Compare typecurves by on production yearlook for improvements in recovery – relate back to completion techniques and reservoir quality/geology
As of June 2011 – 669 wells on prodn, producing at 1.3 bcf/d, 30% of BC prodnHeritage field chosen for the study - Significant source of production and growth for BC-high HZ drilling density in recent years-impressive production results
2007 – switch from VT to HZ drilling, significant increase in prodn,Focus on normalizing the HZ data from 2007-2010 to look for improvements in gas recovery
Each operator has its own strategy for developing the resourceOGC supports the technical learning curve by collecting and publishing public data
Significant variations in reservoir quality across the field, need for sub areas
540 HZ wells in study – on production date between 2007 – 2011Today – discussing Swan, Sundown, Dawson, Sunrise & Septimus
Dawson – best reservoir qualtiyEncouraging 2011results in the Lower in Swan and Sundown2 prospective targets in the Upper Montney where it thickens to the west
Upper – turquoise, Middle – orange
Wells targeting the Lower Montney shown in PinkActivity focused in the turbidite channel in Swan and Sundown
Green area – condensate rich areaPurple dots = wells with reported condensate production ratio of GT 1bbl/MMcfHi gas liquids content areas – Septimus and SunrisePurple contours CGR 0, 5bbl/MMCF and 10bbl/MMcfGreen areas are the C5+/C1to C4 ratios contoured
All HZ wells from 2007-2010Dawson stands out, excellent reservoir quality (porosity)Beyond the limits of geology, how can the well placement & completions improve production resultsWhich areas have made strides to increase recovery in past 4 years?Through innovation in frac fluid & technique, other sub areas, and certain operators in particular, are making significant strides to improve their production
Brief history on each (# of wells drilled, upper/lower, completion technique)Animate wells drilled by year?Animate with play trends – condensate, turbidite, pressure & depth?
Majority of wells Cased hole (~90%), remaining 10% Openhole in 2007, 2008, 20092007 – 29 wells on prdn, 7 fracs, 69% CO2, 94% Cased2008 – 24 wells, 8 fracs, 75% N2, 88% Cased2009 – 32 wells, 8 fracs, 63% N2, 91% Cased, step out drilling – see next slide2010 – 6 wells, 11 fracs, 83% N2, 100% Cased, back to good reservoir areaProdn increasing each year w/ bigger fracs, w/ except of 2009 – well locations, moving into areas of lower res quality
Swan LowerBiggest concentration of Openhole completions among the subareasIncrease from 7-8 fracs in 2007/09 to 9 fracs in 2010/11Predominantly CO2 fracs in 2007,08,09 – moving towards CO2/N2 (~40%) in 2010/11Majority Openhole completions in 2010 (87%), 60% Openhole in 2011
EnCana 2011 prodn profile flat at lower rate – need flowing pressures to understand full potential
Prodn restricted, need flowing pressures to forecast ultimate recoverableSome of the best reservoir quality in Heritage so far. Mainly dry gas, no condensateMissing some data, predominantly CO2 fracs, 2 slickwater fracs in 2007All cased hole wellsIncreased fracs from 5 in 2007 to 11 in 2010Increased pump rate in 2009/10 from 2m3/min to 6m3/min
Overall by year, doesn’t look to be improving.High liquidsLook another layer deeper, 4 different operators with different completion techniques2008 – 100% Shell, 50/50 CO2/N22009 – 63% Shell, 32% Huron, 5% Tourmaline2010 – EnCana, Huron, Shell & Tourmaline
SeptimusChange in completion techniques from PolyCO2 to slickwater2008 – 50% CO2, rest different combinations of N2, CO2/N2, N2 slickwater w/ CO22009 – 57% N2 (CNRL), 43% slickwater (Crew) – operator specific2010 – all data set slickwater, but missing data
Beyond the limits of geology, significant differences in recovery based on completion techniqueWe look forward to future improvements to gas recovery through innovative completion techniques.Very helpful to have completions data available when comparing well performance – otherwise not comparing “Apples to apples”
All data from this study available online to encourage best practices for increased gas recovery.We are working towards electronic submission of frac reports to get data out to industry quicker.
Considerations for Reserves Recovery Within the Montney Play
Considerations for Reserves Recovery Within the Heritage Montney Play, British ColumbiaSPE#-149201-PPKelly Okuszko, P.Eng.Mark Hayes, P. Geo.
PURPOSEStudy Focus: Report on Heritage Montney reservoir &completion data to support technical learning andencourage best practices data available onlineChallenge: Grouping analogous wells to make “Apples toApples” comparisons Lack of flowing pressure data to analyze truedeliverability on rate restricted wells
Heritage Field543,434 hectares Fort St JohnAs of June 2011: Hudson’s Hope669 producing wells,1.3 bcf/d Dawson Creek Chetwynd
Heritage Montney AMajor Operator areasAs of March 201112 Operators
Grouping the Data: “Apples to Apples” Comparisons Sub Areas (localized reservoir quality) Well Placement (Upper/Middle/Lower) On Production Year (technical learning & technology) Completion Technique (cased/openhole, frac fluid, HZ length)
Sub Areas within the Heritage Montney A Play 46 wells 30 wells 85 wells 54 wells 59 wells 31 wells 224 wells 11 wells
Observations Reservoir trumps completion Notable improvement in gas recovery: 2010 Slickwater fracs (CNRL) Upper Montney at Septimus 2011 Binary CO2/N2 fracs (Murphy) Lower Montney at Swan & Sundown More to come? Frac ≠ Frac ≠ Frac
OPEN FOR STUDY Heritage Montney Completions Database available online:http://www.bcogc.ca/industryzone/forms/resourceconservation.aspxElectronic submission of frac reports coming soon !
ACKNOWLEDGEMENTS BC Oil & Gas Commission Mark Hayes – Co-author, Petroleum Geologist Travis Mercure – Engineering Analysis Verna Kazakoff – Completions Analysis Richard Slocomb & Ron Stefik – Engineering Guidance Fekete Associates Inc. Harmony Software – generating typecurves Canadian Discovery Ltd. Frac Database – detailed frac data including costs Operators in Heritage Montney – Excel completions data CNRL Murphy Crew EnCana Shell Tourmaline Huron Storm ARC
Considerations for Reserves Recovery Within theHeritage Montney Play, British Columbia More Information: Kelly Okuszko, P. Eng Mark Hayes, P. Geo BC Oil and Gas Commission 250-419-4433 250-419-4431 www.bcogc.ca Kelly.Okuszko@bcogc.ca Mark.Hayes@bcogc.ca Nov. 2011