Multilateral Completions on Rise but Still a Niche

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July/August 2011 www.drillingcontractor.org

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Regional Coverage: Tax hike takes toll on UK North Sea Cracking the Customized drilling fluids unlocking sector; Europe gears up for shale gas resources play by play Europe & North Sea development shale code Completions Multilateral completions on rise but still a niche

Economics driving trend toward less complex junctions

By Diane Langley, editorial coordinator

ave multilateral completions In the Technology for Advancement of finally come of age? Proven to Multilaterals (TAML) ranking, level 2 is H maximize reservoir production, described as the main bore being cased horizontal multilateral completions have and cemented and lateral is left open witnessed growth in numbers and in either barefoot or with slotted liner hung complexity. However, while these com- off in open hole. Level 3 is described as pletions have become more prevalent the main bore being cased and cemented over the past decade, hurdles remain to and the lateral cased but not cement- widespread adoption, such as it being ed, with the liner being mechanically viewed as high-risk and involving mul- anchored to the main bore casing. Level tidisciplinary teams with varying deci- 4 refers to the main bore and lateral sion perspectives. Also, as the market being cased and cemented at the junc- has matured, less complex junctions are tion. Level 5 includes pressure integrity being favored for economic reasons. installed at the junction. In terms of the number of comple- Systems have evolved; continuous tions, Cole Benson, senior multilateral improvement has led to design changes technical professional for Halliburton’s to overcome problems experienced years Sperry Drilling business line, shares his ago. “More installs have led to a learn- company’s growth experience with mul- ing curve resulting in better designs to tilaterals. improve operational issues and higher “We started with multilateral comple- success rate with lower risk levels,” Mr tions around 1993. Between 1993 and Benson said. “In heavy-oil applications, 2000 we completed more than 250 junc- disconnected or thin pays were earlier tions split pretty evenly between the low- applications. We are now moving into er-technology completions, TAML levels applications to support shale plays with 2 and 3, and higher levels, TAML levels selective fracturing, gravel packs and 4 and 5. We saw a higher preference for frac packs.” onshore work, with 75% of jobs being Joe Sheehan, multilateral systems conducted onshore,” he said. product line manager for Baker Hughes, “During the era 2001 to 2011, we’ve sees significant hurdles facing wide- Figure 1: The rotating, self-aligning definitely stretched our limits. We placed spread adoption of multilateral technol- multilateral RAM system was the world’s deepest level 5 junction in ogy. “It typically takes a multidisciplinary developed by Baker Hughes as December 2010 in Norway at more than team to effectively plan a multilateral a solution for extended-reach 6,900 meters deep just at the junction. system,” Mr Sheehan said. “The differ- drilling. It allows rotation of liners to We’ve performed more than 720 junc- ent disciplines may have different key depth and maintains completion tions in the last 10 years; the bulk of performance indicators that drive their flexibility. The RAM completion these have been levels 4 and 5. We decisions. Many times these technolo- junction is created through the use increased offshore use of multilateral gies are only considered when economic of two primary components — 1) a technology to 35% of all installations,” margins are tight. Ideally, multilateral hanger and 2) a sealbore diverter. Mr Benson said. technology would be used as a tool when

Reprinted from the July/August 2011 edition of Drilling contractor magazine Completions

Figure 2 (left): Suited for intelligent completions, Baker Hughes’ HydraSplit system creates a level 5 hydraulically isolated junction for selective integration of casing exit technology, and the multilateral junction im- proves reliability by saving a trip. This reduces the exposure time between when the lateral leg is drilled and the lateral completion is installed. Figure 3 (above): Halliburton’s LatchRite multilateral system uses a casing joint with an aluminum-wrapped pre-milled window. This technology allows a single-pass casing exit with a defined geometry while producing only aluminum cuttings. The Latch Coupling provides an anchor for tools at a known depth and orientation and can be used to re-enter the lateral for the life of the well. planning field developments to optimize risk first, cost second. Simpler multilat- “The level 2 multilateral completion production and return on investment. eral designs continue to gain traction as systems with multizone stimulation are These completions are still viewed by the client can better measure and control still expanding and innovation is evolv- many as risky, but the reality is that reli- ‘at-risk dollars.’ ” ing, not only for stimulating more zones- ability of these systems over the years but for more laterals with less trips, has increased significantly.” Looking ahead which reduces the time and completion According to Barton Sponchia, mul- “The next step will be more opportu- cost,” Lance Rayne, multilateral product tilaterals product line manager for nities to combine intelligent wells with champion for Schlumberger, said. “We are Schlumberger, the industry pushed hard multilateral technology,” Doug Durst, also seeing an increase in the offshore for even more advanced multilaterals, global multilateral solutions manager for market, with the development of complex but as the market has matured, custom- Halliburton’s Sperry business line, said. and small pocket reservoirs. To continue ers sought less complex junctions due to “This has been done on a limited basis the growth of multilaterals, flexibility and cost concerns. up to now. More common usage of mul- simplicity are the keys as operators still “It was oil and gas companies that tilateral and intelligent wells will be the consider multilaterals as costly and risky, drove a reduction in complexity to bring next natural step. Also, we will see more even with the high success rate that mul- multilateral technology closer to main- systems to accommodate larger through tilateral operations have today.” stream,” Mr Sponchia said. bores in support of stimulation comple- Focus and drivers within the multi- tion programs, high frac rates and high Benefits of multilateral lateral segment have also shifted as a frac volumes.” well design result of technology advancements in “I agree that there will be an increased Horizontal multilateral completion horizontal drilling components (bits, drive to integrate multilateral technol- allows the placement of the junction in motors, formation evaluation) and work- ogies and intelligent completions both the reservoir, reducing overburden drill- string tubulars, including topside mecha- from a monitoring standpoint and a flow ing, casing and cementing costs. These nization. “Drilling farther, faster in real control standpoint — through an ability cost savings are in addition to the ser- time has effectively tightened the mul- to isolate a watered-out zone or optimize vice capital expenditure costs (struc- tilateral market boundaries during the production flow from different zones tures, wellheads, pipelines) and operat- last decade,” Ron Barker, global gen- without intervention,” Mr Sheehan said. ing expenses. There are three general eral manager of re-entry services for “In addition, as newer technologies, such areas where these types of completions Weatherford, said. “The days of ‘every as material sciences, or completion tech- make sense, according to Mr Benson: well’ being touted as a multilateral can- niques are developed and adopted, they high-cost drilling markets (such as off- didate have been replaced with selection will continue to drive the innovation of shore or deep reservoirs), plays where processes that typically force rank by multilateral systems.” increased reservoir exposure is required

Reprinted from the July/August 2011 edition of Drilling contractor magazine Completions

“The key to multilateral technology is that it permits more reservoir to be exposed per wellbore, which was one of the main drivers for the original horizontal wells,” Mr Sponchia said. “By going to multilaterals, you’re essentially dou- bling that capability. There is a limited amount of length that you can push the horizontal. … You get the same reservoir drain that you can achieve with a very long horizontal well but with lower drilling risk.”

Completing a multilateral well Multilateral wells have multiple completion options. As with any completion, design must address reservoir type, drive Figure 4: Providing temporary hydraulic isolation of a multilateral junction, the mechanism, fluid properties, well con- Halliburton Junction Isolation Tool creates a 12,500-psi rated conduit to direct figuration and any other complications high-pressure fracture treatment to the lateral leg. It can be used multiple times that might exist, such as sand influx and over the life of the well to allow workovers and further stimulation if required. water and gas coning. Laterals are completed open-hole or with uncemented or cemented liners. Other designs employ mechanical assemblies to provide con- nection, pressure integrity and selective access to junctions. In a multilateral well, some components complement the planned completion, whereas other completion components are defined as being what is put into the well after the junction has been completed. “A lot of these pieces are needed to meet special requirements of the well. A piece that would allow remote flow control of each lateral leg, such as inflow control valves (or choking devices), associated with an intelligent completion have to be properly matched to the multilateral junction components to ensure Figure 5: Developed primarily for subsea installation, the Halliburton FlexRite complete compatibility,” Halliburton’s Mr system creates a hydraulically isolated level 5 junction. The junction is formed Durst said. using “D”-shaped tubulars to allow a maximum flow area and accommodates Completion in a well with multiple lateral screen lengths of up to 2,000 meters. The system can be coupled with branches can take myriad forms. It can intelligent completions for remote control of the main bore and lateral. be barefoot. Or it can take the form of a customized multilateral junction with a standard completion. Or it might have a (such as heavy oil), or areas where geo- ity from more reservoir exposure,” Mr standard multilateral system with a cus- logical structures produce segregated Benson said. “Some multilateral com- tomized completion. “We can use conven- reservoir targets. ponents are part of the actual well con- tional completions or intelligent comple- The completions component of a mul- struction, and some are mixed with con- tions,” Mr Durst said. “We’re getting to tilateral design allows operators more ventional completions, addressing the the point where we can tie in sand-face ability to independently control and mon- isolation, re-entry and control aspects of completions as an integral part of install- itor the flow from each lateral leg of a a multilateral system. Multilateral wells ing a multilateral well.” multilateral junction. This affords the or junctions will typically accommodate “At Schlumberger, we take the concept benefit of increasing the life of the well upper conventional completions; various that we are completing wells, not build- and increasing productivity. sand-face completions, such as conven- ing junctions,” Mr Sponchia said. “We “It definitely helps reduce the draw- tional screens, frac and gravel packs don’t actually install the junction itself down that is experienced on a single and expandable screens; and intelligent until we know that it’s a good well and lateral leg, and it extends productiv- completions. we’re ready to complete it. The junction

Reprinted from the July/August 2011 edition of Drilling contractor magazine Completions

is more of a completion solution rather than a drilling solution. The most impor- tant thing for us is that we understand what is going to occur in the well after Multilaterals present extra the junction is installed. Is open-hole gravel packing, through-tubing access or intelligent completions required? These debris-removal challenges kinds of questions drive the multilateral solution.” perators report that “O debris left in the wellbore Current technologies results in one third of all failed Service companies continue to invest completions,” Ron Barker, global in research and new product develop- general manager re-entry services ment to provide operators with reliable for Weatherford, said. “I think multilateral tools and systems. the industry is finally recognizing that just circulating the wellbore Halliburton to remove debris is not enough. A key differentiator in multilateral These days a big differentiator drilling and completion products for is the casing wall. We’re starting Halliburton is the Latch Coupling. It to run a lot deeper and heavier provides full drift ID access that is equal walled casing strings. In the case to or greater than the adjoining casing. of horizontal wells, there is consis- “Within this coupling there is a unique tent contact of the casing wall and profile that allows all of our tools to be tubulars for long extended periods landed and directed to a specific ori- of time and there is a lot of addi- entation repeatedly throughout the life tional debris being generated.” of the well,” Mr Durst explained. The In the past, wellbore cleaning coupling provides permanent depth and meant circulating the well bottoms orientation reference for a precise win- up before tripping out. But down- A MaxForce string magnet was dow exit for either new wells utilizing a hole technology has changed that. deployed in the onshore Kolganovs- pre-milled window or in existing wells Today’s completion technology koy field in Buzuluk, Russia, to remove utilizing a proprietary window milling is about equipment engagement, cuttings left behind by conventional machine. dependent on seals and expan- circulating during pilot milling of a “This full-bore-ID casing coupling has sion of materials, and therefore, 4 ½-in. liner inside 5 ½-in. casing. a recessed keyed profile,” he continued. demands a clean environment. “This profile accepts a mating keyed Sources of debris vary from well to well, ranging from debris created during assembly on the bottom of all of our tools drilling or milling operations to fluid that has not been properly maintained. and can only be locked in at one depth Multilateral wells experience the same debris issues as other wells but pres- and orientation. This depth and orienta- ent additional challenges. “Horizontal wells are extremely challenging to clean; tion is unique and is recorded in the well it’s more difficult to remove debris from the toe or heel of the horizontal sec- file, and since it is a permanent part of tion. The debris lies on the low side, and typically pipe rotation is very limited the casing it can be accessed repeatedly or unobtainable,” Mr Barker said. “Mechanical wellbore cleaning is typically for the life of the well.” required to physically remove drilling debris or settled solids that are created The company has a high-strength level during the well construction process.” 4 junction with sand control that has By the very definition of a multilateral, there’s more than one wellbore, so one been installed with a 97% success rate. can’t depend on turbulent flow to get debris to surface. “Circulating environ- Associated with levels 2, 4 and 5 applica- ments may only bring half of the debris to the surface,” Mr Barker said. “The tions, this LatchRite system provides full- rest of the material is either strung out in the wellbore or in the junction area.” gauge access to the main bore and later- There is also the issue of debris going into another wellbore as one wellbore als; it also allows re-entry to both lateral is being cleaned out. There are more places where debris can settle, for exam- and main bore. Employing multilateral ple, around tubulars of various outside and inside diameters. washover operation, the system achieves In addition to selecting the right level of multilateral and the most effective hydraulic integrity using cement. completion, wellbore cleanout has become a critical element that has a direct For subsea applications, the FlexRite impact on getting the most out of the well. Installing the junction is just the first system with an aluminum wrapped pre- half of the equation on these wells; installation of a successful fully functional milled window removes the chance of completion is the second half. There is always the potential to create debris steel debris entering the lateral or main and increase risk. bore. A high mechanical strength level 5 junction enables long lateral screens to “Debris” continued on next page be installed and sand production to be

Reprinted from the July/August 2011 edition of Drilling contractor magazine Completions

eliminated. According to Mr Durst, the In the one-trip version of the “Debris” continued from previous system has a 100% success rate in more StarBurst level 4 system, a milling/ page than 137 junctions. orientation system provides for orienta- For re-entry applications, the tion of the whipstock-anchor assembly, Service companies have been ReflexRite system uses a level 2 junc- milling the window and drilling of the tasked by operators to not only com- tion window with specially engineered rathole all in a single trip. This version bat the challenges of debris manage- geometry and the junction is completed has been installed in various North Sea ment but to do so in the most time- with a level 5 system with hydraulic wells. efficient manner, reducing the num- pressure integrity at the junction. The StarBurst systems do not provide ber of trips. Weatherford believes To isolate the junction from stimula- re-entry access back into the main bore its ClearMax service can help attack tion fluids in both land and offshore leg of the well, but Mr Hogg believes debris on three fronts – chemical, applications, the company uses a tempo- this is not as much of an issue as mechanical and hydraulic. rary level 5 multilateral completion. The one might assume. “The reality is that “Clients are recognizing that well- Junction Isolation system is installed in many wells, particularly in offshore bore cleanout and debris removal with integrated completion, stimulation environments or those involving exist- has an impact on time, especially and service products, including frac ing, mature wells, the costs and/or lim- in offshore environments where completions. Multilateral drilling and ited production uplift opportunities of spread rates are high,” Mr Barker completion processes are combined a re-entry workover into the main bore said. “One thing complements the into one system capable of constructing simply don’t make such an operation other. An installation can become the junction and providing the required economically justifiable. Additionally, damaged as the result of a simple pressure isolation for selective stimula- the costs and benefits realized by leav- debris issue; a standard cleanout tion. ing the whipstock in place typically offer sequence could have eliminated the a much greater risk/reward than would damage.” Weatherford normally be realized from such a main With the chemical portion of the With more than 10,000 successful cas- bore re-entry intervention.” cleanout service, HSE-compliant ing exit installations around the globe, For projects that do require potential drilling fluid cleanup solutions, Weatherford has focused on its core main bore re-entry capability, there’s including filter-cake breakers, competency milling technology for its the MillThru level 4 multilateral sys- water-wetting surfactants and multilateral systems. “Building off of our tem, which relies on standard casing oil-based mud thinners and pipe- proven milling expertise has enabled exit equipment for creating a lateral dope solvents are unleashed. The us to offer a variety of multilaterals window that is followed by conventional mechanical portion of the cleanout designed for varying requirements and liner running, cementing and comple- involves the use of a proprietary line yet continually satisfy the industry’s tion procedures. Main bore access is of casing-cleaning, debris-extrac- demands for simplicity and low-risk achieved through the use of a stiff mill tion, circulation and wellbore integ- solutions,” Cliff Hogg, global product assembly that mills out a window in the rity-validation management tools. line manager of re-entry services for lateral casing, and in the process, cre- The third portion of the service, Weatherford, explained. ate a mechanical re-entry option for the hydraulic software, is used to ensure The company’s Selective Re-Entry main bore. that chemical and mechanical ele- System (SRS) has been developed for The company is also developing com- ments are optimized for a specific new and existing well applications pletion systems for extended-reach, hor- operation. Hydraulic programs are requiring a level 2 junction. This system izontal multilaterals. One key consid- modeled to be sure that the flow pat- uses a large-bore orientation packer to eration in such a design is eliminating tern is within the operational limits provide a permanent depth and orienta- the need for lateral access in such hori- of the rig. tion data point for both whipstock and zontal configurations. “The challenge to As an example of a cleanout later re-entry operations. It also pro- horizontal and multilateral completions operation taking place from a sin- vides multiple junctions within the span is access at a later time. It’s very dif- gle string, the engineer can scrape of a joint or two of casing, therefore ficult to get to the end of a 10,000-ft the casing, establish plug-back total providing an opportunity for maximum lateral section even with coiled tubing. depth, boost annular flow in the reservoir exposure. The resulting later- So we’re having to devise systems that wellbore, extract ferrous metal with als can be completed or left open hole. don’t need access,” according to Rich high capacity rare earth magnets, For wells in which maximum mechan- Jones, director of completion and stim- and brush and scrape the area ical integrity at the junction is required, ulation technologies for Weatherford. where packers are going to be set in the StarBurst level 4 multilateral sys- One such system is the ZoneSelect cased hole. All of this can be accom- tem uses a hollow whipstock-anchor ball drop system that allows for stim- plished in a single run, according to assembly that eliminates the need for ulation of up to 25 intervals in the Weatherford. whipstock retrieval. Once the lateral main bore and laterals without having well has been completed, the lateral to intervene in the well. Weatherford ClearMax and MaxForce are registered liner and hollow whipstock can then be believes the system is evidence of how trademarks of Weatherford. perforated in order to regain main bore horizontal completions have exploded hydrocarbon production. in the US over the past couple of years.

Reprinted from the July/August 2011 edition of Drilling contractor magazine Completions

The company has shipped 5,800 suites of its open-hole ZoneSelect system and is averaging between 12 and 15 suites per well. “That will give you an idea of how many wells we’ve completed this year. And that’s not including plug and perf systems with composite bridge plugs. We shipped 36,000 of those last year,” Mr Jones said. “It’s not been something we’ve run into in the completions busi- Conventional liner hanger, liner, ness ever. We’ve never made 100 of one and cementing size and type of plug before, and now equipment we’re making 400 to 600 at a time.” “Our ZoneSelect system can be dropped into the lateral without having to be manipulated into the lateral via a junction. Our ability to operate these systems without having to intervene during the installation or the frac process is critical,” he continued.

Baker Hughes The main-bore access window Since the mid-1990s, Baker Hughes created with a MillThru has installed more than 600 multilat- system eral junctions level 3 and higher, with the HOOK Hanger system comprising about 80% of those runs. The system provides large internal-diameter drift access that PakLatch orientation packer can create level 3, 4 or 5 junctions and for anchoring, uses standard liner running and comple- milling, and re-entry tion techniques, and provides positive re-entry access to all bores. The main bore is completed as normal in a single well. The casing exit is created, and the lateral drilled to total depth. The lateral completion is run on the HOOK Hanger system using standard liner hanger running tools and procedures. A bent joint on the bottom of the liner allows for the lateral liner to enter the lateral bore. The hanger engages the lower end of the casing exit giving mechanical support and a known loca- Completed Level 4 tion in the wellbore. The process can be Multilateral Junction repeated for multiple laterals. The company’s rotating, self-aligning Figure 6 (left): Effective in new and re-entry applications, Weatherford’s StarBurst multilateral RAM system was developed level 4 multilateral system creates a level 4 cemented junction with full-liner to allow liners to be rotated to depth and access to the lateral bore. The system requires only one whipstock run and is create a mechanically supported junc- compatible with conventional and intelligent completions. Figure 7 (right): Run tion in long extended-reach applications in South America and the Middle East, Weatherford’s MillThru level 4 system or when it may be difficult to get liners relies on standard casing exit equipment for making a lateral window, enabling to depth due to wellbore and formation creation of a low-cost level 4 junction. A simple mill assembly is used to create conditions. To add completion flexibility, access back into the main bore through a standard liner. accessory tools can be landed in the RAM system to allow a level 3 or 5 completion, to stack multiple junctions and have Similarly, during the RAM operational depth. Then the RAM sealbore diverter positive re-entry access to all bores, and procedure, the main bore is completed as is installed and aligned to the casing exit utilize intelligent completions to control normal in a single well. The casing exit window. The lateral completion is run on and monitor production. is created and the lateral drilled to total the RAM hanger and can be rotated to

Reprinted from the July/August 2011 edition of Drilling contractor magazine Completions

and the other seals in the sealbore diverter, creating the hydraulic isolation. Accessory equipment allows positive re-entry access and pressure isolation between all bores. “The Hydrasplit and casing exit systems were integrated to save an entire trip as opposed to similar systems,” Mr Sheehan said. “This reduces lateral open-hole exposure time between when the lateral leg is drilled and the lateral completion is installed, reducing installation risks.”

Schlumberger Most suited for unstable or caprock applications, the company’s RapidX level 5 multilateral junction offers formation stability at the casing exit and pressure isolation to 2,500 psi. The sys- Figure 8 (above): The Schlumberger tem includes a specially designed seal combined with a continually interlock- RapidAccess indexing casing coupling ing rail system and can be used for new or re-entry wells that have different (ICC) and construction selective pressure regimes requiring inflow control. landing tool are integral parts of the For new wells with similar pressure regimes, the RapidAccess level 2 junc- level 2 multilateral system. The ICCs, tion gives selective access and multiple kickoff points for multilateral wellbores. installed in the casing string when the The system is based on a self-orienting and locking casing nipple concept that string is run, are reusable throughout has three components: an indexing casing coupling (ICC), construction selective the life of the well. Figure 9 (right): The landing tool and a construction re-entry deflection tool. RapidAccess has the abil- Schlumberger RapidX level 5 system ity to be stacked for multiple junctions and has an internal diameter (ID) that is features a specially designed seal equal to, or greater, than the casing with which it is deployed. The system provides combined with a continually interlock- permanent depth and orientation points are retained without compromising the ing rail system to provide an ultra-high casing ID. The RapidConnect multilateral com- strength junction. The RapidX junction pletion system is the only level 3 junction that provides complete sand exclu- connector is shown. sion at the junction. It permits reliable re-entry access and selective production to either lateral in both new and exist- total depth. The RAM hanger self-orients the casing exit and the lateral is drilled ing wells. on a helical profile on top of the sealbore to total depth. diverter, creating a mechanically sup- The upper portion of the combina- Latch Coupling, LatchRite, FlexRite, ReflexRite ported junction. tion casing exit system is retrieved, and Junction Isolation System are registered Another Baker offering, the HydraSplit leaving a sealbore diverter in place trademarks of Halliburton. Selective Re-Entry system, creates a low-risk level 5 that is directly aligned and optimally system, StarBurst, MillThru and ZoneSelect hydraulically isolated junction suitable positioned to the casing exit window. are registered trademarks of Weatherford. for intelligent completions. The main The lateral completion is then run in HOOK Hanger, RAM and HydraSplit are reg- bore is completed as it would be in a hole with the HydraSplit system, which istered trademarks of Baker Hughes. RapidX, single-well application. A combination has two legs facing downhole — one RapidAccess and RapidConnect are registered casing exit system is run and creates is attached to the lateral completion trademarks of Schlumberger.

Reprinted from the July/August 2011 edition of Drilling contractor magazine