Operation Efficiency Vs' Drilling Efficiency

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Operation Efficiency Vs.Drilling Efficiency

• Chris Papouras
• Epoch Well Services, Inc.
• Canrig Drilling Technology, Ltd.

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Safety Moment

• In Case Of Fire .

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Overview

• Drilling costs can average 25 45 of the
  production cost..
• These costs can vary as much as 50 within an
  area because of drilling practices..
• In some areas, these costs can exceed 1 million
  per well..

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Why ?

• Reduce daily rig cost
• 10,000 - 750,000 per day
• 416 - 31,250 per hour
• Increase profitability
• Efficiencies improve well economics
• 100 bbl 2,000 bbl per day
• 6 months earlier production
• .5 11 million opportunity cost

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Challenge

• Operation Efficiency gains are realized by
  reducing rig flat time. Unplanned flat time is
  typically caused by equipment failure, hole
  problems and personnel.
• Drilling Efficiencies are the increase in ROP, or
  Rate Of Penetration. Rather than impacting flat
  time, the Operators analyze real time drilling
  data, and adjust the drilling parameters to drill
  more efficiently.

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Solution

• Analyze operations
• Develop or identify best practices
• Our solutions for optimizing drilling
• Consolidate and integrate drilling and well site
  data
• Enable effective collaboration with entire
  organization
• Enable efficient deployment of existing
  technologies
• Develop Drilling Automation technologies

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Top Operational Inefficiencies

• Manual Drilling Process
• 3. Rig Factors
• 2. Personnel Issues
• 1. Drilling Factors

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Operational Inefficiencies

• Drilling Factors
• Loss of Well Control
• Lost circulation
• Kick
• Blow out

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Operational Inefficiencies

• Data consolidation, transmission and archival
• Integrate multiple data sources to more rapidly
  identify increases in flow and / or gas shows as
  a possible kick
• Alerts for rapid problem identification
• Improved response time from office
• Problem resolution is collaborated, data shared
  and monitored with Geophysicists, Geologists,
  Drilling Engineers, Company Man, and Management

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Operational Inefficiencies

• Drilling Factors
• Losing well control
• Lose circulation
• Kick
• Blow out
• Hole conditions
• Stuck pipe
• Parted pipe
• Unnecessary trip (changing bits and reaming)

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Theoretical vs Actual
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Operational Inefficiencies

• Factors at the rig
• Equipment failure / repair
• Alerts for equipment condition monitoring (ECM)
• Top Drives
• Engines and Motors

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myWells Support Center
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Operational Inefficiencies

• Factors at the rig
• Equipment failure / repair
• Alerts for equipment condition monitoring (ECM)
• Top Drives
• Engines and Motors
• Downtime analysis reporting
• Mud pump downtime
• Top Drive downtime
• Logistics
• Waiting on equipment, material, and personnel
• Alerting vendors when nearing depth or condition
• Regulatory compliance via on demand reports
• Submitting BOP and Cementing tests

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Operational Inefficiencies

• Rig Automation Technologies
• Automatic Floor Wrench
• Reduces safety incidents
• Reduces connection time variability
• Assures connections to specification

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Operational Inefficiencies

• 4. Rig Automation Technologies
• Automatic Floor Wrench
• Automatic Catwalk
• Reduces safety incidents
• Improves pipe handling
• Eliminates casing pick up and lay down operations

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Operational Inefficiencies

• 4. Rig Automation Technologies
• Automatic Floor Wrench
• Automatic Catwalk
• Top Drives
• Reduces safety incidents
• Reduces stuck pipe
• Improves drilling time due to triples versus
  singles

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Operational Efficiencies Summary

• Integrate real time data to
• rapidly identify problems
• improve response time
• collaborate for resolution
• Efficiently correlate theoretical models to
  actual data to optimize hole conditions
• Rig Automation to improve personnel efficiency
• Equipment Condition Monitoring and analysis to
  reduce rig flat time due to failure

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Drilling Efficiencies

• Collaboration
• Mechanical Specific Energy (MSE)
• Stick Slip Analysis (SSA)
• Rig Technology

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Collaboration

• Leveraging limited or remote technical expertise
• From rig
• To office

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Remote Directional
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Remote Directional
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Remote Mudlogging
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Collaboration

• Leveraging limited technical expertise
• Correlation
• Empirical versus Actual
• Historical to Real Time

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Mechanical Specific Energy

• MSE is a measure of the efficiency of the energy
  that is applied to the formation
• Improve drilling by varying WOB, RPM, and Pump
  Pressure based on well conditions
• Improves instantaneous ROP (reported increases of
  133)

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Stick Slip Analysis

• SSA
• Monitor torsional vibration to reducing bit
  bouncing and whipping
• Increases ROP
• Increase or optimize bit runs

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Rig Technologies

• Auto Drillers
• Electronically measures and applies precise
  drilling controls for WOB, ROP, and ?P
• Adjust to achieve maximum ROP with automatic
  drill-off test
• Yields up to 33 drilling improvements

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Drilling Efficiencies Summary

• Collaboration
• Increase analysis of historical performance or
  ROP data and correlate in real-time
• Improves both flat time and drilling time
• Remote access leveraging limited technical
  expertise
• Utilization of MSE and SSA
• Adjust drilling parameters in real time by using
  drilling efficiency analysis for maximum ROP
• Optimize drill bit performance
• Paradigm shift from manual to automated drilling
• Increase utilization of rig technology
• Auto Driller

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Q A

• Thank You