2010 CADE * CAODC Drilling Conference Guide

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DRILLING CONFERENCE GUIDE 2010 CADE CAODC INNOVATIVE SOLUTIONS FOR UNCONVENTIONAL CHALLENGES Wednesday, May 26, 2010 Telus Convention Centre, Calgary, Alberta CANADIAN ASSOCIATION OF DRILLING ENGINEERS • CANADIAN ASSOCIATION OF OILWELL DRILLING CONTRACTORS STUDIES IN INNOVATION Pg.26 WEATHERFORD ROTARY-STEERABLE SYSTEM (RSS) EDSI 4G OIL-BASED MUD SYSTEM TOP-CO CASING CEMENTING EQUIPMENT A STIMULATING CONVERSATION W ATER ISSUES A CHALLENGE FOR UNCONVENTIONAL PROGRAMS BACK TO BASICS DIRECTIVE 10 SETS CASING REQUIREMENTS

description

Innovative Solutions for Unconventional Challenges

Transcript of 2010 CADE * CAODC Drilling Conference Guide

Page 1: 2010 CADE * CAODC Drilling Conference Guide

Drilling conference guide2010 caDe●caoDc

InnovatIve SolutIonS for unconventIonal challengeS

Wednesday, May 26, 2010 Telus Convention Centre, Calgary, Alberta

CANADIAN ASSOCIATION OF DRILLING ENGINEERS • CANADIAN ASSOCIATION OF OILWELL DRILLING CONTRACTORS

StudieS in innovation Pg.26Weatherford rotary-Steerable SyStem (rSS) edSi 4g oIl-baSed mud SyStem

toP-co caSIng cementIng equIpment

a StImulatIng converSatIonWater ISSueS a challenge forunconventIonal programS

back to baSIcSdIrectIve 10 SetS caSIng requIrementS

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HEATPROBLEMS WITH

?LOSS

Isothermica Vacuum Insulated Tubing will substantially reduce heat loss

and deliver high steam quality to the oil formation.

• Higher steam quality (more BTU’s) at the oil formation improves

viscosity reduction in produced crude oil.

• Higher steam quality means lower heat losses and therefore lower

casing and cement temperatures.

• Higher steam quality (more BTU’s) delivered to the formation can

reduce the volume of steam required per injection cycle, reducing

energy and capital equipment costs.

Isothermica is able to achieve all of this through the absolute vacuum

atmosphere created within the annular space of the two corresponding

seamless pipes. Clearly, Isothermica is a critical necessity in the efficient

and enhanced recovery of Heavy and Extra-Heavy Oil.

INSULATED TUBING FOR STEAM INJECTION

STEAM

Outer Tube Inner Tube

Absolute VacuumRefract ion

Def lect ing Coat ing

HydrogenCapture

"GETTER"mater ia l

1

2

3

www.ISOTHERMICA.com | [email protected]

Casing and Cementing Failures

Steam Quality Issues

Viscosity ProblemsIsothermica maximizes delivery of BTU’s to the oil formation

maximizing viscosity reduction.

Isothermica keeps your steam dry delivering high steam quality to the oil formation. Because the steam is dryer, more BTU’s are delivered thereby

allowing you to consider reducing the volume of steam required.

Isothermica’s thermal efficiency insures against casing failures by keeping heat inside the injection string and

away from your casing and cement.

Page 3: 2010 CADE * CAODC Drilling Conference Guide

HEATPROBLEMS WITH

?LOSS

Isothermica Vacuum Insulated Tubing will substantially reduce heat loss

and deliver high steam quality to the oil formation.

• Higher steam quality (more BTU’s) at the oil formation improves

viscosity reduction in produced crude oil.

• Higher steam quality means lower heat losses and therefore lower

casing and cement temperatures.

• Higher steam quality (more BTU’s) delivered to the formation can

reduce the volume of steam required per injection cycle, reducing

energy and capital equipment costs.

Isothermica is able to achieve all of this through the absolute vacuum

atmosphere created within the annular space of the two corresponding

seamless pipes. Clearly, Isothermica is a critical necessity in the efficient

and enhanced recovery of Heavy and Extra-Heavy Oil.

INSULATED TUBING FOR STEAM INJECTION

STEAM

Outer Tube Inner Tube

Absolute VacuumRefract ion

Def lect ing Coat ing

HydrogenCapture

"GETTER"mater ia l

1

2

3

www.ISOTHERMICA.com | [email protected]

Casing and Cementing Failures

Steam Quality Issues

Viscosity ProblemsIsothermica maximizes delivery of BTU’s to the oil formation

maximizing viscosity reduction.

Isothermica keeps your steam dry delivering high steam quality to the oil formation. Because the steam is dryer, more BTU’s are delivered thereby

allowing you to consider reducing the volume of steam required.

Isothermica’s thermal efficiency insures against casing failures by keeping heat inside the injection string and

away from your casing and cement.

contents2010 cade●caodc drilling conference

Neither CADE, CAODC, or CADE●CAODC Drilling Conference take any responsibility for the statements, references, or facts printed within this document that may have been written in error and are released from any liability in this regard.

15 Drilling Rig Activity A synopsis of vital drilling statistics for western Canada

16 A Stimulating Conversation Water usage and contamination concerns are an

emerging challenge for unconventional gas and oil fracture stimulation programs

20 Back to Basics New ERCB Directive 10 requirements for casing design

applies to all Alberta wells

23 Let’s Not Make ‘Dead Time’ Deadly Using Journey Management tools to ensure safety on the road

26 Oilfield service firm claims its rotary steerable cuts a cleaner wellbore

29 EDSI combines 4G oil-based mud system with dryer technology to reduce fluid costs and drilling times

31 Edmonton company finds niche in cementing equipment

5 Welcome Letter & Executive Committee

7 CADE and CAODC Welcome Letters

9 Technical Committee

10 Conference Schedule

12 Keynote Speaker

14 Conference Sponsors

33 Rig Guide

Bill WhitelawPresident & [email protected]

Agnes [email protected]

Stephen MarstersEditorial [email protected]

Dale [email protected]

Marisa Kurlovich Editorial [email protected]

Michael GaffneyPrint, Prepress & Production [email protected]

Audrey SprinklePublications [email protected]

Rianne Stewart Publications Supervisor [email protected]

Aimée Barnabé, Lynda Harrison, James Mahony, Darrell Stonehouse, Gord Wagner, Paul WellsContributors

Tamara Polloway-Webb Creative Services [email protected]

Cristian UretaGraphic Designer [email protected]

Creative Services Alanna Staver [email protected]

Rob PentneyDirector of Sales [email protected]

Maurya SokolonSales Manager—Magazines [email protected]

Nick DrinkwaterAccount Manager [email protected]

Elizabeth McLeanAd Traffic Coordinator—Magazines [email protected]

Ryan MischiekMarketing/Trade Show Coordinator [email protected]

Cristian UretaMarketingDesigner [email protected]

Calgary:2nd Floor, 816-55 Avenue N.E., Calgary, Alberta T2E 6Y4Tel: 403.209.3500 Fax: 403.245.8666Toll-free: 1.800.387.2446

Edmonton:6111-91 Street N.W., Edmonton, Alberta T6E 6V6Tel: 780.944.9333 Fax: 780.944.9500Toll-free: 1.800.563.2946

conference inforMation

features

stuDies in innovation

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On behalf of the 2010 CADE●CAODC Conference Executive Committee, it is my pleasure to welcome you to the 14th CADE●CAODC Drilling Conference at the Calgary Telus Convention Centre.You may have heard that due to the increasing popularity of this conference, we required

this larger venue to accommodate twice as many impressive case studies as we had in the 2009 conference. There will be two concurrent sessions running throughout the day, covering completions innovations, directional and managed pressure drilling, and operational integrity.

The submissions this year are inspiring illustrations of collaboration between operator and service organizations and a sincere thank you to those contributors who have extended the opportunity to us to learn from their examples. It is this generosity in our community that makes us all strong in this highly competitive global landscape. Please consider you own participation in our conference next year!

Also be sure to visit www.drillingconference.ca, which is designed to provide better access to information and enable our delegates to have a voice in how this conference continues to develop. Take a look after the conference for access to presentations, current media, and an opinion poll in which you can provide us with feedback—we are interested to hear your thoughts and suggestions.

Sincerely,Doug Hollies2010 CADE●CAODC Conference Coordinator

caDe●caoDceXecutive coMMittee

Front row, left to right: Gord Wagner, Kim Barton, Alice Skoda, Doug Hollies

Back row, left to right: John James, Mark Scholz, Scott Erickson, George McHardy, Patrick Murphy, Ron McCosh, Jason Tiefenbach

Missing: Larry Smith

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PerFormance

HigHValue

P R E C I S I O N D R I L L I N G

P R E C I S I O N W E L L S E R V I C I N G

P R E C I S I O N D I R E C T I O N A L S E R V I C E S

C O L U M B I A O I L F I E L D S U P P L Y

L I V E W E L L S E R V I C E

L R G C A T E R I N G

R O S T E L I N D U S T R I E S

P R E C I S I O N R E N T A L S

T E R R A W A T E R S Y S T E M S

Precision markets a fleet of over 350 technically advanced land drilling rigs and 200 service rigs, along with strategic support services including directional drilling services, snubbing, oilfield equipment rentals, worksite accommodation and

wastewater treatment. For more than 50 years, Precision has been building strong relationships with customers by focusingon doing the job safely, on time and on budget. W W W. P R E C I S I O N D R I L L I N G . C O M 1 . 4 0 3 . 7 1 6 . 4 5 0 0

HigH

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A s the 2010 CADE●CAODC Drilling Conference gets underway, I would like to welcome the participants, guests, and guide readers to this important event. CAODC takes great pride

and pleasure in partnering with CADE to undertake the drilling conference. It is a highlight in our calendar and a notable event for the proponent community in the Western Canadian Sedimentary Basin.

As we move through 2010, the industry is more optimistic that we will see improvements in investment and drilling activity. A very important part of that outlook is founded upon past and current improvements to our drilling/completions technology. The future of a vibrant industry in western Canada is contingent on that focus continuing.

We are very hopeful that you will find the conference to be interesting and rewarding. Thank you for attending.

Sincerely,Don HerringPresident, Canadian Association of Oilwell Drilling Contractors

Welcome delegates, speakers, students, and volunteers to the 2010 CADE●CAODC Drilling Conference. I have the privilege to co-chair this year’s event with my colleague

and co-chair George McHardy. It is with great excitement and pride that CADE and CAODC have come together again to bring our industry an exceptional technical conference. This year’s theme, Innovative Solutions for Unconventional Challenges, will deliver a quality program for people to enjoy and learn from.

The success and delivery of the annual conference, this year, last year, and next year, will always be the result of the hard work of our executive committee. It isn’t easy to volunteer this amount of time when we are continually asked to do more with less at work. Your efforts are applauded, and on behalf of CADE and our peers, I thank you.

I would also like to thank the speakers and presenters. I believe the Western Canadian Sedimentary Basin has the quickest, most flexible, and continually evolving group of well construction people in the world because of your case studies, willingness to share, and innovation.

This year also achieves another milestone for CADE. Our industry continually strives to provide our well construction practitioners with opportunities to further educate and learn new technologies and practices or even the basic ABCs of drilling and completions for new industry professionals. CADE is excited to offer two valuable technical courses during the two days following the conference. Extended Reach Drilling and Practical Rock Mechanics for Engineers will be delivered by top industry professionals and will be of great value for our participants.

As always, the conference committee provides a keynote address for the luncheon for all of us to enjoy. This year is no exception, as the feature keynote speaker is Peter Tertzakian, chief energy economist of ARC Financial Corporation and bestselling author of A Thousand Barrels a Second: The Coming Oil Break Point and the Challenges Facing an Energy Dependent World.

In closing, I would like to say, enjoy. This day will prove to be valuable on many levels. You will learn, you will network, and you will gain a sense of pride in our industry. I look forward to meeting, networking and the beginning of another successful year for the 2011 executive committee.

Respectfully,Patrick Murphy, P.Eng.President, Canadian Association of Drilling Engineers

caDe WelcoMe caoDc WelcoMe

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tecHnical coMMitteeClockwise, from front left: Ronald McCosh (Co-Chair), Jeff Arvidson, Murray Krausert, Marty Muir

Middle: Mark Scholz (Co-Chair)

Missing: Peter Diaconescu, Ron Isinger, Jim Rau,Karen Roett, Ryan Schoenhals

ExECUTivE CoMMiTTEEGeorge McHardy, Conference Co-Chairman (CAODC), Nabors Drilling

Patrick Murphy, Conference Co-Chairman (CADE), Newpark Drilling Fluids

Doug Hollies, Conference Coordinator, Codeco Energy Group

Kim Barton, Assisting Conference Coordinator, Weatherford Canada Partnership

Scott Erickson, Registration Chair, Apex Oilfield Services (2000) Inc.

John A. James, Education Chair, Ziff Energy Group

Ron McCosh, Technical Co-Chair, Volant Products Inc.

Mark Scholz, Technical Chair, Canadian Association of Oilwell Drilling Contractors

Alice Skoda, Finance Chair, Summit Tubulars Corporation

Gord Wagner, Advertising and Sponsorship Chair, Summit Tubulars Corporation

Larry Smith, Advertising and Sponsorship Co-Chair, Crest Consultants Ltd.

Jason Tiefenbach, Conference Keynote Speakers Chair, Evraz Inc. NA

TECHNiCAL CoMMiTTEEMark Scholz, Chair, CAODC

Ron McCosh, Co-Chair, Volant Products Inc.

Jeff Arvidson, Devon Canada

Peter Diaconescu, Canadian Forest Oil

Ron isinger, Precision Drilling

Murray Krausert, Beaver Drilling Ltd.

Marty Muir, Husky Energy

Jim Rau, ConocoPhillips

Karen Roett, Suncor Energy

Ryan Schoenhals, Tenaris Canada

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conference coMMitteesThis event would not be possible without the help of the dedicated individuals who volunteered their time and effort to ensuring the success of this year’s conference.

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2010 caDe ●caoDcconference scHeDuleWednesday, May 26, 20107:00 a.m. Registration Opens and Continental Breakfast

7:45 a.m. Theatre Doors Open

8:00 a.m. opening Remarks - Conference ChairmenGeorge McHardy, Nabors Drilling; Patrick Murphy, Newpark Drilling Fluids

Keynote PresentationDan McFadyen, Chairman and CEO, Alberta Energy Resources Conservation Board

Conference overview - 2010 Conference Coordinator Doug Hollies, Codeco Energy Group

Alternate Presentations Laboratory Testing of Primary Cementing Equipment: Contributions of State-of-the-Art Technology to Mature Testing Practices Greg Andrigo, Top-Co LP; Alfredo Sanchez, Top-Co LP

Sour Hydrocarbons & Rubber Degradation - Overcoming the Elastomer Challenge Melanie Clark, Katch Kan Ltd.; Quinn Holtby, Katch Kan Ltd.

CALGARY: Perry Englot (403) 693-8584

EDMONTON: Andrew McPherson (780) 409-7223

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Session i Risk Management, Planning & SafetySponsored by: Savanna Drilling

Session ii Managed Pressure DrillingSponsored by: Strata Energy Services Inc.

Session Chairmen: Ron Isinger, Precision Drilling Corporation; Ron

McCosh, Volant Products Inc.

Session Chairmen: Jeff Arvidson, Devon Canada Corporation; Karen Roett,

Suncor Energy Inc.

8:45 a.m. The Dingman #2 Well Abandonment: The Final Chapter of a Historic Well’s 100 Year Life Kary Cuthill, Lionhead

Engineering (A CCS Company)

Successful Launch of Managed Pressure Drilling (MPD) in South Wapiti/Red Rock - Alberta Bernard Jones, ConocoPhillips Canada;

Raymond Litwin, ConocoPhillips Canada; Hassan Malik, ConocoPhillips Canada

9:15 a.m. Drilling Performance Benchmarking and offset Analysis - A Systematic ApproachSyed Hammad Zafar, Schlumberger

Application of Managed Pressure Drilling Techniques for optimization of Canadian Forest oil Ltd.’s Foothills Drilling Program Peter Diaconescu, Canadian Forest Oil Ltd.; Brian McGregor, Canadian

Forest Oil Ltd.; Kevin Schmigel, Weatherford Canada Partnership

9:45 a.m. Reduction in Risk and increase in Efficiency Relating to Regulatory Drilling Rig, Service Rig, and Snubbing Unit inspectionsTim Deschner, Husky Exploration and Production Services; Ron Findlay,

Husky Exploration and Production Services; Ben Snyman, eCompliance

Management Solutions Inc.

New Technical Limit Achieved in the ojay FieldSadig Aliyev, BP Canada Energy Company; Raymond Nanan, Schlumberger; Syed

Hammad Zafar, Schlumberger

10:15 a.m. Networking Break Sponsored By: Beaver Drilling Ltd.

10:45 a.m. operator & Contactor Collaboration = Success in Safety Mike Doyle, Silverstar Well Servicing Ltd.; Martin Mudryk, Suncor In Situ

Drilling and Completions

Multiphase Performance Drilling Reduces Suncor’s Foothills Drilling Costs Alek Ozegovic, Weatherford Canada Partnership;

Bob Staysko, Suncor Energy Inc.

11:15 a.m. Drilling into the Unknown: Putting Everything on the Line When Failure is Not an option Daniel Jalbert, Pradera Resources

Inc.; Sean Johnson, Schlumberger

Successful Application of RSS in a Highly Nitrified Mud System Clint Chase, Schlumberger Oilf ield Services; Syed Hammad Zafar Schlumberger

11:45 a.m. Technical Sessions Close

12:00 p.m. No Host ReceptionKeynote Luncheon - Peter Tertzakian, Pulse of the Western Canadian Oil & Gas Industry

Sponsored By: Ensign Energy Services inc. Tickets for this event must be purchased in advance.

Session iii CompletionsSponsored By: Evraz Inc. NA

Session iv Directional DrilllingSponsored By: AKITA Drilling Ltd.

Session Chairmen: Marty Muir, Husky Energy Inc.; Jim Rau,

ConocoPhillips Canada

Session Chairmen: Kim Barton, Weatherford Canada Partnership; Murray

Krausert, Beaver Drilling Ltd.

1:15 p.m. A Novel Approach to Multi Zone Completion Technology in Horizontal Wellbores Using Burst Port Collars in a Liner String Natasha Kostenuk, Trican Well Service Ltd.; Steve Scherschel,

Trican Well Service Ltd.; Scott Sherman, Trican Well Service Ltd.

Drilling a Better Pair: New Technologies in SAGD Directional Drilling John Person, Halliburton Group Canada;

Chad Zimmer, Statoil Canada Ltd.

1:45 p.m. increasing Production in North Eastern B.C. Montney Wells Kyle. Klam, SAIT Petroleum Engineering Student

Canadian operator Uses Low Cost vertical Drilling System to Reduce Well Construction Costs and improve Wellbore Quality Larry Comeau, Departure Energy Services; Reg Pekham, NAL Resources; Daniel

Robson, Departure Energy Services

2:15 p.m. Networking BreakSponsored By: Cummins Western Canada - Calgary

2:45 p.m. innovative Steam injection Well Completion Designs Samaria oil Field, Mexico Norman Cooper, North Point Drilling

LLC; Mark Lee, Oil Tech Service Inc.; Roy Lee Jr., Oil Tech Service Inc.;

Michael Lombard, Industrial Technology Management, Inc.

Lessons Learned From implementation and Application of Real Time Remote Drilling Ryan Quigg, Weatherford Canada Partnership

3:15 p.m. Wellsite Geochemistry - New Analytical Tools Used to Evaluate Unconventional Reservoirs in the Wattenberg Field, Colorado Brandon Binford, Encana Oil & Gas (USA); David

Hill, Encana Oil & Gas (USA); Diego Ortiz, Weatherford International

Ltd.; William Paul, Encana Oil & Gas (USA); Tim Ruble, Weatherford

International Ltd.; Mark Tobey, Encana Oil & Gas (USA)

New Technology Approach for Coil Tubing Drilling in Shallow Gas Wells Darren Drake, Baker Hughes INTEQ; Harsimran Parmar,

ConocoPhillips Canada

3:45 p.m. Technical Session Closes Closing Remarks - 2011 Conference CoordinatorKim Barton, Weatherford Canada Partnership

4:00 p.m. Closing Reception Sponsored By: Nabors Canada

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BENCHMARKING • DRILLING RESEARCH • WELL PLANNING

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XI's digitized data is accessible within minutes and allows endless research capabilities.

- Examine your surrounding wells.- Know about past problems to avoid similar issues.- Benchmark your drilling performance.

p

Peter tertzakianis chief energy economist of ARC

Financial Corporation and bestselling

author of a thousand Barrels a

second: the coming oil Break Point

and the challenges facing an energy

Dependent World.

keynote sPeaker

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Workforce Accommodations and Catering Services Remote. Possibilities.™Plan · Engineer · Build · Install · Operate 1 877 234 8983 · ptigroup.com

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Passionate about the history and direction of energy in society, Tertzakian blends three decades of experience in geophysics, economics, technology, and f inance to constantly analyze energy trends. Over the years his prescient advice to corporate leaders, policy-makers, and students has earned him many accolades for his work, including an asteroid in his name.

He began his career in 1982 as a geophysicist before moving to the financial sector in 1990.

He joined ARC Financial in 2002; is a member of the company’s executive, investment, and strategy committees; and represents ARC Financial on the board of Nexterra Systems.

He has an M.Sc. in Management of Technology from the Sloan School of Management at the Massachusetts Institute of Technology, pursued post-graduate studies in econometrics at the University of Southampton, and has a B.Sc. in Geophysics from the University of Alberta.

Always questioning the consensus view, Tertzakian writes a weekly journal called ARC Energy Charts, and he is often quoted or seen in the media (including an appearance on The Daily Show with Jon Stewart), and is a sought-after speaker at events around the world. His new book, The End of Energy Obesity: Breaking Today’s Energy Addiction for a Prosperous and Secure Tomorrow, is now available in bookstores worldwide.

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conference sPonsors

Thanks to all our sponsors who made this conference possible through their generous support and contributions.

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Drilling rig activityA SYNOPSIS OF V ITAL DR ILL ING STATIST ICS FOR WESTERN CANADA

925

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825

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675JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC

AVAILABLE DRILLING RIGSTotal number in western Canada

2007200820092010

800

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0JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC

RIG UTILIZATIONTotal number drilling in western Canada

2007200820092010

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40

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0JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC

RIG UTILIZATIONPer cent active in western Canada

2007200820092010

PER

CEN

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SOU

RC

E: G.W

AG

NER

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astimulating conversationWater usage and contamination concerns are an emerging challenge for unconventional gas and oil fracture stimulation programsby Darrell Stonehouse

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the combination of drilling long horizontal wells and using multi-stage fracturing to open up tight oil and gas reservoirs previously uneconomic to develop is revitalizing the North American oil and gas industry.

The technique has radically altered natural gas exploration and development, adding decades of new supplies to what was a declining inventory. It has also added billions of barrels of new tight oil supply and is now being used to capture left-behind resources in mature fields.

But the multi-stage fracturing revolution comes with a downside—increased water usage and worries about contamination from additives to fracturing fluids. In the United States, the issue has already become a political football. And the rumblings are now starting in Canada as shale gas development moves into more populated areas and multi-stage fracturing is applied to existing oilfields.

Canadian oil and gas companies are looking for innovative technologies to mitigate water concerns before they become a significant problem.

In the United States, multi-stage fracturing is undergoing major scrutiny. The state of New York has placed a virtual moratorium on drilling into the promising Marcellus shale play in western areas of the state until it completes an environmental review.

As shale gas development has spread across the country, the U.S. Congress Energy and Commerce Committee has launched an investigation into the impact of massive fracture programs.

“As we use this technology in more parts of the country on a much larger scale, we must ensure that we are not creating new environmental and public health problems,” committee chairman Henry Waxman said in announcing the investigation in February. “This investigation will help us better understand the potential risks this technology poses to drinking-water supplies and the environment, and whether Congress needs to act to minimize those risks.”

In March, the Environmental Protection Agency (EPA) announced it was launching a $1.9-million study looking at fracture stimulations. The study is expected to take two years to complete.

“Our research will be designed to answer questions about the potential impact of hydraulic fracturing on human health and the environment,” says Dr. Paul T. Anastas, assistant administrator for EPA’s Office of Research and Development.

For its part, industry doesn’t seem overly worried about the scrutiny. In response to the EPA study, Regina Hopper, president and chief executive officer of America’s Natural Gas Alliance,says industry is confident the EPA’s effort will prove hydraulic fracturing is safe. ➔

“As we use this technology in more parts of the country on a much larger scale, we must ensure that we are not creating new environmental and public health problems.”Rep. Henry Waxman (D-CA), Chairman, House Committee on Energy and Commerce

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90 0, 311-6th Avenue SW Calgary, Alberta T2P 3H2

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“Hydraulic fracturing has been refined and improved over the past 60 years and has been used safely on more than one million U.S. wells,” says Hopper, whose organization represents upstream gas producers. “We are confident that a scientific and data-driven examination will provide policy-makers and the public with even greater reassurance of the safety of this practice.”

In Canada, there has been less government focus on fracturing, but environmentalists are beginning to agitate against the technology.

The British Columbia Environmental Network (BCEN) is campaigning for a ban on horizontal drilling and multi-stage fracturing, claiming the technology represents a step-change from more conventional operations.

“While drilling an old style conventional gas well would use a few thousand gallons of water, and little to no chemicals, by contrast an unconventional deep horizontal shale gas well uses between two and nine million gallons of fresh water,” the BCEN argues. “Only one per cent of the ‘slick water’ fluid volumes being chemicals may seem insignificant, but one per cent of the two [million] to nine million gallons of water used per well becomes between 20,000 and 90,000 gallons of chemicals used for each wellsite.”

The Canadian Association of Petroleum Producers is well aware of the public’s concerns about water use. In late January, Devon Canada environmental advisor Brent Moore outlined oil and gas producers’ understanding of the issues.

Moore said the public is worried about water shortages in many areas of western Canada. They are also concerned water injected underground is lost forever, adding to the fear of shortages. And they are worried drilling and completion practices contaminate groundwater.

He adds the public believes that “water is more important than oil and gas,” and says because of this, “there is pressure for industry to reduce or eliminate water use.”

While much of the focus in Canada has been on water use in the oilsands, attention is beginning to turn to the use of water for hydraulic fracturing in shale gas operations, he noted.

“Fracture intensive equals water intensive,” he explained, adding the industry is seeking alternatives to fresh water use to answer the challenge.

Moore pointed to a recent shale well at Dunvegan drilled by Devon as one method to reduce fresh water usage. The well used produced water from a nearby plant for the fracture treatment, making it the first produced water frac job in Alberta.

Encana has also been testing recycling systems for produced water in the Horn River. The company believes if it can recycle water in the remote shale field it could save up to $500,000 per well in trucking and disposal costs.

In the United States, where shale gas development is more mature, Devon has taken more intensive steps to reduce fresh-water use in the Barnett shale in Texas.

The average multi-stage fracture stimulation in the Barnett uses around four million gallons of water. Devon Energy has

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All The Right Reasons

been using an innovative mobile water treatment system developed by Calgary-based Aqua-Pure Ventures to recycle fracture water since 2005. Called the Nomad 2000, the system uses a mechanical vapour recompression process to distill fracture flow-back water while removing the contaminants. The system basically boils off the water and as the steam evaporates, it is distilled. The contaminants are left behind in a concentrate that can be disposed.

Devon has used nine units to date, and reports the Aqua-Pure system has saved over 400 million gallons of water in the Barnett, supplying between 10 and 15 per cent of water for its shale gas operations.

In March this year, Aqua-Pure announced its Texas subsidiary Fountain Quail Water Management had signed a contract to buy treated effluent from the City of Weatherford to further supply water for Barnett operators. The plan is to pipe the water to producers rather than trucking it in.

Encana has also been investigating water recycling technologies in the Barnett. The company has been testing water distillation, osmosis membrane technology, and chemical-based systems and is also looking at direct flow-back water re-use.

Answering the contamination question is more difficult. Moore says provincial drilling regulations protecting groundwater are strict, and extend to cover the new fracturing technologies. Surface discharge of produced water is illegal, and

water must be injected into disposal wells. Industry is working on alternatives to using water, he says, but it will take time for emerging technologies to be commercialized.

In shallow areas like the Colorado shale play in east-central Alberta and Saskatchewan, water is not being used for fracture stimulation. Stealth Ventures has used 100 per cent nitrogen gas to fracture and place proppant in the 80 wells it has drilled into the Colorado. The company is also testing a new propane fracturing system provided by Gasfrac Energy Services. The system uses gelled liquefied petroleum gas (LPG) in place of the water and chemicals in slick water fracs.

The LPG used in the process is highly soluble in formation hydrocarbons. Unlike conventional treatments where as much as half of the carrier remains in the reservoir and hinders well performance, virtually 100 per cent of the LPG can be recovered.

The Gasfrac technology has been used by Delphi Energy in a number of multi-stage fractured wells in the Hythe area of northwestern Alberta with success. It has also been used to fracture a shallow shale well in the Utica play in Quebec and in a well for Corridor Resources in New Brunswick. The Corridor well, in which two intervals were fractured at a depth of around 2,000 metres, flowed at a restricted rate of 4.1 million cubic feet per day.“These results represent the first significant flow of natural gas from the Frederick Brook formation, and are encouraging for future horizontal drilling and multi-stage fracturing of this large unconventional resource play,” Corridor Resources president Norman Miller said.

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Back to BasicsNew ERCB Directive 10 requirements for casing design apply to all Alberta wellsby Gord Wagner, P.Eng, Summit Tubulars Corporation

Energy Resources Conservation Board (ERCB) Directive 10 (D10): Minimum Casing Design Requirements applies to all wells to be drilled in the Province of Alberta. This article out-lines some of the basic steps presented in D10 that need to be considered in cas-ing design. Areas covered are well category table for sweet, sour, and critical sour wells;

material selection; simplified method; alternative design method load calculations; and summary. Readers should download ERCB Directive 10 from the ERCB’s website at www.ercb.ca, as many references will be made to the actual D10 document.

Well category Table for Sweet, Sour, and critical Sour Wells (D10, Section 1.4)Critical sour well service classification is outlined in ERCB Interim Directive 97–06. There is a discrepancy within the indus-try as to what hydrogen sulphide (H2S) content threshold should be used to determine when sweet well service should be con-sidered sour well service. In ERCB D10, sweet well service is for wells with partial pressure H2S < 0.3 kilopascals (kPa). Sour well service is for wells with partial pressure H2S ≥ 0.3 kPa. Please see D10 Appendix D for partial pressure definitions. Each casing string section must be checked for sweet, sour, or critical well service and designed accordingly.

Material Selection (D10, Section 1.3)Critical sour service casing material must meet the material requirements of Industry Recommended Practices (IRP) Volume 1 Critical Sour Drilling, Section 4, Casing Design and Metallurgy.

Sweet service casing material must meet the requirements of API 5CT/ISO 11960 or proprietary grades can be used that meet D10 Section 1.5 requirements. Sour service casing material must meet the requirements of D10 Appendix B, which outlines additional constraints to 5CT/ISO 11960 requirements. IRP critical sour spec casing can be used for all wells in Alberta and can be substi-tuted Appendix B sour service material.

Licensees must ensure the suitability of the casing and pressure-rated accessories for each specific application for the life of the well. Surface casing must be designed for sour service if the licensee drills into a sour zone prior to setting the next sour service casing.What about all of the existing API 5CT/ISO 11960 compli-

ant materials purchased or manufactured prior to the issuance of D10? Section 1.3.1, Materials Not Meeting Requirements of Appendix B, states existing API 5CT/ISO 11960 materials that do not meet the requirements of Appendix B may be used for non-critical sour service if:• purchased or manufactured prior to Sept. 22, 2008,• the H2S concentration < 1.00%, then the burst design safety fac-

tor (SF) is ≥ 1.30,• the H2S concentration ≥ 1.00% but less than 5.00%, then the

burst SF is ≥ 1.35,• the H2S concentration ≥ 5.00%, then the burst SF is ≥ 1.40,• materials can be tested as described in D10 Section 1.3.2.

Simplified Method (D10 Section 2)The Simplified Method is a slight modification to design criteria previously specified in Directive 10 (formerly Guide 10), dated September 1990.

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Back to Basicstension design factor is 1.75 for API connections and 1.6 for pipe body yield strength or premium connections with metal-to-metal seals. Buoyancy using the pressure multiplied by pipe body area method is allowed.

Either the Simplified Method or the Alternative Design Method can be used for any casing string. It is this author’s opinion that the Simplified Method will be the more widely used casing design approach. The Alternative Design Method will be used when a more detailed engineering approach is required to meet all the minimum design factors.

Summary• All wells to be drilled in the Province of Alberta must meet

ERCB Directive 10 (D10): Minimum Casing Design Requirements.• The well category table in Section 1.4 must be used to deter-

mine if the casing string service is sweet, sour, or critical sour service, and the appropriate loading conditions, minimum design factors, and material specifications are used.

• Casing material must meet Section 1.3 material selection requirements. For non-critical sour service, casing material must meet the D10 Appendix B requirements or IRP 1.4 casing can be substituted in. Existing API 5CT/ISO11960 casing that does not meet D10 Appendix B requirements can be used if it the casing meets the requirements of the Section 1.3.1.

• Either the Simplified Method or the Alternative Design Method can be used for the any of the casing strings.

Gord Wagner is Technical Manager at Summit Tubulars Corporation in Calgary. He can be contacted at (403) 232–6066 or [email protected].

For surface casing, the minimum burst design factors are 1.0 for sweet well service and 1.25 for sour well service. The minimum burst design load (kPa) is five times the setting depth (mTVD) of the next casing string. For surface casing, the collapse and tension design factors and assumptions are the same as for production casing.

For production casing, the minimum burst design factors are 1.0 for sweet well service and 1.15 for sour well service. No allowance is made for external pressure. The minimum burst pressure design load is the maximum potential formation pressure that the casing will be exposed to. The minimum collapse design factor is 1.0. The collapse design load should be calculated using the actual drilling fluid gradient. The minimum collapse design gradient is 11 kPa/m. The minimum tension design factor is 1.6. No allowance is made for buoyancy. The lesser of the pipe body yield strength or the joint strength (connection parting strength) must be considered as the casing minimum tensile strength.

alternative design Method (D10, Section 3)The Alternative Design Method allows the licensee to use a detailed engineering approach to determine the design loads and the casing capabilities. A series of Alternative Design Method tables are shown for surface casing (Table 3.2.1), protective intermediate casing/protective liner (Table 3.2.2), and productive intermediate casing/productive liner (Table 3.2.3).

There are several differences between the Simplified and Alternative Design Methods. For collapse design, there is no longer a minimum collapse design gradient. For burst design, the minimum required design factors range from 1.1 to 1.25, depend-ing on the partial pressure of the H2S and CO2. The minimum

PhOTO: jOEy PODLubNy

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Page 23: 2010 CADE * CAODC Drilling Conference Guide

let’snot make

‘dead time’deadly

Using Journey Management tools toensure safety on the road

by Aimée Barnabé

6 a.m.: Woke up after f ive hours of restless sleep.Skipped breakfast because there was nothing appealing in the

fridge anyway.Called his girlfriend to tell her he loved her and couldn’t wait to

see her the following week.6:30 a.m.: Departed his acreage near Calgary to pick up colleague in Red Deer.8:00 a.m.: Drove 130 kilometres an hour and arrived in Red Deer in under 90 minutes.

Picked up colleague, f illed up his truck, bought an energy drink to give himself a pick-me-up.

Drove to Edmonton.During the drive: He talked to his colleague, fielded three calls

from his girlfriend and two work calls, programmed his GPS with the coordinates for the work site he was travelling to, and found

When my friend Colin got up yesterday morning his day looked a little like this:the new track to play for his colleague on his MP3 player.9:30 a.m.: Arrived at site in under 90 minutes, despite the low-lying fog that hung in the air for most of the trip.

Worked on the assigned project for eight hours.5:30 p.m.: Picked up fast food in the drive-thru to eat on the way home.

Drove the 326 kilometres, aimed into the sun for the first half of the trip with 60 kilometre an hour crosswinds for the second half.

During the drive: He changed radio stations half a dozen times and called his girlfriend to pass the ‘dead time’ during the routine journey.9:15 p.m.: Arrived home. Completed paperwork for 45 minutes.

Did laundry and watched TV to unwind.1 a.m.: Went to bed and got some rest for the next day that would look a lot like the last one. ➔

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Okay…so the scenario is a little staged, but how far off from the average person working in the oil and gas sector is it really? How many pieces of Colin’s little routine are we guilty of, and what are the consequences? By the way, Colin is a real per-son—Colin is really his name—and he has done all of the things I described above. He is still with us, amazingly enough, but he is re-evaluating some of his choices now.

The International Association of Oil and Gas Producers (OGP) Land Transportation Safety Implementation Task Force has some advice for our friend Colin.

Its website states that “driving-related accidents are the single largest cause of fatalities in exploration and production related operations. Since 1998, OGP member companies have reported

systems like little TV sets built right into the dash. Satellite radio so that you can have any music or talk radio station you desire right at your fingertips.

They are all great tools, but are we using them appropri-ately? Most people would say no. According to the Traffic Injury Research Foundation’s 2002 Road Safety Monitor, 40 per cent of Canadians believe distracted driving is a serious problem. In a 2004 survey by Safer Calgary, 89 per cent of Calgarians expressed concern with drivers using cellphones.

There are several types of driver distractions: visual (looking at GPS monitor), auditory (carrying on a conversation with a pas-senger or on the phone), physical (eating, drinking, changing radio stations), and cognitive (lost in thought).

that 158 upstream workers have died in such accidents. Studies conducted by the World Health Organization predict that road deaths will increase and that by 2010 they will be the second-largest contributor to mortality globally.”

If that isn’t a wake-up call to get on the bandwagon for Journey Management, I’m not sure what is! According to OGP report No. 365, “A successful journey is measured by the lack of any acciden-tal loss or delay due to a vehicular event.”

So, was Colin’s journey successful? By the strictest of mea-sures—Colin survived his little daytrip, after all—it was a success, but that was due more to good luck than to good management.

Things like electronic devices, distractions, fatigue, and escalat-ing factors all have to be considered in Journey Management, and from the perspective of practicing good Journey Management, most experts in the field would say that Colin’s journey was far from successful.

We are bombarded daily by advances in technology. Cellphones that are cameras, music players, photo albums, and police scanners. (Yes, there’s an app for that). GPS navigation

Distractions can also occur simultaneously. Colin’s various dis-tractions were visual (programming his GPS), auditory (talking to his colleague), and cognitive (thinking about his upcoming trip to see his girlfriend).

Dr. Don Melnychuk of Nadon Consulting, an expert in the areas of fatigue and stress management, asserts that “fatigue is the consequences of inadequate restorative sleep.”

In his presentations to industry, he quotes the Alberta Motor Association statistic that ‘fatigue is a factor in over 50 per cent of single vehicle collisions.’ Further, Workers’ Compensation Board reports from 1996–2005 found that “motor vehicle incidents accounted for 31.7 per cent of fatalities.”

Those are some sobering numbers, particularly for Colin. If we were to examine Colin’s lifestyle through Dr. Melnychuk’s micro-scope, we would be shocked to find that he is basically operat-ing impaired most of the time. According to the good doctor, a week of four or five hours of sleep per night impairs your mental and physical performance to the same extent as if you had blood alcohol level of about .10 per cent—well over the legal limit.

Journey Management seeks to lessen distractions on the road that

can have deadly consequences.

Ph

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Adherence to the Journey Management process significantly reduces such risk factors, and the OGP has established an industry-recommended practice based on the concept.

The OGP has developed a flexible and comprehensive Journey Assessment tool, which evaluates each trip and assigns a risk level to the trip: Level 1, low risk (less than 14 points); Level 2, medium risk (15–24 points); Level 3, high risk (more than 25 points). Evaluation points include security, number of vehicles, distance from base, road conditions, day or night driving, weather, communication, driver hours on duty, trip duration, and driving contractors usage, and all are given a score. By the way, Colin scored 52. His trip would be considered routine with escalating factors. OGP has a whole list of escalating factors that crank up the risk dynamic, including weather, road conditions, driver experience, and wildlife.

In 2007, Weatherford began an ambitious Journey Management pilot project. The concept of Journey Management has been a non-negotiable global policy in the organization for some time, but the drilling services group in Canada has taken it to a whole new level.

“There are numerous methods of staying safe while driv-ing—manual forms and location managers/dispatchers tracking journeys—but we took it one step further and created a com-munications centre that connects our people with a live person 24/7,” explains Andy Barnes, Weatherford’s fleet safety manager for Canada. “We have people driving long distances, in remote areas and in all kinds of road conditions. The communications

operator is the check-in point and if required can dispatch emergency-response teams.”

The system has been so successful it rolled out across Canada in 2009 and is being implemented in the United States this year. Employees like the resource so much that they use it for off-duty trips as well. Too bad Colin doesn’t work for Weatherford.

It is all well and good to sound the alarm bell, but it does no good if we don’t make changes.

Colin has decided that he needs to make some changes to his routine. He is going to take Journey Management seriously and get adequate rest (at least seven hours in a quiet, cool place), adopt a ‘grazing strategy’ for eating instead of skipping meals and gorging, hydrate throughout the day, pull over and take rest breaks, and make time for physical and social activities in his schedule.

In addition, he has committed to programming his GPS before he departs, leaving the satellite radio alone and driving to the road conditions, even if that means he arrives—alive—at his des-tination five minutes later. Most importantly, he is looking at his cellphone in a whole new way. It is still in his vehicle in case of emergency, but it stays turned off.

Most of us view time in our vehicles as ‘dead time.’ We tend to try to fill it with activities that we didn’t get done before we got behind the wheel or with things to just pass the time. Journey Management is designed to elevate driving from a passive state to an active state. Colin told me something that made perfect sense. He changed his behaviour because he did not want the idea of ‘dead time’ to become deadly.

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1

which RSS is measured. According to Madson, the down-side is that, when drilling directionally, RSS can’t match the angle-build rate conven-tional mud motors have achieved.

“But it’s a lot faster—it just can’t get the same build rate, which isn’t a problem,” says Madson. “You just have to drill the well a little deeper at the end.”

Madson’s colleague agrees. “If you’re trying to build a curve, I think about the best we ever did with a conventional mud motor was 10 to 15 feet per hour,” says Swift’s senior drilling engineer, Harry Dearing. “With [RSS], typically, we would do about 20 to 30 feet an hour building the curve.”

Dearing says rotary steerables—not just Weatherford’s Revolution—tend to make the longer casing strings that are common in long-reach horizontals easier to run. “We found we had a lot more issues around running casing through the curves when we used con-ventional bent sub-housing [mud] motors,” he says.

Under ideal conditions, the men agreed Revolution could shave as many as four to six days off a 40-day well. RSS is available in four bottomhole assembly sizes, from 4 3/4 inches to 8 3/4 inches.

Copyright JuneWarren-Nickle’s Energy Group

oilfield service firm claims its rotarysteerable cuts acleaner wellboreby James Mahony, New Technology Magazine

Many drilling engineers agree that rotary steerable tools using “push-the-bit” technology have a greater tendency to cut scored, spiral wellbores than “point-the-bit” tools.

According to Weatherford, which markets its Revolution rotary-steerable system (RSS) in Canada, the gun-barrel borehole that most drilling engineers consider ideal is due to point-the-bit technology, an innovative solution for an unusual challenge.

Comparing point- and push-steerable tools, Weatherford says point-the-bit tools often use lateral force to cut, using a polycrystal-line diamond (PDC) bit’s side-cutters, while push-the-bit systems like RSS use a bit-stabilizer as a fulcrum, aiming the bit while using the bit face, rather than side-cutters, to drill.

The result, says Chris Hartley, Weatherford’s technical director, is that “production costs of maintaining the well go down, because you don’t throw dog-legs or put a kink in it.” The borehole “stays fairly smooth…and you end up with an overall lower cost,” he adds.

Lower costs partly reflect the ease of getting casing into a clean borehole, as opposed to a scored, twisting one. Rolled out in March 2009, Revolution RSS was designed for long-reach, direc-tional wells in U.S. shale gas plays.

According to Hartley, Revolution RSS has drilled nearly two million feet worldwide and over one million onshore North America. While available in Canada, the U.S. well count for RSS is higher, although exact figures were not available.

RSS may be making its mark. Canadian users would not go on record, but a U.S. user that used RSS in 10 long-reach, horizontal gas wells in Texas and Louisiana was more forthcoming.

“I’d say it gives you speed…and a smoother wellbore,” says Matt Madson, Swift Energy Company’s drilling engineer. “As far as getting casing into a lateral that’s 5,000 feet out, it gives you a lot smoother wellbore to push that casing through.”

Before RSS, drillers often drilled directionally with a mud motor and bent sub-housing, and that’s the standard against

s tud ies in innovat ion

Weatherford’s rotary steerable system uses point-the-bit technology to drill more accurate horizontal wells.

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Page 28: 2010 CADE * CAODC Drilling Conference Guide

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Page 29: 2010 CADE * CAODC Drilling Conference Guide

2

eDsicombines 4g oil-based mud system with

dryer technologyto reduce fluid costs and drilling timesby Paul Wells, New Technology Magazine

The company behind an innovative, patented invert-drilling mud system is confident it has developed the first significant change in oil-based mud design in more than 50 years.

Formed in 2005 with the specific goal of changing the game in the drilling fluids industry, Engineered Drilling Solutions Inc. (EDSI) delivers lower-cost mud systems that improve drilling performance to dramatically reduce operating costs.

In fact, EDSI says that its 4G system decreases drilling fluid maintenance costs by as much as 30 per cent, while reducing drilling times. The chemistry used in 4G—which is based on the use of environmentally sustainable emulsifiers, some of which are purchased from Alberta and Saskatchewan farmers—avoids the self-cannibalizing chemistry of competitor systems.

Most rival systems are based on crude tall oil (a by-product of wood pulp manufacture commonly used in industrial processes) as well as diethyl triamine (DETA) emulsifiers and oil wetting agents that inhibit the performance of organophilic clay—the most expensive component of an oil-based drilling fluid. The emulsifiers are adsorbed by the organophilic clay, thereby reduc-ing viscosity, which requires more clay additions. Consequently more emulsifier additions are required, which effectively results in a negative feedback loop that increases the maintenance costs for operators as shown in the attached graphic.

With its unique chemistry, 4G has much lower daily maintenance costs and obtains significantly better performance from organophilic clay by binding the clay platelets together into more stable structures. This allows EDSI to use more cost-effective clays that do not yield well in conventional systems.

“We have been able to substitute from Bentone 150 to Bentone 920 without compromising performance at a significant cost savings to our customers,” says Pomerleau.

The 4G system also exhibits exceptional shear-thinning poly-mer or power-law type rheologies exemplified by low plastic viscosities (PVs) and high yield points (YPs).

“In some cases we have even seen inverted ratios where the PV is lower than the YP,” Pomerleau explains. These unique rheological properties give the user excellent lifting capabilities in the annulus or wellbore, ensuring optimal hole cleaning, while at the same time providing low viscosity—approaching the viscosity of the base oil used—at the drill bit to increase drilling rates.

Additionally, Pomerleau says 4G reduces pressure losses in the drill string, allowing for higher pump rates and therefore higher impact force at the bit face.

As well, EDSI is able to easily viscosify its fluid at much higher oil-water ratios, which is well suited to MPD applications and multi-phase drilling environments where nitrogen is injected into the wellbore concurrent with the drilling fluid. Maintaining a higher oil-water ratio allows customers to drill with densities as close to base oil as possible. Moreover, Pomerleau says the viscosity is minimized, which reduces the surface tension of the fluid on the cuttings, resulting in lower surface losses.

“This same shear-thinning characteristic reduces the losses of expensive oil-based mud at surface by separating from the cuttings as they are processed by shakers and centrifuges,” he notes. “With surface losses accounting for as much as 50 per cent of a typical oil-based drilling fluid bill, this is an area where 4G provides the user with a realizable gain.”

In 2008, Pomerleau identified the last major challenge as “solving the shaker dilemma, and this remains a top priority.” Pomerleau now believes he has solved this quandary after successfully testing a cuttings dryer that utilizes suction to recapture oil-based mud.

“We have been able to recover useable drilling fluid with this new patent-pending drier and have achieved levels of oil wetting as low as 5.6 per cent by weight. With the gamma prototype in place now for two months, we are commercializ-ing the technology.”

Copyright JuneWarren-Nickle’s Energy Group

s tud ies in innovat ion

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Contact Enform today for more information.Email: [email protected]

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edmonton company finds niche in cementing equipmentby Lynda Harrison, New Technology Magazine

Top-Co LP has been exclusively designing, manufac-turing, and distributing casing cementing equipment since 1963. “We’re specialists. There’s only a handful of companies in the world that supply these prod-

ucts, and we have no intentions of moving outside our niche,” says Gerald McLaughlan, president and chief executive officer.

The company specializes in two product lines: float equip-ment and centralization equipment, both of which are used in the primary cementing of casing in oil and gas wells. Centralizer products, just as the name suggests, are used to centre casing in the wellbore so they can surround it with cement.

Top-Co also has a $3-million, computerized flow-test loop facility that enables the company to test new products before they go to the field and to conduct failure analysis on prob-lematic equipment.

The machine circulates drilling mud through float valves. It digitally monitors and records flow volumes, temperature, and the valve’s ability to handle the back pressure it would encounter in an actual well. It also ensures tools perform to American Petroleum Institute standards.

“There is nothing like it in the industry, and it’s sitting here in little old Edmonton,” says McLaughlan.

The flow-test loop facility tested a special cementing plug designed for a project offshore Newfoundland where rigs can cost $500,000 a day to rent, so it’s imperative that there are no problems or delays.

“We were able to design it, build it, test it, and through a web broadcast, engineers in Newfoundland and Calgary were able to witness the test so they could be fully satisfied it would perform to their specifications before taking the risk of putting a unique product in the well and encountering a prob-lem,” says McLaughlan.

The item was built in five days, says Faisal Rashid, an engineer who does Hibernia’s desk design evaluation and services for clients. He witnessed the test in St. John’s and was

very happy with Top-Co’s service. “The response was very quick, professional, and we got very good support, very good communication,” he says.

The company has also diversified—geographically. Three years ago, 50 per cent of Top-Co’s revenue was derived from Canada, whereas it is now split 25 per cent domestic and 75 per cent export. The company is actively selling in 62 coun-tries, and most of its recent growth has been focused in the Middle East, Southeast Asia, and North Africa.

Top-Co has more than doubled its revenue in three years thanks to international expansion, earning a nomination from the Alberta division of Canadian Manufacturers and Exporters for the inaugural Alberta Export Awards.

Copyright JuneWarren-Nickle’s Energy Group

s tud ies in innovat ion

Top-Co’s $3-million flow-test loop facility allows for full testing of new mud products.

Ph

OTO

: TO

P-C

O L

P

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WHY ENSIGN?• Diverse operations worldwide• Commitment to safety and customer service• Committed to operational excellence

“Performance Excellence – Second to None”

For further information contact:

Corporate Head OfficeENSIGN ENERGY SERVICES INC.Suite 1000, 400 – 5th Avenue S.W.Calgary, AB Canada T2P 0L6Tel: (403) 262-1361 Fax: (403) [email protected]

•AutomatedDrillRigs(ADR™)•ConventionalDrillingRigs•DirectionalDrillingServices•WellServicingRigs

Services available from Ensign include:•UnderbalancedDrillingUnits•BraidedandSlicklineWirelineUnits•ProductionTestingUnits•CoringRigs

•CampServices•OilfieldEquipmentRentals•ManufacturingofOilfield

ProductionEquipment

GlObal REaCH • lOCal FOCUS

Page 33: 2010 CADE * CAODC Drilling Conference Guide

rig sPecifications

In what applIcatIon does thIs rIg work best? This rig is suited for various applications. One application is on a multi-well pad drilling horizontal wells in the Horn River area for deep shale gas. Another is drilling deep, highly deviated wells in high-pressure for-mations in the Cut Bank area. This rig is one of the most technologi-cally advanced land-based drilling rigs in North America.

what does thIs rIg do best? Drill horizontal wells on a multi-well pad. Operations in the past have found “batch” drilling to be cost effective. This involves drilling all the surface holes one after another minimizing drilling fluid waste and wait-on-cement time. The rig can also move from well to well on its own using the skid system.

In what depths does It work? 0–4,500 m true vertical depth

what’s the deepest well depth It has drIlled? Trinidad Drilling Rig # 48 5406 TMD Horn River Area.

why would an engIneer hIre thIs rIg? Whether rig T-48 is in single well state or multi-well mode this rig is very versatile. The AC driven top drive, drawworks, and mud pumps provide precise accuracy for intricate well designs. As well, this rig can self-skid with up to 5,000 m of five-inch drill pipe racked in the derrick.

number of loads Summer: 38 Winter: 39

depth ratIng 4,500 m vertical depth with 4” drill pipe

mast sIze (142’) Cantilever triple (SHL) 289,000 daN 650,000 lb with 10 lines

substructure One-piece centre steel with integral blowout pre-venter (BOP) handling hydraulic swing up. 27’–6” wide x 25’ high Setback capacity: 222,500 daN (500,000 lb) Clear working height: 6.55 m

bop equIpment Six-station (680 L) accumulator 13 5/8” x 5 m Class V BOP

mud tanks Two tank, total capacity 150 m3 covered by metal roof

pumps Two Gardner Denver PZ-10s Each powered by 2-GE 752; 749 kW (1,000 hp

generators and ac drIves 2 x Cat 3512 c/w 1225 kW Kato generator 1 x Cat 3508 c/w 1050 kW Kato generator and elec-trical control room

catwalk Canrig Range III automated hydraulic catwalk PM-3000

top drIve Varco TDS—11—500 ton AC Drive (445,000 daN)

Iron roughneck Canrig TM 120 fully automated hydraulic wrench

trinidad DrillingPad capable triplerig guiDe

OUR QUICK AND DIRTY VITALS FOR SLANT, FOOTHILLS, AND PAD RIGS

r e f e r e n c e r i g g u i D e

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Compass Directional Services Ltd. is an independently

owned Canadian Directional Drilling contractor.

We provide leading edge technology and personnel

to plan and drill directional, horizontal and short

radius wells for the oil and gas sector.

tel: 403.237.8799 fax: 403.237.8882 email: [email protected]

www.compassdirectional.com

The Pace Setters

Take your pick. We’ve got you covered.

UnConventional.www.drdirectional.com

DENVERPh. 303.877.9736

HOUSTONPh. 713.267.9336

CALGARYPh. 403.920.0208

WELLBORE MONITORING | REMOTE STEERING | MWD RENTALS | PERFORMANCE MOTORS | DIRECTIONAL SERVICES

Page 35: 2010 CADE * CAODC Drilling Conference Guide

rig sPecifications

what Is unIque about thIs rIg desIgn? The “command centre” within the rig’s doghouse enables the driller to monitor and control rig operations with complete precision. The rig’s automation also dramatically reduces job hazards, as in many instances it is impossible for an operator to make a mistake. Additionally, upgrades to the rig’s operating systems can be done via the Internet without personnel physically at the rig.

where could thIs rIg be found workIng? Savanna Drilling 652E and its sister rig 653E have been under contract since delivery. Capable of working anywhere in the world, these rigs are currently being utilized in northern Alberta and northern British Columbia working for various operators.

what Is the effectIve depth range of thIs rIg? 652E and 653E are rated to 4,200 m, but depending on well design, they’re capable of drilling deeper.

what was the most challengIng project worked on, and why? All wells present their own challenges, however rig 653E started in the Horn River Basin in January, which was very cold and remote. In spite of challenging conditions, 653E managed to set pacesetter wells for the operator.

why would a drIllIng engIneer hIre thIs rIg? The advantages to hiring Savanna Drilling’s AC electric rigs are myriad. As telescopic doubles, they have the advantage of being highly mobile while reaching depths normally reserved for triples. The rigs can be moved out of one location and be en route to the next in as little as three to four hours. The short answer: faster, safer wells that cost less to drill.

In what applIcatIons does thIs rIg work? What have you got? These rigs are designed to work well wherever they drill.

what does thIs rIg do best 652E and 653E essentially outclass most rigs in every capacity. They were designed based on direct input from rig managers with many years of drilling experience to incorporate a driller’s “wish-list” of features and benefits.

what Is the deepest well ever drIlled wIth thIs rIg? Recently, a Savanna Drilling telescopic double (rig 639) reached a depth of 4,868 m.

savanna Drilling 652eTelescopic double

r e f e r e n c e

drawworks ARS-1202 AC 1200 hp

mast

Hodgson ultra-heavy telescoping double Clear height: 106 ft/32 m

substructure

Hodgson one-piece Setback capacity: 350,000 lb/156,000 daN Casing capacity: 400,000 lb/178,000 daN

mud pump #1 (trIplex) BPMMP-HHF-1000 (1000 hp/746 kW)

mud pump #2 (trIplex) BPMMP-HHF-1000 (1,000 hp/746 kW)

mud tanks (2) Total volume: 2,600 ft³/74 m³/465 bbl (Tank 1) 2,200 ft³/62 m³/390 bbl (Tank 2) Useable volume: 4,200 ft³/120 m³/755 bbl

lIght plants Electrical power distribution: Dual AC Diesel generator with 110–208–600 volts

well control

BOPs: 11”/279.4 mm x 5,000 psi/35,000 kPa NACE

Annular-blind-HCR-pipe-rotating spool

hoIstIng and rotatIng equIpment

High-quality block and hook capacity: 300 ton/267,000 daN

wInterIzatIon Two-pass Saskatoon boiler (125 hp) with steam lines

loads Summer: 27 (with six pipe tubs and all DP)Winter: 28

r i g g u i D e

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rig sPecifications

In what applIcatIon does thIs rIg work best? It is best suited for multi-well pad drilling. The more wells that are on the pad, the more cost-effective the operation will be. With the moving system and small substructure footprint, this application can also be used for re-entry or new drills on old pads with existing wellheads. Currently, this rig is drilling horizontal Montney wells on multi-well pads.

what advantages does thIs type of rIg offer? The umbilical system, paired with the moving system, allows the rig to manoeuvre on tight pad configurations. Trucks are no longer required to move equipment between wells, cutting down on time and trucking costs. This rig also offers the latest AC technology, allowing the operator to maximize the capability of the rig without compromising efficiently.

how many of these rIgs does nabors have? By the end of the year, Nabors will have nine umbilical, self-moving rigs and a total of 15 rigs with self-moving systems in their fleet.

nabors 97actDcomplete with moving system

r i g g u i D e

depth ratIng 4,600 m, with 5” sour service drill pipe

rIg power Three each—3512C Caterpillar 1100 kW per set

top drIve Canrig 6027AC capable of 275 tons (244,700 daN)

umbIlIcal system Capable of extending 200 ft (61 m)

mud pumps Two each—Gardner Denver PZK-10 (1,350 hp)

hydraulIc catwalk and Iron roughneck Canrig Technologies

derrIck and substructure Cantilever triple with swing-up sub-structure capable of 240,000 daN

shale shakers Two each on central system Two each on scalping tank

mud tanks 260 m3 total active volume

bop 13 5/8” 5,0001b NACE trim

number of loads 45, with no crane required

r e f e r e n c e

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what Is unIque about thIs rIg desIgn? The ADR 300 does not have a conventional drawworks—it uses hydraulic cylinders to hoist the drill string. The entire tubular handling system (which includes the pipe tubs, pipe arm, slip handler, iron roughneck, and top drive) is automated and remotely controlled from the control cabin. The design allows the entire centre section (mast, sub, top drive, iron-rough-neck, catwalk, and pipe arm) to be rigged out in less than one hour and moved as one load. The ADR 300 has a versatile layout, which means that it can be rigged up around existing equipment or even on two separate leases.

where would thIs rIg usually be found workIng? Ensign’s hydraulic ADR units are currently deployed throughout the world—Australia, Africa, the Middle East, and all three countries in North America.

what Is the effectIve depth range of thIs rIg? The small footprint and very fast move and rig-up times allow this rig to work efficiently from 1,000 m to over 3,000 m vertically and deeper horizontally.

what was the most challengIng project worked on and why? The Occidental Petroleum Corporation Elk Hills project in southern California. The locations available to the rig in this very old field are of varying shapes and sizes, with some locations hav-ing multiple operating pumpjacks that the rig fit around. Some holes are drilled with the rig itself on one lease and the central system (gen sets, pumps, and tanks) on another. The well profile (3,000 m true measured depth—or TMD—horizontals), weather conditions (over 45ºC), and continuous operations (no days off for breakup, etc.) required detailed maintenance planning.

ensign rig 533 aDr 300

r e f e r e n c e r i g g u i D e

rig sPecifications

number of loads 11 (not including tubulars)

depth ratIng 3,200 m

hoIstIng capacIty 133,440 daN

top-drIve drIllIng torque 27,000 ft-lb @ 80 rpm

pull-down capacIty 20,000 lb

mud pumps up to 2 x 1,600 hp as per customer requirements

mud tanks up to 2 x 60 m3 as per customer requirements

why would a drIllIng engIneer hIre thIs rIg? The ADR 300 is safe (no rig crew contact with drill string), fast (drilling, tripping, and moving), and efficient (equipped with top drive, runs casing up to 13 3/8” and has pulldown capability). The rig has proven that it can outperform telescopic doubles and triples on a spud-to-spud comparison.

what applIcatIons does thIs rIg work In? With the ability to fit large blowout preventer stacks (over 4.4 m clear working room) and no pipe-racking limit, the rig performs well in any area and well profile up to 3,200 m TMD.

what does thIs rIg do best? The ADR 300 outperforms the competition in rig release-to-spud times, casing running costs, and rig-up versatility.

what Is the deepest well ever drIlled wIth thIs rIg? 2,000 m vertical and 2,900 m TMD in California.

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“Ryan’s project execution in the field

is what makes the difference.”

Ryan Energy Technologies2800, 500-4th Ave SWCalgary, AB T2P 2V6PH: 403-269-5981

Suite 1110, 340 - 12th Avenue S.W.Calgary, AB T2R 1L5Bus: (403) 261-7097

www.barlon.ca

Our Business Is Service.

Our Expertise Is Engineering.

Remember that engineer who never left the office? - ate his lunch at his desk- came in early, stayed late- worked on weekends- got the job done

We are him.Are you looking at drillingAre you looking at drilling, completing, working over or abandoning? Need well licence applications, drilling and completion programs, or wellsite supervisors?

LET US DO IT FOR YOU.

SINCE 1982, IF IT’S DOWNHOLE IT’S US.

At Barlon we mean business, 24 hours a day, 7 days a week, every week of the year.

Phone Us.

Alberta | British Columbia | Saskatchewan

(403) 250-5417www.rigsat.com

● Computer Management● Rig Intercoms (VOIP capable)

● Cellular Repeaters● Portable Cell Towers

● Two Way Radios● Portable Sat Phones

● High-Speed Self-Seeking Sat Dishes● Portable Gas Detection

Page 39: 2010 CADE * CAODC Drilling Conference Guide

It is believed North America has about 100 years worth of clean-burning natural gas, right beneath our feet, waiting to be extracted. In 2009 alone, approximately 70 billion cubic feet of natural gas was extracted daily. America’s Natural Gas Alliance (ANGA) estimates that number to grow substantially in the next few decades. And for us, that’s a breath of fresh air. Literally. We are Encana.

www.encana.com

Page 40: 2010 CADE * CAODC Drilling Conference Guide

Delivering the industry intelligence relied on by oil and gas professionals for over 25 years.

We are proud to support the efforts of the CADE and CAODC.

Enjoy thE ConfErEnCE!

www.rigdata.com