Along-String Pressure Evaluation Enabled by Broadband Networked Drillstring Provide Safety, Efficiency Gains

1. Along-String Pressure Evaluation Enabled by Broadband Networked Drillstring Provide Safety, Efficiency Gains OTC-22239 Daan Veeningen, SPE NOV IntelliServ

2. Talking Points Introduction of the broadband network, overcoming well construction challenges High-speed telemetry to measure and control subsurface operations increasing efficiency Methodology for early risk identification using along-string pressure evaluation to improve safety Conclusions

3. Well Construction Challenges IntelliServ Broadband Network Mud Pulse Data transferred in 2-5 sec pulses Continuous bi-directional data transfer Simultaneous data 57, 600 bits/sec High bandwith High defention Sequential data Highvolume Real time 10 bits/sec Tool actuation NMR Sonic Gamma Vibration Resistivity Pressure Seismic Etc., etc. Vibration Image logs Courtesy: Baker Hughes

4. Broadband Network Components 1) Armored coax cable 2) Induction coils 3) Boosters

5. Broadband Network Components ● Data Swivel ●Extracts the signal at the surface ● Networked Drillstring ●Conveys telemetry signal ● Networked Measurement Assemblies ●Boosts signal, acquires measurements along-string Network-Ready Interface Connection ●Bi-directional communication enabling measurements and commands ●

6. Broadband Network System Equipment • DP • HWDP • NM DC, DC • Jars • Reamers • Saver subs • Crossovers Telemetry Service • Broadband Telemetry • Field Specialists • Bi-directional tool communication • Down-hole tool actuation services • Network diagnostics • Software displays • Inventory management • Support from central technology support hub • Service Companies: • BH, HAL, SLB, WFT • IntelliServ • Temperature, • Annular Pressure, Internal (bore) Pressure Managed Service Measurements

7. 1 1. Broadband Networking: Speed to Provide Efficiency 2 3 High-speed, high-volume, high-definition, bi-directional broadband data transmission enables downhole conditions to be measured, evaluated, monitored and also allows for tool actuation in real time. High Definition Vibration Formation pressure testing Capabilities: 57,600 bps

8. 1 High-definition Downhole Data Allows For Better Well Placement 2 3 5 passes of near-bit measurements in Nitro aerated (compressible) mud cINCL (+/-0.1 deg) Continuous Inclination (deg) cAZI (+/-0.3 deg) Continuous Azimuth (deg) Measured Depth (ft) Courtesy: Schlumberger

9. 1 Frequency Spectral AnalysisAllows for Better Stick-Slip Detection 2 3 Courtesy: Schlumberger

10. 1 Downhole Tool ControlHigh-Efficiency Operations 2 3 WP DOWNLINK RIBS OFF ORIENT TESTRAK FOR TESTS TEST AT 15,235 FEET TEST AT 15,231 FEET TEST AT 15,225 FEET WP DOWNLINK HOLD MODE With Mud Pulse 7:00:00 AM <17 min> Courtesy of Halliburton Courtesy of Baker Hughes • 54 formation pressure tests with the broadband network experienced an average time savings of 8 min per test • Improved FPT quality control in real time eliminated the need for wireline MDT

11. 1 2. Along String Evaluation:More Measurements to Increase Safety 2 3 Distributed Measurements provide insight of what is happening along the miles of pipe and help avoid potentially trouble, increasing safety. 0. Example Kick Detection Loss-zone Differential Sticking • Capabilities: • Pressure • Temperature

12. Example: Along String Pressure Detecting a Pack-Off ANNULAR PRESSURE GRADIENT INCREASE IN AN INTERVAL ? Pack-Off Y CUTTING Y PRESSURE INCREASE BUILD-UP IN AN INTERVAL? N N WORK DRILLSTRING, CIRCULATE TO REDUCE PRESSURE GRADIENT RETURN

13. 1 Kick Detection 2 3 t = 0 t = 1 t = 2 t = 3 PRESSURE Δ↓ GRADIENT Δ ≈ Δ ≈ Δ ≈ Sensor #3 CHANGE IN AN INTERVAL? Y Δ↓ Δ↓ BORE, ANNULAR Δ ≈ Y Δ ≈ Sensor #2 WELLBORE PRESSURE DECREASE IN AN INTERVAL? INFLUX* N N Δ↓ Δ↓ Δ ↓ Δ ≈ Sensor #1 CONTROL INFLUX (SHUT IN OR DYNAMIC WELL KILL OPERATIONS CONTINUE ANNULAR PRESSURE SENSOR * LARGE ANNULUS

14. 1 Loss Detection and its Location 2 3 t = 0 t = 1 t = 2 Δ ≈ PRESSURE GRADIENT Δ↓ Sensor #3 CHANGE IN AN INTERVAL? Δ↓ Y Δ ≈ Δ ↓ Sensor #2 ANNULAR Y FLUID LOSSES PRESSURE* DECREASE, RATE CHANGE IN INTERVAL? TO ZONE Δ ↓ N Δ↓ N Sensor #1 CONTROL LOSSES Δ CHANGE IN INTERVAL # NUMERICAL CHANGE ANNULAR PRESSURE SENSOR OPERATIONS CONTINUE * OR: ANNULAR FLOW MEASUREMENT

15. 1 Differential Sticking Detection 2 3 t = 0 t = 1 t = 2 # ↓ DISTRIBUTED TENSION CHANGE AT # ↓ NODE? Δ ↓ # ≈ Y Δ ≈ Sensor #3 # ↓ Δ ≈ # ↓ TENSION DECREASE Y HANG-UP, BORE PRESSURE SAME Δ ↓ STICKING IN AN INTERVAL? # ≈ Δ ↓ N # ≈ Sensor #2 N # ≈ CAUTION: WORK PIPE, ROTATE Δ ≈ REDUCE HYDROSTATICS Sensor #1 # ≈ Δ CHANGE IN INTERVAL # NUMERICAL CHANGE TENSION SENSOR OPERATIONS CONTINUE

16. Conclusions • Broadband network enables • Downhole subsurface conditions to be measured and controlled in high-definition • Annular pressure to be measured along the string, beyond just at the bit • Pressure gradients along string for event detection • Along-string pressure evaluation methodology proposed for • Kick detection, loss zones, differential sticking… • Additional along-string evaluation with measurements of strain, vibration, caliper, etc.

17. Question? Thanks to our Service Partners OTC-22239 Daan Veeningen NOV IntelliServ

18. Bio – Daan Veeningen Daan Veeningen has more than fifteen years of international oilfield experience. Daan has extensive operational experience in well construction operations in three continents. Further, Daan developed drilling engineering tools and marketed Schlumberger services with real time capabilities. At NOV, Daan has been responsible for business development and marketing for the IntelliServ broadband networking and along-string evaluation services for high-definition downhole and sub-surface operations for the last three years. Daan holds a masters degree in petroleum engineering from the Delft University of Technology and has been awarded numerous patentsfor drilling systems and processes.