CATEGORIZED | News

New drilling opportunities to bring new requirements, expectations

Posted on 11 June 2008

Already, the world is starting to see the first effects of supply worries, most visibly in the price of crude oil. In May 2008, oil hit above $125/bbl – and it was only 10 years ago in December 1998 when a barrel of oil cost less than $10. Consequences since the price increases have been seen in mergers between large companies, downsizings, budget cuts, etc.

Uncertainty about the future of the oil price are expected to continue keep prices high. This will not only increase activities for oil and gas, it will also boost industry efforts on other sources such as geothermal. This means new drilling opportunities will be opened up for the industry in areas like harsh environments, ultra-deepwater, geothermal drilling, coiled tubing drilling, CO2 sequestration, and residual and bypassed oil.

These drilling opportunities, however, will come with different requirements and customer expectations. For example, they will require drilling in harsh environments such as HPHT, drilling for small deposits and in mature fields, and drilling in hard, hot rock for geothermal wells. These types of drilling will doubtlessly require different approaches by drilling contractors in order to fulfill customer expectations, such as lower cost, lower environmental impact, and safe and flawless operations.

In closing, Dr Reinicke discussed the Clausthal University’s ongoing work with Geothermal Energy and Drilling Technology (GEBO), a collaborative project with the industry. Goals include:

  • • Extending the range of applicability of modern drilling technology to HPHT.
  • • Improving economics of geothermal projects.
  • • Reducing well construction costs by 50%.

Looking at the distribution of well construction costs of German post-2000 gas wells, rig-related costs accounted for less than 40% of the total, with large increases seen for casing and well head costs. Successful cost reduction will require an integrated effort, he said.

No doubt the goals of the project are ambitious, he noted, but “we have a vision, and we’ll try to realize that vision as much as possible.”

Leave a Reply

*

FEATURED MICROSITES


Recent Drilling News

  • 23 July 2014

    Halliburton promotes Jeff Miller to President

    Halliburton has promoted Jeff Miller to President and has appointed him to the Halliburton Board of Directors effective 1 August 2014. Mr Miller is currently the...

  • 23 July 2014

    Statoil resumes production on Njord A platform

    Statoil has resumed oil and gas production on the Njord A platform in the Norwegian Sea, after a major reinforcement of the platform structure. Production had been shut down...

  • 22 July 2014

    Petrobras’ domestic oil production tops 2 million bbl/day in June

    Petrobras’ June oil production in Brazil averaged 2 million bbl/day (bpd), a 1.7% increase from May’s production of 1.9 million bpd. In addition, the production operated...

  • 22 July 2014

    Precision, Schlumberger partner to boost industrialization of North American unconventional drilling

    Precision Drilling has entered into a strategic technology and service agreement and marketing alliance with Schlumberger. Utilizing Precision’s Tier 1 drilling rigs and...

  • 22 July 2014

    Easternwell to manage delivery of onshore servicing rig for Brunei

    Australia’s Easternwell, a subsidiary of Transfield Services, has expanded internationally through an agreement with Flux O.S. SDN BHD (Flux), a Bruneian oil and gas company...

  • Read more news