EP 20715_b_A_ppt_00 Drilling introduction

DRILLING INTRODUCTION

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Number of wells drilled per year in the world :

Around 50 000 to 80 000 with the following repartition :

40 % drilled in the USA,

20 % in Canada,

10 % in China,

10 % in Russia.

Approximately 1 000 000 of producing wells in the world with

around 600 000 in North America,

Average vertical depth of the wells : 1 500 m,

Maximum vertical depth : around 12 000 m (Germany, Russia),

Maximum length drilled : around 13 000 m (Total in Argentina,

BP in UK : Witchfarm field).

Introduction

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Drilling and completion :

Drilling: operations (drilling, running casing, cement job, logging, ..)

to drill a hole to link the reservoir to the surface,

In fact a small part of the time is spent in actual drilling (around

30% of the time).

Completion: operations (perforations, running tubing, safety

devices installation, clean up and starting the well, ..) done after

the drilling of the reservoir in order to equip the well and get it to

produce.

Drilling process : Rotary drilling

Weight and rotation are applied on a bit to destroy the rocks, the

circulation of a fluid allowing to carry the cuttings to the surface.

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Well duration :

According to the depth and the formations to be drilled:

For drilling as an average :

1 week to reach 1000 m vertical depth,

3 weeks for 2 000 m,

6 weeks for 3 000 m,

12 weeks for 4 000 m.

For completion : 1 to 3 weeks.

For rig move :

1 to 2 days for some offshore rigs (jack up, semi, drill ship, swamp),

2 to 10 days for a land rig.

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Cost to drill and complete a well :

Depends on :

Type of rig that is used,

Rig availability,

Used equipment (deviation tools, wellhead, logging, etc.),

Environment.

The present cost of a well is :

1 000 000 $ / day for deep water operations,

50 000 to 100 000 $ / day for land operations,

200 000 to 300 000 $ / day for jack up operations.

The total cost of a well : a few tens of millions dollars,

The rig rental is around 30 to 50 % of total well cost.

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Organization of drilling and completion operations :

The operator is supervising the operations,

Some service companies are doing the job:

The drilling contractor supplies the rig and the personnel to operate

the rig,

Transocean, Saipem, Schlumberger drilling, Pride Forasol, more and

more Chinese companies onshore, etc.,

Cement, mud, logging, deviation, mud logging companies, companies

supplying equipment (bits, tools, completion, etc.), etc.,

Mainly 3 majors groups : Schlumberger, Halliburton, Baker Hughes

Inteq,

An average of 10 - 20 service companies are involved in making the

hole.

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Contracts :

Day rate :

The daily rate is fixed by contract (x $ / day),

The operator has a contract per service company involved in drilling

and completion operations. On the rig, he is in charge of the

operations and gives the instructions to the service companies.

Incentive :

Same than the daily rate but the service company receives a bonus or

a penalty according to the performances,

The operator gives the instructions for the srevice companies.

Turnkey :

A lump sum is agreed upon for an operation : it could be to drill the

full well or just for a specific operation (moving, BOP nippling up, ..),

The operator is only a witness.

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Contracts :

Generally several types are used when making a well :

Daily rate and incentive with the drilling contractor for a part of the

drilling operations (drilling, running casing, ), but a lump sum for

specific operations (moving, BOP, ..),

Lump sum or daily rate with service companies according to the type

of operations.

Generally each company (operator, service companies) is

responsible for its personnel and equipment.

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Personnel to drill and complete a well :

Operator :

A company man in charge,

A night company man,

A mud engineer,

(A geologist).

Drilling contractor on land rig :

(A superintendent or an engineer),

A tool pusher in charge,

A night tool pusher (or tour pusher),

Two drilling crews (2 x 12 hours shift) with in each one :

A driller, an assistant driller, a derrick man, 3 floormen (or roughnecks),

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Personnel to drill and complete a well :

Drilling contractor on a land rig :

Maintenance crew :

A chief mechanic, a mechanic per shift, a chief electrician, an electrician,

A surface crew for pipes, mud products handling,

A catering crew,

Drivers for the crew change, nurse, HSE engineers.

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Personnel to drill and complete a well :

Drilling contractor on a fixed support (swamp barge, tender, jack

up), additional personnel :

A barge master (deck pusher, ..),

Two deck crews (2 x 12 hours shift) with in each crew :

A crane operator, 2 or 3 roustabouts,

A painting crew.

Drilling contractor on a floatting unit (semi-submersible, drill

ship), additional personnel :

Captain, stability engineer, DP (dynamic positioning) engineer,

seamen.

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Personnel to drill and complete a well :

Service companies :

Mud logging if there is a cabin,

Mud engineers for waste management if necessary,

Cement crew (3 to 4 persons),

Logging crew (engineer + 2 or 3 helpers),

Deviation engineer, logging engineer (MWD LWD),

Crew to run the casings,

Crew for the completion (wire line, coiled tubing, packer, DST,

),

Crew to move the rig.

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Number of persons to drill and complete a well :

On a land rig : 40 to 50 persons on site,

On an offshore fixed support (jack up, swamp) : 60 to 80 persons,

On a floatting unit : 80 to 100 persons,

A variable number is on the rig according to the operations. A

maximum number of persons is on board during completion

operations.

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Many risks linked to drilling, completion and well

intervention operations :

Risks of hydrocarbons and H2S kicks, leaks, ..,

Equipment under pressure ( 20 000 psi),

Rotating machines (drawworks, pumps, motors, ..),

Electrical hazard,

Handling of heavy equipment, work in height,

Many different operations, lot of persons involved

communication problems (noise, language), know how, skill,

Working zones difficult to keep clean (mud, ..),

Chemical products, radioactive sources,

Working zones in open air (cold, hot, rain, ..).

Health Safety - Environment