drilling & well completion-an introduction

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    Drilling & Well Completion-An

    Introduction

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    Geological studies and seismic surveys can

    point the way to a hydrocarbon prospect. But

    there is only one way to know if that prospect

    contains oil or gas, and that is to drill a well.

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    Joint Venture

    Drilling projects are team undertakings. They encompass a widerange of disciplines and job functions, from geology, geophysics andengineering to operations, support and logistics, safety andregulatory compliance, management and administration. Projectteams are often part of alliances that include:

    The oil or gas company (also known as the operating company oroperator), along with any joint venture partners having an interestin the well;

    An outside drilling contractor who provides the drilling rig and thepersonnel to run it; and

    One or more service companies that provide specialized equipmentand expertise at various stages of the project. The largest of theseservice companies may offer integrated project managementservices that include contract drilling.

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    Well Location

    The working relationships that characterize a drillingproject depend on the well's location, thearrangements between the companies involved in theproject and the number of personnel involved.

    A small onshore rig may be crewed by no more thanfive contractor employees and managed by just one ortwo contractor and operator representatives, whilesome large offshore drilling operations may have

    several rig crews and groups of specialists totaling 50or more persons, along with dozens of land-basedtechnical and support personnel.

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    Drilling Objectives

    All drilling operations have three basic objectives:

    Drill safely. Health, safety and environmental (HSE) considerations supersede allother goals, even if they require changing plans, delaying operations or incurring

    extra costs.

    Provide a fit-for-use well. Whether it is drilled for exploration, prospect appraisal

    or field development, a well must meet the needs that led to it being proposed in

    the first place. As a minimum standard, it should be drilled without damaging the

    borehole or any potential producing formations, and it should satisfy the design

    requirements for formation testing, data gathering, oil and gas production or other

    post-drilling activities.

    Minimize overall well cost. It is therefore in everyone's interest to control well

    costs. In this context, it is important to consider the total cost over the life of the

    well, and to balance this cost against the first two objectives of safety and wellusability. An offshore well in West Coast of Africa may cost up to 30 times higher

    than an average onshore well in the US. Since drilling is the most expensive

    component of the entire exploration and field development process, the oil&gas

    industry pays a lot of attention to improve drilling efficiency and cut drilling time in

    order to control well costs.

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    While drilling rigs often work in remote locations, they may also

    be found in settled or even urban areas, as shown in Figure 2.

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    Drilling Rigs

    Most drilling rigs operate 24 hours per day, 7 days per week. Rig crews work 8 or 12-hour

    shifts or tours (pronounced towers), in rotations that last anywhere from one to four weeks

    or more, depending on the location.

    The subsurface conditions that drilling crews encounter are as varied as their hours and work

    locations. The total depth (TD) of a well may be anywhere from a few hundred to more than

    20,000 feet. It may be possible to reach TD by drilling straight down, or it may be necessary--

    and sometimes beneficialto drill part of the well at an angle or even horizontally. Along theway, there might be any number of rock types, including loose gravel, soft, sticky clay or

    shale, abrasive sandstone, hard carbonates and even salt. Each rock type presents its own set

    of challenges. Subsurface pressures may range from a few hundred at the surface to 5000,

    10,000 or even 20,000 pounds per square inch ("psi") at deeper depths. In some wells it is

    not always easy to predict the expected pressure level. Temperatures may likewise range

    from near-surface conditions to 400 F [200 C] or more. And there is often a good chanceof encountering toxic or corrosive gases.

    Before drilling even begins, a project team has to plan what will happen after TD is reached

    whether it will be completed as a producing well or abandoned and how the well will fit into

    overall reservoir management objectives. These and other considerations will affect project

    planning, well design and drilling operations.

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    Rig Counts When business analysts want to get a feel for the oil and gas industry, they often

    look at rig counts such as the ones published weekly and monthly by Baker Hughes

    (http://www.bakerhughes.com/investor/rig/). These provide current and historicaldata on the number of drilling rigs working in various parts of the world. This

    information is valuable because the drilling sector, being at the leading edge of oil

    and gas development activity, is particularly sensitive to such factors as oil price

    fluctuations and economic conditions of the industry (Figure 3).

    http://www.bakerhughes.com/investor/rig/http://www.bakerhughes.com/investor/rig/http://www.bakerhughes.com/investor/rig/http://www.bakerhughes.com/investor/rig/http://www.bakerhughes.com/investor/rig/http://www.bakerhughes.com/investor/rig/http://www.bakerhughes.com/investor/rig/http://www.bakerhughes.com/investor/rig/
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    Drilling Technology

    Virtually all oil and gas wells today are drilled using the rotary method, in

    which rock is broken into small particles or cuttings under the weightapplied to a rotating drill bit (Figure 5).

    The bit is made up on (i.e., screwed into) the end of a drill string, which consists of

    individual lengths orjoints of hollow steel pipe about 30 feet long (Figure 5). The drilling

    rig, acting as a type of hoist, lowers the pipe into the well. Each time the bit drills the

    equivalent of one pipe length, drilling is stopped while another joint of pipe is added to

    the stringa procedure is known as making a connection. In this way, the well iseventually drilled to TD.

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    As the bit drills ahead, a specially formulated drilling fluid or mudis

    continually pumped or circulatedfrom the surface, to the bottom of the well,

    and then back to surface to cool the bit and remove the cuttings (Figure 6).

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    Phases of Well Construction

    Well drilling and completion involves a number ofdistinct project functions. Companies may differ as towho is primarily responsible for each function, andwhere one function ends and another begins, but one

    good breakdown would be as follows: Well Planning

    Well Design

    Drilling Operations

    Formation Evaluation and Testing

    Well Completion

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    Resource

    http://www.petroleumonline.com/content/ov

    erview.asp?mod=4