Baker Hughes Technology Update e-Newsletter, Volume 7, Number 5
in this update...
» Canada: Arctic Circle Campaign
» Gulf of Mexico: BIO-DRILL Water-soluble Lubricant
» Europe: Wireline Deployment Risk Management
» Africa: Drill through Reactive Shales
» Asia Pacific: Genesis PDC Bits
» Latin America: TORXS Expandable Liner Hanger System
» Russia: EQUALIZER Reservoir Optimized Completion Systems
» US Land: Centrilift XP ESPs
» Middle East: POLARIS Production Logging Services
» Canada: New Oil Sands Process

highlights...
Helix RDS and EPIC Join Baker Hughes Reservoir Technology and Consulting Group

Baker Hughes has acquired the subsurface consulting company Helix RDS and reservoir engineering firm Epic Consulting Services, Ltd. Both companies have joined Gaffney Cline & Associates and GeoMechanics International as part of the Baker Hughes Reservoir Technology & Consulting Group.

Helix RDS is based in Aberdeen, London, Kuala Lumpur and Perth. Helix RDS capabilities include geological modeling, geophysical processing and interpretation, petrophysics, geomechanics, reservoir engineering and simulation, drilling and completion engineering and operations, production engineering and production chemistry.

Based in Calgary, Epic specializes in reservoir engineering, simulation and production optimization projects for the global oil and gas industry.

While Helix RDS and Epic Consulting will continue to operate independently on sensitive customer projects, Baker Hughes anticipates many opportunities to collaborate with both companies on advancing reservoir performance.

hse milestones...
ExxonMobil Recognizes Baker Hughes Safety Performance on Hibernia Platform
ExxonMobil and the Hibernia Management and Development Company recently recognized Baker Hughes for outstanding safety performance in chemical treatments. In 2008, Baker Hughes provided over 20,000 hours of direct onshore and offshore chemical application, transportation and logistics support to the Hibernia Platform with no recordable incidents. The Hibernia Platform is located in the North Atlantic, approximately 315 km (195 miles) east of St. John's, Newfoundland.

Baker Hughes Employees and Families Clean Qatar Beach
As part of the Baker Hughes commitment to Health, Safety, and Environment, 35 Baker Hughes employees and their family members recently spent a weekend morning to clean a kilometer of beach near Doha, Qatar. In cooperation with the Qatar Green Center, which supplied bags, gloves, hats, and t-shirts, the volunteers spent several hours collecting rubbish on a beach in Wakra. Over 30 large garbage bags were filled and set aside for municipality collection, leaving behind a clean beach.

Oxy Presents Baker Hughes with HS&E Excellence Award at the THUMS Long Beach Unit
Baker Hughes West Coast team was recently honored by Occidental Petroleum Corporation (Oxy) with a contractor HS&E Excellence Award for superior HS&E performance in the THUMS Long Beach unit. This is the second year in a row that Baker Hughes has been awarded the Silver Award. Baker Hughes and THUMS have developed a strong relationship through a Centrilift ESP alliance since 2000.

technical conferences...
Please visit the Baker Hughes exhibit at any of the upcoming conferences to find out how our latest products and services can advance your reservoir performance.

Saskatchewan Oil & Gas Show
Weyburn, Saskatchewan
June 3 - 4

SPE 8th European Formation Damage Conference
Scheveningen, The Netherlands
June 2 - 5

AAPG Annual Conference
Denver, CO
June 7 - 10

Oil & Gas Asia 2009
Kuala Lumpur, Malaysia
June 10 - 12

SPE Tight Gas Conference
San Antonio, TX
June 16 - 17

Brasil Offshore
Macae, Brasil
June 16 - 19

IADC World Drilling 2009 Conference & Exhibition
Dublin, Ireland
June 17 - 18

SPWLA
The Woodlands, TX
June 21 - 24

Expanded Appalachian Shale Plays
Pittsburgh, PA
June 25 – 26

Latin American Petroleum Show
Maracaibo, Venezuela
June 30 – July 2

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Welcome to Technology Update, the Baker Hughes e-newsletter to inform you about our latest technologies for oil and gas drilling, formation evaluation, completion and production.

Drilling, Evaluation & COMPLETION

Canada

Successful Three-Well Arctic Circle Campaign through Comprehensive Planning and Wellsite Services

An operator recently completed a successful three-well Arctic Circle drilling, evaluation and completion campaign in a narrow four-month time period. Drilling and evaluating flawlessly in these remote arctic conditions takes extensive planning and specialized knowledge. Baker Hughes teams were intimately involved in the project from the well planning stages through reaching total depth on the third well. Despite the harsh conditions and logistical challenges of working in the Arctic Circle, Baker Hughes provided advanced INTEQ drilling and formation evaluation technologies (AutoTrak™ RCLS, OnTrak™, and StarTrak™ systems) and Hughes Christensen EZCase™ casing-while-drilling technology and fit-for-purpose PDC bits. The bits were able to handle the extremely unconsolidated formations and provide a no-bit-trip solution for the operator. Key formation evaluation services were Baker Atlas Triple Combo, XMAC F-1SM, RCISM service and VSP services. Completion services covered SBTSM cement inspection, plug setting, and tubing-conveyed perforating.

Drilling & Evaluation

Gulf of Mexico

BIO-DRILL™ Water-soluble Lubricant Eases Tight Hole Problem for Gulf of Mexico Field

An operator in the Gulf Mexico recently encountered a tight hole situation in the South Marsh Island field. The operator had drilled a surface hole to 5,200 ft (1585 m). While running the surface casing, it became stuck at 3,817 ft (1163 m) and then decided to cement the casing in place and drill the intermediate section with water-based mud to the next casing point at 11,089 ft (3380m). After cementing and hole cleanout runs, drilling continued from 5,200 ft with occasional trips to change bits and/or MWD tools. During these trips, tight hole and excessive drag were encountered. Once out of the hole, the BHA was regularly balled with sticky shale and, in several instances, the drill string had to be wash reamed to bottom. At 10,270 ft (3130 m), Baker Hughes recommended the BIO-DRILL™ water-soluble lubricant to combat the tight hole sections. BIO-DRILL lubricant is designed to prevent balling and enable improved ROP and a full-gauge wellbore. A 2% BIO-DRILL concentration was added to the water-based mud system and drilling continued. Directly after BIO-DRILL additions, an increase in ROP was noticed, and no additional tight hole or BHA balling problems were encountered during or after trips. Once the section was TD’d, casing was run and cemented without any hole problems.

Europe

Successful Wireline Evaluation and Fluid Sampling for a Challenging North Sea Well with Deployment Risk Management

An independent operator in the North Sea required advanced formation evaluation, fracture identification and fluid sampling for a deep, tortuous well. Baker Hughes was selected due to its ability to deploy these services safely and efficiently on wireline using the proven Baker Atlas Deployment Risk Management techniques, including flywheels, pre-job modeling and wireline jars. The client also was interested in the accurate quantification of H2S saturations using the Reservoir Characterization InstrumentSM (RCISM) service. The incumbent logging unit was left onboard to provide drilling support and remedial production logging while Baker Hughes handled all advanced formation evaluation using a portable unit on the catwalk.

Africa

Troublefree Drilling through Reactive Shales in Libya with PERFORMAX™ Water-based Fluid

PERFORMAX™ high-performance water-based drilling fluid system was used in Libya to drill reactive shales in the 12-1/4" and 8-1/2" sections of a well. The PERFORMAX system reduced the torque and drag. No cuttings breakout was observed, and the hole was in gauge throughout the 12-1/4" section. The 9-5/8" casing was set with no problems and no fill on bottom. The PERFORMAX system met the objectives of the operator by preventing reactive shales from hydrating and subsequently causing torque and drag issues, tight hole and back-reaming.


Asia Pacific

Record Runs through Abrasive Sandstones in China’s Sichuan Province using Genesis™ PDC Bits

An operator in China recently set two drilling records recently in China using the Hughes Christensen Genesis™ PDC bits. In a gas field in northeast Sichuan Province, the operator challenged Baker Hughes to drill faster than any offsets in the 12-1/4" interval of the field. Using the recommended Genesis 12-1/4" PDC bit, the operator was able to drill at 17.6 m/hr (57.74 ft/hr) through 7 to 8 kpsi UCS sandstones. This was a 12-1/4" ROP record in the field, meeting the operator’s challenge by surpassing the offset performance through the same interval by 46%. In the Chuan Xi area of Sichuan Province, the Genesis 12-1/4" PDC bit was selected to drill farther than local PDC bits and reduce the number of trips. Compared to the best offset, the Genesis PDC bit drilled 27% faster and 155% farther in One Fast Run™, replacing three local bits and saving two trips through the same interval. The bit drilled 881 m (2,890 ft) at 2.67 m/hr (8.76 ft/hr) from the interbedded sandstone and shale in the Sha Xi Miao formation into the harder and more abrasive Xu Jia He sandstone formation. The distance drilled is a record for 12-1/4" PDC bits in the Xin Chang gas field of the Chuan Xi area.
 

Completion & Production

Latin America

Expandable Liner Hanger Reamed through Collapsed Formation in Ecuador

An operator in Ecuador successfully reamed down a Baker Oil Tools 7"x 9-5/8" TORXS™ expandable liner hanger system in Ecuador. While running the liner, collapsed formation was encountered at approximately 500 ft (150 m) from bottom, preventing the liner from reaching TD. Washing down the liner was attempted, but without success. The customer then decided to pull the liner and make a clean-up trip. Meanwhile, a new TORXS expandable liner hanger system was assembled and sent to the jungle location along with a Hughes Christensen EZReam™ shoe. While running the second TORXS system, collapsed formation was encountered 85 ft (26 m) from bottom. The liner was successfully reamed to within 15 ft (4.5 m) of bottom as specified. This feat was achieved at 40 to 60 rpm while circulating 6 to 8 BPM with 6k to 10k weight on bit.

Russia

Enhanced Oil Recovery in Siberia with EQUALIZER™ Reservoir Optimized Completion Systems

Baker Hughes was recently awarded a four-well pilot project to install Baker Oil Tools EQUALIZER™ reservoir optimized completion systems in an eastern Siberia green field. The client recently started producing from this heterogeneous reservoir and will start water injection in the field. The EQUALIZER™ system will be run in two horizontal injector wells and two horizontal producer wells. This reservoir-optimized solution is designed to delay water break and early gas break out, thus enhancing oil recovery. The Baker Hughes team fulfilled this order from EQUALIZER inventory in Saudi Arabia for faster delivery to the client.

US Land

Handling Extreme Abrasive Conditions in the Frio Trend with Centrilift XP ESPs

Centrilift XP Performance Series pump technology and the soft start capabilities of the Centrilift Electrospeed™ 3 variable speed drive have enabled operators in the Frio Trend on the Gulf of Mexico coast to dramatically improve reliability. Centrilift XP pumps are designed to handle extreme abrasive conditions such as those found in the Frio Trend. Baker Hughes has installed 119 ESP systems in various fields in the trend, and average run-life has improved to three years. The Centrilift XP ESP technology also has increased production by an average of 2,975 BOPD.

Middle East

Production Logging Optimizes Completion and Production Design in Kuwait

A three-well production logging campaign in Kuwait helped an operator redesign their completion and optimize production. Crews ran the Baker Atlas POLARISSM service in all three horizontal wells, and the information enabled the client to better understand downhole production characteristics. After delivering positive results in 2008, this latest success has positioned the POLARIS service as a must-have from the client’s perspective, and Baker Hughes is now considered its preferred vendor for another six-to-eight wells planned before the end of the year.

Canada

New Oil Sands Process Aid for Improved Bitumen Recovery and Reduced Greenhouse Gases

A major oil sands (mining) producer is applying Baker Petrolite TRETOLITE™ fluid separation chemistries and technical assistance for a new froth treatment process. While still in the pilot stage, this advanced process will allow longer residence times for enhanced bitumen-water separation with less interfacial shear. The process is expected to lower operational costs while providing further benefits associated with enhanced product quality and a reduction in the emission of greenhouse gases.

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