Wednesday, May 9, 2012

JewelSuite 2012 Article

The Baker Hughes JewelSuite™ 2012 software puts the power of advanced 3-D reservoir modeling into the hands of land operators who need an economic reservoir modeling platform that looks at various aspects of the life cycle of an unconventional reservoir.

Reservoir modeling—the ability to create an interactive digital model that accurately represents subsurface hydrocarbon reservoirs—is usually the domain of a very few highly skilled geoscientists and engineers. Baker Hughes aims to change that by providing an economic, easy and efficient 3-D reservoir modeling software platform to operators looking to better understand their unconventional plays in order to plan effective drilling and fracturing campaigns to optimize operational costs and production.

The JewelSuite 2012 reservoir modeling package visualizes and uses various data from an unconventional asset to reduce operational overhead and improve productivity. It delivers faster results and leverages efficient workflows to produce unmatched reservoir model accuracy that allows geoscientists and engineers to look at the entire reservoir at once, or to zoom in to the scale of a single well.

Download the PDF to read more.

DOWNLOAD PDF (4.3 MB)

View the original article here

Baker Hughes Expands Line of Advanced Metal Milling Structures

HOUSTON, TEXAS (May 3, 2012) – Baker Hughes recently introduced METAL MUNCHER™ AMT (advanced milling technology) cutters to achieve greater efficiency and longer runs with cutting and milling systems used for casing exits and wellbore intervention. Clean and efficient milling operations help operators reduce risks and prevent nonproductive time.

The new cutting structures, featuring insert shapes and metallurgies customized for specific applications, provide more efficient cutting and enhanced durability and impact resistance, resulting in longer runs and fewer trips.

Engineered using pressed sintered tungsten carbide, the AMT cutters are available in a variety of shapes and metallurgies. Depending on the application, a milling tool may include several types of AMT cutters to optimize various aspects of the milling operations. The cutters are designed to mill even the toughest steels, including high chrome and nickel-content materials. The durable technology increases milling penetration rates, extends effective time on bottom in high volume milling applications, and enables greater flexibility during the milling process.

METAL MUNCHER™ AMT cutters feature sharp profiles with chip breaking features to control cutting size and shape, enabling efficient cutting removal and debris management.

Field operators have reported as much as a 300 percent improvement in wear resistance and longevity with Baker Hughes’ inserts. The cutting structures are enabling operations that previously were not feasible due to milling inefficiencies. In the North Sea, METAL MUNCHER™ AMT inserts are driving success in slot recovery and plug and abandonment operations where high volume milling applications are commonplace. In North Dakota, a METAL MUNCHER AMT mill was used to successfully mill out 79 composite plugs in two horizontal wells, in one trip per well, achieving a new record for fracturing plug removal.

# # #

Baker Hughes is a leading supplier of oilfield services, products, technology and systems to the worldwide oil and natural gas industry. The company’s 58,000-plus employees today work in more than 80 countries helping customers find, evaluate, drill, produce, transport and process hydrocarbon resources.


View the original article here

Former IADC president to join panel on US-Cuba cooperation on offshore E&P, spill prevention

Posted on 08 May 2012

By Joanne Liou, editorial coordinator

Dr Lee Hunt, IADC President Dr Lee Hunt, IADC President

IADC’s former president, Dr Lee Hunt, will join a panel of industry leaders and experts in a discussion about the status of US-Cuba engagement and cooperation on oil exploration and development in the Gulf of Mexico and what measures have been adopted to prevent and respond to spills. “There is a serious concern in Washington about Cuba’s ability to prevent and respond to a major oil spill and the US government’s readiness to step up,” Dr Hunt said.

The Center for International Policy is hosting the discussion as six countries plan to drill test wells offshore Cuba in the next 18 months. Since February, Repsol has been exploring about 16 miles offshore Cuba, about 70 miles south of Key West.

Other panelists include William K. Reilly, co-chairman of the National Commission on the BP Deepwater Horizon Spill and Offshore Drilling and former administrator of the Environmental Protection Agency; Dan Whittle, director of the Environmental Defense Fund’s Cuba Program; Robert L. Muse, attorney, expert on laws and regulations governing the US embargo against Cuba; and Jonathan Benjamin-Alvarado, specialist in Cuban energy development.

“Oil Drilling Off Cuba’s North Coast: Must the US do more to forestall the impact of a major spill?” will take place at the Carnegie Endowment for International Peace in Washington, DC, at 9am on 10 May. Click here to register.


View the original article here

OTC event raises industry awareness for high school students

Posted on 08 May 2012

http://www.drillingcontractor.org/wp-content/jw-flv-player/player.swf?file=http%3A%2F%2Fwww.drillingcontractor.org%2Fwp-content%2Fuploads%2F2012%2F05%2Fvideo-students-05042012.flv

Approximately 200 high school math and science students from across Texas arrived at the 2012 OTC on 3 May to participate in Energy Education Institute: High School STEM. The BP-sponsored event began with hands-on activities provided by the US National Energy Education Development (NEED) Project, giving students the opportunity to apply their knowledge to science- and math-based lessons.

Students were then led by BP representatives to explore the OTC exhibit floor. Exhibitors answered technical questions asked by students while providing valuable insight into careers in the energy industry.

To conclude the event, energy professionals sat down with the students for lunch to discuss the importance of energy and the career opportunities available. Students also received take-home educational and career handouts, as well as items provided by OTC sponsoring societies.

DC editorial coordinator Katherine Scott provides video coverage of the event’s full-day program.


View the original article here

BSEE looks to new BOP requirements, to hold forum on 22 May

By Katie Mazerov, contributing editor

A proposed rule for enhancing blowout preventer (BOP) requirements is one of four key next-generation regulatory items being considered by the US Bureau of Safety and Environmental Enforcement (BSEE), the agency’s director announced in a topical breakfast at the 2012 OTC in Houston on 1 May. “The main question is, are the BOPs we have now sufficient? And if not, what can we do to improve their reliability and effectiveness?” BSEE director James Watson said.

The BOP issue will be the focus of an all-day public forum on 22 May in Washington, DC. Topics planned for the panel sessions include technology needs identified from the Macondo incident; shearing and sealing design requirements; manufacturing, test, maintenance and certification requirements to ensure operability and reliability; real-time technologies to measure the “health” of BOPs; and training and certification for key personnel. IADC VP of accreditation and certification Mark Denkowski will be representing the drilling industry on the last panel.

Another proposed rule would heighten standards for production safety systems based on life-cycle analysis, moving beyond simple compliance and into a performance and life-cycle concept for regulation. “We need to focus on the potential that the next event will not be drilling-related but could involve one of the state-of-the-art production systems that haven’t seen new rules since the 1980s,” Director Watson said. Other priorities include completing the final safety drilling rule and SEMS 2, which requires companies to implement and maintain safety and environmental management system programs.

During a speech at the 2012 OTC last week, BSEE director James Watson said the agency has hired 20 new engineers and 46 new inspectors in the past two years and plans to bring on an additional 200 people to keep up with the permitting process and the review of offshore response plans.

The SEMS rule, promulgated last November, includes several provisions, including a stop-work authority, requirements for reporting unsafe working conditions, mandates for employees to participate in the development and implementation of company SEMS programs and requirements regarding the use of independent third-party auditors and auditor training.

“Since the Deepwater Horizon (incident), the BSEE has been involved in the most comprehensive and aggressive offshore regulatory reforms in the history of our country,” Director Watson said. “Our ability to ensure the highest level of safety and responsibility in the world depends in large part on the ability of the industry to internalize the need for a robust safety culture. Safety does not simply mean doing things right when BSEE has an inspector onboard a rig or a platform. It means operating safety at all times and at all levels.”

The agency has hired 20 new engineers and 46 new inspectors in the past two years and plans to bring on an additional 200 people to keep up with the permitting process and the review of offshore response plans required for each new application. An Offshore Training and Learning Center is also being established to train new employees.

Rigs returning to GOM

“We are pleased to see rigs returning to the GOM because it demonstrates the industry’s confidence that it can do business in the Gulf and meet the safety requirements, and that it has confidence in the regulatory agencies,” Director Watson continued. He said that approximately 100 people are involved in permit review at any given time, but that number is expected to increase to 200. He anticipates the inspection workforce to grow from 50 to 125 employees. In addition to the GOM, the agency has jurisdiction over the US West Coast and the North Slope of Alaska, where activity is also expected to increase significantly.

“My measure of effectiveness is not the pace of permits or the number of instances of non-compliance,” he said. “We’re much more interested in getting the job done right, sending the right message to the industry about safety and environmental protection and using all of our authorities. We will take a measured approach, but we won’t be shy when it’s appropriate and necessary.” He indicated there will be a focus on deepwater operations because of the number of applications going beyond the limits of existing regulations.

Director Watson cited the Center for Offshore Safety (COS) as an example of the industry’s commitment to promoting safety. “The COS was an idea whose time had come and is now blossoming into a multifaceted organization with terrific connections between the industry and government.”

Another positive development has been the ongoing effort by US and Mexico to establish a boundary agreement in the vast GOM area that has been off-limits, Director Watson noted. Over the past year, both governments have worked to develop an agreement by which a deepwater reservoir on the border could be developed jointly. Under the pact, which still requires approval by the US Senate, the US would inspect activities on the Mexican side of the border while Mexican authorities would inspect drilling and production operations on the US side. “We know of no other boundary agreement like this and believe it could potentially become a model worldwide,” he said.


View the original article here

Baker Hughes Announces April 2012 Rig Counts

HOUSTON, May 7, 2012 /PRNewswire/ -- Baker Hughes Incorporated (NYSE:BHI) announced today that the international rig count for April 2012 was 1,178, down 14 from the 1,192 counted in March 2012, and up 49 from the 1,129 counted in April  2011. The international offshore rig count for April 2012 was 299, down 4 from the 303 counted in March 2012 and up 6 from the 293 counted in April 2011. 

The average U.S. rig count for April 2012 was 1,961, down 18 from the 1,979 counted in March 2012 and up 171 from the 1,790 counted in April 2011.  The average Canadian rig count for April 2012 was 158, down 334 from the 492 counted in March 2012 and down 25 from the 183 counted in April 2011.

The worldwide rig count for April 2012 was 3,297, down 366 from the 3,663 counted in March 2012 and up 195 from the 3,102 counted in April 2011.      

April 2012 Rotary Rig Counts

About the Baker Hughes Rig Counts

The Baker Hughes Rotary Rig Counts are counts of the number of drilling rigs actively exploring for or developing oil or natural gas in the United States, Canada and international markets.  Baker Hughes has issued the rotary rig counts as a service to the petroleum industry since 1944, when Hughes Tool Company began weekly counts of US and Canadian drilling activity.  Baker Hughes initiated the monthly international rig count in 1975.

North American rig count data is scheduled to be released at noon central time on the last working day of each week.  The international rig count is scheduled to be released on the 5th working day of the month.  Additional detailed information on the Baker Hughes rig counts is available from our website.

Baker Hughes is a leading supplier of oilfield services, products, technology and systems to the worldwide oil and natural gas industry. The company's 57,000-plus employees today work in more than 80 countries helping customers find, evaluate, drill, produce, transport and process hydrocarbon resources. For more information on Baker Hughes' century-long history, visit www.bakerhughes.com.

SOURCE Baker Hughes


View the original article here

Baker Hughes Launches New Electronically Actuated Casing Packer, Wireless Top Drive Cement Head

HOUSTON, TEXAS (May 1, 2012) – As operators look to reduce risk in harsh offshore environments, Baker Hughes’ newest technologies offer the latest solutions in long string, deepwater completions.

The Baker Hughes ZX-e™ Electronically Actuated Casing Packer remotely creates a mechanical barrier to flow paths during wellbore construction, completion, production and abandonment operations, while a state-of-the-art Wireless Top Drive (TD) Cement Head handles heavy casing strings and remotely launches plugs, balls and darts. The global oilfield service company’s latest technologies are both being commercially launched this week as part of the 2012 Offshore Technology Conference in Houston.

“Our advances in deepwater completions offer our customers technologies that assist with risk management while working offshore,” said Art Soucy, Baker Hughes’ President of Global Products and Services. “These two technologies combine to offer advances that enable our customers to run extremely long and heavy casing strings or liners and provide a gas-tight barrier that offers more reliable isolation than cement.”

The ZX-e remote actuated casing packer features an electronic trigger mechanism and sets the packer without pressure or pipe manipulation. The packer creates a gas-tight barrier between casing strings for critical applications and is the first to use a modular electronic trigger mechanism. This interventionless actuation method simplifies installation operations and provides a mechanical seal that offers more reliable isolation than cement in the casing annulus in both offshore and land wells.

A unique set of vibration signals are sent from the rig floor to activate the packer when it is set at shallow depths. In applications where the packer is set deeper in the well, the ZX-e packer uses a customized casing wiper plug with a specific magnetic field signature to initiate the setting timer. Surface-deployed “hold” commands and contingency setting options provide additional control in both settings methods.

“The ZX-e packer also incorporates proven ZX™ seal technology, which has delivered unsurpassed pressure and temperature ratings and rugged dependability in wellbores around the world,” said Neil Harrop, Baker Hughes’ President of Completions and Production. “By combining our advanced seal technology with the industry’s only electronic trigger mechanism, we have delivered a safer, more reliable packer system that provides a mechanical, annular seal between casing strings. We expect the seal created by our new packer will set a new standard within the industry.”

In conjunction with the ZX-e packer, Baker Hughes also is introducing the Wireless Top Drive (TD) Cement Head. The system is designed for running and cementing long, heavy casing strings associated with deepwater and subsea completions. The Wireless Top Drive Cement Head has a 2.5 million pound load capacity, which exceeds the capacity of today’s strongest API drill pipe connections. The Wireless Top Drive Cement Head functions remotely and wirelessly, removing rig employees from areas of potential danger during cementing operations.

The Wireless Top Drive Cement Head is fast to rig up and is versatile in operation. The system is compatible with the Baker Hughes Seahawk™ suite of reliable, high-performance offshore cementing equipment, and can be controlled wirelessly either from the Seahawk control unit or a hand held control panel.

“These technologies combine to offer our customers the key completion solutions they need in today’s demanding deepwater and subsea applications,” Harrop said. “As the offshore environment continues to pose challenges, we are listening to our customers, anticipating their needs and working to deliver the technologies and solutions that will help them to improve well integrity and deliver better returns on their investment.”

# # #

Baker Hughes is a leading supplier of oilfield services, products, technology and systems to the worldwide oil and natural gas industry. The company’s 58,000-plus employees today work in more than 80 countries helping customers find, evaluate, drill, produce, transport and process hydrocarbon resources.

Completions image

Our completions solutions maximize production and ROI with reduced life-cycle cost. We’ve built a comprehensive track record that meets or exceeds your planned objectives.

View All Products and Services Seahawk Cementing Unit image

Our accurate twin cement unit offers flexible, automated solutions for your cementing demands. The unit ensures precise slurry density control and efficient, reliable pumping.

View All Deepwater Cementing Services Deepwater image

When you’re spending $350 per minute on a $500,000-per-day deepwater rig, you can be confident our global expertise enables you to work safer with minimized NPT.

View All Challenges

View the original article here

‘Virtual presence’ technology enhances productivity safety

http://www.drillingcontractor.org/wp-content/uploads/2012/05/video-shell-05042012.flv

Landale Cranfield, regional wells skillpool advisor for Sarawak Shell Berhad, demonstrated a virtual presence technology during a presentation at the 2012 IADC Drilling HSE Asia Pacific Conference on 26 April in Singapore. In the first video, a connection was made with employees at a Singapore yard, showing how the real-time technology can be used to pinpoint BOP issues. In the second video, a connection to an office in Canada showed how the technology can be used for HSE inspections, investigations and verifications.

http://www.drillingcontractor.org/wp-content/uploads/2012/05/video-shella-05042012.flv

By Katie Mazerov, contributing editor

Virtual technology is making the oil patch smarter. Driven by the continued push into unconventional and deepwater environments and the anticipated Big Crew Change, Shell is using a virtual presence system that provides real-time communication between rig personnel and technical experts thousands of miles apart. y Using an explosion-proof camera, a  satellite and laptop computer or tablet, the technology is proving beneficial for reducing risk and nonproductive time (NPT), especially for the company’s operations in remote or hazardous locations, said Landale Cranfield, regional wells skillpool advisor (UIA) for Sarawak Shell Berhad.

“We need to use the expertise we have in a smarter way, and this is a technology that can help us achieve that,” Mr Cranfield  said in a presentation at the 2012 IADC Drilling HSE Asia Pacific Conference & Exhibition in Singapore, 25-26 April. “Over the years, most of the skills we’ve needed were in traditional oil and gas locations, with workers clustered in key locations,” Mr Cranfield said. “But with the Big Crew Change coming, experienced people on location will be leaving the industry. There is a mismatch between the location of skills and ‘new’ oil and gas locations.”

At the same time, there is less interest in sending technical experts to remote and/or hostile locations. “With smart well technology, we’re doing things more efficiently, but if something goes wrong on a rig, we still sometimes have to wait several days for the experts to arrive,” he continued. “We need to bring workflows and information to the professionals instead of doing it the other way around. Virtual presence completes the loop.”

With Shell’s virtual presence system, a rig worker can use a camera to explain a problem with a drill bit. The information is transmitted to a technical expert thousands of miles away.

Initially launched by Shell Brunei, the company finds the system has potential for operations throughout Southeast Asia and ultimately across the entire Shell group of companies, from offshore platforms to remote jungle locations, Mr Cranfield said. “Implementation of this system can reduce travel costs, improve health, safety, security and environment  performance and allow experts to be available when required to advise on repairs to broken equipment, hence reducing downtime and improving availability of equipment.”

Completing the loop

To demonstrate how the system works, Mr Cranfield made a live connection during his presentation with a Shell employee’s camera on a rig in the Cameron yard in Singapore to show how issues with the blowout preventer (BOP) can be resolved. Using real-time streaming multimedia via WiFi, images and information about the BOP operation can be transmitted from the workplace back to an expert, or group of experts, who can view the situation on a laptop.

Another live connection, this one with an operation in Canada, showed how as-built drawings can be transmitted to rig personnel to ascertain whether equipment, such as piping, is up to date and being built correctly. “In this way, the system can be used for HSE inspections, investigations, and to verify the systems on the rig and what the workers are doing,” Mr Cranfield explained. “This is especially important with the large number of people coming into the industry whose experience levels are not as high.”

The virtual presence technology also has potential for field-based training and staff development, particularly in locations where access is difficult, Mr Cranfield said. Information also can be recorded and used to develop training videos.

Although not currently approved for Zone 1 environments (operations with the presence of hazardous gas), industry demand could drive the development of that capability, he said. Security provisions are being built into the system to help ensure the establishment of onshore connectivity through company firewalls. “Information technology personnel need to get their minds around the whole idea of data streaming and information security,” he noted.

But mindset stands as the biggest threat to industrywide adoption, Mr Cranfield believes. “This system is designed to help people do their jobs better. It involves accepting new ways of working, both onsite and by the experts.”


View the original article here

Industry safety statistics improve in 2011, IADC statistics show

Posted on 08 May 2012

http://www.drillingcontractor.org/wp-content/jw-flv-player/player.swf?file=http%3A%2F%2Fwww.drillingcontractor.org%2Fwp-content%2Fuploads%2F2012%2F05%2Fvideo-jhurt-05042012.flv

The drilling industry is actively working to enhance its safety performance and has strong results to show for it, Joe Hurt, IADC regional VP North America and lead staff land HSE issues, said during an exclusive video interview with DC publisher/editor Mike Killalea at the 2012 IADC Drilling HSE Asia Pacific Conference on 25 April in Singapore. In fact, offshore drilling contractors participating in the IADC Incident Statistics Program reported no fatalities in 2011. Mr Hurt also urged contractors to continue to share safety lessons learned through the IADC Safety Alerts program. More information can be found here.


View the original article here

COS forges ahead on strategic plan

By Katherine Scott, editorial coordinator

Third-party auditing and technical assistance to member companies are among several initiatives that are driving a three-year strategic plan at the Center for Offshore Safety (COS),  Jeff Zinkham, project development manager for COS,  said during a topical luncheon at the 2012 OTC in Houston, on 30 April. In addition to a SEMS toolkit, developed in collaboration with IADC, the COS aims to provide technical assistance to its members through activities such as the establishment of accredited third-party audit services. Although such accreditation is not currently mandatory, Mr Zinkham hopes it will be in the future.

The Center for Offshore Safety has created a three-year strategic plan to help improve the industry’s deepwater drilling future, said Jeff Zinkham, project development manager, at the 2012 OTC in Houston on 30 April.

The COS is now working to finalize the accreditation certification process, which should be released soon, he added.

The three-year strategic plan, approved in January, largely focuses on how the center can achieve objectives such as increasing public awareness of the industry’s safety and environmental performance and stimulating cooperation within industry to share best practices. The COS also sustains communication with the US Bureau of Safety and Environment Enforcement (BSEE) and the Coast Guard to seek ways to continuously improve safety and performance.

Looking toward a sustainable future, the center’s goals include elevating the industry’s quality and safety standards, promoting an industry culture of incident-free operations and becoming a “one-stop central source for information.” The major objective, Mr Zinkham said, is that there is no harm to people and the environment during operations.

One initiative already under way involves the measurement of leading and lagging indicators. “We really want to focus on the leading indicators,” he said. “When you start to think about process safety (the question is), what can we measure? What can (we) learn from each other?”

Although the center is still in its early stages, he said, progress is being made. Charlie Williams was recently appointed as executive director, and the group hopes to bring more employees onboard over the next year. “I hope progress starts to pick up here and gain some traction,” Mr Zinkham said. “But I think we’ve done a really good job. We’ve got a strategic plan … and a clear vision of where we want to be in twelve months, twenty-four months, thirty-six months. … We’re off and running.”

Membership in the COS is required by the US government for any company operating in deepwater Gulf of Mexico.


View the original article here

From the OTC exhibit floor: Directional control system offers alternative for wellbore navigation

Posted on 08 May 2012

http://www.drillingcontractor.org/wp-content/jw-flv-player/player.swf?file=http%3A%2F%2Fwww.drillingcontractor.org%2Fwp-content%2Fuploads%2F2012%2F05%2Fvideo-weatherford-05042012.flv

Chris Maranuk, new product launch manager for Weatherford International, talks with Drilling Contractor editorial coordinator Joanne Liou about Weatherford’s MotarySteerable system on the exhibit floor at the 2012 OTC last week in Houston. The directional control system bridges the gap between conventional mud motors and RSS to optimize directional drilling.


View the original article here