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Casing Drilling Technology Implementation In Petrom

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Casing Drilling Technology Implementation In Petrom

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2 Casing Drilling Technology Implementation In Petrom

Presentation Outline

Background

Overview of Petrom Casing Drilling achievements to date

Benefits To Petrom from Casing Drilling

Case History – 228 Sotanga

Notable Problems from Casing Drilling

Current Challenges To Casing Drilling

Way forward with Casing Drilling in Petrom

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Background

January 2012, Casing Drilling was identified as one of the enabling technologies to deliver some of the wells on

OMV Petrom drilling sequence particularly the Sotanga wells.

A plan was then developed to progress the technology by defining it as one of the “Energize OMV” initiatives with

assigned Project Manager.

First trial in OMV Petrom was performed in June 2012 on 228 Sotanga.

Since then, 36 wells & 19,091m of Casing Drilling have been done in Petrom as of December 31st 2013.

50 Casing Drilling jobs are planned for 2014.

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Petrom Casing Drilling Jobs

Year Level 9 5/8 13 3/8 20 Totals2012 L 2 5 3 0 82013 L 2 20 6 2 28

Totals 25 9 2 36

11,872 6,193 1,026 19,091Metres

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Petrom Casing Drilling Jobs Tot Year Month Well name

No. of strings

OD(inch)

Weight(ppf)

Grade ConnectionAverage

depth (m)

1 2012 June 228 Sotanga 1 13 3/8 54.5 J55 STC(28-153)

125

2 2012 July 258 Colibasi 1 13 3/8 68 K55 TSH ER(25-324)

299

3 2012 August 2014 bis Bradesti 1 9 5/8 36 K55 BTC(47-500)

453

4 2012 October 2371 Silistea 1 9 5/8 36 K55 LTC 296

5 2012 October 1211 Vata 1 9 5/8 36 K55 BTC(50-500)

450

6 2012 December 1 Crampoaia 1 9 5/8 68 K55 TSH ER(50-580)

530

7 2012 December 3700 Gorunesti 1 13 3/8 68 K55 ER(45-556)

511

8 2012 December 1005 Bustuchin 1 9 5/8 36 K55 BTC(112-758)

646

9 2013 January 675 Tintea 1 9 5/8 47 P110 TSH Blue(1536-2340)

804

10 2013 February 4337 Mamu 113 3/8 68 L80

TSH ER 729

11 2013 February 2600 Brancoveanu 19 5/8 36 K55

BTC(171-657)

486

12 2013 February 405 Socu 19 5/8 47 N80

BTC(50-719)

669

13 2013 April 4545 Totea 1 20 133 K55 TSH ER(0-503)

503

14 2013 April 2762 Ciuresti 1 9 5/8 40 L80 BTC(57-554)

497

15 2013 April 1013 Bustuchin 1 9 5/8 47 - 43,5 N80 BTC(110-756)

646

16 2013 April 4566 Mitrofani 1 13 3/8 68 L80 TSH ER (36-612) 576

17 2013 June 2406 Ciuresti 1 9 5/8 40 L80 BTC(62-576)

514

18 2013 July 4340 Mamu 1 13 3/8 68 L80 TSH ER (33-767) 734

18 2013 July 4340 Mamu 1 13 3/8 68 L80 TSH ER (33-767) 734

19 2013 July 676 Tintea 1 13 3/8 68 L80 TSH ER(500-1697)

1197

20 2013 July 4542 Totea 1 20 133 K55 TSH ER(33-556)

523

21 2013 August 1519bis Runcu 1 9 5/8 53.6 K55 BTC(340-660)

320

22 2013 August 1209 Vata 1 9 5/8 36 K55 BTC(57-600)

543

23 2013 August 1178 Otesti 1 9 5/8 36 K55 BTC(50-253)

203

24 2013 September 1170 Otesti 1 9 5/8 36 K55 BTC(50-252)

202

25 2013 October 1778 Otesti 1 9 5/8 36 K55 BTC(0 - 253)

253

26 2013 October 1048 Otesti 1 9 5/8 36 K55 BTC(0 - 252)

253

27 2013 October 1629 Preajba 1 9 5/8 36 K55 BTC(0 - 260)

260

28 2013 November 2637 Merisani 1 9 5/8 36 K55 BTC(65 - 1102)

935

29 2013 November 4355 Videle 1 9 5/8 36 K55 BTC(0 - 253)

253

30 2013 November 4381 Videle 1 9 5/8 36 K55 BTC(0 - 253)

253

31 2013 November 4342 Mamu West 1 13 3/8 68 Tenaris ER(0 - 570)

570

32 2013 December 49 Bratuia 1 9 5/8 P110 TSH Blue(50 - 605)

555

33 2013 December 2375 Silistea 1 9 5/8 36 K55 TXP(50 - 300)

250

34 2013 December 40 Colibasi 1 9 5/8 L80 Buttress(50 - 600)

550

35 2013 December 604 Corbrii Mari 1 9 5/836 K55

TXP(50 - 1100)

1051

36 2013 December5022

Turburea Bibesti 1 13 3/8

68 L80TSH ER

(0 - 1452)1452

Tot Year Month Well nameNo. of strings

OD(inch)

Weight(ppf)

Grade ConnectionAverage

depth (m)

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Benefits To Petrom From Casing Drilling

Insurance: getting the casing on depth particularly through troublesome formations. Sometimes eliminating contingency casing string

Promised wells and production: actual time savings are realized using Casing Drilling over conventional drilling e.g time for tripping out of hole & running casings

are eliminated.

Time savings = More wells + Positive Impact on accelerated production.

Strategic, volume of work: The more wells delivered with Casing Drilling the greater the benefits

Reduced cost per job & incremental time savings from Casing Drilling technology application.

Cost Savings Improvement Achieved: Light bit design for shallow surface casings

Estimated 2013 Cost saving over 28 wells compared to conventional drilling was 584.000 €

Other tangible savings not quantified:

Earlier completion of wells with increased capacity on drilling sequence;

Avoiding technical problems;

Early hydrocarbons

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Case History – 228 Sotanga

Sotanga-Doicesti-Valea Resca fault

Sotanga Commercial field

Dragaesti Gheboieni Commercial Field

Block II 2

Coal Mine Sotanga

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Offset Wells Review – Why DwC on Sotanga?

228 Sotanga (2012): ~2 days on top hole with DwC (05:30am 14th – 04:30am 16th June)

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Casing: grade & type determined by stock. J55 STC 54.5# + MLT Rings.

J55 STC 54.5# Torque values – Min 3,860, Opt 5,140 & Max 6,430ft-lbs. Torque enhancement to 9,140 ft-lbs with Multi-Lobe Torque Rings (Torque rings @ 112 Eur/pc)

Rig HH75 Top Drive Torque limitation is 20,000 ft-lbs. Maximum casing length possible on HH75 rig to accommodate DwC tool is 11.4m

Cementing: Conventional Cementation. No shoe track / float equipment. No CBL planned.

Shoe at ± 50m below the coal in competent formation. Good cement expected ± 50m around the shoe

Concerns with state of float equipment due to continuous circulation

Under-displace cement slurry to 15m inside casing & hold pressure on casing while WOC

Centralizers: Engineering assessment is that centralization is not required for the shallow surface casing with shoe @ 150m

Contingency - Loss Circulation Procedure: same as or conventional drilling .

Provision of water supply to continue drilling if total losses is encountered – pumped enough to cool PDC drive shoe / casing bit ~ 600l/min & continue to drill blind

Contingency - Stuck Casing Procedure: same procedure for stuck casing.

Maximum pull limited by the rig ~ 60t with safety margin.

Planning of 228 Sotanga

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Cleanout 20” conductor to 28m (5.75 hrs) push out potential junk in the hole & prevent damage to the PDC casing bit

Rig up & M/Up 17-1/2” casing bit with 13-3/8” casing joint to 28m (6.75 hrs)

Casing drill from 28m to 86m with bentonite spud mud (4.5hrs – 7.8m/hr Avg. ROP) 2200l/m; 0 – 2t WOB; 50RPM; & TQ 3 – 3.5KFt-Lbs & 25-35bar SPP Low WOB to keep inclination of the hole to minimum Started to notice seepage loss at ~ 63m. Adjust drilling parameters. Total loss at 86m.

Drill with total losses using fresh water from 86m to 153m (8.25hrs – 8.12m/hr Avg. ROP)

600 – 800l/m; 0 – 2t WOB; 40 – 50RPM; TQ 3.5 – 4.0KFt-Lbs; 15 – 20bar

Perform cement job + WOC (8.75 hrs). No returns at surface

N/Up & P/Test BOP. M/Up & RIH 12-1/4” BHA (roller cone bit with steel tooth) to 140m TOC Offline – Prepare Clayseal drilling mud & Top up job for the 13-3/8” casing (9.0 hrs)

Displace well to drilling mud + Drill out cement from 140m to 152.72m (3 hr)

Attempt to drill out shoe without success + POOH (17hrs) 0.5 – 1.5t WOB, 50RPM, 900l/min @ 35bar

M/Up & RIH 12-1/4” End Milling Cutter + mill shoe from 152.72m to 155m. POOH (9.50 hr)

2 – 6t WOB, 50RPM, 1800l/min @ 25 - 35bar

Actual Operation on 228 Sotanga

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However, sometimes casing drilling might be challenging

Ringed out CwD bit on 676 Tintea @ 980m. Trip to change bit

Washed out bit connection on 4342 Mamu @ 570m. Finished well conventionally, no replacement bit available

Ringed out bit on 258 Colibasi @ 320m. Whole crown of PDC bit lost due to presence of conglomerates. Finished well conventionally.

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Challenges …..

Buy in from some stakeholders as regards casing drilling economics for shallow wells.

Increase awareness of the benefits of Casing Drilling for shallow wells

Casing drilling cost reduction strategies in place.

Redesigned “fit-for-purpose” light bit now available for shallow formations / surface casing < 300m

Adaptability of casing drilling tools for existing Petrom light rigs like HH75 for improved efficiency

Variations in configuration of casing drilling tool assembly.

Compact design of Tesco CDS tool in trials – available Q1 2014

Order of short length casing joints – now is stock

Cutting of standard casing joints to convenient length to handle

Rig Suitability e.g Kelly on Futura 3

Opportunities……

Shallow wells & more shallow wells

Applications in deeper intermediate sections

L3 & L4 CD Applications

Challenges ……. + Opportunities ……

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Teams 20" 13 3/8" 13 5/8" 9 5/8" 7" 4 1/2" TotalTeam 1 0 0 0 31 0 0 31Team 2 0 1 0 4 0 0 5Team 3 0 1 0 16 1 0 18Team 4 2 2 0 4 3 0 11Team 5 2 6 1 4 4 4 21

Istria Team 1 0 0 1 0 0 2Total 5 10 1 60 8 4 88

2014 DwC By Casing Sizes

< 300 > 300 Total L2 L3 L4 Total28 60 88 70 12 6 88

2014 DwC By Depth Category 2014 DwC By Levels (9-5/8", 7" & 4 1/2")

* 1st L3 in Q1 2014 - please plan for 9-5/8" & 7"** 4 1/2" L4 jobs (2 in #) are planned as contigencies

* 28 Wells requires lighter casing bits

Way Forward With Casing Drilling in Petrom

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7" 9 5/8"30

13 3/8" 20"

4 1/2" (Contingency)

20

11

10

1

11 1

1 1 1 1 10

2 0 1

2

2 0 1

3

2 0 1

4

2 0 1

2

2 0 1

3

2 0 1

4

2 0 1

2

2 0 1

3

2 0 1

4

2 0 1

2

2 0 1

3

2 0 1

4

2 0 1

2

2 0 1

3

2 0 1

4

2 0 1

2

2 0 1

3

2 0 1

4

4

Istra Team

2

8

2

2

3

75

6

31

43

Team 5Team 4Team 3Team 2Team 1

2

5

2

16

4 4

7

Target for 2013 = 50 wells

Summary - Petrom 2014 Casing Drilling Plan

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Conclusions & Recommendations

Conclusions:

DwC proven to be cost effective, enabling improved delivery performance.

Savings : 1 to 1 ½ days on sections to 300m MD & 2 to 3 days on deeper sections.

Other tangible savings from Casing Drilling: earlier completion of wells with increased capacity on drilling sequence; avoiding technical problems; early

hydrocarbons.

Cost savings in 2013 over 28 wells, compared to conventional drilling, 583.069€ (excluding retainer payments)

Recommendations:

Aggressively continue DwC in 2014: target 50 jobs & stretched target 60 jobs

Optimize Casing Drilling contracts with service providers, investigate reducing standby & job costs.

Trial Level-3 Casing Drilling (directional control), as planned in 2014. Explore the option to bring in another service provider wrt Level-3 CwD to introduce more

competition.

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Thank You