integrated production services wellhead management from day 1 december 11, 2001
TRANSCRIPT
INTEGRATED PRODUCTION SERVICES
INTEGRATED PRODUCTION SERVICES
Wellhead Management from Day 1
December 11, 2001
INTEGRATED PRODUCTION SERVICES
Agenda
• Who is IPS?• How have we managed our Gas Wells in
the past? • What is Wellhead Management from Day
1?• How do we ensure that our wells are
delivering the most Production possible?• How can the IPS/Menex solution deliver
higher profits?
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IPS Operating Units
Project Mgmt
& Engineering
Artificial LiftTools & Systems
Production Testing
SlicklineServices
Cased HoleElectric Line
Oil & Gas WellOptimization
Well Automation & Diagnostic
Instruments
ProductionManufacturing
Production&
ReservoirKnowled
ge
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Basic Common Shares 24.9 million Fully Diluted 27.2 million Recent Price (Dec 10) $2.20/share Market Cap (Dec 10) $60 million 52 Week High $4.30 52 Week Low $2.20
IPS the Public Company
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Majority Shareholders of IPS?
APPROXIMATELY 50% OF IPSSHARES ARE FREE TRADING
50%
4%
39%
7%
FREE TRADINGESCROWSCFHSBC
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How have we managed our Gas Wells in the Past?
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• Circular Charts• Daily, Weekly or Monthly Averages• Trends from various Scada outputs• Verbal reports from the well
operators• Web based access to data
What is the format of your production data?
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• Flow rates, line pressures and temperatures– Everything is fine– Production is up– Production is down– On line time for the well is lower than last
month– On line time for the well is higher than last
month
What does the production data tell us?
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• Casing and Tubing pressures; historically or current
• Why the well’s production is higher or lower than last month
• Why your well was the first one to be shut in and the last one to be started up following a disruption at the plant or in the flowline
What doesn’t the production data tell us?
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Typical Life Cycle of a Gas Well
Primary Production Secondary Production
Production/day
Normal DeclineWhat determines when we shift from primary to secondary Production?
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• What is it?– The minimum rate required which will enable
the well to lift it’s own liquids.
• Why does it change?– Lower reservoir pressure.– Higher liquid production.– Variance in line pressures.
• What does it do to your production?– Normally costs you production.
Critical Rate
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Typical Life Cycle of a Gas Well
Primary Production Secondary Production
Production/day
CRITICAL RATE
Normal Decline
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What do we do when the well’s rate falls below
critical? • Unload the well to a tank (on location or at the battery).• Drop Soap Sticks in the wellbore.• Shut the well in to build up wellbore and reservoir pressure.
• Install some new hardware:- Flow Intermitter- Velocity
String - Plunger Lift- Wellsite Compression
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What should we do to make sure we implement the best
solution? • Gather accurate downhole information.• Gather historical and current production data.• Analyze the gathered information.
• Prepare a recommendation and source the required equipment.• Implement the recommendations.• Continually monitor the results and make adjustments when and where required.
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• Changing field conditions.• The lack of field support.• The lack of engineering support.
What stops us from staying optimized?
• The industry has never had the right piece of equipment that combines technology and field tested hardware that will adjust automatically to the changes that occur in every wells life.
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• The Menex Philosophy – What would you do if you were an
operator living at the well 24 hours per day 7 days a week with direct communication to all wellhead and flow line pressures, liquid and gas rates both historically and current.
What is Wellhead Management from Day 1?
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Wellhead
Reservoir
Point of Sale
Where is the best place to make decisions about
optimization?
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Normal Suspension
Increased Secondary and
Primary Production
Production/day
Secondary Production
Cumulative Production
Extended Production
Primary Production
CRITICAL RATE
Normal Decline
Well Management from Day 1
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• Flow the casing whenever possible!!
How do we increase Primary Production?
• Eliminate dirty transitions.
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• Flow the casing whenever possible!!
How do we increase Secondary Production?
• Eliminate dirty transitions.• React to downstream changes with little or no operator/engineering
intervention.
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• Flow the casing whenever possible!!
How do we realize extended Production?
• Eliminate dirty transitions.• React to downstream changes with little or no operator/engineering
intervention.
• Add wellsite compression with plunger lift.
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• Allows you to flow the casing whenever possible!!
Why is the Menex technology better for your
well?
• Eliminates dirty transitions.• Reacts to downstream changes with little or no operator/engineering
intervention.
• Controls plunger lift, casing flow and a wellsite compressor from the same control box.
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• Utilizes variable setting control valves on the casing and tubing.
How does the Menex Box make plunger lift more
efficient?
• Calculates a new critical rate 10 times per second.
• Does not need an operator or engineer to tell it when to make changes.
• Optimizes each cycle to ensure that the plunger’s travel time is 270 meters per minute as it comes up the hole.
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• Gets the liquid in the wellbore and near wellbore above the plunger prior to cycling.
Pre-staging the Plunger!
and• Keeps the liquid above the plunger prior to cycling!
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PLUNGER LIFT SYSTEM FOR LIQUID LOADED GAS WELLS
GAS OPTIMIZATION
Uses reservoir pressure to expel liquids from the well and increase gas production
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PLUNGER LIFT SYSTEM FOR LIQUID LOADED GAS WELLS
GAS OPTIMIZATION
Uses reservoir pressure to expel liquids from the well and increase gas production
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Variable setting tubing and casing valves installed on a
wellhead
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Menex control box installed on a wellsite separator
building
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Menex installed with wellsite Compression
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• Allows you to continuously maximize the wells production without operator intervention when the well needs it and not when the operator can get around to it.
Why is the Menex technology better for your
profits?
• Calculates and maintains a historical record of production rates that are directly transferable to the AEUB. (AGA 8)
• Combines every gas well control system that has ever been produced into one control package that will work on your well from Day 1 to Abandonment.
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Extended Production– Well production beyond normal zone
suspension or abandonment– Well is currently still producing
– 2750 E3m3 (100,000 mcf) extended production as of November 30, 2001;$250,000 at $2.50 per mcf
Why is the Menex technology better for your
profits?
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Thank you for allowing me to present to you today!