`
`“Enhancing Well Performance through
`Innovative Completion Technologies”
`
`Xiang Qian, Vice President Global Account – Chinese National Oil Companies
`
`12th U.S. – China Oil & Gas Industry Forum
`
`September 10 - 12, 2012
`
`© 2010 Baker Hughes Incorporated. All Rights Reserved.
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`Major Shale Basins Globally:
`China and US Largest Estimated Reserves
`
`Source: US EIA , “World Shale Gas Resources: An Initial Assessment”
`
`2 © 2012 Baker Hughes Incorporated. All Rights Reserved.
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`
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`Technology Impact
`
`Unlock market potential
`
`Reduce the risk vector
`
`Increase efficiency
`
`Sustainable
`Chemistry
`
`High Performance
`Information
`
`Advanced Measurement
`& Actuation
`
`Designer
`Materials
`
`HP/HT
`
`Deepwater
`
`Unconventional
`
`Conventional
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`Unconventional – Completion Technology
`
`Business Drivers
`
`Applications
`
`Enabling Technologies
`
`Technology Integration
`
`• Increase
`Operational
`Efficiency
`
`• Increase
`Reservoir
`
`ContactContact
`
`• Minimize HSE
`Impact
`
`• Reduce NPT
`
`AMT Cutters
`
`Telescoping Port
`
`Controlled Electrolytic
`Metallics
`
`•• Cased Hole
`Cased Hole
`
`FracsFracs
`
`•• Open Hole Fracs
`Open Hole Fracs
`
`•• Coiled Tubing
`Coiled Tubing
`
`FracsFracs
`
`•• High Efficiency
`High Efficiency
`
`FracsFracs
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`Plug & Perf Experience in North America
`
`Total number of Composite Plugs as of 6/1/12
`
`117140
`
`147084
`
`2011
`
`2012
`
`Ex. 2019
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`66000
`
`2010
`Year
`
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`
`33550
`
`18950
`
`2008
`
`2009
`
`200,000
`
`180,000
`
`160,000
`
`140,000
`
`
`
`120,000120,000
`
`100,000
`
`80,000
`
`60,000
`
`40,000
`
`20,000
`
`0
`
`TotalNumberofUnits
`TotalNumberofUnits
`
`5 © 2012 Baker Hughes Incorporated. All Rights Reserved.
`
`
`
`FracPoint Experience in North America
`
`Total number of FracPoint sleeves as of 03/28/12
`
`40664
`
`36062
`
`17152
`
`3957
`
`817
`
`7571
`
`2007
`
`2008
`
`2009
`
`2010
`
`2011
`
`2012
`
`Year
`
`64
`
`2006
`
`50000
`
`45000
`
`40000
`
`35000
`
`30000
`
`
`
`2500025000
`
`20000
`
`15000
`
`10000
`
`5000
`
`NuberofStages
`
`TotalNuber
`
`4
`
`0
`2005
`
`• Installed in more than 35 formations by 117 Oil & Gas Operators
`• Trends – Increased number of stages per system
`• >2400 Wells-38,000 Packers-40,000 Sleeves
`
`6 © 2012 Baker Hughes Incorporated. All Rights Reserved.
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`Unconventional Reservoir Experience in China
`
`• 13 Projects Completed
`• Vertical and horizontal wells
`• Multi-stage sleeve fracturing
`• Plug & Perf completions
`
`• Drilled China’s first rotary• Drilled China’s first rotary
`steerable horizontal well in
`shale oil formation
`• 7 Projects scheduled
`• Sichuan and Tarim basins
`
`7
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`© 2010 Baker Hughes Incorporated. All Rights Reserved.
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`Interdisciplinary Approach
`
`Geomechanics
`
`
`
`Drilling & EvaluationDrilling & Evaluation
`
`Stimulation
`
`Completions & Production
`
`© 2009 Baker Hughes Incorporated. All Rights Reserved.
`
`8
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`Key Enablers
`
`• 2 technologies have made
`Unconventional Resources
`economically viable
`– Horizontal Drilling
`– Horizontal Multi-zone Hydraulic
`
`FracturingFracturing
`
`Vertical Well
`
`Horizontal Well
`
`Vertical well,
`Single-zone frac
`
`©2009BakerHughesIncorporated.AllRightsReserved.
`
`Horizontal wells,
`Multi-zone fracs
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`Plug-&-Perf
`
`•
`•
`
`•
`
`Cemented casing liner or full string
`Perforate and produce multiple pay zones with Perf
`Guns / TCP
`Composite Plugs designed for horizontal deployment
`
`Perf Guns
`
`E-4 Setting Tool
`
`Composite Plug
`
`10
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`© 2010 Baker Hughes Incorporated. All Rights Reserved.
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`
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`Composite Plug Milling
`GLYPHALOY (pronounced glif-aloy)
`
`Initial Dress
`
`After 43 Plugs
`
`After 79 Plugs
`
`11
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`© 2011 Baker Hughes Incorporated. All Rights Reserved.
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`FracPoint System
`
`• One-trip Modular customizable system with rotational capabilities
`• Increases reservoir productivity with fracture control
`• Eliminates perforating & liner cementing operations
`
`• Versatile
`– Primary or re-frac applications
`– Open or cased hole applications
`– Horizontal, vertical, or deviated wellbores
`• Engineering designed/tested and field proven technology
`
`12
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`© 2010 Baker Hughes Incorporated. All Rights Reserved.
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`FracPoint™ EX-C
`
`•• EvolutionEvolution ofof FracPointFracPoint
`
`
`
` From 8 to 30 stage systemsFrom 8 to 30 stage systems
`
`
`
` First 40First 40--stage systemstage system installedinstalled
`
` Technology under developmentTechnology under development
`
`for unlimited stagesfor unlimited stages
`
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`FracPoint with IN-tallic™ Frac Balls
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`IN-Tallic™ Disintegrating Frac Balls & Seats
`
`• HP/HT Tripping Balls which degrades over time after the well
`has been stimulated
`
`• Provides assurance that all restrictions are removed from the
`production string without costly interventions
`
`• Reacts with flow back water from formation salts for
`
`disintegrating.disintegrating.
`
`• Can be rapidly removed with low acid concentrations
`
`• Assures that all productive zones in the wellbore are
`optimizing returns
`
`15
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`© 2010 Baker Hughes Incorporated. All Rights Reserved.
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`OptiPortTM System
`
`CT Frac Sleeve Completion Description
`• Cased Hole – isolate with cement
`• Open Hole – isolate with OH packers
`• Sleeve activated by CT instead of balls
`
`16
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`© 2011 Baker Hughes Incorporated. All Rights Reserved.
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`Frac-Hook™ Multilateral System
`
`• Increases reservoir contact
`• Reduces CAPEX
`• Minimizes surface
`constraints
`• Field-proven equipment
`• Access to all laterals
`• Deploy frac diverters with
`
`coiled tubing or threadedcoiled tubing or threaded
`pipe
`• Maintain current frac
`techniques
`• “Back-to-back” fracturing
`• Future re-frac capability
`• Installations
`– 7 Level 3’s
`– 40 Level 2’s
`
`17
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`© 2009 Baker Hughes Incorporated. All Rights Reserved.
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`FracPoint w/ Integral Real-Time Monitoring
`
`•FracPoint™ with monitoring capabilities
`o10 stage 10,000’ lateral in the Bakken/Three Forks formation
`oDistributed Temperature Sensor (DTS) fiber optic line
`o5 Pressure/Temperature (PT) gages, every other stage
`oSpecial feed-through RE packers and Sleeves
`
`18
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`© 2009 Baker Hughes Incorporated. All Rights Reserved.
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`
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`Fractures, microseismics, and production
`
`Events
`
`9
`
`8
`
`7
`
`6
`
`5
`
`3
`
`4
`
`2
`
`1
`
`Natural
`Fracture /
`Joint
`Density
`
`Packers
`
`Ports
`
`Production
`from PLT
`
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`FracPoint MP Sleeves W/Direct Connect Ports
`
`Run-In Position
`
`Shifted Position
`
`• Allows for placement near the minimum borehole
`stress.
`• Allows for improved fracture potential and
`reduced tortuosity of fracture
`
`Telescoping
`Port
`
`20
`
`© 2010 Baker Hughes Incorporated. All Rights Reserved.
`
`20 of 22
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`
`
`What Might the Future Look Like?
`
`Annular Flow Velocity
`
`No EQUALIZER
`with EQUALIZER
`
`0
`
`3000
`2000
`1000
`Wellbore Length (ft)
`
`4000
`
`0123
`
`Velocity(ft/sec)
`
`21 of 22
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`Unconventional Oil and Gas
`
`22
`
`© 2009 Baker Hughes Incorporated. All Rights Reserved.
`
`Thank You
`
`22 of 22
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