Service company alliance reduces tight sands frac costs
- Pennzoil Exploration and Production Co., Houston, TX (United States)
- Halliburton Energy Service, Houston, TX (United States)
Smaller, multiple-stage fracture treatments, worked out by an alliance between a producing and a service company, were a significant element in reducing costs for fracturing Carthage Cotton Valley infill wells in Panola County, Texas. Pennzoil's infill drilling program takes advantage of the Texas Railroad Commission's (RRC) ruling that allows optional 80-acre well spacing in this tight gas-sand reservoir. Pennzoil spudded 29 wells between September 1992 and December 1993 and expects to spud 20 more in 1994. The Pennzoil-Halliburton alliance began in September 1992 for the purpose of drilling and completing Cotton Valley infill wells through 1993. The two companies share the cost of new technology development, with Pennzoil providing the rig times to test Halliburton technology. To date, the alliance has experimented with an elastic strain relaxation, a six-arm extensometer, and a water-recovery surfactant. Some of the features of the alliance are: Halliburton guarantees the availability of crews and equipment to meet Pennzoil's drilling and completion schedule; Halliburton technical advisor studies existing wells to find candidates for workover or refracture; the technical advisor analyzes, plants, and evaluates the ongoing program; and the alliance is not rigidly structured, and other service companies perform part of the work. Both parties have benefited financially from the alliance and well performance has met or exceeded expectations. The alliance has enabled Pennzoil to stay on a rigid and aggressive drilling schedule and through efforts of the alliance, fracture orientation has been confirmed.
- OSTI ID:
- 7198176
- Journal Information:
- Oil and Gas Journal; (United States), Vol. 92:33; ISSN 0030-1388
- Country of Publication:
- United States
- Language:
- English
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Related Subjects
NATURAL GAS WELLS
FRACTURING
PETROLEUM INDUSTRY
SERVICE SECTOR
TEXAS
COOPERATION
PERMEABILITY
SANDSTONES
WELL COMPLETION
WELL SPACING
WELL STIMULATION
DEVELOPED COUNTRIES
INDUSTRY
NORTH AMERICA
ROCKS
SEDIMENTARY ROCKS
STIMULATION
USA
WELLS
030300* - Natural Gas- Drilling
Production
& Processing