January 2016 K38: Subsurface Well Report Category: Storage K38: Subsurface Well Report IMPORTANT NOTICE The information provided further to UK CCS Commercialisation Programme (the Competition) set out herein (the Information) has been prepared by Capture Power Limited and its sub-contractors (the Consortium) solely for the Department of Energy and Climate Change in connection with the Competition. The Information does not amount to advice on CCS technology or any CCS engineering, commercial, financial, regulatory, legal or other solutions on which any reliance should be placed. Accordingly, no member of the Consortium makes (and the UK Government does not make) any representation, warranty or undertaking, express or implied, as to the accuracy, adequacy or completeness of any of the Information and no reliance may be placed on the Information. In so far as permitted by law, no member of the Consortium or any company in the same group as any member of the Consortium or their respective officers, employees or agents accepts (and the UK Government does not accept) any responsibility or liability of any kind, whether for negligence or any other reason, for any damage or loss arising from any use of or any reliance placed on the Information or any subsequent communication of the Information. Each person to whom the Information is made available must make their own independent assessment of the Information after making such investigation and taking professional technical, engineering, commercial, regulatory, financial, legal or other advice, as they deem necessary. K38: Subsurface Well Report Contents Chapter Title Page Executive Summary i 1 Introduction 1 2 Purpose 2 3 Overview 3 3.1 General Overview ___________________________________________________________________ 3 4 Well Reports 6 4.1 Drilling Hazards and Lithology _________________________________________________________ 6 4.1.1 Shallow Gas _______________________________________________________________________ 7 4.1.2 Shallow Formations _________________________________________________________________ 8 4.1.3 Limestone in Lias ___________________________________________________________________ 8 4.1.4 Reactive Claystones _________________________________________________________________ 8 4.1.5 Mobile Salts _______________________________________________________________________ 8 4.1.6 Dolomite/Anhydrite Stringer ___________________________________________________________ 8 4.1.7 Losses in Bunter Sandstone ___________________________________________________________ 8 4.1.8 Differential Sticking in Bunter Sandstone _________________________________________________ 8 4.1.9 Well Inclination - Hole Angle 55 to 60 __________________________________________________ 9 4.1.10 Lithology _________________________________________________________________________ 11 4.2 Reservoir Data ____________________________________________________________________ 11 4.3 Well Fluids _______________________________________________________________________ 12 4.4 Casing Programme_________________________________________________________________ 21 4.5 Structural Conductor Analysis Including Negative Wellhead Growth and Fatigue Assessment _______ 22 4.6 Mud Concept Selection _____________________________________________________________ 22 4.6.1 36in x 26in Diameter Hole Section _____________________________________________________ 22 4.6.2 17½in Diameter Hole Section _________________________________________________________ 23 4.6.3 12¼in Diameter Hole Section _________________________________________________________ 23 4.6.4 8½in Diameter Hole Section __________________________________________________________ 24 4.7 Casing Concept Selection ___________________________________________________________ 24 4.7.1 30in x 20in Conductor_______________________________________________________________ 25 4.7.2 13⅜in Surface Casing ______________________________________________________________ 25 4.7.3 9⅝in Intermediate/Injection Casing ____________________________________________________ 25 4.7.4 7in Injection Casing ________________________________________________________________ 26 4.8 Conductor Concept Selection _________________________________________________________ 26 4.8.1 Conductor Analysis_________________________________________________________________ 27 4.8.1.1 Strength and Stability _______________________________________________________________ 27 4.9 Cement Concept Selection and Cement Verification _______________________________________ 28 4.9.1 30in x 20in Conductor Cement ________________________________________________________ 28 4.9.2 13⅜in Surface Casing Cement ________________________________________________________ 29 4.9.3 9⅝in Production Casing Cement ______________________________________________________ 29 4.9.4 7in Production Liner ________________________________________________________________ 30 4.10 Time and cost estimates _____________________________________________________________ 31 4.10.1 Summary Timings Table - Drill & Complete Three Platform Wells _____________________________ 35 4.10.2 Summary Costs Table - Drill & Complete Three Platform Wells with Standard Jack Up Rig _________ 38 K38: Subsurface Well Report 4.10.3 3 Platform Wells Life Cycle Cost estimate (Standard Jack Up) _______________________________ 39 4.10.4 3 Platform Wells Life Cycle Cost estimate (Heavy Duty Jack Up) _____________________________ 39 4.10.5 Cost Estimate Phase Timing and assumptions ___________________________________________ 39 4.10.6 Intervention Frequency Assumptions for Life Cycle Cost Estimates ___________________________ 40 4.10.7 Cost Assumptions – General _________________________________________________________ 41 4.10.8 Cost Assumptions – Well Design ______________________________________________________ 42 4.10.9 Cost Assumptions – Formation Evaluation _______________________________________________ 43 4.10.10 Cost Assumptions – Plug & Abandonment _______________________________________________ 43 4.10.11 Cost Assumptions – Platform Based Interventions _________________________________________ 44 4.10.12 Cost Assumptions – Rig Based Interventions & Workovers __________________________________ 45 4.10.13 Cost Assumptions - Subsea Monitoring Well _____________________________________________ 45 4.10.14 Cost Assumptions – Platform Well Abandonment Plug Integrity Monitoring ______________________ 45 4.11 Coring Review and Programme Definition _______________________________________________ 46 4.12 Well Test and Evaluation Review ______________________________________________________ 47 4.13 Anchor Handling/Rig Mobilisation/Rig Demobilisation ______________________________________ 47 4.14 Regulatory Consents Register Management _____________________________________________ 48 4.15 Well Design Rational _______________________________________________________________ 48 4.15.1 Pore / Fracture Pressure Information ___________________________________________________ 48 4.15.2 Maximum Predicted Surface Pressure __________________________________________________ 50 4.15.3 Temperature Information ____________________________________________________________ 50 4.15.4 Well Design ______________________________________________________________________ 50 4.15.5 Well Summary ____________________________________________________________________ 50 4.15.6 Well Profile _______________________________________________________________________ 51 4.15.7 Casing Seat Selection and Casing Design _______________________________________________ 52 4.15.8 30in x 20in Conductor_______________________________________________________________ 52 4.15.9 13 3/8in Surface Casing _____________________________________________________________ 52 4.15.10 9 5/8in Intermediate Casing __________________________________________________________ 53 4.15.11 7in Production Liner ________________________________________________________________ 53 4.15.12 Casing Schedule __________________________________________________________________ 53 4.15.13 Minimum Casing Design Safety Factors _________________________________________________ 53 4.15.14 Casing Wear ______________________________________________________________________ 54 4.15.15 Kick Tolerance Methodology _________________________________________________________ 54 4.15.16 13 3/8in Shoe Kick Tolerance _________________________________________________________ 55 4.15.17 9 5/8in Shoe Kick Tolerance __________________________________________________________ 55 4.15.18 Casing Pressure Test Values _________________________________________________________ 55 4.15.19 Bit & Drive Strategy ________________________________________________________________ 56 4.15.20 36in Diameter Hole Section __________________________________________________________ 56 4.15.21 17 ½in Diameter Hole Section ________________________________________________________ 57 4.15.22 12 ¼in Diameter Hole Section ________________________________________________________ 57 4.15.23 8 ½in Diameter Hole Section _________________________________________________________ 57 4.15.24 BHA and Drilling Parameters _________________________________________________________ 58 4.15.24.1 36in Section ______________________________________________________________________ 58 4.15.24.2 17½in Section _____________________________________________________________________ 59 4.15.24.3 12 ¼in Section ____________________________________________________________________ 60 4.15.24.4 8 ½in Section _____________________________________________________________________