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Baker Hughes to Acquire BJ Services
Baker Hughes Incorporated and BJ Services Company
have announced a definitive merger agreement.
“The transaction further enhances Baker Hughes’ position as a
top-tier global oilfield services company,” said Chad C. Deaton, Baker Hughes
chairman, president and chief executive officer. “BJ Services broadens our
portfolio by adding products, technologies and talented people that are key to
helping our customers unlock value in their reservoirs, particularly in
unconventional gas and deepwater fields. It will better position us to drive
international growth and to compete for the growing large integrated projects by
incorporating pressure pumping into our product offering.”
ASME Designates Hughes Christensen Two-Cone Drill Bit as Historic Mechanical Engineering Landmark
The American Society of Mechanical Engineers
(ASME) has designated the Hughes Christensen Two-Cone Drill Bit as a Historic
Mechanical Engineering Landmark.
The award recognizes this drilling technology as one of the
nation's most important mechanical engineering achievements.
ASME officials presented Baker Hughes with the designation during a ceremony at
the Baker Hughes drill bit technology facility in The Woodlands, Texas, on
August 10, 2009 – the 100th anniversary of the two-cone drill bit patent. An
early production two-cone drill bit is permanently displayed in the lobby at
this facility.
Past ASME historical landmark designees include the U.S. standard screw threads,
Drake oil well, Wright Flyer III, Ford Model-T, Sikorsky VS-300 helicopter,
Howard Hughes flying boat, Saturn V rocket, and the Hughes Glomar Explorer.
Baker Hughes Building Its First Eco-Centre in Scotland for Environmentally Safe Processing of Drilling Waste
Baker Hughes has started construction of its first Eco-Centre
at Peterhead, Scotland. The 7,000 m˛
(75,000 ft˛) facility will receive, process and dispose of solid wastes
generated from drilling activities offshore in a manner that considers the
environment while delivering a high level of customer service. The facility also
will safely and efficiently treat and dispose of millions of liters of waste
fluids per year.
The facility will offer a complete drilling waste treatment
and disposal solution to the oil and gas industry.
Innovative systems will enable Baker Hughes and our customers
to access drilling waste related information on a real-time basis from remote
locations. These systems will be integral in the auditing and tracking
processes, providing a comprehensive document trail for all processed waste. The
Eco-Centre will also include the new Fluids Environmental Services (FES) Global
Research and Development Centre, serving as the primary R&D hub to reduce the
environmental impact of the oil and gas operations.
Please visit the Baker Hughes exhibit at any of the
upcoming
conferences to find out how our Best-in-Class products and services
can help you increase production and reduce costs.
GCAGS
Shreveport, LA
September 27 – 28
SPE Annual Technical Conference & Exhibition (SPE ATCE)
New Orleans, LA
October 4 - 7
If you think your friends and colleagues might benefit from this
information, please send this newsletter to them,
subscription is free.
View past issues of the Baker Hughes Technology
Update e-Newsletter.
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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.
INTEGRATED OPERATIONS
EUROPE
 North Sea Operator Scores Hydrocarbon Discovery in the First Well of a Three-Year Campaign with Baker Hughes Integrated Operations
Baker Hughes has successfully completed the first
well of a three-year campaign in the North Sea for a European
operator. The well was drilled within the time/depth target and met
all the major milestones for data acquisition, HS&E and NPT. Services provided included directional drilling, drill
bits, fluids and well logging under an Integrated Operations
contract. Additionally, Baker Hughes provided project management, and
conducted cementing services through another service company. All sections
achieved shoe-to-shoe drilling (with the exception of the 8-1/2"
reservoir section, where coring was planned. After hydrocarbons were
detected, Baker Hughes recovered an exceptional 132 m (433 ft) of
samples in three runs at 100% recovery. This was followed by an
extended openhole logging program. The well was a success and has
been publicly acknowledged as a hydrocarbon discovery.
DRILLING & EVALUATION
U.S. LAND
 Elk Hills Field Operator Saves 20 Drilling Days with Baker Hughes Drilling Optimization Service
Baker Hughes US Land Drilling Services in Bakersfield,
California, recently introduced a drilling optimization and vibration mitigation service with the INTEQ
CoPilot™ tool in conjunction with
AutoTrak™ eXpress rotary drilling system and 12-1/4" Hughes Christensen
Tricone™ and
PDC bits for the Elk Hills field in California. The main objective was to drill a massive hard chert formation in as short a time as possible at maximum rate of penetration. After two wells were drilled in the uncharted territory, up to 20 days were saved and damage in the harsh drilling environment was reduced up to 80% compared to wells which had no vibration mitigation service and no optimized bit selection. Baker Hughes optimization service resulted in reducing the number of bits required by 50% over three wells. In addition, the service eliminated damage beyond repair and even reduced drill bit dull condition.
DRILLING & EVALUATION
LATIN AMERICA
 Petrobras Saves $17 Million on Iracema Presalt Well with Baker Hughes Drilling Optimization
In Brazil, the Petrobras Exploration Drilling team selected Baker Hughes to provide a drilling optimization plan for an upcoming Iracema well targeting a presalt zone in the Santos Basin. Baker Hughes drilling optimization services resulted in savings of 17 days of rig time (approximately US$17 million). Baker Hughes experts conducted an OASIS pre-drill analysis based on the best offset well and other wells in the same area. The recommendations formed part of the drilling plan for the Iracema well. The problems identified for performance improvements were low drilling efficiency through the salt and carbonates, severe drill string vibrations, short runs and low ROP. Several opportunities for gross ROP improvement were identified, which could be realized through the application of the INTEQ
AutoTrak™ system in the 17-1/2" section and
TruTrak™ system in the 12-1/4" section and custom-designed Hughes Christensen
Quantec™ PDC bits,
and solids control equipment from Baker Hughes Drilling Fluids. The introduction of
CoPilot™ real-time drilling performance monitoring services was also a key contributor for the performance enhancements. Baker Hughes applied these solutions and helped Petrobras drill the well 17 days ahead of previous offset performance. High weight on bit, low RPM and eliminating string rotation proved to be effective in extending bit life and improving ROP. The salt interval was drilled in a single PDC run of 2,000 m (6562 ft). The carbonate formation was proven to be PDC drillable and roller cone TCI bits were shown to be a valid alternative while drilling through carbonates.
DRILLING & EVALUATION
EUROPE
 North Sea Operator Uses Baker Hughes Services and Expertise for Successful HPHT Liner Drilling and Well Logging
Active cooperation between the offshore operator and Baker Hughes ensured that an
EZLine™ liner drilling system drilled to a depth of 5340 m (17,519 ft) was followed by successful well logging.
The system comprised a 6-5/8" drill-in Baker Oil Tools
ZXP™ packer with HRD-E™ running tool, and an
EZCase™ casing drill bit. The demanding application was to drill-in with the liner through the cap rock into the top of the reservoir on this high-pressure, high-temperature (HPHT) well. Once at TD, the drill-in liner was successfully cemented on bottom to isolate the cap rock. This was required because of the high pressure differential between the cap rock and reservoir. The EZLine system prevented the possibility of large drilling fluid losses entering the reservoir. A modified Hughes Christensen PDC bit drilled the 7-3/8" intermediate section 30 m (98 ft) to TD in 22.5 drilling hours. Subsequently, a specially commissioned application-specific Quantec 5-5/8" drill-out PDC bit drilled 123 m (403 ft) of cement, landing collar, float shoe, and EZcase bit in 24 hours. The bit went on to drill 167 m (548 ft) of the reservoir in 57 hours to TD and was rerun for a wiper trip after logging. The excellent borehole quality enabled successfully openhole logging using a Baker Atlas ZSLAM full openhole suite, Reservoir Characterization InstrumentSM (RCISM) pressure survey, and a Segmented Bond ToolSM (SBTSM) cased hole log for cement evaluation.
DRILLING & EVALUATION
AFRICA
 Uganda Operator Conducts Successful Exploration Well Formation Evaluation using Baker Hughes Well Logging and Reservoir Fluid Sampling Services
An independent oil company in Uganda recently completed a successful logging operation in an exploration well using Baker Hughes well logging and reservoir sampling services. The client’s main objective for the Baker Atlas
RCI reservoir sampling service was to retrieve high-quality water samples. Due to reservoir characteristics and the fact that the filtrate had a very similar salinity as the formation water, a segregated sampling technique was implemented after consultation with client. A total of 49 pressure tests were performed and 22 fluid samples were collected in three RCI runs. During the clean-out phases for the various samples, 164 gal (622 L) were pumped, and the
SampleViewSM service was used to monitor the clean-up for all the samples. In addition to the 22 samples, two fluid identifications were performed to confirm results from a pressure gradient in thinly laminated reservoir sections.
DRILLING & EVALUATION
ASIA PACIFIC
 Indonesia Operator Minimizes Lost Circulation Problems with Baker Hughes Hydraulic Study and Teamwork
An international oil company in the Indonesia requested Baker Hughes to conduct a hydraulics study to help optimize the drilling performance on two exploration wells after being awarded contracts to provide drilling fluid and drilling system services. Severe lost circulation was identified as being a potential hazard across limestone and sand formations and a series of simulations were conducted using Baker Hughes Drilling Fluids’
ADVANTAGE™ engineering software to help optimize the drilling fluid properties, directional tool settings and overall drilling performance. The hydraulics program, which was developed and refined in full consultation with the customer representatives during the well planning phase, helped ensure that minimum lost circulation problems were encountered and maximum hole cleaning efficiency was achieved on both wells. The customer has commended Baker Hughes on the cross-product line collaboration and teamwork, which helped to ensure a safe and trouble-free drilling operation.
COMPLETION
RUSSIA
 Baker Hughes Installs First ‘Float-In’ Liner Hanger in a Challenging Sakhalin Island Well
Baker Hughes has successfully installed the first Baker Oil Tools 9-5/8" 'Float-In'
liner hanger on Sakhalin Island, Russia. This was a critical milestone in a very challenging project due to the significant extended reach well profile. The customer perceived the successful liner deployment as an important step in the overall success of the project. The 9-5/8" liner had a length of 2,911 m (9,587 ft) and was installed at a total depth of 6,603 m (21,663 ft) with 83° inclination. The Baker Hughes team overcame many challenges in engineering, planning, manufacturing and local assembly and testing to ensure equipment delivery to the rig site in time for this first installation.
COMPLETION
AFRICA
 Algeria Operator Achieves Flawless Execution of Four Level 3 Multilateral Completions
In 2007, Baker Hughes signed a front-end engineering contract with a JV operating company in Algeria for multilateral completions. Over the last two years Baker Hughes has worked very closely with the operator to develop a strong partnership. This partnership overcame many challenges in well design, purchasing, delivery and equipment preparation. Great team spirit during numerous meetings and meticulous attention to detail has resulted in Baker Oil Tools flawlessly executing the first of four TAML Level 3
Multilateral Completion system installations. The 9-5/8"
WindowMaster G-2™ whipstock and debris management system was successfully recovered in one trip. The 7 x 9-5/8"
Model S-3™ HOOK Hanger™ was successfully landed the first time and tied back to the main bore with a
Premier™ production packer. Production rates from the lateral bore are four times higher than expected.
PRODUCTION
U.S. GULF OF MEXICO
 Gulf of Mexico Operator Solves Water-Soluble Organics Problem with Patented Baker Hughes Water Clarifier Treatment
Operators in the Gulf of Mexico often struggle to meet overboard produced water quality specifications due to the presence of water-soluble organics (WSO). The conventional treatment for this problem is to drive the WSO into the oil phase using a strong mineral acid like phosphorous acid or phosphoric acid. Such treatments pose significant HS&E hazards, are corrosive to the process equipment and often lead to the formation of insoluble scale precipitates. Baker Hughes recently demonstrated its patented alternative method for solving WSO problems on a super major’s platform, which has struggled with WSO issues for several years, despite a competitor’s efforts to manage the problem. The
TRETOLITE™ RBW524 Water Clarifier treatment provides the benefits of effective WSO control, lower corrosivity, improved HS&E, and no scaling. The Baker Petrolite Gulf of Mexico Technical Service group completed a study specifically for this platform to demonstrate the efficacy of this treatment. The customer has now implemented this treatment at this platform and is considering it for at least two other Gulf of Mexico platforms.
PRODUCTION
CANADA
 Customer Engineer Views Remote Test via Video Link, Saving Time and Effort
A production engineer with an operating company in Canada observed a live presentation of a forensic test at a remote location using FieldView camera technology. The engineer attended the remote session at the Baker Hughes Canada's Calgary corporate office and she witnessed a pump and associated equipment from a well being tested and torn down for forensic analysis. The actual tear down and test took place at Centrilift's facility in Leduc, 300 km (186 miles) north of Calgary. The customer was very pleased with the time savings. Upon additional testing, the FieldView application will be expanded to other areas besides testing and failure analysis and will be viewable from the Baker Hughes BEACON Centers with customers present, enabling joint evaluation in a matter of minutes, compared to hours or days.
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