mississippi lime congress 2014: making it work

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FOLLOWING THE FIRST SELL-OUT EVENT IN 2012... Making Mississippi Lime Wells Consistently Economic Targeting Low Water Cut Sweet Spots And Optimizing Production, Completions And Water Handling Techniques In Variable Mississippi Lime: Minimizing Inconsistencies In Production, Driving Down Water Handling Costs And Maximizing The Economics Of Every Well Drilled June 25, 2014 - Oklahoma City, USA Stephen Harpham EVP Engineering Dorado E&P The Industry Collaboration Will Include... M Follow us @UnconventOilGas www.mississippi-lime-congress-2014.com Register By Friday APRIL 25, 2014 SAVE $200 INCREASING PRODUCTION... TARGETING SWEET SPOTS: Understanding how to best predict sweet spots to optimize drill targeting and increase the repeatability of successful wells ARTIFICIAL LIFT SELECTION & OPTIMIZATION: Deploying a long-term production strategy by selecting the best artificial lift applications for the full life cycle of the well COMPLETIONS DESIGN AND OPTIMIZATION: Examining completion design factors and techniques that have correlated to high productivity in different areas of the Mississippi Lime ENHANCED WELL DEVELOPMENT PLAN: Identifying whether it is more economic to drill a vertical vs. horizontal well DECREASING COSTS... TARGETING LOW WATER CUT ZONES: Drill targeting geological areas with low water saturations to optimize production vs. water and minimize water disposal costs WATER DISPOSAL STRATEGY: Investigating cost-cutting opportunities to effectively handle produced water at every stage of disposal: from production through to transport and disposal WATER TRANSFER COLLABORATION: Understanding how operators can collaborate to develop a cost effective pipeline system to minimize the overall cost of water handling Don Unruh Exploration Manager Sullivan & Co. Don Walton Engineering Manager Calyx Greg Hall Partner BG Operating Kyle Murray Hydrologist Oklahoma Geological Survey Emet Elrafie Emad Elrafie Technology Center Project Manager Repsol Bob Sullivan CEO Sullivan & CO. Organized By:

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Consistent economics in the Mississippi Lime is the number one objective for all Mississippi Lime operators. Operators need to drill wells with superior economics and they need to drill them more frequently - the question that remains then is, how? The inconsistency of Mississippi Lime well performance cannot be isolated to any one particular factor and the solution therefore, can only be arrived at through a thorough inter-disciplinary analysis of the key factors currently impacting the profitability of the play. It is critical to collate latest geological and production data to provide an enhanced understanding of the geological complexity and the play and more importantly, how these geological variations have played into completions design, water volumes, artificial lift selection, well design and sweet spot identification. The Mississippi Lime Congress 2014: Making It Work will provide practical solutions through an interdisciplinary approach looking at production optimization techniques, re-evaluating drilling and completion designs and re-assessing water management strategies.

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Page 1: Mississippi Lime Congress 2014: Making It Work

FOLLOWING THE FIRST SELL-OUT EVENT IN 2012...

Making Mississippi Lime Wells Consistently Economic

Targeting Low Water Cut Sweet Spots And Optimizing Production, Completions And Water Handling Techniques In Variable Mississippi Lime:Minimizing Inconsistencies In Production, Driving Down Water Handling Costs And Maximizing The Economics Of Every Well Drilled

June 25, 2014 - Oklahoma City, USA

Stephen Harpham EVP Engineering Dorado E&P

The Industry Collaboration Will Include...

M Follow us @UnconventOilGas

www.mississippi-lime-congress-2014.com

Register By FridayAPRIL 25, 2014

SAVE $200

INCREASING PRODUCTION...

• TARGETING SWEET SPOTS: Understanding how to best predict sweet spots to optimize drill targeting and increase the repeatability of successful wells

• ARTIFICIAL LIFT SELECTION & OPTIMIZATION: Deploying a long-term production strategy by selecting the best artificial lift applications for the full life cycle of the well

• COMPLETIONS DESIGN AND OPTIMIZATION: Examining completion design factors and techniques that have correlated to high productivity in different areas of the Mississippi Lime

• ENHANCED WELL DEVELOPMENT PLAN: Identifying whether it is more economic to drill a vertical vs. horizontal well

DECREASING COSTS...

• TARGETING LOW WATER CUT ZONES: Drill targeting geological areas with low water saturations to optimize production vs. water and minimize water disposal costs

• WATER DISPOSAL STRATEGY: Investigating cost-cutting opportunities to effectively handle produced water at every stage of disposal: from production through to transport and disposal

• WATER TRANSFER COLLABORATION: Understanding how operators can collaborate to develop a cost effective pipeline system to minimize the overall cost of water handling

Don Unruh Exploration Manager Sullivan & Co.

Don Walton Engineering Manager Calyx

Greg Hall Partner BG Operating

Kyle Murray Hydrologist Oklahoma Geological Survey

Emet Elrafie Emad Elrafie Technology Center Project Manager Repsol

Bob Sullivan CEO Sullivan & CO.

Organized By:

Page 2: Mississippi Lime Congress 2014: Making It Work

Register By FridayAPRIL 25, 2014

SAVE $200

www.mississippi-lime-congress-2014.com (1) 800 721 3915 [email protected]

Consistently economic results in the Mississippi Lime. That is the number one objective for

all Mississippi Lime operators. Despite shallow depths and optimum geochemical levels, the

economics of the wells are proving inconsistent. Operators have invested a lot of money in

this play - we know the geological potential is there - but the critical question going forward

is: how do we make this play work?

Operators need to drill wells with superior economics and they need to drill them more

consistently. The inconsistency of Mississippi Lime well results cannot be isolated to any

one particular factor and the solution therefore, can only be arrived at through a thorough

inter-disciplinary analysis of the key factors currently impacting the profitability of the

play. It is critical to collate latest geological and production data to provide an enhanced

understanding of the geological complexity and the play and more importantly, how these

geological variations have played into completions design, water volumes, artificial lift

selection, well design and sweet spot identification.

The Mississippi Lime Congress 2014: Making It Work will provide practical solutions

through an interdisciplinary approach looking at production optimization techniques,

re-valuating drilling and completion designs and re-assessing water management strategies.

The mission of the Mississippi Lime Congress 2014: Making It Work Congress is two fold...

• INCREASING PRODUCTION

• DECREASING COSTS

The Mississippi Lime Congress 2014: Making It Work has been designed to answer

some of crucial questions:

• Sweet Spot Identification: how can operator’s drill more of the better producing wells and less of the poor ones?

• Drilling & Completions: once the sweet spot has been located, is there a way to drill and complete the wells cheaper, more efficiently and more effectively than what is currently being done?

• Production: how can operator’s best lift these wells based on the geological characteristics in place to ensure pro-longed production to recover and exceed initial costs?

• Managing Operational Costs: is there a way to manage water more cost-efficiently to increase the economic margins per well?

This Is The Only Congress...

aDesigned specifically to answer the biggest question operators have right now: how can we make the economics of the Mississippi Lime wells more consistent and attain superior economics on every well drilled?

aLed by E&Ps focusing on the Mississippi Lime from a solutions-driven perspective. We are the only congress to take a multi-disciplinary approach to cracking the Mississippi Lime code. We will combine production and completions optimization with cost minimization (on water handling strategies)

aTargeted at understanding the geological drivers and production mechanisms for such inconsistent production results

aFocused on finding out how to increase production through production and completions optimization techniques

aLooking at how to optimize water disposal and transport strategies to significantly drive down operational costs

Venue Information:

The Summit Will Be Held At:

The Tower Hotel Oklahoma City

3233 Northwest Expressway Oklahoma City, OK 73112

Tel: 405 842 6633Fax: 405 842 3152Web: www.towerhoteloklahomacity.com

Meeting Room: Gran Salon Ballroom

Page 3: Mississippi Lime Congress 2014: Making It Work

AgendaWednesday June 25, 2014

8.00 Chair’s Opening Remarks

KEYNOTE: COMPLETIONS PERSPECTIVE

8.10 Utilizing a Reno County, KS Case Study To Examine A Promising Yet Challenging Mississippian Area: Identifying How Drilling And Completion Strategy Has Evolved Over Time

• Identifying a widespread hydrocarbon accumulation through basic mapping and formation evaluation

• Delineating sweet spots to high grade well positions and ensure superior wells are drilled

• Examining infrastructure design & investment to minimize operating costs and support future drilling optionality

• Tracking the evolution of the drilling design to decrease cost, yet maintain full completion flexibility

• Evolving completion design to increase reservoir contact and drainage efficiency

• Recognizing completion inefficiency through well performance and testing• Optimizing completions including landing position, casing design and fracture

stimulation design to improve ultimate recovery

Stephen Harpham, EVP Engineering, Dorado E&P8.40 Question & Answer Session

KEYNOTE: ECONOMIC PERSPECTIVE

8.50 Identifying The Fundamentals Of Chasing Mississippi Reserves: Identifying The Key Elements for Success in Making the Mississippi Work

• Identifying the importance of assembling the right team to determine the optimal approach to the play

• Attracting the right kind of capital: securing the investment needed to further develop the play

• Getting to know your rock in order to high grade acreage positions and optimize drill targets

• Determining the right completion technique to optimize recovery of existing wells

• Containing operational costs to minimize operational expenditure and improve economic margins

Bob Sullivan, CEO, Sullivan & Co.9.05 Question & Answer Session

KEYNOTE PANEL: INTERACTIVE DISCUSSION

9.15 Hearing The Closest An Operator Has Come To Drilling Consistently Economic Wells In The Mississippi Lime And The Overall Development Strategy Used To Achieve It

• Exploration to production: hearing how a exploration and production team has drilled consistently economic wells in the Mississippi Lime

• Identifying sweet spots and high grading acreage positions to optimize drill targets and ensure superior wells are drilled

• Controlling drilling costs to minimize operational expenditure and improve economic margins

• Completing Mississippi Lime wells more effectively through an enhanced frac design to optimize recovery of existing wells

• Managing production costs through optimized artificial lift selection and application

• Handling water efficiently and cheaply: identifying cost reduction strategies for the disposal, transport and treatment of produced water

David Hartz, VP Oil & Gas, Natural Resource Partners

Stephen Harpham, EVP Engineering, Dorado E&P

Bob Sullivan, CEO, Sullivan & Co.

9.45 Morning Refreshments In Exhibition Area

INCREASING PRODUCTION THROUGH...

SWEET SPOT IDENTIFICATION

DRILL TARGETING

10.15 Understanding How To Best Predict Sweet Spots To Optimize Drill Targeting And Increase The Repeatability Of Successful Wells

• Understanding if Mississippi Lime Wells are producing from whole intervals or pockets in certain intervals to identify the source of production

• Using data from strong performing wells to understanding how those production results can be repeated in underdeveloped areas

• Examining the performance of a range of wells to understand how production has varied according to depth, lateral length and location

• Understanding how to minimize discrepancy between actual production results and original well expectations to minimize risk when drilling wells

• Using 3D seismic data to identify heavily faulted areas to avoid traps and allow the targeting of structural traps for higher producing wells

• Understanding porosity variations to determine optimal windows for targeting

Don Unruh, Exploration Manager, Sullivan & Co.

10.45 Question & Answer Session

SWEET SPOT IDENTIFICATION

10.55 Understanding Key Performance Factors For Miss Lime To Define Sweet Spots: A Performance Quality Model

• Identifying key production drivers to unlock performance inconsistency in Mississippi Lime wells

• Using seismic, micro-seismic, data mining, 3D modelling, advance stimulation and stimulation modelling to infer better drilling location decisions

• Drawing conclusions on the most favorable spots in the Mississippi Lime to drive direction for better performance in the future

Emad Elrafie, Technology Center Project Manager, Repsol

11.30 Question & Answer Session

INCREASING PRODUCTION THROUGH...

OPTIMIZED COMPLETIONS DESIGN

COMPLETIONS OPTIMIZATION

11.40 Utilizing The Highest Performing, Cost-Effective Completions Techniques To Optimize Oil Rates And Obtain The Maximum Possible Return On Each Well

• Evolving completions techniques to gain better access to the oil and the matrix• Understanding how completion fluids are selected and the types and volumes

of fluids being used• Reviewing how operators are perforating intervals: examining shelves per foot

and number of perforation clusters• Examining sliding sleeve completions vs. open holes, well packers or

perforated cemented liners• Evaluating the use of different types, concentrations and volumes of proppants

being used to derive it’s impact on production• Using latest production results to understand how performance varies with

completions selection• Plug And Perf: Number of stages, perforations per stage, how perf clusters are

situated and the run rates

Don Walton, Engineering Manager, Calyx

12.10 Question & Answer Session

12.20 Lunch In The Exhibition Showcase Area

www.mississippi-lime-congress-2014.com (1) 800 721 3915 [email protected]

Page 4: Mississippi Lime Congress 2014: Making It Work

DRIVING DOWN COSTS THROUGH....WATER MANAGEMENT: THE ECONOMIC DISPOSAL AND TRANSPORTATION

OF PRODUCED WATER

WATER TRANSFER COLLABORATION

1.20 Understanding How Operators Can Collaborate To Develop A Cost Effective Pipeline System To Minimize The Overall Cost Of Water Handling

• Hearing a leading operator’s case study on how they have successfully executed water transfer pipelines with other operators

• Understanding the volume of transportation needed in the Mississippi Lime play

• Performing cost comparison of building collaboration transfer pipeline with trucking to determine the long-term cost benefits

• Identifying different requirements for moving fresh water and produced water transfer via pipeline

Greg Hall, Partner, BG Operating1.50 Question & Answer Session

DISPOSAL WELL OPTIMIZATION

2.00 Increasing The Ratio Of Wells Disposed To Any One Disposal Well To Maximize Usage And Recover Costs Of Drilling The Disposal Well

• Pinpointing the locations of disposal wells in the region to assess the transportation costs of disposing produced water to these sides

• Examining how different formations impact the size of injection to determine the amount of produced water different formations can handle

• Identifying formations stable enough to support disposal wells to derive optimal locations for future disposal wells in close proximity to production site

• Ensuring the safety of injection wells to ensure waste water doesn’t leak into other formations

• Maximizing the number of wells disposed into a specific disposal and minimize the amount of pipelines needed to get it there

Michael Moore, Hydrologist, Oklahoma Corporate Commission2.30 Question & Answer Session

PRODUCED WATER ANALYSIS

2.40 Examining Water Production Volumes And Produced Water Quality In The Mississippi Lime To Optimize Oil Production Vs. Water And Minimize Water Disposal Costs

• Utilizing water:oil and water:gas ratios to predict produced water volumes coming from the Mississippi Lime

• Anticipating total dissolved solids concentrations in produced water to estimate composition of produced water

• Understanding the distribution of waste water disposal wells and best management practices for reducing both water handling costs and environmental risk

Kyle Murray, Hydrologist, Oklahoma Geological Survey3.10 Question & Answer Session

3.20 Afternoon Refreshments In Exhibition Showcase Area

INCREASING PRODUCTION THROUGH...ARTIFICIAL LIFT AND PRODUCTION TECHNIQUES OPTIMIZATION

PRODUCTION ECONOMICS

3.50 How An Operator Has Improved The Overall Economics Of Recovery In The High Water Saturation Mississippi Lime By Optimizing Production Techniques

• Factors considered in the operator selecting the right pump techniques to increase well performance and rate of return

• How data has been used to match pump performance over well decline and long-term sustained production of the well relative to pump type

• Specifically comparing the leading lift methods of ESP and Gas Lift to establish the economic viability and usage over the well cycle

Bruce Scambler, CEO, Cantex Energy4.20 Question & Answer Session

PANEL: ARTIFICIAL LIFT SELECTION

4.30 Deploying A Long Term Production Strategy For Mississippi Lime Wells: Determining What Artificial Lift To Select When Wells Deplete To Under 400-500 Barrels Of Fluid

• Observing how well bore conditions should be used to accurately select the• appropriate artificial lift technique• Assessing how cost, durability and failure rate have been successfully used• to select artificial lift techniques in the Mississippi Lime• Evaluating how production rates on past wells have been used to influence• artificial lift selection on new wells in close proximity• Comparing the runtime and impact of different Artificial Lift pumps and pump

placements to determine optimal design equipment selectionBruce Scambler, CEO, Cantex EnergyStephen Harpham, EVP Engineering, Dorado E&P

INCREASING RECOVERY THROUGH...AN OPTIMIZED WELL DEVELOPMENT PLAN

VERTICAL VS. HORIZONTAL AND WELL STIMULATION

4.50 Debating The Economic Advantage Of Drilling Horizontal Wells In The Mississippi Lime: Comparing Costs And Results Of A Horizontal Well And A Proximal Vertical Well

• Specifying how to decide which type of well should be used once a sweet spot is located to maximize production and ultimate netback

• Highlighting the specific geological parameters where horizontal wells will provide an enhanced rate of return vs. vertical wells

• Predicting rate of return increases from using horizontal wells vs. vertical to assess whether the production value outweighs the additional costs

• Detailing how drilling vertically can alleviate the possibility of missing the pay zone

Eugene Holubnyak, Petroleum Engineer, Kansas Geological Survey5.20 Question & Answer Session

MONETIZING THE MISSISSIPPI LIME...THROUGH DIFFERENT FINANCING STRUCTURES

LEASES

5.30 Explaining Mississippi Lime Lease Holds To Understand Monetization And Financing Options

• Looking at an overview of operators and results to date to better understand recent acreage price trends

• Reviewing large transactions in the Mississippi Lime to understand how acreage transactions have been structured and valued

• Examining different financing structures and options for leaseholders to assess future transaction decisions

Josh Young, Co-Founder, ICO Marcellus LLC6.00 Question & Answer Session

6.10 Chair’s Closing Remarks And End Of Conference

www.mississippi-lime-congress-2014.com (1) 800 721 3915 [email protected]

SAVE UP TO 20%ON GROUP DISCOUNTSCall for rates: (1) 800 721 3915

Agenda (continued)

Wednesday June 25, 2014

Page 5: Mississippi Lime Congress 2014: Making It Work

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