November 2009 Society of ewsletter N Engineers General Meeting Date: Wednesday, November 18, 2009 Denver Speaker: Sidney Green TerraTek/ Section Topic: Common Sense is Maybe the Least Common of the Senses When it comes to Porosity, Permeability, and Saturation of Tight Gas Shale Rock denver.spe.org Place: The Denver Athletic Club 4th Floor, 1325 Glenarm Place, 303-534-1211 Time: 11:30 AM Cost: $25.00 with reservations, $30.00 at the door (if space is available) Reservation Deadline: Noon, Monday, November 16, 2009 RSVP and PAY in ADVANCE on-line at http://denver.spe.org and click on “Register for the General Meeting” or call 303-620-9080 Abstract The biggest on-shore play in North America — not including — is the tight gas shale. This is an unconventional formation, unique and complex in many ways, including being highly heterogeneous at all scales and anisotropic in bulk mechanical properties. When it comes to understanding the porosity, permeability, and saturation of the tight gas shale rock, Professor Neville Cook’s saying that “common sense may be the least of the senses” may be very true. For example, trying to understand effective, gas filled, or total porosity is difficult. Measuring permeability of such low permeability rock requires new and delicate procedures, to say the least. And, estimating the water and light hydrocarbons saturations is indeed complex. The presentation discusses these issues and shows micro-structure observations from typical petrographic images to nano-meter scale micro-focus CT X-ray images. Based on hundreds of thousands of feet of core analyzed and production from thousands of wells, the industry understands some details, while other details are simply not so clear. Biography Sidney Green is Geomechanics Business Development Manager for the Schlumberger Reservoir Characterization Group, and was one of the founders and was former President / Chief Executive Officer of TerraTek in Salt Lake City, Utah. TerraTek, a well known geomechanics engineering firm, was acquired by Schlumberger in 2006. Mr. Green is also Research Professor at the University of Utah, where he holds a dual appointment in Mechanical Engineering and Civil and Environmental Engineering. He has worked in the area of geomechanics for over four decades, and has published numerous papers and reports, holds a number of patents, has given many presentations on geomechanics, and has received a number of rock mechanics/geomechanics recognitions. He

Denver has served on Government Committees and on many University and National Laboratory advisory boards, and has testified at a number of Congressional hearings. Mr. Green has a BS from the Official Publication of the former Missouri School of Mines and an MS from the University of Pittsburgh, both in Mechanical Denver Section of the Society Engineering; he attended one year at Pennsylvania State University graduate school, and two years of Petroleum Engineers at Stanford University where he received the degree of Engineer in Engineering Mechanics. He 1630 Welton Street, Suite received the Outstanding Engineer award and the Entrepreneur of the Year award from Utah, and 300 Denver, CO 80202 continued on page 3 9 issues yearly, Sept.-May SPE Environmental Study Group

Date: Monday, November 9, 2009 Time: 11:30 - 1:00 pm (Bring your own sack lunch) Speaker: Daniel Pring Buys & Associates Upcoming Events Topic: Recent Developments in EPA Air Quality Monday, November 2, 2009 Regulations Rocky Mountain Expo and Prospect Fair Place: Energy Services Register here: Main Conference Room http://www.rockymountainexpo.org/ CHASE Building 1125 Seventeenth Street, Suite 1900 Denver, CO 80202 Tuesday November 3, 2009 Comedy Works Ð Downtown Abstract 15th and Larimer The United States Environmental Protection Agency Show starts at 8pm (EPA) has several regulatory actions finalized or pending Happy Hour prior to the show at the Red concerning air quality issues for which Oil and Gas Square in Writer Square (15th and Larimer) operators will potentially be subject to. Among the pending around 6pm. regulatory issues are: ¥ Greenhouse Gas Mandatory reporting requirements Ð Thursday November 12, 2009 Finalized 9/22/09 NGOGP Holiday Party - Wine Loft ¥ National Emission Standards for Hazardous Air 4:00-7:00 Pollutants for Reciprocating Internal Combustion Please RSVP to Engines (RICE), 40 CFR Part 63 Subpart ZZZZ Ð [email protected] Proposed Rule, 3/05/09 or look for the Evite ¥ NAAQS Ð NOx 1-hour Standard, Proposed Rule, 7/15/09 ¥ NAAQS Ð Primary Ozone Standard review ¥ Tribal Airshed Minor Source Permitting Rule PLEASE VISIT OUR WEBSITE FOR How these regulatory actions may impact O&G operations FURTHER DETAILS AND will be addressed. ANNOUNCEMENTS:

Biography http://denver.spe.org/ and click on Daniel Pring heads the Environmental Group at Buys & “young professionals” link. Associates. Daniel has 17 years of environmental experience in areas ranging from air quality to storm water management to pollution prevention. Mr. Pring’s areas of expertise include Air Quality Permitting, Air Quality/ If you’re interested in getting involved with Meteorological Monitoring, NEPA - Environmental SPE-YP or have ideas for events, Assessment/Environmental Impact Statements (EA/EIS), speakers, etc. . . Atmospheric Dispersion Modeling, and Emission the SPE-YP would like to hear Inventories. from you! [email protected] the Illinois Basin and has worked the Mid-Continent, South Texas, Rockies, and Northeast regions with SLB, HES and BJ as well as with Devon, Whiting and Sierra SPE Completions/Production Engineering. She took a 5 year break in 2000 to teach Study Group elementary school (to weather the last down turn). Debby has a total of 23 years of industry experience. She is currently working as a Region Engineer for BJ Date: Thursday, November 19, 2009 Services and is assigned in-house at Shell. Time: 11:30 am (Bring a sack lunch) Speaker: Debby Duckworth BJ Services Topic: Metrics for Evaluating Cementing Success General Meeting Place: Halliburton Energy Services continued from page 1 Main Conference Room CHASE Building the Distinguished Alumni Award (1976) and the 1125 Seventeenth Street, Suite 1900 Professional Degree recognition (1998) from the former Denver, CO 80202 Missouri School of Mines. He received the 1989 Honorary Alumni Award and the 2009 Engineering Achievement RSVP: Melanie Paterniti @ 303-899-4775 Award from the University of Utah. He is a past member [email protected] of the Greater Salt Lake Chamber of Commerce Board of Governors, and was recently elected a Fellow of the Abstract American Rock Mechanics Association; he is a member of Many papers and books have been written relating the the SPE and of the US National Academy of Engineers. importance of cementing operations to the success of drilling and completions operations. While cementing costs typically represent less than 10% of total planned wells costs for domestic US onshore operations, the failure to get good zonal isolation and adequate cement bonding to the casing and formation can be catastrophic. . . from loss of potential pay zones to the loss of the entire well. Even SPE Wives’ Club operator personnel involved with cementing on a regular Cordially invites you and your guests to the basis may take the operation for granted. “Cementing should be seamless.” “It is not a commodity that I am as November Luncheon tied into as mud or casing.” Often the success of the Tuesday, November 17, 2009 cementing operations is measured on location with a single drilling report entry. . .Bumped the plug and floats Social 11:00 Cash bar available held. Good cement job. But was it really a good cement Lunch 12:00 job? Does bumping the plug and pumping all the cement Imperial Chinese Restaurant really reflect the efficiency and quality of the job? A recent 431 S. Broadway, Denver two year cementing project in Wyoming provided both the (Northwest corner of Broadway & Dakota Ð operator and the service company an opportunity to 1 block south of Alameda) develop metrics for evaluating cementing success that go (Served family style consists of: Imperial rolls, crabmeat cheese beyond “bumping the plug”. The purpose of this paper is wontons, soup, sesame chicken, Mongolian beef, Nanking pork to present the key performance indicators developed and loin, fire cracker prawns, vegetables, pork fried rice, Ginger ice demonstrate how to apply them to other cementing cream, and coffee, iced tea, hot tea, or soft drinks.) projects to quantify cementing success. For the seasoned engineer this paper provides a review of the importance of Cost is $20.00 cementing operations while newer engineers may use it to Program: become more familiar with the scope of planning and implementing successful cementing operations. Buffalo Soldiers of the American West RSVP by Thursday, Nov. 12th, 2009 Biography Debby Duckworth is a graduate of Michigan State Barbara Martini University (Marketing Degree). She started with Dowell in 720-344-4140 home, 720-272-1027 cell Denver Section Society of Petroleum Engineers Continuing Education Short Course Offering Horizontal Well Completions Instructor: Steve Mathis, Inc. Date: Tuesday, January 26, 2010, 8:00 AM to 5:00 PM Location: 707 Seventeenth Street, Suite 3010, Denver, CO 80202 (Corner of 17th and California) 0.8 CEUs (Continuing Education Units) will be awarded by SPE-Americas Office for this 1-day course.

Course Description This course develops strategies for completing horizontal wells with either cased or open hole configurations, with or without sand control. It reviews the applications for horizontal wells and discusses drill-in fluids, hole displacement, cementing, perforating, and stimulation. In addition, the procedural guidelines for selecting stand alone screens and executing horizontal gravel packs are reviewed. Finally, zonal isolation and inflow control techniques for use with or without sand control are highlighted.

Course Contents ¥ Introduction ¥ Horizontal Well Design ¥ Completion Options ¥ Cased-Hole Horizontal Completions ¥ Perforating Horizontal Wells ¥ Stimulating Horizontal Wells ¥ Open-hole Horizontal Completions ¥ Drilling the Open-hole ¥ Drill-in Fluids ¥ Displacing the Drill-in Fluid ¥ Open-hole Completion Design—Sand Control Unnecessary ¥ Open-hole Completion Design—Sand Control Necessary ¥ Zonal isolation and Inflow Control ¥ Summary and Closing Remarks

Who Should Attend This course is designed for drilling, completion and reservoir engineers and service company personnel involved with planning, drilling, completing and operating horizontal wells.

About the Instructor Steve Mathis iis the Product Line Training Manager for Baker Oil Tools in Houston, Texas. He has over 25 years of industry experience including 11 years in the Drilling and Completion Division of Exxon Production Research Company, and 13 years in Sand Control Technical Services for Baker Oil Tools. His specialization is completion optimization and geomechanics. He has been instrumental in developing procedures for both hard rock and sand control completions for both conventional and horizontal wells. He has a B.S and an M.S. in Geotechnical Engineering, both from the University of Arizona.

Registration The registration deadline is January 8, 2010. The registration fee is $550.00 and is fully refundable until that time. For more details, contact Darien O’Brien, P.E. at [email protected] or (303) 934-5979. Make your check payable to SPE Denver Section and mail to: Darien O’Brien, Solutions Engineering, 1632 South Lamar Street, Lakewood, Colorado 80232- 7038. Please include the course name, your FULL name (as you would like it to appear on the course completion certificate), SPE member number (if applicable), Title, Company, e-mail address, postal address, phone and fax number. You may also register and pay on-line at http://denver.spe.org/.

8th Annual Gas Well Deliquification Workshop February 22 - 24, 2010 • Denver Downtown Sheraton Hotel Come to learn the “state of the art” for selecting and applying systems for gas well deliquification! MHA appreciates your Look Forward To: business and wishes you a Continuing education courses, technical presentations, technical exhibits by over 60 companies, panel discussions, and breakout sessions. Happy Thanksgiving!

Plungers, pumps, chemicals, gas-lift, compressors and more.

Breakfasts, lunches, breaks, door prizes, and many networking opportunities.

Education, Networking and More!

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Advanced Reservoir Management Solutions

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Value for Your Membership — the SPE Insurance Program

As part of its membership benefits, the Society of Petroleum Engineers is pleased to sponsor the SPE Insurance Program. The Program is made up of insurance plans which have been specifically designed with the needs of members in mind. One of the major advantages of these Plans is their portability, for insured members may keep their coverage regardless of whether they are employed, work as independents, or are between jobs.

Plans in the Program include a variety of health, term life, disability, dental, long term care, and supplemental plans. A recent addition to the Program is personal lines coverage which includes auto, homeowner, and umbrella liability insurance.

The Program is overseen by the Committee on Group Insurance which takes its responsibility to the members very seriously. Member W. Burt Nelson represents SPE on this Committee and currently serves as its Chairman.

More information about the SPE Insurance Program, including the Plan descriptions, rates, and applications, may be found on the Program’s website at www.speinsurance.com, by e-mail at [email protected], or by phone at 800-337-3140. 2009 - 2010 SPE Board Members

OFFICERS DIRECTORS STUDY GROUP CHAIRS COMMITTEE CHAIRS COMMITTEE CHAIRS

Section Chair Section One-Year Drilling Newsletter Editor Student Chapter Michael Tunstall Director Jon McEvers Kristian Cozyris Linda Battalora Halliburton Kumar Ramurthy RPM Consulting, Inc. BJ Services Colorado School of Mines 303-675-4447 Halliburton 303-595-7627 303-837-4305 303-273-3903 [email protected] 303-899-4778 [email protected] [email protected] [email protected] [email protected] Program Chair/Vice Chair Reservoir/EOR/Formation Newsletter Co-Editor Employee Referrals Russell Roundtree Section Two-Year Evaluation Debby Duckworth Per Burchardt Halliburton Director Cristina Tamayo BJ Services Norstar Petroleum, Inc. 303-899-4764 Mark Shaefer Halliburton 303.549.3451 303-925-0696 [email protected] Anadarko 303-308-4210 [email protected] pburchardt@norstarpetroleum 303-263-8235 [email protected] .com Secretary [email protected] Awards / Nominating Erin McEvers Production/Completion Jon Schmidt Young Professionals Chair Antero Resources Region Director Melanie Paterniti EOG Resources Eric Lyche 303-357-6810 Arnis Judzis Halliburton Energy Services 303-824-5442 EOG Resources [email protected] Schlumberger Terra Tek 303-899-4775 [email protected] 303-262-2826 801-584-2483 [email protected] [email protected] Treasurer [email protected] Scholarships Chair Bharath Rajappa Environmental Don Smith, PE BJ Services Marty Buys Petroleum Consultant 303-832-3722 Buys & Associates, Inc. 303-340-2579 [email protected] 303-781-8211 [email protected] [email protected] Membership Social Chair Continuing Education Heather Ardeel Computer Applications Darien O’Brien, PE PetroCanada George Rodriguez Solutions Engineering 303-350-1218 Halliburton / Landmark 303-934-5979 [email protected] 303-899-4711 [email protected] [email protected] Community Outreach Chair Kumar Ramurthy Webmaster Halliburton TOURNAMENT CHAIRS Tom Cryan 303-899-4778 FIML Natural Resources [email protected] Golf 303-202-9068 Leslie S O'Connor [email protected] Section Publicity Chair MHA Petroleum Consultants, LLC Jamey Brumley 303-277-0270 Young Professional Sierra Engineering [email protected] Webmaster 303-241-2542 Jennifer Judd [email protected] Racquetball/Handball Consulting John Arsenault 303-880-8201 MHA Petroleum Consultants, LLC [email protected] 303-277-0270 [email protected]

Tennis Wendell Burton Select Oil Tools 303-476-1456 [email protected] For advertising rates and Tennis Co-Chair information, Is Your e-mail Address Current? Greg Olson call Polly Tasset at Please take a moment and update your Ensign US Drilling 303-385-4124 303-465-3954 or member profile at http://denver.spe.org [email protected] and include your current e-mail address. email: [email protected] SPE DENVER SECTION NOVEMBER 2009 SUNDAY MONDAY TUESDAY WEDNESDAY THURSDAY FRIDAY SATURDAY

All Saints Day Election Day 1 Daylight Saving 2 3 4 5 6 7 Time Ends Rocky Mountain Expo SPE-YP and Prospect Fair 6:00 p.m. - Happy Hour 8:00 p.m. - Comedy Works 8 9 10 11Veterans Day 12 13 14 11:30 a.m. - Environmental SPE-YP Study Group 4:00 p.m. - NGOGP Continuing Ed: Land Basics for the Engineer Holiday Party 8:00-5:00 15 16 17 18 19 20 21 11:00 a.m. 11:30 a.m. 11:30 a.m. - Completions/ SPE Wives’ Club General Meeting Production Study Group Luncheon

Thanksgiving 22 23 24 25 26 Day 27 28

29 30 Visit us on-line at our website denver.spe.org for the latest news, meetings, and links to other SPE sites.

Society of Petroleum Engineers, Inc. Ð Denver Petro. Section 1630 Welton Street, Suite 300 Denver, CO 80202