March 2011
to March 2012. Five wells were drilled
with the HPWBM system in the BaF
field. Here, the performance of HPWBM
in the last three wells (6, 7, and 8) is
evaluated. In these three test wells, the
HPWBM system was employed in the
12-in.- and 8-in.-hole sections.
In Well 6, operator review indicated that the 12-in.-hole section drilled
with the 1.35- to 1.4-SG HPWBM provides a good ROP of 14.6 m/h. The section total depth was achieved in 2 days
with no back reaming. Electric logging

with a six-arm caliper (Fig. 2) shows
no washout, with an average of 12in.
mean internal diameter. Both casing and
cementing operations were completed without any issues. Similar findings
were also observed in the 8-in. section
drilled with 1.25- to 1.30-SGHPWBM.
The section daily mud report of Well
7 indicated that the cuttings appeared to
be very dry and remained integrated.
This finding suggests superior clay- and
cuttings-inhibition performance of the
HPWBM. Additionally, the report indicated that a good hole condition existed when performed back to bottom. As
noted in the report, the hole was circulated clean and was confirmed stable by
the flow check before tripping out without any noticeable drag.
At the end of Well 7, the 63 m3
of a 1.24-SG HPWBM was transfered
for reuse to drill the next well (Well8).
In that well, recycled mud was reconditioned with additives, mainly to increase mud weight to 1.40 SG, and
then combined with the freshly formed
HPWBM in the active pit. The results
show that the HPWBM still maintains
desirable rheological properties. The
ability to reuse or recycle the HPWBM
system provides an added benefit of
reducing drilling-mud cost for the operator. The operator was able to decrease the total operational cost by a
range of 13 to 30% from the planned
budget by use of the HPWBM system.
Furthermore, because the HPWBM is
an environmentally compliant fluid, the
spent mud and drill cuttings can be discharged directly and do not require further drilling-wastetreatment.
Conclusions
After the 1-year campaign, well recaps

indicated that the HPWBM proved to
be an excellent alternative to the invert-
emulsion mud for the BaF field. The
system delivered high drilling performance and optimum characteristics
such as shale stability and clay and cuttings inhibition as well as a high ROP.
The operator experienced no wellbore
problems. From an environmental perspective, because of the absence of oil
contamination, the system eliminated
the rig costs associating with drillingwaste management. JPT
JPT FEBRUARY 2014
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1/17/14 11:57 AM
Nanotechnology Applications for

Challenges in Egypt
recise manipulation and control of

matter at dimensions of 1100nm
have transformed many industries
including the oil and gas industry.
Nanosensors enhance the resolution
of subsurface imaging, leading to
advanced field-characterization
techniques. Nanotechnology could
greatly enhance oil recovery by
use of molecular modification
and by manipulating interfacial
characteristics. Egypts oil consumption
has grown by more than 30% in the
past 10 years. Hydrocarbon reserves in
Egypt have increased 5%/year over the
past 7years, while the average recovery
factor remains at 35%. Nanotechnology
is key to solving this production/
consumptionimbalance.
Introduction
Nanotechnology is the use of very small

pieces of material, with dimensions between approximately 1 and 100 nm, by
themselves or by manipulation to create
new larger-scale materials with unique
phenomena enabling novel applications.
A nanometer is one-billionth of a metera distance equal to two to twenty
atoms laid down next to each other (depending on the type of atom).
Nanotechnology refers to manipulating the structure of matter on a length
scale of nanometers, interpreted at different times as meaning anything from
0.1 nm (controlling the arrangement of
individual atoms) to 100 nm or more.
Fig. 1 compares the scale of various items
referenced to a nanometer.
Pencil
Tip
H2O
0.1
Glucose
Molecule
1
Bacterium
Virus
10
100
1000
Cancer
Cell
104
Tennis
Ball
105
106
107
108
Nanometers
Fullerenes
Antibodies
Nanoparticles
Carbon Nanotubes
Fig. 1Scale of items referenced to a nanometer.
Engineered Nanomaterials
Nanoparticles are the simplest form of

structures with sizes in the nanometer range. In principle, any collection
of atoms bonded together with a structural radius <100 nm can be considered a nanoparticle. The tiny nature of
nanoparticles yields useful characteristics, such as increased surface area to
which other materials can bond in ways
that make stronger or lighter materials.
At the nanoscale, size is a factor regarding how molecules react to and bond with
eachother.
Suspensions of nanoparticles are
possible because the interaction of the
particle surface with the solvent is strong
enough to overcome differences in density, which usually would result in a material either sinking or floating in a liquidforming nanofluid. Nanofluids for oil and
gas applications are defined as any fluid
used in the exploration and exploitation
of oil and gas that contains at least one
This article, written by Dennis Denney, contains highlights of paper SPE 164716,
Applications of Nanotechnology in the Oil and Gas Industry: Latest Trends Worldwide
and Future Challenges in Egypt, by Abdelrahman Ibrahim El-Diasty, SPE, and Adel
M. Salem Ragab, American University in Cairo and Suez University, prepared for the
2013 North Africa Technical Conference & Exhibition, Cairo, 1517 April. The paper
has not been peer reviewed.
additive with a particle size in the range

of 1100 nm. A few oilfield uses are described in the following. See the complete
paper for additional uses and details.
Exploration
Nanoparticles with noticeable alterations

in optical, magnetic, and electrical properties compared with their bulk counterparts are excellent tools for developing sensors and imaging-contrast agents.
Hyperpolarized-silicon nanoparticles
provide a tool for measuring and imaging
in oil exploration.
There are several programs to develop nanosensors with temperature and
pressure ratings allowing use in deep
wells and hostile environments. Nanosensors are deployed into the pore space by
means of nanodust to acquire data on reservoir characterization, fluid-flow monitoring, and fluid-type recognition. Nanocomputerized tomography can image
tight gas sands, tight shales, and tight
carbonates in which the pore structure is
too small to be detected with conventional computerized-tomographytechniques.
Fluid-Loss Control and Wellbore Stability. Several researchers are investigating the use of nanoparticles as
drilling-fluid additives to reduce fluid
JPT FEBRUARY 2014
NT164716.indd 123
123
1/16/14 8:03 AM
cal properties that are not available in

conventionalmaterials.
Oil droplet
Wedge-film
nanoparticle
suspension
Vertex
Solid
Fig. 2Nanoparticle structuring in the wedge film.
loss and enhance wellbore stability. Filter cake developed with nanoparticlebased drilling-fluid filtration is very thin,
which implies high potential for reducing
differential-pressure sticking and formation damage while drilling.
In shale formations with nanodarcy
permeability, the nanometer-sized pores
prevent the filter cake from forming,
which in turn allows fluid loss. Nanoparticles can be added to the drilling fluid
to minimize shale permeability by physically plugging the nanometer-sized
pores and shutting off water loss. Hence,
nanoparticles can provide a solution in
environmentally sensitive areas where
oil-based muds currently are used for
shale-instability problems.
Torque and Drag. Because nanomaterials can form fine and very thin films,
nanoparticle-based fluids can significantly reduce the frictional resistance
between the pipe and the borehole wall
by forming a continuous thin lubricating film at the wall/pipe interface. Also,
the tiny spherical nanoparticles may create an ultrathin ball-bearing-type surface between the pipe and the borehole
wall that would allow easy sliding of the
drillstring along the nanoparticle-based
ball-bearing-type surface. Nanoparticlebased fluids could be especially useful in
reducing the torque-and-drag problems
in horizontal, extended-reach, multilateral, and coiled-tubing drilling.
High-Pressure/High-Temperature
(HP/HT) Challenges. In HP/HT drilling
operations, many drilling-fluid systems
have a relatively poor heat-transfer coefficient. The cooling efficiency of traditional drilling fluids decreases because of
slow heat dissipation from the surfaces of
downhole tools and equipment. Hence,
there is a higher probability of equip-
124
NT164716.indd 124
ment failure caused by thermal degradation. The extremely high surface-area/

volume ratio of nanoparticles enhances
the thermal conductivity of nanoparticlebased drilling fluids, providing efficient
cooling of the drill bit and leading to a
significant increase in the operating life
cycle of a drill bit.
Diamond-Nanoparticle Technology.
Carbon nanomaterials have unique combinations of mechanical, structural, electrical, and thermal properties. Diamond
nanoparticles have been functionalized for polycrystalline-diamond applications such as polycrystalline-diamondcompact (PDC) cutters for drill bits.
Diamond nanoparticles provide unique
surface characteristics to PDC cutters
that allow them to integrate homogeneously into the PDC synthesis.
High-Strength Nanostructured Materials. Flow-control and completion
devices (e.g., fracturing balls, disks,
and plugs) are used for sleeve actuation
or stimulation diversion during fracturing. Traditional lightweight material
for ball or plug applications is prone to
early deformation. The yield strength
of conventional aluminum alloys usually is less than 400 MPa. Nanotechnology can be used to enhance the mechanical properties (and other properties)
through engineering the material microstructure. Controlled-electrolyticmetallic nanostructured materials
are lighter than aluminum and stronger than some mild steels, but disintegrate when exposed to the appropriate
fluid. The disintegration process works
through electrochemical reactions that
are controlled by nanoscale coatings that
are part of the composite-grain structure. The nanomatrix of the material is
high strength and has unique chemi-
Cement Properties. Because of the very

high surface area of nanomaterials, they
can be used in casing cementing to accelerate the cement-hydration process,
increase the compressive strength, help
control fluid loss, reduce the probability
of casing collapse, and prevent gas migration, a common cementing problem
in gas wells. Also, the required quantity
of nanomaterials is small.
Production
Gas hydrate is an ice-like crystalline solid

formed from a mixture of water and natural gas, usually methane. Hydrates can
produce a gaseous-methane volume 160
times the hydrate volume. Injecting airsuspended self-heating Ni-Fe nanoparticles (50 nm) into the hydrate formation through a horizontal well has been
suggested. These particles will penetrate
deep into the Class I, II, and H hydrate
reservoirs by passing through the cavities (86- to 95-nm diameter). Self-heating
of Ni-Fe particles in a magnetic field is
caused by hysteresis loss and relaxation
losses. These particles provide a temperature rise up to 42C in the formation,
disturbing the thermodynamic equilibrium and causing the water cage to decompose and release methane. In this
technique, the pressure of the fluids in
contact with hydrate is lowered, pushing the hydrate out of its stability region,
which results in its decomposition.
Viscoelastic-Surfactant (VES) Stimulation. High-molecular-weight crosslinkedpolymer fluids have been used to stimulate oil and gas wells for decades. These
fluids exhibit exceptional viscosity, thermal stability, proppant transportability, and fluid-leakoff control. However, a
major drawback of crosslinked-polymer
fluids is the amount of polymer left behind. Polymer residue can damage formation permeability and reduce fracture
conductivity significantly.
Nanoparticles, through chemisorption and surface-charge attraction, associate with VES micelles to stabilize fluid
viscosity at high temperatures and produce a pseudofilter cake of VES fluid that
reduces fluid loss significantly. When internal breakers are used to break the
JPT FEBRUARY 2014
1/16/14 8:03 AM
Make Every Frac Count

Geoscience solutions for
unconventional resources
The benefts of integrated geoscience and drilling technologies include proper positioning of frac zones within targeted reservoirs to
maximize production.
Success in the exploration and development of unconventional source rock plays (shale, carbonate gas and oil, tight
gas, etc.) depends largely on thorough integration of geoscience and drilling technologies.
The CGG and Baker Hughes Shale Science Alliance has developed a ft-for-purpose integrated solution to successfully
explore and develop unconventional resources. Our scientifc approach supports effcient well placement and optimized
hydraulic fracturing by estimating rock brittleness and stress derived from seismic data that is calibrated with
formation evaluation and geological data to provide predictive models for well trajectory planning and completion
(frac) modeling analysis and design.
cgg.com/UR
CGG_041_jpt.indd 1
1/14/14 8:32 AM
Oil-Recovery Factor, %OOIP
Nanofluid
Breakthrough
Water
Breakthrough
PV Injected
Fig. 3Waterflood performance compared with nanofluid flooding. PV=pore volume.
VES micelles, the fluid viscosity will decrease dramatically and the pseudofilter cake will break into nanometer-sized
particles. Because the particles are small
enough to pass through the pore throats
of producing formations, they will flow
back with the producing fluids and no
damage will be generated.
Reservoir Characterization and

Management
Nanoparticles are small enough to pass

through pore throats in typical reservoirs, but they can be retained by the
rock. Nanoparticles in an aqueous dispersion will assemble into structural arrays at a discontinuous phase such as oil,
gas, paraffin, or polymer. The nanoparticles in this three-phase-contact region tend to form a wedge-like structure and force themselves between the
discontinuous phase and the substrate.
Particles in the bulk fluid exert pressure forcing the nanoparticles in the
confined region forward, imparting the
disjoining-pressure force. The energies
that drive this mechanism are Brownian
motion and electrostatic repulsion between thenanoparticles.
The force imparted by a single
nanoparticle is extremely weak, but when
a large amount of nanoparticles exists,
referred to as the particle-volume fraction, the force can be upward of 50 kPa at
the vertex, as shown in Fig. 2. When this
force is confined to the vertex of the dis-
126
NT164716.indd 126
continuous phase, displacement occurs

in an attempt to regain equilibrium.
Challenges in Egypt
Egypts domestic demand for oil is increasing rapidly. Local production has
not kept up with this demand increase.
Field development is considered an effective solution to meet the increasing
energy demand. Nanotechnology could
be key to solving this production challenge because it helps increase oil recovery while decreasing the cost of production by eliminating problems that occur
throughout field operations.
To increase production, Egypt has a
large heavy-oil resource to develop. Also,
unconventional resources have not been
explored. Current technology updates
must be applied to explore more fields
and improve development operations.
Advanced exploration methods, remote sensing, and improved-resolution
seismic are needed. Nanosensors for imaging can improve exploration success by
improving data gathering, recognizing
shallow hazards, and avoiding dry holes.
To decrease production costs, many solutions have been mentioned for the largest problems in development operations
including drilling, cementing, logging,
completion, and production.
The use of silica nanoparticles on
an Egyptian formation was studied to
compare waterflooding and nanofluid
flooding. Fig. 3 shows that waterflood-
ing displaced the oil to recover 36% of

the original oil in place (OOIP) at the
breakthrough point. Nanofluid flooding
recovered 67% of OOIP at the breakthrough point. This increase shows that
the nanofluid can displace oil better than
the water can.
Conclusions
Potential applications of nanotechnology

include the following:
Improvement of exploration
by improving data gathering,
recognizing shallow hazards, and
avoiding dry holes
Providing strength and
endurance through
nanotechnology-enhanced
materials to increase the
performance and reliability
in drilling, tubular goods, and
rotating parts
Improvement of elastomers that
are critical to deep drilling and
drilling in HP/HT environments
Production assurance through
diagnostics, monitoring/
surveillance, and management
strategies
Selective filtration and waste
management for water
Enhanced oil and gas recovery
through reservoir-property
modification, facility retrofitting,
gas-property modification, and
water injection. JPT
JPT FEBRUARY 2014
1/16/14 8:03 AM
CONFERENCE PREVIEW
Drilling Conference Covers Depth

and Breadth of Industry
Fort Worth, Texas, will be the setting for
annual drilling conference sponsored by
SPE and the International Association
of Drilling Contractors (IADC). The conference alternates between a US location
and Amsterdam.
This years conference, set for
46March at the Fort Worth Convention
Center, will include one plenary and 18
technical sessions covering the depth and
breadth of the drilling industry.
The first day of the conference
kicks off with a welcome address and an
awards session. Welcome speeches will
be delivered by 2014 IADC/SPE Drilling Conference Chairman Kevin Neveu,
2014 IADC Chairman Jay Minmier, and
2014 SPE President Jeff Spath. The 2014
SPE Drilling Engineering Award will be
presented to Rolv Rommetveit, managing director of eDrilling Solutions,
who has extensive technology development experience in the fields of
well control, drilling hydraulics, managed pressure drilling, and drilling
processautomation.
The opening keynote address will be
given by Doug Suttles of Encana on the
topic of What Are the Critical Issues in
Todays Energy World?
Technical paper sessions on the
first day will cover such topics as drilling
dynamics, underbalanced and managed
pressure drilling, drilling contracts and
management, casing and riser integrity,
and drill bit innovation.
The second day of the conference
will feature a plenary session on Eventually That Which Is Unconventional,
but Successful, Becomes the Conventional. Panelists will discuss the growth in
unconventionals production, challenges
to further commercialization of resourc-
JPT FEBRUARY 2014
DC_Preview Feb.indd 127
es, technological advances, the strain on

capital and talent, and public perception. The session moderator will be Kevin
A. Neveu of Precision Drilling. Panelists will be Jeffery Lee Flaherty, Helmerich & Payne International Drilling Co.;
Karl Blanchard, Halliburton; and Michael
Power, Chevron.
Technical paper topics on the
second day of the conference include
tubulars, cementing, directional drill-
ing, automation, and deepwater drilling. Among the technical sessions on

the conferences last day are wellbore
strengthening, safety, case studies, and
drilling technology.
Several training courses will be held
both before and after theconference.JPT
For more detailed information on the
conference, please go to www.spe.org/
events/dc.
Health, Safety, and

Environment Information
When You Need It
A new Web app from SPE
www.spe.org/hsenow
Scan this code
to preview.
127
1/16/14 7:29 AM
SPE NEWS
SPE SERVICE DIRECTORY

SPE Online www.spe.org
Awards Program
Tom Whipple, twhipple@spe.org
Phone: 1.972.952.9452
SPEs Myanmar
Section Created
SPE now has a presence in Myanmar. Its 214th sectionthe
Myanmar Sectionwas established 25 September 2013. The SPE
International Board of Directors meeting this month will be held
in Yangon, and the sections inauguration will become official
with that meeting. According to Jeff Spath, SPE president, in his
column in this issue of JPT, the new Myanmar Sections presence
has been enthusiastically welcomed. The response by industry,
academia, and government has been remarkable, he said.
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Officers of the new Myanmar Section.

Standing from left: Program Chairperson, Bertrand Jean Daniel Brun,
manager, Total E&P; Program Chairperson, Gagan Singhal, former country
general manager, Schlumberger Asia Services; Section Activities Chairperson,
Sahawit S. Vorasaph, senior manager Myanmar operations, PTT Exploration
and Production; Membership Chairperson, Sean Danley, senior business
development manager, Halliburton; Treasurer, Ahkar Aung, legal supervisor,
Daewoo E&P.
Seated from left: VC-Secretary, Aung Kyaw Min, director industry and university
relations, Schlumberger Logelco; Chairperson, Ahmad Lutpi Haron, country
chairman, Pentronas; Student Chapter Liaison, Zaw Htet Aung, head of
Petroleum Engineering Department, Yangon Technological University.
Pictured separately: YP Chairperson, Sithu Moe Myint, technical manager,
MRPLE&P.
R&D Competition Focuses on Industrys Grand Challenges

The oil and gas E&P industry faces big challenges to meet the worlds growing energy
needs and the solutions are uncertain. For that reason, SPE is holding a Research and
Development (R&D) Competition to encourage researchers from the basic sciences and
other engineering disciplines to engage these challenges. The competition focuses on
six Grand Challenges identified by the SPE R&D Committee:
128
SPENewsFeb.indd 128
Americas Office
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TX 75080-2040 USA
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JPT FEBRUARY 2014
1/16/14 2:07 PM
Increasing recovery factors from oil and gas fields

In-situ molecular manipulation
Carbon capture, storage, and sequestration
Produced water management
Higher-resolution subsurface imaging of hydrocarbons
Minimized environmental impact
The competition is open to academia, research institutes
and organizations, companies, and individuals. Proposals submitted should include the following requirements:
Address one of the six Grand Challenges listed above
Involve ideas and/or technologies not previously used in
petroleum engineering
Propose application of technology not already used
commercially in the oil and gas industry
The top finalists will be invited as guests of SPE to the 2014

SPE Annual Technical Conference and Exhibition in Amsterdam on 2729 October, where they will present their proposal in a special session to a panel of industry judges. Awards of
USD30,000 for first place, USD 20,000 for second place, and
USD 10,000 for third place will be announced at the SPE Presidents Luncheon on the last day of the conference.
Submissions for the competition are being accepted online
through 1 June 2014. Those who submit by 31 March will have
the opportunity to be assigned an industry mentor to provide
advice on how to improve the proposal before the final submission deadline.
For more information, please go to www.spe.org/industry/
competition.php
Innovative Teaching, Faculty Recruitment Awards Given

SPE has honored several university professors for their excellence in teaching and efforts to recruit faculty and students to
petroleum engineering schools.
The SPE Faculty Innovative Teaching Award recognizes
and rewards teaching excellence in petroleum engineering and
supports the attraction and retention of faculty in the discipline. The 2013 winners were
David DiCarlo, The University of Texas at Austin, for
his creative methods in relating fundamental, abstract
concepts to the petroleum industry; for his traditional
methods tuned to the modern student; and for his
dedication to preparing students to effectively present
their research in SPE paper contests and technical
meetings
Shenglai Yang, The China University of Petroleum,
Beijing, China, for his passion and excellence in
petroleum engineering education, specifically in
creating a team teaching approach in petrophysics
that has won both local and national awards and has
impacted more than 5,000 students and for promoting
the use and comprehension of the English language
in classrooms and through the publication of Englishbased textbooks
The SPE Faculty Recruitment Award recognizes petroleum
engineering faculty who have developed innovative techniques
to recruit doctorial students, faculty from other disciplines, and
industry personnel to consider an academic career in petroleum engineering. Winners of thet 2013 award were
Brian Evans, Curtin University, in recognition of his use
of innovative methods to attract students to enroll in a
PhD program and to consider a career in academia, and
to attract PhD graduates back to roles in academia
Russel Johns, Pennsylvania State University, in
recognition of his use of innovative methods to attract
JPT FEBRUARY 2014
SPENewsFeb.indd 129
students with a commitment to first-class research in

petroleum engineering with attention to detail in order
to find practical new solutions for the current problems
of the petroleum industry
Be a part of the
SPE Opinion Panel
Short on time?
This volunteer opportunity is for you.
For less than one hour of your time each month, you
can help shape the future of SPE products and services.
Join the SPE Opinion Panel and give feedback about
the Society and its programs, as well as participate in
industry and technical topic research.
Getting started is easy. For more information,
www.spe.org/volunteer.
129
1/16/14 2:08 PM
PEOPLE
JUAN A. PINZON, SPE, joined BHP Billiton (BHPB) as drilling development manager of its Global Petroleum Division. Pinzon
has more than 20 years oil and gas industry
experience and has held engineering and
management positions at BP, Schlumberger,
and Occidental Petroleum (OXY). He began
his career with BP where he gained experience in exploration,
development, and appraisal projects in Colombia, South America. He worked with Schlumberger as drilling engineering manager for North and South America for its Drilling and Measurement Division, based in Houston. Pinzon also worked for BP
America, where he held drilling positions in projects in southeast Texas, south Louisiana, and Wyoming. Before joining
BHPB, he worked for OXY where he worked as drilling team
lead for the Permian Basin. He was awarded a Certificate of Service by the American Association of Drilling Engineers. Pinzon
earned a BS in petroleum engineering from Universidad de
America in Bogota, Colombia.
Member Deaths
Ray Allen Barton, Medina, Texas, USA
Ian Muir Cheshire, Abingdon, UK
George Dausch Jr., Mandeville, Louisiana, USA
Neil R. Edmunds, Calgary, Alberta, Canada
Charles H. Martin, Warrenton, Oregon, USA
Charles H. Ware, Palm Harbor, Florida, USA
SPE Faculty Grants and Awards
Get rewarded for a job well done!

SPE-sponsored grants and awards help
faculty educate the next generation of
petroleum engineers and industry leaders.
Accepting 2014 applications for

SPE Faculty Innovative Teaching Award
SPE Faculty Recruitment Award
SPE New-Faculty Research Grant
Deadline: 15 April
For qualification and application information, please visit www.spe.org/members/faculty.
AWARDS_HH_1697_Faculty_1213.indd 1
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PeopleFeb.indd 130
1/14/14 1:18 PM
JPT FEBRUARY 2014
1/16/14 9:38 AM
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To advertise in Professional Services contact ecarthey@spe.org or call +1.713.457.6828.

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NORWAY
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UNITED STATES
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132
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JPT FEBRUARY 2014
Provider of LYNX, MatchingPro,

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MILLER AND LENTS, LTD.
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e-mail: mail@millerandlents.com
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SPE Training Courses
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STEPHENS ENGINEERING
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SPE EVENTS
WORKSHOPS
810 April BanffLand Well Integrity:

Current Challenges
13 April UtrechtSPE Intelligent Energy

Conference and Exhibition
2326 February Phuket Managed

Pressure Drilling, Underbalanced Drilling,
and Well Controls
1517 April DubaiSour H2S and CO2

Rich Oil and Gas Projects: Lessons Learnt
So Far and Have We Figured It All Out
13 April The Woodlands

SPE Unconventional Resources
ConferenceUSA
2425 February MuscatSPE Mature

Assets: Learning from the Past, Planning
for the Future
2324 April LimaSPE Oil and Gas

Facilities
2 April BergenSPE Bergen One Day

Seminar
1213 May DubaiSPE Global Integrated

Workshop Series: Production Forecasting
89 April MadridSPE/IADC
Managed Pressure Drilling and
Underbalanced Operations Conference
and Exhibition
2425 February DubaiCompletion and

Stimulation of Maximum Reservoir Contact
and Complex Wells
2426 February DubaiReservoir
Nanoagents: Taming Complexities on Road
to Deployment
45 March LondonSPE Effective
Waterflooding: An Integrated Approach
47 March KyotoNanotechnology and
Nano-Geoscience in Oil and Gas Industry
56 March BakuSand Management in
Poorly Consolidated Formations
912 March BangkokSPE Hydraulic
Fracture: Building on the Past to Create
the Future
912 March LangkawiSPE EOR
Stimulation: Are We There Yet?
1314 May CanmoreSteam-Solvent,

Solvent, and Steam Additive for Process
Heavy OilRecovery
1314 May HalifaxSPE Environmental
Impact: Technical Solutions for the
Exploration of Oil and Gas Resources
1821 May BaliSPE Deepwater Drilling
1821 May SonomaSPE Optimizing
Liquids-Rich Development: Marginal
to Mega
2528 May Ho Chi MinhSPE/AAPG
Joint Workshop: Optimizing Production
by Understanding the Reservoir: Reservoir
Quality, Architecture, Petrophysics, Rock
2627 May DubaiSPE Reservoir
Testing: Key Enabler for Accurate
1216 April TulsaImproved Oil Recovery

Symposium
1416 April Kuwait CityOilfield Water
Management Conference and Exhibition
1718 April DenverWestern North
American and Rocky Mountain Joint
Meeting
2124 April Al KhobarSPE-SAS
Annual Technical Symposium and
Exhibition
58 May HoustonOffshore Technology
Conference
1213 May AberdeenInternational
Oilfield Corrosion Conference and
Exhibition
1011 March Abu DhabiChallenges

of Mega Projects: Managing Project
Execution from Conception to Operation
2729 May QuitoSPE Applying the

Best Technologies in Extremely Sensitive
Environments
1112 March San Antonio

SPE/AAPG/SEG Pore Pressure Workshop
Conferences
1920 May HoustonSPE Hydrocarbon

Economics and Evaluation Symposium
2527 February ViennaSPE/EAGE

European Unconventional Resources
Conference and Exhibition
2123 May MaracaiboLatin America

and Caribbean Petroleum Engineering
Conference
2628 February LafayetteInternational

Symposium and Exhibition on Formation
Damage Control
FORUMS
1718 March Abu DhabiSPE Working

Towards Holistic Risk Management in Oil
and Gas Industry
1719 March DubaiPetroleum
Economics: Optimizing Value throughout
the Asset Life Cycle
1920 March LondonSPE Petroleum
Reserves and Resources Estimation
Petroleum Resources Management System
(PRMS) Applications Guidelines Document
and Case Studies
1920 March Guadalajara
SPE Geomechanics
3031 March BasraIraq Field
Development Experiences
12 April AustinSPE/ASPE Downhole
Precision Tools in HPHT Applications:
Filling the Gaps
69 April Kota KinabaluSPE Formation
Damage Mitigation and Remediation
1415 May AberdeenInternational

Oilfield Scale Conference and Exhibition
46 March Fort WorthIADC/SPE

Drilling Conference and Exhibition
1720 March Abu DhabiOvercoming

Challenges in Developing Shale and Tight
Gas Reservoirs
1719 March Long BeachSPE

International Conference on Health, Safety,
and Environment
1823 May BaliSPE High CO2 and H2S

Gas Fields Development: Completions and
Production Operations
2526 March The Woodlands

SPE/ICoTA Coiled Tubing and Well
Intervention Conference and Exhibition
16 June San DiegoExploiting Tight

Carbonates
2528 March Kuala LumpurOffshore

Technology Conference Asia
1318 July Santa FeSPE Well

Construction Efficiency: NPT, Reliability,
and Process Improvement
31 March2 April MuscatSPE EOR

Conference at Oil and Gas West Asia
1 April CalgarySlugging It Out
27 July1 August Newport Beach

Low Carbon Intensity Processes for
Low-Mobility Oil Recovery
Find complete listings of upcoming SPE workshops, conferences, symposiums, and forums at www.spe.org/events.
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JPT FEBRUARY 2014
1/16/14 7:29 AM
UNCONVENTIONAL
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KAPPA |
Unconventional Resources
Coming soon: Citrine

A software collaboration between KAPPA and
DeGolyer & MacNaughton to handle, visualize,
analyze and forecast mass production data,
in particular for unconventional plays.
www.kappaeng.com
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JOURNAL OF PETROLEUM TECHNOLOGY www.spe.

Electric-Powered Subsea Systems

Full-spectrum, single-point measurement

the flow from wells in a portion

Young Technology Showcase

Printed in US. Copyright 2014, Society of Petroleum Engineers.

127 Drilling Conference Covers Depth and Breadth

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104 Well Testing

105 Integrated Well-Test Strategy in Unconventional Tight Gas Reservoirs

112 Pressure-Transient Testing of Low-Permeability Multiple-Fracture

Minerao Curimbaba is a proppant manufacturer that is

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Setting the standard for

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with partners Octanex (22.5%) and New

Gas was discovered at two separate

A new oil zone was found in the Cooper

Oil was discovered at the Agete-1

Oil was discovered in the 7220/7-2S well

exploration well on Block 13T in northern

at the Skavl prospect in the Barents Sea

Oil was discovered at the Malida-1 well in

Drilling began on the YNG 3262 infill

Well 16/2-20S explored the Torvastad

127 Drilling Conference Covers Depth and Breadth

104 Well Testing

105 Integrated Well-Test Strategy in Unconventional Tight Gas Reservoirs

112 Pressure-Transient Testing of Low-Permeability Multiple-Fracture