SIEM WIS AS. Siem WIS. UTC June 2008 By Jan Atle Andresen

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1 Siem WIS UTC June 2008 By Jan Atle Andresen

2 Agenda Background Challenges- Technology- Solutions

3 Siem WIS background Well Intervention Solutions AS (Siem WIS), was established in February 2005 and is located at Sotra, outside Bergen Norway Siem WIS has extensive experience from the oil service industry through its employees, respectively from Transocean, AGR Ability Group, Schlumberger, KCA Deutag, FMC Technologies, Baker Hughes Inteq and PGS. - Core experiences: Technology development Engineering Project management Operations Riserless Intervention Riserless Drilling Well Intervention and drilling services

4 Group Structure

5 Background The industry have major possibilities to increase oil recovery, through utilizing and participate in developing new technology Siem WIS technology represents possibilities; - Add-on solutions to existing operational challenges - The solutions have minimum implications to existing systems - Safer and more efficient operations By identifying challenges, and applying innovation and expertise, simple and reliable solutions are provided

6 Technology!

7 The Vision

8 Siem WIS solution Mud Pumps Drill Floor PITS TopDrive Drain Line Continous Circulation Device Top Side Shakers Gas flare Separator RIG Choke Manifold / Secure drilling manifold 2" Megline / Kill line 3" Fluid return line / Choke line Power 3kv & Signals 6" Flexible composite riser system Subsea pump / Control module WIS SEAL Mud return Annular Kill / Choke SEA BED 2500 mtr Remote control intervention valve

9 Retrievable seal solution The set-up shows the SiemWIS seal as a part of the riser configuration. This solution will eliminate the need for high pressure equipment above the seal. The retrievable sealing elements are run piggy back through the riser.

10 Challenges drilling depleted reservoir or drilling through coal Variation of dynamic behavior in the mud column during drilling operations, caused by reduction or stoppage of mud pumping, when making or breaking drillpipe Due to rapid depletion of many reservoirs globally after production start, drilling of new wells will be a challenge. The demand to achieve a more constant well pressure during drilling and tripping operations is increasing as a function of the depletion of the reservoir. The narrow pressure window between the pore- and fracture pressure is challenging in all depleted reservoirs. Requirement for stable Equivalent Circulation Density (ECD)

11 Variation in ECD ballooning effect narrow pore pressure/fracture gradient window Pumps on and off during connections Margin +/- 2 bar Continuous circulation Margin +/- 12 bar

12 Normal drilling with narrow pressure window pore frac s tatic norm al circ 2000 well pressure along hole depth Normal Drilling gives a narrow pressure window = +/- 2,6bar

13 Normal MPD drilling narrow pressure window pore frac Choke(12 bar) normal circ 2000 w ell pressure along hole depth Managed Pressure Drilling increases the pressure window = +/- 8,6bar

14 Normal drilling MPD set-up

15 Circulation device drilling set-up

16 Drilling with constant circulation with narrow pressure window pore frac CSS 2000 well pressure along hole depth Siem WIS CircSubTM increases the pressure window even more = +/- 12,4bar

17

18 Siem WIS CircSub TM - advantages/disadvantages Drilled Length/Well Extension Equipment Lifetime Time: Connections Time: Testing Time: Handling Connection Influx Eliminate a casing Hole stability Hole cleaning Continuous Logging Managed Pressure Drilling CircSubTM Footprint

19 Added value CircSub. Of the NPT (non productive time) in GOM well problems related to variations of the ECD represents 9% 1) Reduced NPT due to MPD: (US GoM study of shallow water wells drilled ) Source: Sintef PR

20 Seal test setup.

21 CircSub prototype

22 Siem WIS solution By combining existing MPD configuration with Siem WIS CircSub and Siem WIS Seal, a complete and efficient service can be established

23 Managed pressure drilling set-up Kill / Meg

24 Riserless managed pressure drilling set-up

25 Thank you!

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