Potential Horizontal Well JIP April 1, 2011 Page 2
Exploratory Team Meeting
Possible JIP for Horizontal Well Artificial Lift
Exploratory Team Meeting
Timing and Location:
Friday, April 1, 2011
12:00
BP, Houston
This meeting was held immediately following the meeting of the Full Team.
Attendees (Members of the Exploratory Team):
1. Jesus Chacin CFER
2. Steve Coleman EOG
3. Justin Conyers Norris Production Solutions
4. Cleon Dunham ALRDC
5. Larry Harms ConocoPhillips
6. Bill Lane Weatherford (Scott Campbell represented Weatherford in Bill Lane’s absence.)
7. James Martin Consultant
8. Cem Sarica Univ. of Tulsa
9. Omar Soto BP
10. Rob Sutton Marathon
11. Kees Veeken Shell (Wayne Mabry represented Shell in Kees Veeken’s absence.)
Guidelines:
1. At least one Operator and one Supplier needs to be in each meeting.
2. A quorum will be five people.
3. The team may meet by teleconference.
4. A face-to-face meeting is preferred.
5. ConocoPhillips, et al will provide a teleconference number and a place for face-to-face meetings for those who are in Houston, Texas.
6. The Full Group will inform the Exploratory Team when input from them is needed.
7. Cleon Dunham will serve as convener of the Exploratory Team.
8. This Exploratory Team will come back to the Full Team members with the information needed and a proposal for how to move forward.
Meeting Guidelines Were Addressed:
1. Eleven people were present, so there was a quorum.
2. Representatives of both Operating Companies and Service Companies were present.
3. The team met face-to-face.
Agenda:
1. Determine a time frame in which the Exploratory Team is to work.
i. The next meeting will be on Wednesday, April 13, 2011 at 9:00 am, CDT.
ii. Larry Harms of ConocoPhillips will provide a teleconference number and a face-to-face meeting location.
iii. Cleon Dunham will prepare a draft agenda and communicate with the team.
2. Determine a schedule for upcoming meetings.
i. This will be discussed at the end of each meeting.
3. Develop a draft plan for moving ahead.
i. This will be deferred until later.
4. Develop a JIP purpose or mission statement.
i. This will be defined later. NB. A “straw man” mission statement has been prepared to start the discussion.
5. Develop a scope of the proposed JIP.
i. This will be defined later.
6. Develop objectives of the JIP.
i. There must be specific objectives for this project.
· A JIP normally has fixed objectives and is for a fixed duration.
o There could also be a Consortium that is on-going.
o We may be looking at something like a Consortium for this project or set of projects.
o But it may be more acceptable to management if we call it a JIP.
o Or we can have a project-oriented Consortium where some companies may be interested in some projects; while other companies may be interested in other projects.
ii. Items to be considered:
· Should the JIP consider oil wells, gas well, or both? Consensus: Both need to be considered.
o We need to consider liquid-rich gas wells and oil wells.
o Our big concern is lifting liquids, both water and condensate.
o We will be facing ever-increasing GORs, limited liquid volumes.
· Choice of artificial lift methods.
o Are there preferred artificial lift methods for lifting horizontal wells?
o Are there preferred methods of deployment of artificial lift.
o Making artificial lift methods effective in the presence of gas.
· Flow regimes, flow models, relative permeability.
o Does well geometry and wellbore trajectory matter? Consensus: This is one of the main concerns.
o What is the critical rate?
o Do we need new models?
o Are we more concerned with film flow rather than flow of droplets?
· What are key well design issues:
o Where should the end of the tubing be placed?
o Where should gas injection be placed for gas-lift, for Continuous Gas Circulation, etc?
o What are criteria for downhole separators to allow more effective pumping with sucker rod pumps, ESPs, etc.
o What casing size(s) are needed?
o Can we develop information that can be used to justify better trajectories, casing sizes, etc?
· What has been done already by Industry that can be leveraged?
o There are search methods that can be used.
o We can develop a questionnaire.
o What are each company’s top five items?
7. Determine how we are going to communicate.
i. We will communicate by e-mail and phone.
ii. We can create a LinkedIn discussion group. NB. This has been done by Cleon Dunham. Members of the team are encouraged to give it a try.
8. Determine what is in the proposal to be handed to full team?
i. This will be defined later.
9. Define others who should be invited to be involved in the Full Group and the Exploratory Group? This will include Operating Companies, Service Companies, and others.
i. Operating Companies
1. Chevron
2. Chesapeake
3. Newfield
4. Hess
5. Anadarko
6. Devon
7. Total
8. El Paso
9. Southwest Energy
10. Encana
ii. Service Companies
1. Halliburton
2. Schlumberger
3. Baker
4. John Crane
5. Cameron
6. Nalco
7. MultiChem
8. Ferguson Beauregard
9. Production Control Services
10. Multi Products
11. Echometer
12. Lufkin
13. Lufkin Automation
14. Stim Lab
iii. Universities
1. Penn State
2. Colorado School of Mines
3. A&M
4. UT
5. Texas Tech
6. Marietta College
7. LSU
iv. Actions
1. Provide contact people and addresses for each Operating Company, Service Company, and University.
10. The date for the following meeting of the Full Group will be proposed by the Exploratory Group.
i. This will be defined later.
11. Other items:
i. We need to provide a draft document for the Full Team, get feedback, and make revisions.
ii. Wayne Mabry. Is there a template we can use for forming a JIP?
1. Deepstar may be an example.
2. CFER can provide examples that have worked for them.
b. The date of July 1 has been set for the Exploratory Team to provide an initial report or draft plan to the Full Group.
c. The minutes and plans will be placed on the ALRDC web site.
d. Steve Coleman will start a resource list. This will be placed on the ALRDC web site.
e. Wayne Mabry will start a “Definition” list. This will be placed on the ALRDC web site.
f. Cleon Dunham will draft a Questionnaire to seek input on objectives from the members of the Full Team. NB. This has been done. It will be reviewed by the Exploratory Team before it is sent to the Full Team.
g. This meeting was adjourned at 1:00 pm.