SPE 145599

Deployment of the Reelwell Drilling Method in a Shale Gas Field in Canada

Miguel Belarde, Shell Canada and Ola Vestavik, Reelwell

Copyright 2011, Society of Petroleum Engineers

This paper was prepared for presentation at the SPE Offshore Europe Oil and Gas Conference and Exhibition held in Aberdeen, UK, 6–8 September 2011.

This paper was selected for presentation by an SPE program committee following review of information contained in an abstract submitted by the author(s). Contents of the paper have not been
reviewed by the Society of Petroleum Engineers and are subject to correction by the author(s). The material does not necessarily reflect any position of the Society of Petroleum Engineers, its
officers, or members. Electronic reproduction, distribution, or storage of any part of this paper without the written consent of the Society of Petroleum Engineers is prohibited. Permission to
reproduce in print is restricted to an abstract of not more than 300 words; illustrations may not be copied. The abstract must contain conspicuous acknowledgment of SPE copyright.

ABSTRACT

The Reelwell Drilling Method (RDM) is a multi-purpose system incorporating a unique flow arrangement. It employs
conventional drillpipe into which is fitted an inner string to form a concentric drill string. This arrangement allows the return
fluid containing drill cuttings from the bottom of the well to be transported back through the inside of the drill string. The
technique enables improved hole cleaning and improved downhole pressure control, and has unique features for application
to managed pressure and extended reach drilling operations.

Development of the RDM started in 2004 and has since then been through several full scale tests. In the fall of 2010 it was
deployed in a shale gas well in Canada. The main goal was to demonstrate the system in a live gas well and to gain field
experience of the technology. The system was used in both the vertical and horizontal sections of the well. The concentric
drill string was used for drilling the whole well in several bit runs, with circulation in both conventional and concentric
circulation modes. The well was drilled to 4250 m MD in 8!” hole size. The operation validated the concept and
demonstrated a practical implementation on conventional drilling rigs. The operation is an important step in the evolution of
a technology, which has a significant potential to improve operational efficiency and thereby the recovery of petroleum
resources.

INTRODUCTION

The Reelwell Drilling Method (RDM) has been developed and demonstrated in several full scale operations over the last few
years, ref/1-3/. The RDM has several important features, that can significantly reduce or solve several of the challenges of
conventional drilling, such as hole cleaning, downhole pressure and ECD management

Since the system requires modification of conventional drilling practices, it is important to introduce the technology under
carefully controlled conditions with a minimum of risk and close focus on safety. To gain realistic operational experience in
live well conditions the field trial application must take place under conditions that are cost-effective, and yet low risk. The
Groundbirch shale-gas field in British Colombia, Canada, has three important characteristics in relation to the key features of
the system:

- All wells have long horizontal sections, up to ca 2 km

- The wells benefit from being drilled with clear low density fluids
- MPD or underbalanced drilling is utilized

The Groundbirch field has an extensive conventional drilling performance baseline and also moderate drilling costs. It was
judged to be a good place to trial the system to gain realistic operational experience and demonstrate its potential under live
well conditions. The main goal for the operation was to prove and verify the new drilling technology in a live onshore gas
well without any HSE incidents and as cost-efficient as possible.
2 SPE 145599

ARRANGEMENTS AND RIG DESCRIPTION

Schematic of the Reelwell Drilling Method

Figure 1 presents a schematic of the system. It is based around a concentric drill string, where one flow path is used to
convey the drilling fluid into the well down to the bit, and the other one is used for the return fluid from the bottom of the
well. This arrangement implies a modification of the drilling fluid flow arrangement, as shown in the figure. The following
special tools and arrangements are used:

Dual Drill String: consisting of conventional 6"” Range 3 drill pipe with 8” OD tool joints, and adapted with special
designed 3.5” inner pipes with stab-in inner-string connectors. It is handled on the rig as if it were a conventional drill string.

Top Drive Adapter: a dual conduit swivel connects the rig’s top drive unit to the dual drillstring and enables rotation of the
drillstring by the top drive. The top drive adapter is connected to the surface flow control unit through an additional mounted
stand pipe and mud hose.

Flow Control Unit: a control valve arrangement is equipped with pressure- and flow sensors for pressure and permits control
of flow in the system. The control unit connects to all the flow paths of the system, as indicated in figure 1.

Dual Float Valve: a surface controlled device located at the bottom of the concentric drillstring. It converts the concentric
flow in the dual drill string into a conventional BHA. The dual float valve includes a flow cross-over from the well annulus
into the return channel of the concentric drill string and incorporates valves that isolate the drill string from the well during
connections. In the fail-safe default position, the valve closes both channels of the concentric drillstring.

Piston: an optional tool inserted into the drill string that can prevent fluid loss to the formation and provide hydraulic force to
the bit for increased horizontal reach. The Piston is designed to slide inside the 224 mm ID casing, and it allows drill pipe
rotation and can isolate the well annulus outside the dual drill string. The Piston is arranged to allow for bypass flow upwards
in the well annulus, but allows the pressurization of the well annulus between the Sliding Piston and the BOP to generate an
additional hydraulic force on the bit, when required.

In addition to the above equipment a Rotary Control Device must be installed on the top of the BOP to ensure back pressure
can be maintained on the well while rotating the drill pipe.

Figure 1. Schematic of the equipment arrangement for the RDM.

SPE 145599 3

Adaptation to the Drilling Rig

Figure 2 shows the installation of the system on a typical land rig, and, in particular, the additional stand-pipe in the mast.
Figure 3 shows the how the top-drive adapter is installed beneath the top drive, as well as the Flow Control Unit positioned in
a corner of the drill floor.

Figure 2. Nabors Rig 97 (left), installation of the additional stand pipe in the derrick (right).

Figure 3. Top drive adapter installed below the top drive (left) and the flow control unit on the drill floor (right).
4 SPE 145599

The monkey-board was modified to permit the use of 6"” Drill pipe.

The top drive adapter connects the upper end of the concentric drillstring to the top drive. It incorporates a swivel which is
attached to a 3” flexible hose for the side-entry inflow. The top drive adapter was fitted with an anti-rotation device
connected to the top-drive.

The Flow Control Unit is positioned in the corner of the drill floor near to the stand pipe. It contains valves, chokes,
pressure- and flow sensors and actuators. The unit can be remotely operated in manual or automatic mode from a console
positioned in the Drillers cabin.

The conventional Rotating Control Device was positioned on top of the BOP. It is a passive device designed for maximum
dynamic pressures up to 2500 psi at 50 rpm.

Drill String and BHA

Table 1 gives an overview of the Bottom Hole assembly (BHA) and drill string data for the drilling operation:

Max OD Length
Description
[mm] [m]
Drill Bit 222 0,3
Downhole motor 171 7
MWD etc. 171 30
Dual Float Valve 203 2
Dual Drill String 203 Up to 4250 m

Table 1. Example BHA and drill string data.

Drill Bit
The drill bits used for the main hole were 8 !” bits of various types, depending on the formation being drilled. Special PDC
bits were designed to account for the lower flow rates utilized with the RDM system.

Downhole Motor
The motor selected was a 6 !” motor adapted for flow rates around 800 - 1000 lpm.

MWD
The MWD system was a 6 !” directional drilling system and could operate either by conventional mud pulse telemetry or by
electromagnetic transmission technology.

Well design

Figure 4 presents a schematic of the planned well. The well was pre-drilled vertically to 600 m depth with a 311 mm (12 #”)
bit and cased with a 244.5 mm (9"”) 59.5 kg/m surface casing. The main hole was drilled with 222 mm (8!”) bit size in
several bit runs as follows:

- nominally vertical down to the kick-off point at 2351 mMD

- build up at about 6 degrees/30 m to horizontal at ca 2520 mTVD
- drilling horizontal section to ca 4264 m MD

The well is to be subsequently completed with a cemented production casing string of 139.7 mm (5$”).
SPE 145599 5

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Figure 4. Description of the planned well.

RESULTS

Prior to installation of the system on the rig, the 311 mm (12 #”) surface hole had been drilled with conventional 5” drill pipe
down to 613 m, and the 244 mm (9"”) 59.5 kg/m casing had been installed and cemented in place. The 222 mm (8!”) main
hole was drilled with several bit runs from the surface casing shoe at 600 m MD to the Target at 4264 mMD. All bit runs for
the main hole were performed using the 6"” dual drill string, drilling in the following modes:

1. RDM – concentric circulation : top drive adapter and dual float valve are is installed with return flow up the inner
string.
2. Conventional circulation: top drive adapter and dual float valve removed and pumping down through both channels
of the dual drill string with returns up the well annulus.

Both modes were used for comparative purposes, and to provide increased flexibility in the operations. The following
sections describe the operations and challenges encountered while drilling the well.
6 SPE 145599

Equipment installation and pipe handling

The rig was modified as described above, and the system and control units were function tested and pressure tested before
start-up. All personnel involved in the operation were put through a training program covering the procedures and
differences from conventional drilling practices. Special attention was paid to well control procedures and contingency
scenarios.

Figure 5 shows the dual drill string tool joint and a connection being made up. It shows that the dual drill pipes are handled in
the same manner as conventional drill pipes. However, special attention and inspection was given to the inner pipe joints and
the inner pipe sealing.

Use of 6"” range 3 drill pipe was new to the rig and the rig crew, so handling of the drill pipe was given special attention for
the first bit run and provided the crew with some learning points. One problem was that the drilling rig foundation was
subject to settlement, causing the rig to tilt and the blocks become misaligned with the rotary table. Due to this misalignment,
damage to the pipe threads during connections was an issue. However, after some time the tripping and handling of the dual
drill string became comparable to conventional pipe handling performance.

Figure 5. Making a connection with the dual drill string (left) and a dual drill string tool joint with inner connector (right)

The dual drill string was proven to be efficient both for concentric circulation as well as for conventional circulation drilling.
Conventional circulation drilling was performed by removing the top drive adapter and dual float valve from the drill string,
allowing for simultaneous pumping through the inner string and annulus. Any switching between RDM and conventional
drilling could therefore be performed quickly and easily, on demand.

Drilling Performance

Figure 6 presents a set of graphs of the drilling performance when drilling with RDM in the vertical section, and provides a
comparison with an offset well drilled to the same depth using conventional drilling methods.
SPE 145599 7

a b c d e f g

Figure 6. Comparison of drilling performance, RDM compared to conventional drilling.

Conventional – blue graphs , RDM – violet graphs.

Close attention was given to the drilling ROP. As can be observed from figure 6g, RDM and conventional drilling methods
gave comparable ROP values. In this case, there seemed to be a trend towards higher ROP for the RDM towards the end of
the depth interval. The bit, when pulled, was less worn than those in the offset well.

The motor performance and steering capability of the system gave no problems and the system was used to perform precise
directional drilling and successfully build inclination at rates of up to 9 deg/30m when using the 6"” dual drill string.

Other observations and challenges

The hole cleaning capability for the RDM was investigated by pumping a viscous pill. When circulating this viscous pill
through the well annulus, it is possible to check for cuttings accumulations in the well annulus, outside the dual drill pipe.
This was repeatedly performed, and no cuttings were observed in the annulus of the well during these sweeps. The efficient
hole cleaning capability was confirmed by observation of large cuttings concentrations at the shale shakers shortly after
drilling start-up. The observations indicated excellent hole cleaning, and that the transport time for the cuttings from the
bottom of the well is in the order of 5 min per 1,000m of drill string.

Figure 7 presents a picture of large cuttings taken from the shale shakers when drilling with the RDM and a roller cone bit,
compared to some typical cuttings produced from conventional drilling. As can be observed, the largest cuttings produced
when drilling with RDM are significantly larger than the cuttings obtained from conventional drilling.

The reason for this apparent difference in size of the cuttings between RDM and conventional drilling was not fully studied,
and will be subjected to further investigation. It is possible that the dual drillstring circulation method preserves cuttings
better than conventional drilling because of the more benign conditions inside the return flow path:

- During conventional drilling the cuttings have to travel through the well annulus and the cuttings may be ground
into smaller particles due to the action between the rotating drill pipe and the borehole wall.
- During RDM the cuttings will travel faster to the surface up the inner drill string, where there is no mechanism for
mechanical crushing of the large particles.
8 SPE 145599

Figure 7. Examples of the largest cutting sizes recovered, showing a trend for larger cuttings resulting from use of the RDM.

The operation was performed with close attention to HSE, and no HSE incidents occurred during the execution of the trial.
The operation proved several of the features of the RDM, including downhole hydraulic WOB capability, ECD control and
operations under live well conditions. The standard operation procedures were further refined by the operational learning
points captured in an After Action Review involving operator, service companies and drilling contractor personnel.

DISCUSSION

Comparison of drilling performance between RDM and the conventionally drilled offset well shows that the new system
gives ROPs that are comparable to conventional circulation drilling, ref figure 6. The comparison was performed when
drilling in the vertical section at around 1.5 km depth where both wells were drilled with roller cone bits. Similar ROP values
were obtained with the new system, even though the flow rate, the drill string RPM and WOB were all slightly lower than
when drilling with the conventional method. The performance of the new system appears faster towards the end of the
section. Further investigations are required to understand the reasons for this behavior. Post analysis of the drill bits
suggested that reduced wear was experienced when drilling with the new system, which might explain the improved
performance. There may be several other factors involved, such as stiffer drill string, reduced downhole vibrations, or better
hole cleaning, however, investigations needs to be performed to clarify this point.

The ability of the new system to transport large cuttings quickly to the surface may prove to be valuable for formation
evaluation. Table 2 presents a comparison between RDM and conventional drilling on this aspect.

Parameter Conventional drilling Reelwell Drilling Method

Cuttings transport speed More than 1 hour for a 3 km deep well Ca 15 minutes for a 3 km deep well
Degree of particle grinding Large, especially in horizontal wells Almost no mechanical grinding
Degree of particle mixing Large, especially in horizontal wells Minor mixing

Table 2. Comparison of cuttings analysis for formation evaluation between conventional drilling and RDM.

During conventional drilling the cuttings are brought back to the surface up the annulus of the well, where much of the detail
of the rock characteristics is lost because they are ground up by the milling action of the drill pipe against the hole wall.
Furthermore, the slow transportation up the annulus results in a mixing of particles from various sections of the well. Highly
accurate formation evaluation is therefore limited. By comparison, with the dual drill string circulation system, because of
the significantly shorter transport time and elimination of the mixing and grinding, there is potential for performing more
accurate formation evaluation from the cuttings.
SPE 145599 9

The drilling operations at Groundbirch have proven the RDM system and its main components. The operation has produced
valuable experience about the system and its operation, such as:

- The need for precise vertical alignment of the rig for ease of handling the dual drill string
- Operational procedures during drilling and tripping
- Procedures for handling and operating the special tools
- Tool performance, interaction and reliability
- System performance and optimization.

The experience has resulted in further optimization of the tools and operational procedures, which are presently being
implemented and tested prior to the next phase of operations.

CONCLUSION

The drilling operations at the Groundbirch field in Canada have successfully demonstrated the following results and features
of drilling with the Reelwell Drilling Method:

- Efficient hole cleaning.

- Comparable ROP against conventional offset wells and at some points higher ROP than conventional.
- Ability to switch quickly between RDM and conventional circulation.
- Application of conventional well control methods.
- Effective steering capability and demonstrated up to 9 deg/30m build angle with 6"” Dual Drill String.
- Operation performed with zero HSE incidents.

The operational experience has resulted in learning points on the special tool design and performance. These learnings are
being implemented for optimization of the tools performance and reliability for future operations.

REFERENCES

1. Vestavik O. et.al. Reelwell Drilling Method, SPE/IADC 119491, Amsterdam, March 2009.
2. Vestavik O. et.al. RDM – a unique combination of MPD and Liner Drilling, SPE 124891, Aberdeen, Sept 2009.
3. Vestavik O. et.al. New approach to improve the Horizontal drilling reach, CSUG/SPE 137821, Calgary, Oct. 2010.

ACKNOWLEDGEMENT

The authors would like to thank all their colleagues for their contribution to and support of the project. The Authors would
like to thank all personnel from Nabors Canada and participating service companies for their efficient and positive co-
operation. Special thanks to the Shell personnel in Houston and Rijswijk for their assistance, and to Shell International, Shell
Canada, Shell Technology Norway and Innovation Norway for funding and for allowing the publication of the results.