Geothermal Drilling Webinar

April 03, 2019

“MAKING GEOTHERMAL HAPPEN”

Marcelo De Camargo GeothermEx President

Ozgur Balamir GeothermEx Drilling Mgr
Erick Salinas GeothermEx Well Eng

Schlumberger-Private
Something HOT is happening in Schlumberger !

Schlumberger-Private
We can generate electricity from geothermal energy !

Schlumberger-Private
 We are involved on all aspects of geothermal energy development:
Greenfield Exploration to Field Production Management, Risk & Economics

Schlumberger-Private
 GeothermEx has Global Recognition in the Industry

Worked in 56 countries
on 70% of operating
geothermal projects
Significant database of geothermal wells

▪ The Gold Standard for due diligence ◼ Expert Team with 25+ years each
▪ Modeled 90% of world’s developed ◼ Innovative and practical people
geothermal fields

Schlumberger-Private
Geothermal Organization
Rob Morgan
Michelle
Stacey Ames
Jonathan Amber Erika Mike Wilt Sullera
Reservoir Reservoir
Hernandez Falconer Bowen Geophysics Engineer
Engineer Engineer
Geologist Geologist Geologist Adv

Roger
Geo Res. Minh Pham
Reservoir
Henneberger
Geology &
science Eng. Eng. Mgr

Economics Mgt

Raysa Erick Eduardo

R-Rivera
Hydrog.
Bus. Salinas Granados

GIS Dev. / Drilling Drilling Eng Drilling Adv

Chris Klein
Geosc
Ann Tevfik
Tito Perdana Kaya Geochemistry Ozgur
Robertson-
Geologist/ BD Turkey Adv Balamir
Tait
Indonesia MD Drilling Mgr
Geologist/BD
Shared IDS/
Logan Geoche
Hackett ISM
Geochemistry mistry
Mgr Ops
Rene
Moreno
Office
Well James
Admin. Mgmt Test / Morrow
Database
Support Field Specialist
Patric
Marcelo
Camargo Guthrie Ops James
Business Mgr Controller Lovekin
Field Ops
Mgr
P. Line
Michael R&D Inter
Williams
R&D faces
Engineer

Shared

Schlumberger-Private
Geothermal projects are not too small for Schlumberger
Schlumberger is not expensive for geothermal

Integrated Projects

Star NREI
Blue Rigs KS Orca MEDCO
Energy (Nevis)
(Turkey) (Indonesia) (Indonesia)
(Indonesia)
21 wells
20 wells + 18 wells 4 wells
ISM 4 wells IDS
ISM IDS LSTK

Schlumberger-Private
Nevis example: from exploration test to full IDS contract

• Region-wide assessment
• Regional exploration
Governments

• Exploration Drilling
• Exploration Testing
Financial • Resource Assessment
Institutions • Feasibility / Bankable report

• Developer Drilling Program

• Developer Financial Models
• Support fine-tuning of Drilling Proposals
Developers • Full IDS contract (current stage)

• Field-wide reservoir models

• Production Injection Management
• Make-up Drilling Program / Chemical Management
Operators • Re-financing / Negotiating the assets

Grey items within our capabilities but not executed by GeothermEx on this project

Schlumberger-Private
 Typical geothermal well profile
▪ Surface casing in consolidated rock
▪ Intermediate casing to isolate problems in open
hole
▪ Production casing to isolate top hole from
reservoir section
▪ Slotted liner in the production section (typically
set on bottom with a liner adapter)
▪ Production thru the slotted liner and last
cemented casing string (no tubing)
▪ Permanent wellhead flange welded to first
intermediate casing. Expansion spool nippled
up on the permanent wellhead flange

Schlumberger-Private
Geothermal has its own challenges
▪ Casing design (thermal loads, LCF, corrosion, erosion)
▪ Program and planning (high water consumption)
▪ Cementing of casing strings (casing expansion, trapped water)
▪ Surface and downhole equipment requirements related to
– Large hole size
– High temperature

▪ Hard, abrasive and fractured formations

▪ Hole cleaning
▪ BOPE and well control (thermal kicks)

Schlumberger-Private
Geothermal drilling requires experience
▪ High temperature drilling environment

▪ Drilling in unconsolidated and water‐sensitive

formations with WBM

▪ Casing strings cemented over their entire length

▪ Large diameter holes drilled in hard formations

▪ Persistent lost circulation (severe and total losses)

Schlumberger-Private
Downhole tools suffer !

Mud motor stabilizer

Drilling jar
Coring
stabilizer
Coring pin
stabilizer
blade

Schlumberger-Private
Common problems requiring well intervention
▪ High to Ultra-high reservoir temperature
– Typically within the 200-300+ ºC range
▪ Corrosion (reservoir and occasionally top hole)
– CO2 and H2S corrosion
– Pitting, galvanic, crevice
▪ Scaling
– Silica, Calcium carbonate, and heavy metal Sulphide salts

Schlumberger-Private
We seek to improve knowledge transfer in geothermal
▪ Industry Recommended Practice IRP3 for the Canadian O&G industry
– Volume 03 – 2012. (IDS Casing and Tubing Design Standard Reference)

▪ New Zealand Standard Code of Practice for Deep Geothermal Wells

– NZS 2403:2015

▪ Post-Yield Tubular Design and Material Selection Considerations for

Improved Geothermal Well Integrity
– Suryanarayana, P.V., Krishnamurthy, Ravi M., Stanford University, 2018

▪ Challenges of Casing Design in Geothermal Wells

– SPE-170480-MS; Torres, A., 2014

Schlumberger-Private
We have work to do to adapt O&G technology to geothermal
Resource Evaluation Production
• Geothermal Petrel Workflow • ESP Remote Monitoring
• Natural Fracture Modeling • Geothermal Reservoir Numerical Modeling
• EGS Characterization • High-Temp Pressure/Temp sensors
• Geothermal flowmeters
Drilling Tech X:
Tech Y:
ready
• Hard Rock Hammer Drilling Tool Needs to
be
adapted
• Geothermal Drilling Analytics
Tech Z:
N/A
• Geothermal Real-time drilling
decision-making

Applicable to Geothermal

Schlumberger-Private
Key Takeaways
• Schlumberger is the only service provider
with full geothermal upstream industry
coverage

• We have the capabilities to tackle the

geothermal drilling challenges and provide
Integrated Solutions to the industry

• Contact GeothermEx when dealing with

geothermal opportunities
Marcelo De Camargo GeothermEx President mcamargo@slb.com
Ozgur Balamir GeothermEx Drilling Mgr obalamir@slb.com
Erick Salinas GeothermEx Well Eng esalinas3@slb.com

Schlumberger-Private