Punawai-1 Well PROJECT

Drilling & Completion Design

Revision 0

28 June 2012

Punawai-1 Well Project

Drilling & Completion Design
June2012

Page 1

TABLE OF CONTENTS
1. Introduction ........................................................................................................................................... 3
3. Well Summary On Paper ...................................................................................................................... 9
4. Drilling Details....................................................................................................................................... 9
4.1 Sequence of Drilling Activities ....................................................................................................... 9
4.2 Summary of Drilling Operations .................................................................................................... 9
4.3 Water Sourcing for Drilling and Completion Activities ................................................................ 10
5. Well Integrity Testing and Assessment .............................................................................................. 11
5.1 Casing Integrity ........................................................................................................................... 11
5.2 Wellhead Integrity ....................................................................................................................... 12
5.3 Cement Integrity .......................................................................................................................... 12
5.4 Mitigation in the Event That Wellbore Integrity Is Breached During Testing .............................. 13
6. Well Completion Details ..................................................................................................................... 14
6.1 Flaring ......................................................................................................................................... 15
7. Completion Equipment Used.............................................................................................................. 16
8. Plugging and Suspension Program .................................................................................................... 16

Attachments
Attachment A Drilling Rig Equipment and Specifications
Attachment B Well On Paper (WOP)
Attachment C Completions Equipment Inventory

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1.

Introduction

Punawai-1 is a vertical exploration well to be drilled by a joint venture between Apache

Corporation and TAG Oil Limited (TAG/Apache) using the Nova-1 drilling rig (Attachment A).
The Punawai-1 surface location is in permit PEP 38348 approximately 6km NE of Te Karaka and
30km NNW of Gisborne on the east coast of New Zealand. TAG is the operator of the permit.
The objective of Punawai-1 is to evaluate both
the Waipawa and the Whangai Formations for
potential oil production using an approach that
recognises environmental sensitivities and
appropriately utilises technolgies and processes
in a prudent and environmentally protective
manner. Drilling, completion, well testing, and
environmental protection plans have been
developed using a vareity of information and
activities.
Data collection and information gathering done
in advance of design and planning for the
Punawai-1 well included on-site review of
existing environmental conditions; 2D-seismic
geophysical testing and analysis; review of local
and regional geology/hydrogeology; review of
potential geological hazards (e.g., seismicity);
the potential for shallow system gas, pore and
overburden pressures; along with other relevant
data and information.
Based on analysis, TAG/Apache has identified
the following issues which are the subject of
design and planning:

Environmental Protection Design Appoach: The drilling, completion and well testing
plan has been developed to facilitate testing of the target zones using a practical approach
to environmental protection. This includes prudently managing pressures; subsurface
conditions; implementing multiple barriers of protection in well construction; a rigorous well
integrity testing program; and controlled testing that leverages various other environmental
protection measures (e.g., spill contingency planning, etc.). In planning these activities the
TAG/Apache approach has incorporated appropriate American Petroleum Institute (API)
standards relative to environmental protection from onshore oil and gas production
practices as a guideline (API RP 51 and API RP 51R).

Minimising Surface Disturbances: The well pad and access road will be designed with
minimal surface disturbances for the Punawai-1 exploratory well. Although the road will
require improvement, use of existing infrastructure minimises new surface disturbances.
TAG/Apaches work will conform in principle with API standards relative to environmental
protection from onshore oil and gas production practices as a guideline for surface
development activities (API RP 51 and API RP 51R).

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Groundwater Protection: Punawai-1 well will be constructed with two (2) protective
casing strings in the shallow subsurface that will be set, fully cemented to surface, and
tested for mechanical integrity. These include the Conductor Casing, which will be set to a
depth of 6-10 metres and the Surface Casing, which will be set to a depth of
approximately 500 metres. TAG/Apaches work will conform in principle with API
standards relative to the isolation of potential fluid flow zones when determining well
design for casing strings (API Std. 65-2).

Added Protective Casing String: Based on detailed evaluation of the Punawai-1 area
and subsurface conditions, and considering that this is an exploratory well, TAG/Apache
has chosen to add an additional protective casing string to the Punawai-1 well. Therefore,
an Intermediate Casing string will be set to a depth of approximately 2100 metres and will
be cemented to surface. This casing point has been selected to provided good pressure
control when drilling ahead; all shallower zones are cased and isolated from continued
drilling. This Intermediate Casing will be pressure tested to confirm mechanical and
pressure integrity. Note: this casing string is in addition to the final production casing, set
at total well depth and also cemented to surface. TAG/Apaches work will conform in
principle with API standards relative to the isolation of potential fluid flow zones when
determining well design for casing strings (API Std. 65-2).

Pressure Management and Added Environmental Protection: Both the Waipawa and
Whangai Formations have the potential to be overpressured. This simply means that the
reservoir interval is expected to have pressures greater than the standard water column
pressure gradient for the area, and therefore, this must be accounted for in the drilling and
completion program. For purposes of pressure management, pressures are commonly
evaluated in terms of Equivalent Mud Weight or EMW. Using this approach,
TAG/Apache conservatively expects to encounter a pore pressure EMW of 1.7SG
(specific gravity) equivalent to 14ppg.
Well integrity testing will also be conducted on the casing during drilling and completion
work prior to ongoing operations, a radial cement bond log will be run to confirm external
well integrity (e.g, casing and cement integrity), and a pressure test will be carried out to
confirm casing integrity. The final casing will serve to provide as many as eight (8)
barriers of protection (conductor casing, surface casing, intermediate casing, production
casing and the four associated layers of cement) between potential usable groundwater
resources and the inside of the production casing. The procedures for developing these
barriers of protection were developed considering API standards relative to the isolation of
potential fluid flow zones to ensure isolation of subsurface zones as well as numerous
standards for pressure controls specific to the piping and equipment used at a well site
(see Table 1).

Well Completion and Short-Term Testing: Once well drilling has been finished and the
final production casing set in-place, well completion activities will commence. Two zones
within the reservoir interval (an upper and lower zone) will be considered for completion
and production testing. Data collected and interpreted from geophysical logs (acquired
after drilling and before the production casing is placed) and preliminary testing will
determine the need for possible reservoir pressure monitoring and/or testing.

Compressed Timeline: The drilling and completion program has been designed and
planned using a compressed schedule. The compressed development schedule is
designed to minimise environmental impacts while facilitating evaluation of the target
zones for commercial production protential.

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The relevent API and other industry standards cited in the bulleted summary of activities above is
detailed in Table 1. The table presents the referenced standards by subject or item relative to the
construction and completion processes contemplated for the Punawai-1 well. TAG/Apaches
work will conform in principle with these standards.

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June2012

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Table 1
Drilling & Completion Reference Documents and Standards
Subject/Item
Overall Onshore Operations

Derricks and Masts

Rotary Drilling Equipment
Hoisting Equipment
Wire Rope
Hydrogen Sulphide
Metallurgy

Well Control Equipment

Casing and Tubing Properties
Inspection of Casing and Tubing
Thread Compounds
Transportation and Handling
Subsurface Safety Valves

Wellhead Specifications
Cement and Materials
Cement Testing Requirements
Well Design and Construction
Mud Testing
Production Platforms
Tubing (Casing, tubing, cross-overs
etc)
Flow-lines

High-pressure well-head equipment

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Standard/Reference Document
API RP 51, Onshore Oil and Gas Production Practices for
Protection of the Environment
API RP 51R, Environmental Protection for Onshore Oil and Gas
Production Operations and Leases
API Std 4A, Specification for Steel Derricks or
API Std 4E, Specification for Drilling and Well Servicing Structures
API Spec 7, Specification for Rotary Drilling Equipment
API Spec 8A, Specification for Drilling and Production Hoisting
Equipment
API Spec 9A, Specification for Wire Rope
API RP49, Recommended practices for safe drilling of wells
containing H2S.
NACE MR0175, Standard material requirements sulphide stress
cracking resistant metallic materials for oilfield equipment for
items in contact with well fluids only.
API RP53, Recommended practices for Blow Out Protection
Equipment Systems for Drilling Wells
API Spec 5CT, Specification for Casing and Tubing
API RP 5A5 Field Inspection of New Casing, Tubing and Plain End
Drill Pipe
API RP 5A3 Thread Compounds for Casing, Tubing and Line Pipe
API RP 5C1 Care And Use Of Casing And Tubing and Lifting
Equipment Management System
API 14B Design Installation, Repair and Operation of Sub Surface
Safety Valves and
API 14A Specification for Subsurface Safety Valve Equipment
API Spec 6A Specification for Wellhead Equipment
API Spec 10A, Specification for Materials and Testing of Well
Cements
API Spec 10B-2 Recommended practice for testing well cements
API TR 10TR1, Cement Sheath Evaluation
API Std. 65-2, Isolating Potential Flow Zones During Well
Construction
API Rec RP 13B, Recommended Practices for Field Testing Waterbased Drilling Fluids, Fourth Edition
API RP 14C, Analysis, Design, Installation and Testing of Basic
Surface Safety Systems for Offshore Production Platforms
API 5CT, Specification for Casing and Tubing, Ninth Edition
API 6A, Specification for Wellhead Equipment
and NACE MR-01-75, Materials for use in H2S-containing
environments in oil and gas production Parts 1, 2, and 3.
API 6A, Specification for Wellhead Equipment
API Spec 12K Specification for Indirect-Type Oil Field Heaters, and
NACE MR-01-75 Materials for use in H2S-containing environments
in oil and gas production Parts 1, 2, and 3.

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Table 1
Drilling & Completion Reference Documents and Standards
Subject/Item
Coflexip Hose

Low pressure pipe-work

Pressure vessels, shop welded tanks

Pressure relieving & de-pressuring

safety valves,

Electrical Centrifugal Pumps and

Burner Head

Flanges
Surface safety shut-down valves and
ESD systems

Standard/Reference Document
API 16C Choke and Kill System, and
NACE MR-01-75 Materials for use in H2S-containing environments
in oil and gas production Parts 1, 2, and 3.
API 14E Recommended Practice for Design and Installation of
Offshore Products Platform Piping Systems, and
ASME B31.3, Process Piping
ASME 8 DIV 1, 2010 ASME Boiler and Pressure Vessel Code,
Section VIII, Division 1: Rules for Construction of Pressure Vessels,
Includes 2011 Addenda Reprint
ANSI B31.3 Process Piping, and
NACE MR-01-75 Materials for use in H2S-containing environments
in oil and gas production Parts 1, 2, and 3.
API RP 521 Guide for Pressure-relieving and Depressuring
Systems: Petroleum petrochemical and natural gas industriesPressure relieving and depressuring systems, Fifth Edition
(Includes 2008 Addendum)
and API 520 PT 1 Sizing, Selection, and Installation of Pressurerelieving Devices in Refineries, Part I - Sizing and Selection, Eighth
Edition
ANSI B31.3, Process Piping,
EEx-d 2B T4, Explosion Proof Enclosures
and NACE MR-01-75 Materials for use in H2S-containing
environments in oil and gas production Parts 1, 2, and 3.
ANSI B16.5 Pipe Flanges and Flanged Fittings: NPS 1/2 through
NPS 24 Metric/Inch Standard
API 14C Analysis, Design, Installation, and Testing of Basic Surface Safety
Systems for Offshore Production Platforms, and API 14D Specification for
Wellhead Surface Safety Valves and Underwater Safety Valves for Offshore
Service

ESD Devices
Verification that escape routes are not
impinged in any way
Methanol systems
Coil Tubing Blow-out Preventer

DNV-OS-A101 Safety Principles and Arrangements

DNV-OS-A101 Safety Principles and Arrangements
UN 31 A Standards for intermediate bulk containers
API RP 16ST, Coiled Tubing Well Control Equipment Systems, First
Edition

NOTES:
API = American Petroleum Institute
ASME = American Society of Mechanical Engineers
ANSI = American National Standards Institute DNV = Det Norske Veritas
NACE = National Association of Corrosion Engineers
Std = Standard
Spec = Specification

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2.

General Drilling and Completion Summary

Prior to the rig arriving on location a 508mm (20) conductor pipe will be installed and cemented
to a depth of approx 6-10m and a 2m x 2m x 1.4m cellar will be installed to support the drilling rig.
Punawai-1 drilling activity begins when the rig arrives on location and is rigged up and the prespud checklist has been completed and accepted by the drilling supervisor. A 544mm (21-1/4)
Diverter will be rigged up and used for drilling the surface hole.
A vertical 445mm (17.5) hole will be drilled to approximately 500m MDRT (measured depth from
rotary table) with a water based mud system (WBM) system to install surface casing that will
isolate the near-surface strata and any fresh water aquifers. The water based mud used will have
a similar composition to that used to drill a water well, with the mud primarily consisting of water
mixed with bentonite clay. The properties of water based mud can be found in the Well on Paper
Summary in Attachment B. The Surface Casing shoe depth (bottom of casing) will be picked
based on cuttings while drilling and will be within a firm formation for good integrity as it is a
relatively impermable formation. Following this, the 340mm (13-) Surface Casing string will be
run and cemented to surface, casinghead (flange) and 5,000 psi blowout preventers (BOPs)
installed and and tested.
The water-based mud system will then be displaced with 1.75SG (14.5ppg) Synthetic Based Mud
(SBM), the 340mm (13-) casing shoe track will be drilled out and a leak off test (LOT)
conducted. Synthetic based muds have base fluids comprised of a mineral oil and water blend.
Synthetic muds are commonly used in off-shore drilling applications because these muds are
more environmentally acceptable than petroleum-oil based muds. A leak off test is used to
identify the pumping pressure at which the formation begins to take fluid, either through natural
permeability in the rock or through induced permeability. This leak off pressure is used to
determine the maximum mud weight (pressure) that can be exerted against the formation during
drilling. Once the LOT pressure is determined, a maximum operating rate for the drilling pressure
is established signalling the pressure at which operations would be stopped to prevent
exceedence of the LOT pressure. Expected leak off will be approximately 2.1 SG (17.5ppg)
equivalaent mud weight (EMW).
A 311mm (12-1/4) borehole will then be drilled to a depth of approximately 2100m and casing run
and cemented to surface. This is well above the reservoir interval, but planned to accommodate
an expected pressure ramp up through the lower Wanstead Formation overlying the reservoir.
Borehole conditions will be strictly monitored for high torque, overpulls, cavings and other signs of
overpressure. It is expected that mud weight will be increased to 1.8SG (15ppg) by 2400m true
vertical depth (TVD).
Once the wellsite geologist has indicated that the Intermediate Casing depth has been reached
and the subsurface strata have been determined to provide a good casing seat based on
lithology, a 244mm (9-5/8) casing will be run and cemented to surface. The BOPs will then be
lifted and a B-section wellhead will then be installed before the BOPs are reinstalled and tested.
A 216mm (8-) borehole will then be drilled to intersect the target zones. The 216mm (8-)
hole will reach total depth (TD) at approximately 3155m MDRT/TVD with 30m logging pocket.
The well will then be logged and evaluated as per the proposed geophysical logging program. If
hydrocarbons are present implementation of the completion plan will begin.
The drilling rig will then be released and demobilised from the drill site.

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3.

Well Summary On Paper

Subsurface details related to the drilling and completion of the Punawai-1 well include a broad
range of issues. TAG/Apache routinely compiles these combined data and information in a Well
Summary on Paper (WOP). The WOP includes details such as a wellbore diagram annotated to
include information on depths of drilling and casings, drilling muds utilised, cements used for
sealing protective casings, and other details. Subsurface pore pressure information is also
included, which demonstrates the basis of pressure management and planning for drilling and
testing. Attachment B includes the WOP.

4.

Drilling Details

The Punawai-1 exploration well will be drilled by TAG/Apache using the Nova-1 drilling rig. The
well will be drilled using prudent industry standard practices (Table 1). Table 1 presents various
standards from such organisations as the American Petroleum Institute, American Society of
Mechanical Engineers, American National Standards Institute, and others that will be utilised as a
basis for drilling and completion activities for the Punawai-1 well. TAG/Apaches work will
conform in principle with the referenced standards.
4.1

Sequence of Drilling Activities

The planned sequence of drilling activities for the Punawai-1 is summarised in Table 2.
4.2

Summary of Drilling Operations

1. Mobilise to site and rig up over well.

1. Conduct pre-spud checks and pressure tests.
2. Drill 445mm (17-1/2") hole to approximately 500m MDRT/TVD into a firm formation.
3. Run 340mm (13-3/8") Surface Casing. Casing Shoe at ~500mMDRT/TVD.
4. Install the wellhead and BOPs. Function test and pressure test BOPs.
5. Run in hole with drill pipe and drill out casing shoe, drill 3m of new stratigraphic section and
conduct LOT.
6. Drill 311mm (12-1/4) hole to 2100mMDRT, weighting up as appropriate.
7. Run 244mm (9-5/8) Intermediate Casing and cement.
8. Install B-Section on Wellhead, Test BOP and prepare mud sytem for next section.
9. Drill 216mm (8-1/2") Hole to ~3155mMDRT/TVD, intersecting the Waipawa and Whangai
Formations and with min 30m logging pocket.
10. Run Wireline logs and evaluate.
A decision will be made at this point whether to abandon the well or run 140mm (5-1/2)
casing to further evaluate the reservoir conditional on hydrocarbons found.
11. Run and set 140mm (5-1/2) Casing and cement to surface.
12. Test Casing.

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13. Suspend well for completions operations.

14. Handover well.
15. Rig Down and Move Off Location

Table 2
Drilling Activity Sequence and Timeline
Operation. (Dry Hole case)

4.3

Phase

Mobilise, rig up over well, complete pre-spud inspection.

MIRU

Drill 445mm (17-1/2") Hole

Run 340mm (13-3/8") Surface Casing
Install wellhead. Run and Test BOPs
Drill 311mm (12-1/4") Hole
Run 244mm (9-5/8) Intermediate Casing
BOP Test
Drill 216mm (8-1/2") hole to TD
Run Wireline logs
Run and Cement 140mm (5-1/2) Production Casing
Suspend well for completion operations
Hand over well to Completions
Rig Down and Move Off Location
TOTAL

C-DRL
C-CSG
C-NUP
1-DRL
1- CSG
BOP
2-DRL
P-EVAL
P-CSG
P+A
HO
RDMO

Depth (m)

Days

10

500
500
500
2100
2100
2100
2100
2100
3155
3155
3155
3155

1.2
1.0
1.1
1.4
1.0
0.5
2.1
1.5
1.3
0.7
0.3
2.9
25.0

Water Sourcing for Drilling and Completion Activities

Water will be used during drilling to assist lifting the drill cuttings to the surface and to cool and
lubricate the drill bit. The total volume of water that will be used during drilling will be
approximately 330m.
The following conditions apply to water sourcing for the Punawai-1 well:
1.

Surface water will not be directly drawn from any rivers or streams a request made
which is being respected by the Joint Venture.

2.

Prior to the use of water from any farm dam, approval will be obtained from the
landowner to ensure there is no adverse impact on farming operations.

3.

If there is insufficient water in the farm dam, or if the landowner is concerned about its
use, water will be brought in from off site and stored in tanks on the well site.

Table 3 provides estimates of the water that is planned to be used for drilling and completion
purposes.

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Table 3
Estimated Water Requirements for Drilling and Completions
Drilling Activity
Rig Up (Water to be stored ready
for Spud)
Spud (start drilling)
17-1/2 Section
Cement 13-3/8
12-1/4 Section
Cement 9-5/8
8-1/2 Section
Cement 5-1/2
Other (wash down etc)
Total
Ave per day
Completion Activity
Prior to Ops (Weighted fluid)
Completion Operations
Total
Ave per day

5.

Days

Water Usage m

Days
Accumulated
7

1
2
1
2
1
5
2

8
10
11
13
14
19
21

0
40
40
40
45
30
40
20
330
16.6 (ave)

Days
Accumulated
2
4

Water Usage m

21

Days
2
2
4

75

32
50
82
20.5 (Ave)

Well Integrity Testing and Assessment

Well integrity testing and assessment incorporates many key aspects involved with proper well
drilling and completion activities. TAG/Apache incorporates integrity testing and analysis
throughout the entire exploratory well development process. This includes having well tubulars
(casing and tubing) pressure tested by manufacturers, strict casing design and testing,
specification and testing of the wellhead and associated equipment, detailed design and planning
for the placement and testing of cement, and planning in advance for possible problems that may
occur.
5.1

Casing Integrity

Prior to installing casing in the wellbore, a casing design analysis is completed. TAG/Apache
conducted a casing design analysis using independent industry-specific software (Stress Check
and WellCat) to ensure that the casing used is of correct strength and material composition for the
various stresses and conditions the well may encounter during drilling, completion and testing
operations. The analysis takes into consideration the following;

Size, weight, material strength, burst rating, collapse rating, tensile rating and connection
of the casing.

Expected wellbore pressures, fracture gradients and expected fluids present in the
subsurface strata to be drilled.

Fluid types and densities to be used.

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Desired pressure rating of the wellhead and casing.

Depths of hole to be drilled and cement height on the annulus (cement will be to surface in
this case).

Deviation of the well (the proposed well is vertical).

The casing is also inspected for any damage prior to being used to ensure that there are no
defects or damage to the casing. Casing threads are inspected. A visual inspection of the
outside diameter is undertaken for damage or dents. Inside diameters are checked and drifted
(passing a gauge through the tubulars to verify that minimum diameter specifications are
satisfied) to ensure there are no obstructions and the manufacturing certification is checked for
quality control.
5.2

Wellhead Integrity

Part of the casing design is also to ensure that the wellhead is appropriately sized to withstand
maximum pressures that may be encountered. All wellhead components will be manufactured
and tested by an accredited API (American Petroleum Institute) manufacturer to API 6A standards
(API 6A Specification for Wellhead and Christmas Tree Equipment). For the Punawai-1 well, a
35 MPa (5,000 psi) wellhead has been selected for the drilling phase; this wellhead will be
replaced by a 69 MPa (10,000 psi) wellhead during the completion process. The wellhead is
designed to support any casing that is suspended below it and also hold any wellbore pressure in
the event of a well control situation.
The following steps are taken to ensure integrity of the well during the completion operation.
Note: these measures follow those already taken and confirmed during the Drilling Operation to
provide a sound, properly constructed wellbore that is ready for completion.

A pressure test is carried out to test and confirm the mechanical integrity of the steel
casing.

A fully pressure-rated wellhead is installed onto the well to provide isolation and controlled
access to the well. All connections made to install the wellhead onto the casing are
pressure tested to ensure integrity.

A Cement Bond Log is obtained. This confirms the isolation of hydrocarbon bearing zones
from groundwater and ensures the cement job is of high quality.

The well and all associated piping to the well are constantly monitored during completion
operations for any signs of leaks or loss of integrity.

Upper pressure limits are established and set below the maximum pressure rating of the well.
5.3

Cement Integrity

Each casing string is cemented in place back to the surface conforming in principle with API
Drilling and Completion Standards and design specifications. The following measures are taken
to ensure the integrity of the cement:

All casings on the Punawai-1 are set into the hole and cemented into place by pumping
cement down the inside of the casing to the shoe (bottom component), out of the casing
and around the outside into the space (annulus) between the outside of the casing and the
surrounding soil/rock/earth layers all the way back to surface. This design provides as

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many as eight (8) barriers of protection (multiple casing strings from conductor pipe to
production casing and their associated cements) between shallow groundwater and the
inside of the production casing.

The casing is centralised at regular intervals (once every 12m 24m) using rigid
centralisers to ensure there is a uniform cement thickness 360 degrees around the casing.
These centralisers serve to keep the casing centered inside the wellbore so that cement
can completely encompass the casing, thus providing a protective barrier that will restrict
the movement of fluids (upward or downward).

The cement recipe is specially designed in a laboratory by Halliburton using API

Standards (API Spec 10A and Spec 10B-2) to specifically meet the technical requirements
for the subject well and geologic/hydrogeologic setting.

Computer modelling and simulation is also carried out to confirm cementing job times
(e.g., pumping and curing times) and highlight any potential issues.

A spacer fluid is pumped ahead of the cement to ensure that the wellbore is cleaned and
conditioned prior to pumping the cement. This helps to ensure a quality bond between the
casing and the subsurface strata.

Two plugs are pumped, one ahead of the cement and one behind the cement, to ensure
that the cement does not mix with any drilling fluid and that its effectiveness is not reduced
by contamination with mud or other fluids in the wellbore (e.g., water).

After the cement is fully displaced and surface returns (cement is observed to pump up
through the annular space at the ground surface) are visually confirmed, pressure is then
applied and recorded to ensure integrity in the casing. All pressure tests are recorded and
filed for future evidence of wellbore integrity.

Once cement is in place and cured, the casing is pressure tested to ensure integrity.

On the final string of casing to be run, a cement bond log (CBL) shall run be from total
depth to surface to ensure the integrity of the well construction. This log will provide an
indication of extent and quality of bonding between the cement and casing and between
the cement and the subsurface strata. The log is also a valuable record for future
evidence.

5.4

Mitigation in the Event That Wellbore Integrity Is Breached During Testing

The following is a list of mitigation/remedial measures that are undertaken in the event that
integrity of the wellbore is lost or that a pressure test fails;

Cement testing confirms that the formulation is not correct before pumping:
o

Do not continue with cement job. Pump cement to tank and remove from site.

Cement testing confirms that the formulation is not correct while pumping:
o

If top plug is not placed into casing, then cement can be displaced out of the hole.
In the event that cement was displaced out of the hole, the actions described in
the Spill Control Management Plan would be utilised to remediate any impacts to
the ground surface from the cement.

If top plug has been pumped, then a contingency casing string can be set to
ensure integrity.

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Cement does not reach surface due to losses:

o

If achievable, cure losses before continuing with the cement job.

Perform top-up job on the backside (annulus) to ensure cement comes back to
surface.

Casing does not get to planned depth:

o

Casing thread is damaged causing a potential leak path whilst screwing two joints
together:
o

Remove casing and run in hole with drill bit. Drill out section again before
continuing to run casing.

Both make up joint, and the joint that is being made up, are put to one side and
are not used.

Casing fails pressure test:

o

Investigate leak path, repair casing and re-pressure test.

Run contingency liner or casing.

Casing Floats (non-return valve on the bottom of the casing) do not hold after cement is in
place, therefore, cement re-enters the wellbore at the bottom of the casing:
o

Hold pressure on the casing until the cement has cured. Confirm hard and that no
flowback of cement has taken place and then pressure test to confirm integrity.

If the above is not successful, install permanent bridge plug at depth and pressure
test to confirm integrity.

If at any time the integrity of the wellbore cannot be confirmed, then the operation will not be
continued until the issue has been resolved.

6.

Well Completion Details

If hydrocarbons are discovered then the well completion and testing program will be initiated.
This requires running 140mm (5-1/2) casing in the 216mm (8-1/2) hole. Two zones in the
reservoir interval may be completed, an upper and lower zone. These zones may require to be
tested.
The following steps provide a general description of the Well Completion Operation as planned.
Data collected from the geophysical logs and early testing procedures will determine the final
design.
1.

Install a completion wellhead on the casing and pressure test (casing will be tested to
9,800 psi) it to make sure the well is secure and safe.

2.

Carry out any cased hole logging required for the completion.

3.

Perforate (create holes) a 5-20 m interval (perforation interval) in the casing in a lower
reservoir zone to establish a flow path to the reservoir. Note: the specific depth
where the perforation intervals will be created will be selected from the interpretation
of geophysical logs acquired after drilling.

Punawai-1 Well Project

Drilling & Completion Design
June2012

Page 14

6.1

4.

Carry out a closed chamber inflow test or a diagnostic leak off fall-off test depending
on the log analysis of the zone of interest. If information gathered from Step 4
indicates threshold permeability, a flow test could be attempted on the zone.

5.

If a second upper zone requires pore pressure and permeability measurement, a

packer and plug will be set to isolate the lower zone.

6.

Perforate a 5-20 m interval in the upper reservoir zone.

7.

Perform a closed chamber inflow test or diagnostic leak off fall off test on the upper
zone.

8.

If information on the upper zone from the inflow or fall off test indicates threshold
permeability, a flow test on the zone could be attempted.

9.

Shut well in, Run production tubing (pipe) into the well and install the production
wellhead.

10.

Flow test the lower or upper zone up the production tubing for additional information
on this target zone, if required.

11.

Flow back both zones and gather additional production data.

12.

If the well ceases to flow naturally during the test period, install pumping unit in order
to continue to production test the well.

Flaring

Flaring will be undertaken using a flaring stack on the wellsite to combust waste gases that are
unable to be processed. In the worst case, the total heat that will be released during flaring will
be up to 5MW. Figure 6.1 shows the type of flare tank that will be used for Punawai-1.
Flaring may occur from time to time, during the day or night, as part of the completion of the well.
Flaring will occur on a more sustained basis when an interval, or the entire well, has been
completed and it is desired to flow test the well to assess its capability. Flaring associated with
flow testing will not occur for any period greater than 30 days in accordance with Regulation 26 of
the Crown Minerals (Petroleum) Regulations 2007.
The Joint Venture will use a separator vessel to separate solids and fluids from gas during well
clean up and flow testing. Every endeavour will be made by the Joint Venture to minimise the
total volume of gas flared while ensuring that adequate flow and pressure data is gathered.
The emissions from the flare will depend upon a number of factors. Ultimately, combustion
efficiency determines the types of emissions. For example, high efficiency combustion ensures
that nearly all methane is converted to carbon dioxide (CO2) and water vapour. It is not expected
to encounter hydrogen sulphide (H2S) in this well.

Punawai-1 Well Project

Drilling & Completion Design
June2012

Page 15

Figure 6.1: Flare Stack and Separator

7.

Completion Equipment Used

A summary of the equipment used on the well pad during the completion process is included in
Attachment D. The summary includes identification of the equipment and a description of what
the equipment is used for.

8.

Plugging and Suspension Program

If the drilling, logging, and testing evaluations of the well do not indicate the presence of moveable
hydrocarbon resources, then the decision to plug and temporarily suspend activities, or plug and
permanently suspend activities at the well is anticipated.

Punawai-1 Well Project

Drilling & Completion Design
June2012

Page 16

Punawai-1 Well Project

Drilling & Completion Design
June2012

Page 17

ATTACHMENT A
Drilling Rig Specifications

Punawai-1 Well Project

Drilling & Completion Design
June2012

Page 18

Webster Nova-1 Drill Rig

Equipment Specifications
Top Head Drive:
Top Head Drive System:
Maximum Hook Load:

Motors:
Brakes:
Gearbox:
Rotary System:
Maximum Rotary Torque:
Maximum Rotary Speed:
Rotary Motors:
Rotary Brakes:
Rotary Fluid Course:
Maximum Mud Flow Rate:
Maximum Rotary Pressure:
Mud Swivel:
Connection to mud hose:
Connection to extension sub:
Swivel Fluid Course:
Maximum Pressure:
Maximum Speed Rating:
Mud Hose:
Slip Spindle:
Spindle nut:
X-over Sub:
Saver Sub:
Top Head Drive Dimensions:
Top Head Drive Assembly
Total Weight:
Drill Rig Trailer:
Mounting:
Drill Rig Transport:
Dimensions (w/ Lower Derrick and Strut):

Weight (w/ Lower Derrick):

Drill Rig Trailer:
Dimensions (w/o Lower Derrick):
Drill Rig Trailer Weight
(w/o Lower Derrick):
Axle Spacing
(Centerline Dimension):
Weight-per-Axle (w/ stinger):
King Pin Size:
Weight-on-King Pin:
Boom Hoist:

Punawai-1 Well Project

Drilling & Completion Design
June 2012

Rack & Pinion, (6) Pinion Drive with Adjustable Force Limiter
Standard
Metric
Max. Travel Speed
500,000 lbs.
226 Tonnes
44 ft. (13.4 m)/ minute
375,100 lbs.
170 Tonnes
59 ft. (17.9 m)/ minute
249,000 lbs.
113 Tonnes
85 ft. (25.9 m)/ minute
125,000 lbs.
57 Tonnes
165 ft. (50.3 m)/ minute
(6) Radial Piston, Dual Displacement
(6) Spring Applied/Hydraulic Release
(6) Planetary Drive
(2) Pinion and Gear Drive with Infinitely Variable Torque
30,000 ft.-lbs. (40,675 Nm) @ 53 RPM
137 RPM @ 11,500 ft.-lbs. (15,592 Nm)
(2) Axial Piston, Variable Displacement
(2) Spring Applied/Hydraulic Release
3 in. (76 mm)
650 U.S. Gallons (2,460 L)/minute
5,000 psi (345 bar)
4" ring joint flange
4-1/2 API IF LH pin
3 in. (127 mm) ID
5,000 psi (345 bar)
200 RPM
(1) 4 in. (101.6mm)
6 5/8 API-FH Lower Tool Joint Connection
Connection to Slip spindle: 4 1/2 API IF LH
Connection to Extension sub: 4" ring joint flange
6 5/8 API-FH Box X 4 1/2 API-XH Pin
4 1/2 API-XH Box X Pin
Standard
Metric
Length
14 ft.
4.26 m
Width
10 ft.
3.04 m
46,000 lbs. (20,866 kg)
Quad Axle
Length
66 ft.
Width
10 ft.
Height
13.5 ft.
131,600 lbs. (59,693 kg)

20.1 m
3.04 m
4.11 m

Length
Width

19.2 m
2.74 m

63 ft.
9 ft.

35,000 lbs. (15,876 kg)

60 in. (1,524 mm)
16,335 lbs. (7,409 kg)
2 in. (51 mm)
48,380 lbs. (21,945 kg)
5,000 lbs. (2,268 kg) Rating

Page 19

Stinger Axle:
Axles:
Axle Spacing:
Dimensions:

Total Weight:
Weight-per-Stinger Axle:
Derrick:
Steel Type:
Configuration:
Trailer Mounted Derrick Dimension:

(2)
4 ft. 6 in.
Length
Width
Height
6,800 lbs.
12,000 lbs.

(1.37 m)
Standard
18 ft. 6 in.
8 ft. 6 in.
3 ft. 6 in.
(3,084 kg)
(5,452 kg)

Metric
5.63 m
2.59 m
1.06 m

T-1 Equivalent
(2) Piece Working Assembly
Length
Width

Trailer Mounted Derrick Weight:

Derrick Attachment Dimensions:

55.5 ft.
10 ft.
49,600 lbs.

16.9 m
3.04 m
22,498 kg

Total Drill Rig Working Height:

Length
33 ft.
10.06 m
Width
10 ft.
3.04 m
21,000 lbs. (9,526 kg)
70,600 lbs. (32,024 kg)
(28) 3/4 -10 UNC
(2) 5 Stage Telescopic Cylinders
w/ Load Check Valves 11.25 in.
(1) Rear Mounted for Backside Support
(1) Full Derrick Length
(2)
(1) Derrick Mounted w/ two 5,000 lbs. (2,268 kg) lift rating trailer
mounted winch lines - 10,000 lbs (4,536 kg) total lift capacity
3 ft. 3 in.
(0.99 m)
10 ft. 6 in.
(3.20 m)
Qty Watts (ea.)
Upper Derrick
5
60
Lower Derrick
6
60
99 ft. 3 in. (30.25 m)

Power Train:
Engine:
Single Engine Rating:
Total System Engine Rating:
Maximum Engine Speed:
Fuel Capacity (per engine):
Hydraulic Capacity (per engine):
Battery (total):

(2) Caterpillar C-18 Tier III Diesel

700 HP (522 kW)
1,510 HP (1,140 kW)
2100 RPM
No fuel tanks provided by American Augers
500 U.S. Gallons (1,892 L)
(4) Deka 908DMF 12 V, 1450 CCA

Derrick Attachment Weight:

Total Derrick Assembly Weight:
Derrick Assembly Bolts:
Lift Cylinders:
Support Struts:
Ladder:
Safety Harness Attachments:
Crane:
Crane Height:
Crane Boom Length:
Derrick Work Lights:

Power Train Configuration:

Mounting:
Container Dimensions:

Container Weight:
Sound Reduction Pad:

Punawai-1 Well Project

Drilling & Completion Design
June 2012

(2) Sound Reducing, ISO Containers

Standard
Length
40 ft.
Width
8 ft.
Height
9 ft. 6 in.
51,000 lbs. (23,133 kg) each
1 in. (25 mm)

Page 20

Metric
12 .2 m
2.43 m
2.93 m

Self-lifting Drillers Cabin:

Drillers Cabin Dimensions:

Drillers Cabin Support Skid:

Cabin Support Skid Dimensions:

Platform Weight (including Cabin):

Standard
Length
20 ft.
Width
8 ft.
Height
8.5 ft.
(1) Steel Constructed Platform

Metric
6.09 m
2.43 m
2.59 m

Length
46 ft.
Width
10 ft.
Height
2 ft.
49,800 lbs. (22,589 kg)

14.02m
3.04 m
0.60 m

Mini HPU for Raising Drillers Cabin, Trailer Jacks and Drill Floor Independently:
Engine:
Hatz Diesel 12VDC Electric Start
Single Engine Rating:
10.3 HP (7.68 kW) @ 3,000 rpm
Mini HPU Skid:
(1) Steel Constructed Platform with
Mini HPU Skid Dimensions:
Length
59 in.
Width
32 in.
Height
49 in.
Mini HPU Skid Weight:
1,679 lbs. (762 kg)
Substructure:
Drill Rig Base:
Assembly Upper Mud Boat
Dimensions:

Upper Mud Boat Weight:

Lower Mud Boat Dimensions:

Lower Mud Boat Weight:

BOP/Ground Clearance Under Floor:
Hydraulic Slips:
Maximum Slip Drill Pipe
Dimension (Slip Lifter):
Side Support Skid:
Side Support Skid Dimensions:

1.50 m
0.81 m
1.24 m

(2) Piece Steel, Hydraulically Elevated Floor

Length
37 ft.
Width
10 ft.
Height
10.25 ft.
82,000 lbs. (37,195 kg)

11.2 m
3.04 m
3.12 m (lowered for shipping)

Length
29 ft.
8.83 m
Width
10 ft.
3.04 m
Height
2 ft.
0.60 m
23,788 lbs. (10,790 kg)
14 ft. (4.26 m)
27 1/2 in. (698.5 mm) Assembly with std. Split Bushing
8 5/8 in. (114.3 mm); 13-3/8" w/ optional Solid Bushing
(1) Steel Constructed Platform

Side Support Skid Weight:

Length
15 ft.
Width
10 ft.
Height
2 ft.
8,000 lbs. (3,628 kg)

Wrench:
Wrench Type:
Maximum Breakout Torque:
Maximum Makeup Torque:
Clamp/Grip Range:
Wrench Assembly Total Weight:

Open-side style with 7 in. (178 mm) bore Clamp Cylinder

80,000 ft.-lbs. (108,500 Nm)
65,000 ft.-lbs. (88,130 Nm)
3 in. 8 in. (88.9 215.9 mm)
6,000 lbs. (2,722 kg)

Punawai-1 Well Project

Drilling & Completion Design
June 2012

Page 21

4.57 m
3.04 m
0.60 m

Pipe Handling System:

Description:
Gripper Jaws:
Maximum Drill Pipe Size (Length):
Maximum Drill Pipe/Casing
Tubular Dimension:
Maximum Drill Collar Size:
Maximum Lift Rating:
Lift Cylinder:
Pipe Handler Assembly Dimensions:
(Including skid - in transport position)

Total Weight:
Operational Mounting:
Pipe Handler Skid Only Dimensions:

Pipe Handler Skid Only Weight:

Indexing Pipe Racks:
Description:
Pipe Rack Dimensions (each):

Pipe Rack Total Weight:

Operational Mounting:

Punawai-1 Well Project

Drilling & Completion Design
June 2012

90 Pivoting Boom Assembly

(2) 180 Rotating Assemblies
Range III
2-3/8 in. (60.325 mm) -- 20 in. (508 mm) OD
8 in. (203.2 mm) Range II
Drill Pipe
Standard
Metric
Range II
4,400 lbs.
1,996 kg
Range III
3,600 lbs.
1,633 kg
7.5 in. Bore X 63 in. Stroke (191 mm 1,600 mm)
Length
43 ft. 6 in.
Width
10 ft.
Height
10 ft. 9 in.
60,000 lbs. (27,216 kg)
Steel skid

13.26 m
3.04 m
3.28 m

Length
43 ft. 6 in.
Width
8 ft. 10 in.
Height
2 ft. 6 in.
16,200 lbs. (7,348 kg)

13.26 m
2.69 m
0.76 m

(2) Hydraulically adjustable for height and angle

Length
20 ft.
Width
4 ft.
Height
5 ft.
5,300 lbs. (2,404 kg) each
(2) Steel base (Mud Boats)

Page 22

6.10 m
1.21 m
1.52 m

ATTACHMENT B
Well on Paper Summary

Punawai-1 Well Project

Drilling & Completion Design
June 2012

Page 23

Punawai-1

20bbls

Centralizers - 2 per jt over shoe track

and 1 per jt for first 10jts
Shoe Track
1 x 9-5/8" NR FC bakerloc onto csg jt
1 x 9-5/8" intermediate csg jt
1 x 9-5/8" NR FS bakerloc onto csg jt

2061m Weber
9-5/8" casing @2106m MD

Tail:
Class G
4.7 gps Freshwater
0.25 gal/10bbls NF-6
0.06 gps CFR-3L
Thick time 3-4 hrs

Lead:
Class G
11.9 gps Freshwater
0.50 gal/10bbls NF-6
2% Econolite
Thick time 5-6 hrs

Mud Weight

Type
Spud mud

1.0 SG

Tail :
16 ppg /

Lead :
12.5 ppg /
2.03 cuft/sx
11.05 gal/sx
Tail :
16 ppg /
1.14 cuft/sx
4.77 gal/sx

Lead:
35:65:6

Tail:
Class G
5% KCl (BWOW)
0.3% Halad 344
0.3% CFR-3
0.50 gal/10bbls NF-6
Thick time 3 hrs
Comp strength 2000psi

(Poz A: Class G:Bentonite)

5% KCL (bwow)
0.1% FWCA
0.50 gal/10bbls NF-6
Thick time 5-6 hrs
Comp strength 500 psi

3055m

Tikihore
5.500" @ 3145m MD
(~10m off bottom)

3155m MD/TVD TD
Not to scale

Shoe Track
1 x5-1/2" NR FC bakerloc onto csg jt
1 x 51/2" intermediate csg jt
1 x 5-1/2" NR FS bakerloc onto csg jt

N/A

N/A - Preinstalled

N/A

13-5/8" 5K A-Section
13-3/8" Weld on prep
API 6A, PSL3, U, DD-NL

21-1/4" RCD Diverter System

Woodgroup
13-5/8" x 9-5/8" 5K
B-Section
9-5/8" 47# BTC Box Btm
API 6A, PSL1, U, DD-NL

13-5/8" API 5K BOP

5K Annular
5K Blind Rams
4" Pipe Rams
2-7/8" x 5 1/2" Variable Pipe Rams

Divert to flare tank

20" Weld Prep
9" Flow line
9" Diverter line

Wireline
None

N/A

Lead:
50:50:2

Tail:
Class G
0.5% Super CBL
0.30% Halad-413
0.50% Halad-413
0.50% Halad-344
0.30% Halad-344
0.50 gal/10bbls NF-6
0.50gal/10bbls NF-6
Retarder as required
Retarder as required
Thick time 5-6 hrs
Thick time 4-5 hrs
Comp strength 1000psi
Comp strength 2000psi
Pre-flushes:
(10-20bbls Base Oil OPTIONAL Based on Mud Weight)
50-100 bbls Weighted spacer

<6
< 12.5
5-6
N/A
N/A

Exces Lime ( > 2)

6-7
Nitrates (>320K mg/l)
ALAP
6 RPM dependent

<5
E. Stability ( > 450)
HPHT FL (< 4.0 cc)
40% by wt
75 - 25

Wireline
None

Woodgroup
9-5/8" 5K x 7-1/16" 10K
C-Section
5-1/2" 20# BTC Csg Hgr
API 6A, PSL3, U, DD-NL
10K Tubing Slips

MWD / LWD
DIR-GR

13-5/8" API 5K BOP

5K Annular
5K Blind Rams

1.75 - 2.0 SG
(14.5ppg - 16.5ppg)

Paraland - SBM

20%

Mix with
Fresh Water

< 840
10 - 14
9.0 - 9.5
ALAP
6 RPM dependent

(Poz A: Class G:Bentonite)

TOC to Surface

2-plug Combo System

2 jts in shoetrack

3155

0
125

20bbls
Centralizers - 2 per jt over shoe track

BOP

Pre-flushes:
10-20bbls Base Oil
50 bbls Weighted spacer

Mix with
Fresh Water

Tail :
16 ppg /
1.13 cuft/sx
4.69 gal/sk

Collapse = 76.5 Mpa (11,100psi)

Internal yield = 87.15 Mpa (12,640psi)
Drift size = 4.653"
3155

5 Bladed PDC

Waipawa
Whangai

Wellhead

MWD / LWD

5.87 gal/sx

8.5"

2555m
2585m

3155m

Comp strength 500 psi

Pre-flushes:
50 bbls Drillwater
Use 5-10ppg SAPP in first 10bbls

Over pressure expected to start

5.5", P110, 20# BTC

2555m

Comp strength 500 psi

Lead :
16 ppg /
1.3 cuft/sx
2405m Wanstead

Survey
&
Evaluation

MWD / LWD
DIR Only

20%

Collapse = 32.8 MPa (4760psi)

Internal yield = 47.4 Mpa (6870psi)
Drift size = 8.525"

2-plug system
2 intermediate jts in shoetrack

0
90

2106

2106

5 Bladed PDC

12.25"

9.625", L-80, 47# BTC

N/A

ALAP

TVD DF

LGS %
MBT(ppb)
KCL(%)
CaNO3
SWR

Lead :
12.5 ppg /
2.09 cuft/sx

Centralizers - 2 per jt over shoe track

and first 5 jts, 1 per jt for next 10jts

13.375" Casing '@ 500 m MD

Note: if LOT above 19ppg then possible to drill to TD in 8-1/2" hole from this point
to TD in 8-1/2" hole from this point

Mud Specifications
Hardness (mg/L)
6 RPM
pH
PV
YP

1.3 - 1.45 SG
(10.8 - 12.5ppg)

Miocene

Preinstalled

Spud mud

NA

Recipes

Paraland - SBM

0
50

500

500

13.375", L80, 68# BTC

Collapse = 15.6 MPa (2270psi)
Internal yield = 34.6 Mpa (5020psi)
Drift size = 12.25"

TTOC /
Excess %

Stab-in

N/A
1-1-5 Steel Tooth Bit

NA

Slurry wt
(ppg)
Yield (cuft/sx)
Length (m)

TOC to Surface
50%

Deviation (Deg)
Temp (Deg C)

MDBDF (m)

TVD (m)

Bit - BHA

EMW
Kick Tol

Surface Coordinates
Northings : 5,739,890m
Eastings : 2,034,202m
Target 1
2
Northings : 5,739,890m 5,739,890m
Eastings : 2,034,202m 2,034,202m

Estimated Duration : 38 Days (including Mob)

Drilling Days 27 Days
Estimate Cost : NZ$8.03mln
AFE Number

Cement Specifications

2-plug system
1 intermediate jt in shoetrack

440m

20", K55,
Preinstalled

@ ~8 m MD

17.5"

20" conductor

Size(in)/Grade/Wt(Ib/ft)
Thread

Rig Type : Land - Rig

Rig Name : Webster Nova-1

PEP 38348
Punawai-1
NA
Vertical Exploration
320m amsl
5.0m
Onshore

Casing Design

Test Pressure (MPa)

20"

All Depths will be mMD DFE unless stated otherwise (i.e. 5.1m above GL)
Top depths (m TVD)

Hole Size (in)

Drilling Manager (TAG):

Iain McCallum
Wayne Stonnell
TBC
Jack Doyle

Method

Drilling Engineer:
Rig Superintendent (TAG):
Drilling Supervisors:

Field / Location :
Well Name :
Conductor No :
Well Type :
GL :
DFE Above GL:
Water Depth :

TOC to Surface

Well On Paper - Summary Sheet

4" Pipe Rams

2-7/8" x 5 1/2" Variable Pipe Rams

Wireline
PEX-AIT;
UBI-GR;
Diple Scanner;
Sidewall Cores (Contingency)

Weatherford
7" 26# BTC Liner Hgr
Contingency Only

Retain large stocks of LCM in case of losses

Hazards

Risk level

Mitigations

17-1/2" Hole Section

Shallow Gas - None expected
Lost Circulation
Borehole Stability - Offset wells
Boulders - Shallow depths up to 200m
12-1/4" Hole Section
Borehole Stability - Offset wells
Build Tendencies of BHA
Over Pressure
Taking cement through stack
Managing cement returns at surface

Drilling fractured limestines - Losses

& Stuck Pipe
Barite Sag
Loss of fluids
Losses from faults
Shallow water/ Oil flow

Risk
Medium
Medium
Meduim
Medium

Meduim
Low
Meduim
Low
Medium

Low
Low
Medium
Low
Meduim

Good shallow gas practice shall be adhered to untill casing set

LCM will be made available on site
Use 7% KCL / IDCap D mud system, Top stab with hard facing
Use high flowrates and patience

Use Paraland SBM mud system, Top stab with hard facing
Minimum Risk -Take surveys every 26m (2 Jts)
Set 9-5/8" before the Whangai formation
Cement retuns should be through the side outlet valves
As the 9-5/8" casing is cemented to surface the returns should be
lined up through the side outlet valves on the wellhead in order to
divert flow away from the BOP.
Follow loss mitigation procedures and have sufficient LCM on site
Mud properites will be closely monitored
Control rheology to permit maximum flow rates
Maintain high level of LCM on site.
Flow was observed on offsets using the lighter MW.
Close attention will be made to mud contamination

Hazards
8-1/2" Hole Section
Directional Control (Vertical)
Excessive ECD
- Stuck Pipe
- Borehole instability
Overspressured Shales
- Stuck Pipe
- Borehole instability
Well control incident due to lost circulation
SBM Spill
Gas / Oil Kick

Completion (5-1/2" Casing)

Wellbore Stability - Collapse of formations
Wellbore Stability - High torque & Sticking
Under Displaceemnt of cement
Fracture of cement due to cement hydrostatic

Mitigation

Formation /Marker
GL=320m amsl

Low

Have directional motor on standby and make corrections when required

Low
Low

Well design has been optimised to reduce ECD. However, Use low flow
rates, low rheology mud and 4" drill pipe

Medium
Medium
Low
Medium
Medium

Medium
Medium
Medium
Medium

Use SBM and 14ppg MW. Limit stationary time on connections

Use SBM and14ppg MW. Trip speed to be controled.
Follow Loss control strategy in programme. Line up cement unit to annulus
Conduct SBM containment audit prior to displacement.
Conduct trip drills, Pit drills prior to every hitch. Good communication
between Driller, Derrickman and Mud Loggers is essential.

Verify hole condition on last trip.

Verify hole condition on last trip. Circulate hole and increase MW
Pump excess. Seek positive bump. Have contingency plan in place
Use high weighted cement. Optimise viscosity

Est Pressure at Formation Mud Weight

Depth top Depth top
Pore
top of formation Pressure required (ppg)
Depth top Uncertainty
[MDRT]
[TVD]
Content
Overbalance
[TVDSS]
+/- tv
[ppg]
GL
GL
Interval
[psi]
Exp [PSI]
(150 psi)

Whero

40

40

-280

Weber

2056

2056

1736

50

Wanstead

2400

2400

2080

100

Waipawa

2550

2550

2230

100

Whangai

2580

2580

2260

Tikihore

3050

3050

TD (includes 30m logging

pocket)

3150

3150

15

Fres h
water

65

9.50

31.48

Water

3508

10.00

10.43

Water

5323

13.00

13.37

Oil

6091

14.00

14.34

200

Oil

6163

14.00

14.34

2730

200

Water

7285

14.00

14.29

2830

200

Water

7524

14.00

14.28

Data Gathering
MWD/WL requirements: As detailed in survey and evaluation column.
LWD (12.25" openhole): GR-DIR
LWD (8.5" openhole): GR-DIR;
WL (8.5" open hole): PEX-AIT, UBI, Dipole Scanner, sidewall cores (contingency) ;

TD calls

Notes

17-1/2" Hole - TD will be called at 30m into firm formation based on cuttings (~500m)
12-1/4" Hole - TD will be min 60m into the Weber frm. It will be called by wellsite geologist based on log respose and cuttings
8-1/2" Hole - TD will be 100m past the bottom of the Whangai. Approx TD is -3145mTVD(2825mTVDSS)

Sampling collection (or as by recommendation of Wellsite Geologist):

UNWASHED SAMPLES : NONE TO BE COLLECTED
WASHED & DRIED: TWO (2) SETS ONLY - MoED AND TAG sets
PALEO SET: ONE (1) SET ONLY FROM 1000 m MD - TD
SAMPLEX TRAY : ONE SET 10 m interval SPUD - 9-5/8" Casing Point (2106m)
5 m interval 9-5/8" Casing Point (2106m) - TD

Coring Programme
There will be no coring program for this well

- WOP should be read in conjunction with Punawai-1 Drilling Programme

1. A Diverter system will be in place for drilling the 17-1/2" hole section in case of shallow gas.
- Apache NZ Drilling and Completion Standards Manual - Jan 2012
2. BOP's Will be in place while drilling from 13-3/8" shoe
3. The 13-3/8" casing shoe is set deep enough to fullfill the design criterion of 20 bbls gas kick fromTD.
- Apache ECB Generic Casing and Tubing Design program - Jan 2012
- Apache NZ Drilling & Completions Process Manual - Jan 2012
4. The 9.5/8" casing shoe is set deep enough to fullfill the design criterion of full evacuation of gas from well TD.
- Apache NZ Drilling Management Manual - Jan 2012
5. Mud weight of the 8.1/2" section will be ramped up to 14ppg before drilling the Waipawa.
6.WBM to be changed out toSBM to drill the12-1/4" hole section. Displacement will be done after drilling out shoe track
- Apache NZ Punawai-1 SOR
7. The 9-5/8" casing will be set with a minimum of 50m into the Wanstead formation. Well site geologist to correlate formation tops with -TAG 2010 HSE Plan
- ECB Risk Assessment
offset data, cuttings and BHA GR readings.
8. Monitor metal cuttings by ditch magnet on 9-1/2" hole section. Report daily metal cuttings in DDOR.
9. Wells are drilled Vertical

References

ATTACHMENT C
Completion Equipment Inventory

Punawai-1 Well Project

Drilling & Completion Design
June 2012

Page 24

Attachment C
Completion Equipment Inventory
Item
Service Rig

Well Testing Unit

Wireline BOP

Coil Tubing BOP

Electric Logging
Unit

Completion
Wellhead

Coil Tubing Unit

Description

Self-propelled double drum w/ four axel carrier

DDEC, Series 60 475 hp 280 KW engine

Allison 6 speed transmission

4200m 73mm tubing capacity rating

3500m sand line

1.5m x 6m, 500psi horizontal test vessel

c/w gas piping, liquid drains, safety relief valve, choke manifold, flow lines, methanol tank, fuel gas
scrubber, chemical pumps,

152mm ID x 18m flare stack w/ auto igniter and propane pilot

A wireline Blow Out Preventer (BOP) is required for rigging up on top of the wellhead or Tree in the event any
wireline intervention work is necessary. The components should be designed as follows:

Rated high-pressure pack-off, stripper, or grease head with line wiper.

Lubricator of sufficient length

Dual wireline valve rams

Pump-in sub
A Coil Tubing Blow Out Preventer (CT BOP) is required for rigging up on top of the wellhead or Tree in the event
any coil tubing intervention work is necessary. The components should be designed as follows:

One high pressure stripper assembly

Lubricator of sufficient length

CT BOP arrangement with top down configuration of:

o Blind rams
o Shear rams
o Slip rams
o Pipe rams
The CT BOP will meet the requirements of API RP 16ST.
The electric wireline unit is used to run logging tools into the well to evaluate subsurface conditions and lilthology,
etc. Programmed cased hole logs are as follows:

CBL Cement Bond Log

T/A Temperature/Acoustic Log

GR Gamma Ray Log (used to correlate or locate position relative to the target zone)
CCL Casing Collar Locator (used to determine position relative to the pieces of casing).

7 1/16 10K psig Suspension Cap

7 1/16 by 3 1/16 10K psig Head (w/ 3 1502 outlets)

7 1/16 10K psig Manual Gate Valve

7 1/16 by 3 1/16 10K psig Flow Tee w/ outlets

7 1/16 10K psig Manual Gate Valve

This configuration provides the isolation valves necessary in the event of a well control event.

Artificial Lift

A coil tubing unit with a minimum 1-3/4 tubing coil may be used in the well bore as well as any circulation
requirements.

Minimum 1-3/4 tubing coil

Minimum 300m longer than the expected TD (estimated 2050m in length)
A rod pump may be required to artificially lift (pump) well fluids to surface

Additional items

The following items are other logistical issues that may need to be addressed and arranged:

Punawai-1 Well Project

Drilling & Completion Design
June 2012

Light plants
Fluid tanks
Noise monitoring instrumentation
Water well testing instrumentation
Nitrogen gas
Hydrate Control

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