DEVELOPMENT OF PELICAN LAKE AREA USING

HORIZONTAL WELL TECHNOLOGIES

T. FONTAINE L. HAYES G. REESE

this article begins on the next page F

-j Development of Pelican Lake Area Using Horizontal Well Technologies T. FONTAINE, L. HAYES and G. REESE CS Resources L,rTiiteci Abstract CS Resources has been a pioneer in the use of horizontal wells to develop heavy oil reservoirs. From 1988 to 1991@ CS Resources drilled, and currently operates, 17 horizontal wells iii a thin, heavy oil pool in the Pelican Lake area in northcentral Alberta. The horizontal wells were drilled in three phases; eight wells in 1988, five wells in 1989/1990 and four wells in 1991. At each phase of development, well costs improved and produc- tivities
increased. The continual improvement in the overall per- formance and cost effectiveness of the project can be attributed S Resources takes toward pool devel- to the focused approach C opment. This paper will discuss the aforementioned phases of development and how knowledge gained from each phase was used to improve performance in subsequent phases. Several sig- nificant accomplishments will also be discussed, including: * The drilling of the first ever lateral arm off of a horizontat well in Canada. *
The drilling of an experimental 4'J" type profile (in an attempt to improve pump performance). The drilling of a horizontat well with a horizontat length/vertical depth ratio believed to be greater than that of any other well ever drilled. Introduction Most ot'thc vertical wells @it Pcliciiii [-@ikc liztd been shut iii DLIC tO Lineconoiiiic procluctioii. lii .]ZlilLlitl-@ 11),S,@ when the first ci,,,Iit liorizoiit@il wells wei-c drilled iti I)Clicztii l,itke, very I'ew liorizontitl well,., laid
bccii drilled in Some cli.@ussioii ot' the l'il-st ei lit well phase is (riven iii Rei'ei-eiic@ i I ) @iild (2). lisc ot hoi-i z(iiit@il well techiioIo(,ie,., his ttii-iie(I [lie 1)ioiect into @i leciiiiic@ll Ill(l CCOIIOIIIiC SLICCESS@ SLICCESS IliCli ( @iii t)c @ittribtite(i to ('.1)' ResoLii-ces' t'OCLised @ippro@icti to lio@)i (iceloiiiiient. The dcn,elol) ilielit @ippi-o@icti L)Se(i iS CO]IIPI-iSC(I Of tillc@, ke@ @Ollipolicill": RES[-ARCH - Coiisidei@itilu iccliiii@il Nkoi-k was coilll)lclctt 1)t-ioi- to each pli@ise oi'(iccl(il)iii@,ill ('OMMITMENT
Some ol the l it-@l wells drilled did ii(it @is well is predictc(l. I'lic iezisoiis loi- the Lill(]Cl- Pei l'ot-ill@tiicc Were illVCI;tiL@tt@Ll @ill@l tIlC PI-OJCCI llIS Siiicc I)ecollle @t success. 44 PELIC *AN @AKE LLOYDMINSTOR _ FI(;LJ RE 1: Pelican lake and l,loydminster region. @,'()NIML!N[('A'I'I()N -- Discussion tlirOLighout the pr(@ject liet-,@ceii l,eolo,,,@, drilling, reservoir @ind production disci- ,Ilint-s, @is well @is field staff aDd service conip@inies, hts iiiipiove(I over@ill pr(@lect uiiderstandin-. It has also leaci to -ont iti pro( 11LI@ll COSI
@ll ILICtiVitN' iiTiprovenienLs. History 1 lic Pelican Lake zirea is located 175 miles north ol'Edmonton, Aii,cit@i (Fil,@Lire I ). The discovern, well. Gulf Pelican 6-9 81- '-21, w;ts drille(i iti 197 . The main oil hearing for[nation is the "A" which has tn aver@ige net oil pay of 5.0 iii. The @i)l -,I-itvitv oi, the oil is 14", and the viscosity is between 600 and I 0(ii) cell ipoise @ll '@10 'C, Formation s,,tnd hts an average porosity )l Lll(i @iii acr@ige horizont@il per[neability ot' 3 darcies. (ctobei- 19,@7. CS Resources entered into a
I'@iriii-otit aild opli@@ii @t-reeiiient with Gult' C@iiiad@i coverin,, 58 sqti@irc iniles in [[ic 1'eliciii 1,@tkc Prit)r to CS ReSOL11-Ccs acquisition ot' the ',Llllic ct 1,.iid,,, iiioi-c tiiziii $100 i-nillion had been expended in the fle il@iii 1,@tkc @ire@t. Ft-(mi 1980 to 1986. apl)roxim@itelv 100 vertical @iii(I Ievi,,,ted wells wcre drilled. A v@iriety ot'EOR processes were illi@llictill @itei I,lt)odiii,@, cvclic steam stin)ui@ttion. ste@iiii Ilo@,kiii)L @ill(I l'il-c I'loocling. Aftei- 1986, no I'Lirther (Irillin(,, took I)I@ Llllti I 1 988 A@lieii CS
ReS()Lirce,., drille(i ei(l,ht lioi-i/ontil @@( l l@)t-i/ont,,tl wells @k,ere @t n@ItLir@il choicc ot' developiiicnt ill (Iii,,, ,ti @ t loi- the l'ollowiil,-, i-easoli,.,: I)itfiCLIlt locttions reqllll-ed expeiisivc i-oad @ind lcil;e colistrilctioll, The Journal of Canadian Petroleum Technology
 •iii!i!~
______________________ ~------~~~C~~~T~9=3~o~7--~O~b~
Development of Pelican Lake Area
Using Horizon1tal Well Technologies
T. FONTAINE, L. HAYES and G. REESE
CS Resources Limited
Abstract
CS Resources has bt!en a pioneer in the use of horizontal
wells La develop heavy oil reservoirs_ From 1988 to 199 L. CS
Resources drilled, and currently operates, 17 horizontal well!. in
a thin. heavy oil pool in the Pelican Lake area in northcemcal
Alberta. The horizontal wells were drilled in three ph<lses; eighl
well!', in 1988, five wells in 198911990 and four wells in 199L
At each phase of development. well costs improved and produc-
liviries increased. The continual improvement in [he o\'erall per-
formance and cost effectiveness of the project can be attributed
to lhe focused approach CS Resources takes toward pool devel-
opment. This paper will discuss the aforementioned phases of
development and how knowledge gained from each phase was
used Lo improve performance in subsequent phases. Several sig-
nificant accomplishments will also be discussed, including:
The drilling of the fLrst ever lateral arm off of a horizontal
well in Canad<l.
The drilling of an experimental "r type profile (in an
aLtempt to improve pump performance).
The drilling of il horizomal well with a horizontal
length/vel1ical depth mtio believed to be greater than [hat
of any other well ever drilled.
Introduction
ivhhl of Ihe v":llieal wells aL Pelican Lake had bet!1I ~hLU ill due
10 un..:conomic pwdUl':lion. In Jallu:lry I CJ3S whcn Lhc fll ~L cigln
hllllZlllllal well ... were drilled ill Pdican Lake. very few horizomal
wclb llaU heen dlilleJ in Canada. Some ui.~cu~sion ur Ihl.' Jlr~L
ciglH well pha:-.c i'i glVl!lI in Retercnccs (I) ,Inti (1). U~·c 01 hOI i-
wllLal wdl [echllologic ... ha ... [urncd Ihe projccL imo a Lccllllll.:al amJ
l!CtlIlOIllIL' '-;lIcce~~: a >;ucce~ ... which C;l1l be '-IlIrlhuled III CS
RC~'lLlrce ... · C()cu~ed :\[Jproach lO pool developmenL Tile- dcvdop-
IllCIll appn1,lLh u ... ed i" clllnpli~cJ Ilfllilee key ctlrnpnncnt~:
RE.sEARCH - CUlhll..h!rahle lcdlllical w{)[k wa ... complctcd
prim 10 eilch rha ... c of dc\'elopnwilL
C01\·11\lIT;V1ENT - SOIllC 01 the Ilbl welb drilled did [wi
pl!li(11111 a~ wl!11 ,l~ pledicted. Thl! le:l"()n~ fOI lhc undl!1 PCI-
Illrtll<lllCC wefe il1vc!-.ligall'd and lile Plojl!CI Il~I'" ~incl!
hccurne a ~llCCC!-,~.
44
,
! .
PELICAN UAI<E
,,
,./".,''\
' .....• .. ~ LLOYDMINST~R
~',
I I
I I
,•
h >p, ,~.
I
FI(;URE I: Pl'iican Lake :It\d l.Io~·drnimLer rt'~ion.
COivU'... IUNICATION - lJI.~LlI.~~lll]1 Lhll1ughl111l IlLe PluWCL
beLwe.en gcology. drilling. rl'~cl\'oir and pluduLlillll dl"'L-i-
plinc~_ a~ well a ... iil!h.l ~Lilll and ~crVlll' CUlllpilllic~. h,I'"
lInproveu overall plojecl ullder~Lalldillg II Im~ aLso Ie.ld Itl
cOIILillual co:-l and proJucLi\'ilY irnplll\'t!nlcnt~
History
TILe Pelican Lake area i:-. loca[ed 175 IIl1le.~ Illlilli ul Edllltlllllln,
Alherta (Fi!!ure I). Thl' di ... cuvelY \\cll. Gulf Pclican h_lJ_:-i 1-
11W-I-. wa~ drilled ill IlJ73. Thl' lIH~ill Ilil hl!ann,g rOllllatill11 I'" IhL'
Waoi!-.kaw "A" which ha~ an 'Iveragt! lIer oil JlilY III S.O III. TlLc
AP[ graviLy of the oil i:-. 1-1- '. and Ihc \'i.~co ... ity I'" hl'rwl'clI h011 amI
1000 ccnlipui~c al 2()·~C. FOllllalllln ~;Uld IHI:-. all avcla~c pl110~lty
oj 16 1.; ,lnd an average hori/onral pCllllcahilllY 01 J tlaIL·ic~.
Durin!! October 1l)~7. CS Re"'lllllCC.~ cnlclt!u illto a larlll-oill ~Illli
optlun- agrccmelll Willi (iulr Canada covl!ling 5:-; ~llllale lllllc ... 111
Lh..: Pelican Lako.! area. PLIO[" III CS Re~tllln:c~ anllli~llillll 01 LlrL'
~lIbjecL laml...;. 1lI00C than ~IOO 11Illlioli Irad hccn c'pclldctl ill rlrL'
Pelican Lake area. From II)~() lo II):-:(l. appro,illlalcly l()() vl!lliL'al
and devlaLcd well" wcre dnllcu. A vilricLy tlf EOR pnh':c~~c'" \\l'll'
[": ... [ed illdudim! w,ller Ilooliim!. cvdic QCaLH "ulllulillillll .... 1l!,1111
flooding and rill' rluoLiing . .l..flci ·llJ~(). lit) ImLhcI drillill~ 1lllll-.
pIal''': ulltil 19~3 whclI C.s Re:-'llurce~ drillc-d L'lghl htlli/lllllal
well~.
Hnnzolllal \\clb were ,\ Ihlllll.tI choicc tlJ dC\'clopIIICILL III llll'"
aleil IIX lhe Illllowing Io.!a~()n!·;:
DilTicuil IlHbl-.Cg: localioll'" IClluirl!d C\IWlhl\C Iliad and
le'l~l' L·oll~lrtlcril)[\.
The Journal or Canadian Petroleum Technology
 Joh Fou

Grand '. J' -:••

Rapids 'A'

Grand
Rapids 6"

Grand
~ 'C"
~
o
w
u l;··~~:
"'
!" (~:~
u

Clearwater
+

?
-+- ,+ ~.. -+-

L_-,-·'~~~.~_~'~- "_~'~ )'L('~?~"'~+_'__ ~__- i Wablskaw

• 1988 Drilling Program

1989/90 Drilling Program . ,:.~",

McMurray

• 1991 Dnlling Program

Grosmanl
eX~i:~ ~', :
FIGURE 2: Pelican Lake project area. FIGURE 3: Representative \\'ab.l."ea log secLion 6-9·81-22\\0'-11\1.

Vertical production was dearly uneconomic due to pour pro-
ductiviI), and low recoveries.
A horizontal well contacPi considerably more of the thin
productive reservoir section than a vertical well.
HOrizontal wells offer potential for considerable cost
improvements over vertlc~\1 well development The co . . t per
incremental volume of recoverable oil i . . reduced. The lIti-
lization of a !iLngle drilling pad for four or morc horizont:Li
weHs improves Infrastructure costs per well. Operating amI
lifting costs per cubic metre are reduced. and overall operat-
ing and transportation charge~ can be reduced as rroduction
volumes exceed minimum (hresholds
Some of the initial welb did not perform as expected Through
further [echnical work and discussion between geology, le~ervoir
and drilling discipline'i, probable reasons for underperformance
were revIewed. With the knowledge obtained from the origm'dl
program, five more horizontal wells were drilled in lhe winter of
198911990 and four more wells followed in 1991 The well loca-
tions for all three phases ,Ire shO\vn in Figure 2. Each phase of
developmenL is disl:ussed belo\.".
selHatlve loO! ~ection of the \Vablsk-.lw is shown in Figure 3.
Overall li(hology consi~t'i of a-\.- 6 m Lhick cmlrsening upward
sequence varying from interbedded claysLones with very fine
samh Lo silts aL the bllse Lo a somewhat more massive fine grained
cleaner sand aL (he LOp. In det'lil. the Wabiskaw "A" sand can be
further broken down imo two ~uccessive zones based on li[hology
',lIld ~Iighlly differem oil "~,lturations, The upper zone of the forma-
(ion is Lile '"Bar Complex" and the lower zone IS the "Bar
rl,'largin", The Bar Comr1ex represents a clean high energy sand
unit witll higher oil 'ialUraLion and permeability [han the Bar
Margin, The Bar Margin is a lower energy unit with finer grained
sediments and numerous shale breaks. Figure -\. is a schematic
"~howing the Wabiskaw reservoir and deposiuonal model and the
developmenL of the Bar Complex and the Bar l'..Jargin. I[ is impor-
lllllt 10 note tlHlt the Larget zone, the thin Bar Complex. can change
structurally by 6 - 8 m ovcr relatively short distances. There is no
boLlom watcr evidenL In any of the \'ertical 'vell~.
i·.
~ "
I~",o"..t'~""") ---"1
Hall. ~lalo

.. ,
Phase I (1988) - Eight Horizontal Wells

Geology
G M~oSan.:l
The Pelican Lake area lies in the middle of the Wabasca oil o S"tfIS"'"""1
~ Sh~'"
(~~;' ;~: :. '

'iands deposit. The Wabiskaw sands comprise part of Lhe

tvlannville group of Lower Cretaceous age. and were deposited as f·
a marine blanket sand. The Wabiskaw sands contain the members ,:I ';
.-
..
"A", "B" and '·C'. The "A" sa[)d is (he primary heavy oil bearing
FIGURE 4: Wabiskaw reservoir and depositional model.
member and It is overlain by the Wabiskaw A' claystone. A repre-

November 1993, Volume 32, NO.9 45