SPE 142622

Achieving Excellence in Well Completion Projects in Iraq’s South Oil Fields

Ghanim Aliwi, Loayd Al-Hashmi, Hani Qutob, Sami El-Halfawi, SPE, Weatherford International,
Kareem Jabbar Ateya

Copyright 2011, Society of Petroleum Engineers

This paper was prepared for presentation at the SPE Middle East Oil and Gas Show and Conference held in Manama, Bahrain, 25–28 September 2011.

This paper was selected for presentation by an SPE program committee following review of information contained in an abstract submitted by the author(s). Contents of the paper have not been
reviewed by the Society of Petroleum Engineers and are subject to correction by the author(s). The material does not necessarily reflect any position of the Society of Petroleum Engineers, its
officers, or members. Electronic reproduction, distribution, or storage of any part of this paper without the written consent of the Society of Petroleum Engineers is prohibited. Permission to
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Abstract:

Oil fields in southern Iraq contain a wealth of the country’s oil and gas reserves. Wells which
were left uncompleted represent a valuable asset that needs to be utilized quickly and
efficiently in order to increase the production of those fields. Through a carefully orchestrated
operation involving workover rigs, rigless stimulation packages and gas lift packages, a
complex project of completing key oil wells in one of South Iraq’s oil fields was performed on
time and with excellent results. Those results were achieved despite adverse technical,
logistical and safety restrictions.

The project scope involved the use of workover rigs then rigless operations for perforation,
stimulation and gas lifting (if required) of 30 wells in West Qurnah oil field in southern Iraq. The
operations scope covered the use of three workover rigs to pull existing completions, run
cased-hole logs and set the permanent production packers. After the rig moves to the next
well, the rigless team works on completing the job in terms of perforations, acidization, gas
lifting (when required) and flowing the well for cleanup prior to being put back on stream.

The project’s operation phase duration was 5 months. Through the adoption of project
management techniques, a rigorous project plan was set up aiming at aligning all involved
parties towards successful implementation. The plan involved the alignment of facilities (camp
and acid mixing plant), Equipment (4 workover rigs and 3 coiled tubing units), stimulation and
gas lift packages (2 acid pumping units and 2 Nitrogen pumping units), consumables
(completion strings, acid, additives and perforation) and personnel (12 different teams from
operating and service companies) was essential for the successful implementation of the
project plan. The project management had to keep the best means of coordination and
communication with various parties involved at all times in order to orchestrate the project on
time and minimize the non-productive-tine (NPT).

Careful planning was applied to streamline the operations among all involved workover rigs
and rigless operations units to optimize the operations while maintaining the highest standards
of quality, health, safety and environment (QHSE) measures.
2 SPE 142622

The stimulation and gas lift part of the project was planned and deployed based on detailed
well by well review of the wells under consideration. Fundamental well data (well design
information, formation pressures and formation fluid information) were examined and quality
assured before designing the suitable stimulation package aiming for a high success rate of
the treatment.. Professional analysis of the operation results both on the job and after the job
was used to improve the learning curve and obtain better results in the succeeding wells.

This paper discusses how to apply novel project management style of planning complex field-
wide workover operations to the highest quality and HSE standards, while managing to
complete the project ahead of the planned project deadline

Introduction

Recent official figures of proven oil reserves were estimated at 143.1 billion barrels ( 4th
October 2010). It was also announced that 71% of the discovered oil reserves are in the
southern part of Iraq. Some 20% of the reserves are in northern Iraq particularly in Kirkuk,
while the remaining 9% are in central Iraq.

Only 17 of 80 Iraqi oil fields have been developed; the most significant are Kirkuk in the north
and Rumaila in the south. As a point of reference, Saudi Arabia, at 260 billion barrels of proven
oil reserves, has the largest reserve base and can produce as much as 10.5 million barrels per
day (mbd).

South Oil Company (SOC) is a national Iraqi company responsible for the oil in the south of
Iraq. It is situated in Basrah, Iraq. It was the first nucleus and the basis of national direct
investment projects in the 1970s, where the SOC was subsidiary to the national company.

SOC operated the greatest oil wealth in the country. It has a total of 15 fields, 10 of which are
producing. The rock beds of those fields contain oil reserves of some 65 billion barrels, which
represent 59% of total Iraqi oil reserves.

Background

Iraq's West Qurna oil field in the southern Basra

governorate is the country's largest and the world's
second largest with total proven oil reserves of 43 billion
barrels of oil.

The field is located about 50 kilometers (31 miles)

northwest of the city of Basrah and overlaps the
northern edge of the Rumaila field. Three reservoirs of
West Qurna have been produced from in the past,
though it is only a
single reservoir that is currently planned for future
development. This reservoir is the Mishrif Formation, the
Zubair and Sa’di reservoirs being much less significant
in comparison.

West Qurna oilfield was developed during the 1980s by the Russian company TECHNO-
EXPORT. The company drilled 334 wells but most of those wells were not completed to be
SPE 142622 3

put on production. After installation of upstream facilities, 80 wells were completed, perforated
and connected to degassing stations

Recently, South Oil Company decided to increase the production rate by completing around
200 wells through three service contracts. The company intended to apply technical production
rates to evenly produce oil from all oil wells and maintain a good reservoir management
standard for optimum recovery..

Operational Outlines

The project scope outlines involved the use of 4 workover rigs for operations involving tubulars
removal and casing scraping in addition to setting the production packers. Rigless operations
would then follow to perform the perforation, stimulation and gas lifting (if required). and
flowing the wells for cleanup prior to being put back on stream.

Work Strategy

The main aim of Iraq’s South Oil Company (SOC) in this project is to improve
production in West Qurna oil field. A robust project plan was developed to take into
account the essential factors that secure the project success, such as:
¾ A kick-off meeting to discuss all project aspects and the related technical issues
¾ Detailed well-by-well review of wells under consideration.
¾ Fundamental data collection (well data, formation fluids, etc)
¾ Fluid system selection and job design.
¾ Pre-job planning
¾ Quality Assurance and Quality Control measures are to be strictly applied
¾ Logistical challenges due to security constraints on personnel and equipment
movements.
4 SPE 142622

Operations Sequence

A. Workover Rig Operations

• Site visit and wellhead inspection
• Rig move to well location
• Rig up, perform casing integrity test
• Nipple down X-mass tree and nipple up BOP and test same
• Recover existing completion / suspension string
• Pick up working string and scrape the 7’’ casing
• Pump enough volume of Hi-Vis pil and circulate to clean
the well with treated water
• POOH and lay down working string
• Rig up wireline logging equipment, RIH cased-hole logs
(CBL-VDL-GR-CCL)
• Perform 7” casing integrity test
• Quality Test all completion equipment (SSD, packer, sub-
assembly)
• RIH completion string and set production packer
• Nipple down BOP and nipple up X-mass tree and test
same. Secure the well and move to next location

B. Rigless Operations
• Perforate the casing at the specified
intervals
• Acidize the well as per the stimulation
program (utilizing Acid pump and
Coiled Tubing Unit)
• Open the well for flow to the burning
pit. Handover the well to production
department when the desired cleanup state is reached.
SPE 142622 5

Stimulation Job Design

Many factors have been considered when designing the stimulation job such as
lithology, reservoir conditions, well type and history, lab tests, surface conditions and
field operations.

An extensive data gathering exercise was conducted during the detailed stimulation
design

Based on the data collected and the operation required for stimulating the well, the
suitable acid type for the stimulation operation to be used for that well (spot acid,
bullheading or diverter formulation) was identified. Recipe components for each job
were mixed in the mixing yard and transported to the well site in special tankers.
6 SPE 142622

Geological and Reservoir Characteristics

Mishrif formation is composed of two main units, MA and MB, fully separated from
each other. The MB unit holds 75.8% of the hydrocarbon reserves of Mishrif
formation, while the MA unit holds the remainder.

Depending on rock lithology and facies, Mishrif formation rocks in both units can be
classified into four types of reservoir rocks, differing from each other by geological
properties. These rocks are characterized by a high coefficient of variation and
heterogeneity. In some tested cores, the permeability exceeds many Darcies. The
well pressure build up tests showed that the flow capacity is five times greater than the
flow capacity calculated from core analysis. This reflects the effect of channels and
micro fractures in the rocks. The presence of fractures and micro channels indicates
that acidizing this formation will improve the skin factor and other reservoir
characteristics.

Effects of Reservoir Characteristics on Stimulation Jobs

The analysis of some production logging tools (PLT) results which were run in some
Mishrif wells showed that the production is mainly coming from the reef limestone
under a small pressure difference between the reservoir and the wellhead flowing
pressures. The other zones of the reservoir can contribute to the production under a
higher pressure differential (100-190 kg/cm2 or 1400–2700 psi)

The production tests showed the damage in reservoir rocks was due to the drilling mud
invasion and also due to cementing operations. Well productivity greatly improved after
stimulation. However, due to the big difference in permeabilities between reef limestones and
chalk and lagoon limestones, it is expected that stimulation acid will preferentially flow into the
reef limestones. That means that the chalk and lagoon limestones will not benefit from
acidization and their production impairment will not be reduced. Proper design of the
stimulation jobs utilizing diverters was key to the success of the stimulation of the wells under
consideration. The role of the diverter is to temporarily block the high permeability zones in
order to allow the acid to act on chalk and low permeability zones.

The Role of Project Management in the Project Success

Project Management methodology was applied in this project and many other projects which
were executed in SOC operations. Project management is seen as one of the Key
Performance Indicators of those projects due to the complexity of operations and the
challenging logistical and security risks. Project Management is the process for establishing
a shared understanding about what is to be achieved and how it is to be achieved and an
approach to managing people which increases the probability of success. Such
achievements cannot be realized without deploying the following:

1. Comprehensive planning before executing any project:-

a. Kick-off meeting
b. Internal meetings
c. Action Plans
d. Monitoring progress
SPE 142622 7

2. Mobilization coordination and support

a. Logistical Support
b. Shipping and clearing agents
c. Tribal support
3. Operational Meetings
a. Daily follow up of rig / rigless activities
b. Weekly video conferencing
4. Operation Programs monitoring and review
5. Reporting (End Of Project Report and Project close-out Documents)
The following flow diagram shows the different phases of project management
techniques applied in this project.
MICROSOFT CORPORATION

Scope Planning Define Requirements with

Based on SOC Scope PL’s and call Subcontractors Create Action Plan
of Work (In this Project WireLine)

Develop Project Management Plan 18-March-08 Risk Management Planning

Well Information
Cost Estimate Risks Identifications
Collection
Kick Off Meeting
Personnel
End of March

Cost Control Equipments and

Deliveries
Requirements Identify Action points
Risk Analysis
and Close them

Life Suppot

Project Time Frame Risk Response

Mobilize Lead Staff
Based on Contract Planning (Emergency)

Telecommunications

Security

Mobilize and Comission Equipment Quality Assurance

Monitor and Control Project Execute Project 2nd Week of April

Project Optimization
1. Using records and charts to both
0 03 0 0 0
4 5 3.5 2.5 3 3 04 0 03 03 2.5
0 0 0 0 0 0
3 3 3 20 0 2 3 0 0 0 0 0
0 0 0 0 4.5 1.75 1 5.25
14.52 13.5 5.5 4.5
monitor and enhance the
2 12 0
9.5
0 0

performance of operations (e.g. Non-

54 47 33
Productive Time, Moves, rig ups ,
39
40 35
28 39 4038.541.5 43.5 41.75 33 24.5
28 39.5 42
58.559 38 39.555.5 39 28.5 30 32
job duration, coordination 38
55
42.5

48
48
34 of the
different activities …etc) 0 0
9 5 3 0
2. The example graph shows 0 8
5
0
5 8 10 8 11 11 8
0 4 0
0 0 0 0
7 8 6 8 7
0
0 0 0 0 0
0 the
1.75 0
optimization of NPT during 7 0 7 0 0
stimulation
2 0
6 7 7 6 6 7 7 0
8.5 6 7 5 4 0 0 11.57.45
R‐170
R‐361
WQ‐334
R‐217
R‐187
R‐352

2.25
R‐269
R‐309
R‐315
R‐273

jobs. A job duration is 3.256.45 5

closely
R‐415
R‐268
R‐299
R‐280
R‐408
R‐203
R‐292
R‐412
R‐452
R‐401
R‐221
R‐448
R‐411
R‐360
R‐470
R‐228
R‐477
R‐460
R‐270
R‐278

monitored and if it exceeds the normal

R‐350
R‐384
R‐383

range of delays, the main reasons are identified and every effort is excerted to
overcome any future recurrence of the delay.
8 SPE 142622

Quality, Health, Safety and Environment (QHSE) issues

The Quality, Health, Safety and Environment (QHSE) issues pertaining to this project
were identified and proper mitigation measures were taken such as

• Observing safety regulations and keeping all personnel well clear to surface
equipment during pressure testing. Ensuring all pressure equipment is secured
with safety lines.
• A pre-job meeting is to be conducted where the HSE Supervisor briefing should
include task description and the possible hazards and control system in place as
well as emergency response procedures
• Personal Protection Equipment (PPE) was enforced to be used during the
operation.
• The operation area was surrounded by a caution tape to avoid entry of non-
authorized personnel.
• Safety showers, adequate quantities of neutralizing chemicals, appropriate
number of emergency eye wash bottles in addition to firefighting equipment were
made available.
• Preventive measures were also implemented.
• Risk assessment was made before every job.
• Instructions were given to avoid pollution to surrounding environment whenever
possible.
• Training for crew members was carried inside as well as outside the country.
• First aid kits and medical treatment in a fully furnished clinic was made available
to concerned staff
• The use of stop cards and other daily and weekly reports were monitored by the
HSE supervisor.
• Evacuation and emergency plans were in place and any HAZOP identified with
adequate measures taken for hazard mitigation

Conclusions

Through robust pre-job planning, well-by-well review, data collection and verification,
proper fluid system selection and continuous coordination efforts between different
parties involved in the this stimulation project in West Qurna oil field in southern Iraq,
the productivity of the simulated wells was significantly increased. Despite sheer
security and logistical restrictions, the project management achieved the desired
results and completed the project before the planned completion date. The success of
the project has positively contributed to the much needed oil production increase for
Iraq.

Acknowledgments

The authors would like to acknowledge the support of management and staff of the
Iraq South Operations Company (SOC) and Weatherford Middle East and North Africa
(MENA) Region Office and operations staff for the assistance they extended to the
authors during the development of this paper.
SPE 142622 9

References
1- Iraq Oil: Reserves, Production, and Potential Revenues
Report for Congress by Lawrence Kumins, Specialist in Energy Policy
Resources, Science, and Industry Division
2- Wikipedia http://en.wikipedia.org
3- Project Closeout Report, 30 Wells Completion Project. South Iraq Operations
4- Weekly Reports and Final Well Reports of the project