A Case Study in Evaluating Technical Options for

Well Abandonment in an Aging Offshore Field

Tom Leeson: Reverse Engineering
Stewart Buchan: Quadrant Energy

Aberdeen: June 2017

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 HARRIET JOINT VENTURE (HJV)

• 45 Wells across 9
Unmanned
Structures
• 4 Suspended
Subsea Wells
• 4 Land Wells

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 SCOPE OF WORK

• Develop AACE Class IV Time and Cost Estimates for

Abandonment
– Review offset well abandonment results
– Evaluate local regulatory constraints on abandonment design
– Develop individual well methodologies for a ‘Conservative’ case & an
‘Opportunity’ case
– Develop Technical Risk Register
– Develop individual well durations
– Develop cost database
– Undertake Monte Carlo probability analysis of overall Project Cost for
both Cases
• Evaluate Opportunities for Cost Minimisation especially the
potential for using Rigless Techniques

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 CHALLENGES & OPPORTUNITIES

 Well Characteristics
– Mudline Hangers and Annuli Cemented at surface/mudline
– Sustained B and C Annulus Pressures: Sources Uncertain
– Total Losses to ~ 650m and unknown cement top in B
Annulus
– Shallow Gas Bearing Zone(s) with limited flow potential:
~1,000m-800m (Windalia/Gearle)
– Tubing & Wellhead Integrity
– Limited High s.g. Tail Cement Volumes
– Effectiveness of existing Suspension Plugs
– Multiple Production Reservoirs (5 Wells)

 Goal-Oriented Regulation
 Limited Platform Load Capacity & Water
Depth (30m-6.5m)

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 ABANDONMENT PHILOSOPHY –
CONSERVATIVE CASE

• Isolation ‘Barrier’ required across the wellbore

• Single ‘Combination’ barrier permitted
• Hydrocarbon Cross-flow not permitted (deeper formation in 5 wells)
• Tubing and GLM leaks assumed to prevent thru’ tubing operations
• Sustained B and C annulus pressures assumed to originate from reservoir
formation
• Remedial cementation of cemented annuli via section milling
• Remedial cementation of casing with uncertain cement and liners, by perf
and wash technology
• Plugs below tailpipe only when hole angle <75deg
• Cementing of 7” liner in 12 ¼” hole: unreliable at high hole angle
• Windalia and Gearle require isolation from surface at 13 3/8” shoe due to
loss formations above this point

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 ABANDONMENT METHODS – EXAMPLE 1

Conservative Case Well Status: Inactive

 Kill Well and Plug Tailpipe

Drilling Rig: Ensco 56
Spud Date: September, 2005
Wellhead Test Failures Rig Release: September, 2005
· No recorded issues.
Well Name: Artreus-1

 N/D XT & N/U BOP

Conservative Case P&A Schematic
Annulus Pressure ML to KB: 49.8 m Cement Note
· Sustained B Annulus Pressure Water Depth: 8.1 m · No cement details in report.
· TTOC from Completion Schematic.

 Pull Tubing & Set BP in Liner Cut and Pull Casings below Bridge Plug
Cement Plug #3
Bridge Plug

Hanger Lead TTOC @ 250 m

20" Conductor @ 49.5 m
No Cement Details.

 Section Mill Casing & Set Lead TTOC @ 650 m

Tail TTOC @ 705m

Cement Plug #1 Squeeze Packer

Cement Plug #2: Perf and squeeze
cement at 13 3/8" Shoe.
13 3/8" Casing Shoe @ 801.6 m
No Cement Details.

 Set Squeeze Packer at 13

3/8” Shoe
 Circulate or Squeeze
Section Mill Casing Cement Plug #1

9 5/8" x 7" Liner Hanger/Packer Top @ 1,365 m

Bridge Plug

Annulus Cut and Pull Tubing below Bridge Plug

Abandoned
Agincourt-6H
9 5/8" Casing Window Top @ 1,400m
9 5/8" Casing Window Bottom @ 1,404 m
No Cement Details.

 Sting Out and Set Cement EOT 4½” @ 1,574 m

7" x 4 ½” AHC Packer @ 1,554 m
Set Plug in Nipple

Plug #2 on Top Lead TOC @ 3,585 m

Perfs: 3,680 – 3,868 m

 Cut & Pull Inner Casings 8 ½” hole @ 4,046 m

7" Liner Shoe @ 4,043 m
No Cement Details.

 Set Bridge Plug

 Set Plug #3 Primary Data Source for this work: Well Summary and Integrity Review
RAW 28th December, 2016

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 ABANDONMENT PHILOSOPHY –
OPPORTUNITY CASE

Changes from Conservative Case

• Sustained annular pressures assumed to be from Windalia/Gearle
– Still need Annular Reservoir Barrier in 7 wells
• Quality of unknown casing cementation can be verified successfully by
logging
• Small tubing leaks do not prevent through tubing cementation operations
• Cross flow between hydrocarbon reservoirs permitted
• No surface plug required

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 ABANDONMENT METHODS – EXAMPLE 2

Opportunity Case Well Status: Inactive

Drilling Rig: Ensco 56
Spud Date: September, 2005


Wellhead Test Failures

Kill Well and Plug Tailpipe · No recorded issues.

Well Name: Artreus-1
Rig Release: September, 2005

Opportunity Case P&A Schematic Cement Note

Annulus Pressure


·
N/D XT & N/U BOP
No cement details in report.
· Sustained B Annulus Pressure ML to KB: 49.8 m
· TTOC from Completion Schematic.
Water Depth: 8.1 m

Cut and Casings and Conductor at ML

 Pull Tubing 20" Conductor @ 49.5 m


No Cement Details.

Verify Casing Cement Lead TTOC @ 250 m

 Set Plug#1 on Bridge Plug & Lead TTOC @ 650 m

Tail TTOC @ 705m
Cement Plug #2: Perf and squeeze
cement at 13 3/8" Shoe.

Verify Squeeze Packer

13 3/8" Casing Shoe @ 801.6 m
No Cement Details.

 Set Squeeze Packer at 13

3/8” Shoe Cement Plug #1
Bridge Plug above hanger

 Circulate or Squeeze Cut and Pull Tubing below Bridge Plug

9 5/8" x 7" Liner Hanger/Packer Top @ 1,365 m

9 5/8" Casing Window Top @ 1,400m

Abandoned 9 5/8" Casing Window Bottom @ 1,404 m

Annulus Agincourt-6H No Cement Details.

7" x 4 ½” AHC Packer @ 1,554 m

 Sting Out and Set Cement

EOT 4½” @ 1,574 m Set Plug in Nipple

Lead TOC @ 3,585 m

Plug #2 on Top Perfs: 3,680 – 3,868 m

7" Liner Shoe @ 4,043 m

No Cement Details.
8 ½” hole @ 4,046 m

Primary Data Source for this work: Well Summary and Integrity Review
RAW 28th December, 2016

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 DURATION ESTIMATES

Duration (Days)
Liftboat based Durations
Low Most Likely High
Position Rig
LB Move in on DP and Jack Up 5.0 6.0 8.0
LB Skid Cantilever and prepare for operations 7.0 9.0 12.0
LB Install walkway 10.1 12.6 15.1
P&A Preparations
LB Tubing and Annulus Riser and PCE preparations 21.2 21.8 22.4
Prepare Well
LB Rig up W/S PCE & riser lines to tree & annulus 2.5 5.8 11.0
LB Bullhead kill fluid to formation 4.0 6.0 10.0
LB R/U wireline drift well and lock open SSSV 6.0 8.0 15.0
Through Tubing Reservoir Plug 0.0 0.0 0.0
LB Drift to Packer & set plug in tailpipe 8.0 10.0 18.0
LB Punch/sever tubing and circulate annulus clean 6.0 8.0 18.0
LB circulate 800' balanced cement plug via tubing and verify 8.0
4.8
10.0
6.0
15.0
9.0
LB Pull Completion - Normalised to 2000m length
LB RIH CBL and Log Annular cement
Triang(17.875,39,72)
LB RIH and set squeeze packer above perforations 18.0 22.5 33.8
LB Mix and squeeze cement into perfs 3.0 4.0 8.0 28.6 58.6
LB sting out of packer and spot cement plug on packer and verify 6.4 8.0 12.0 10.0% 80.0% 10.0%
Pull Completion 0.040
LB sever/punch tubing at shallow depth (Typically @ 13 3/8" shoe) 2.0 4.0 6.0
LB set temporary plug in Tubing hanger 2.0 3.0 5.0 0.035
LB Remove Tree 4.9 10.0 20.6
LB Nipple up BOP's 4.8 8.4 15.0
LB RIH and latch tubing hanger and recover upper tubing section 6.0 7.5 11.3 0.030
LB RIH and latch tubing hanger and lift tubing string 4.0 5.0 7.5
LB mix and spot 800' cement plug thru tubing and verify 8.0 10.0 15.0 0.025
LB Pull Completion - Normalised to 2000m length 17.9 39.0 72.0
LB RIH, latch and retrieve packer 24.0 30.0 48.0
0.020
Prepare Cased Hole
LB cut and pull 9 5/8" casing 12.0 15.0 22.5
LB Cut & Pull 13 3/8" casing 0.015
LB RIH CBL and Log Annular cement 4.8 6.0 9.0
Isolate Cased Hole
0.010
LB RIH Bridge Plug, set, sting out, spot cement on top and verify 14.4 18.0 27.0
LB RIH and set Bridge Plug/Squeeze Packer 6.0 7.5 11.3
LB Perforate Casing and Circulate annulus clean 6.4 8.0 12.0 0.005
LB Mix and squeeze/circulate annulus cement plug 4.8 6.0 9.0
LB WOC and verify 6.4 8.0 12.0 0.000
LB RIH, spot cement plug and verify

10

20

30

40

50

60

70

80
Intermediate Isolation
LB cut and pull 9 5/8" casing 12.0 15.0 22.5
LB RIH Squeeze packer and set 6.0 7.5 11.3
LB Perforate Casing and Circulate annulus clean 6.4 8.0 12.0
LB Mix and squeeze/circulate annulus cement plug 3.2 4.0 6.0
LB Sting out, spot cement and verify 6.4 8.0 12.0
LB circulate balanced cement plug via tubing and verify 8.0 10.0 15.0
LB Cut & Pull 9 5/8" casing
LB Cut & Pull 13 3/8" casing 12.0 15.0 22.5
LB RIH Bridge Plug, set, sting out, spot cement on top and verify 14.4 18.0 27.0
Surface Isolation and Conductor
LB Cut 9 5/8" casing and N/D BOP 5.4 10.4 13.5
LB Skid back Cantilever 4.0 6.0 8.0
LB Cut Casing & Conductor 4.0 5.0 8.0
LB Recover conductor (HA/Linda & Wonnich only) 6.0 8.0 18.0
LB Confirm Conductor Severance with Vessel Crane 0.5 1.0 2.0
MOB-DEMOB
LB Jack Down and move off location 4.0 5.0 8.0

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 SCHEDULE OPTIONS - EXAMPLE

Option 1:
Mob Liftboat first,
finish wells with the
Rig

Option 2:
Mob Rig first, finish
remaining wells (and
remove facilities?)
with the Liftboat

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 PRINCIPAL RESIDUAL TECHNICAL RISKS

• Source of Sustained Annulus Pressures

– Potential impact: Reservoir isolation via section
milling
• Unknown Quality and Extent of Annular
Cement 2
Hazard Identification
Threat
Rig up on well
Annulus valves seized
or not in place
Event

inability to access
analulus and/or
circulate
Engineer to Populate
Preventative Barriers

Wellhead maintenance
programme prior to rig
arrival
Mitigating Controls Likelihood

6. PROBABLE:
Consequence or event
has occurred within the
Company (Between 1
Safety

1. NEGLIGIBLE: First Aid

injury
Environment
Severity

1. NEGLIGIBLE:
Environmental damage
lasting less than 1 week
Asset

or production
Reputation

3. MODERATE: Material 1. NEGLIGIBLE: Short

term local impact
loss/deferment between (community)
$10M-$50M
Further Actions

– Failed Cement Barriers, delays Pulling Casing

and 10 incidents every 10
years)
3 Pressure on A annulus leak from Bleed down pressure prior 7. EXPECTED: With the 1. NEGLIGIBLE: First Aid 1. NEGLIGIBLE: 3. MODERATE: Material 1. NEGLIGIBLE: Short If required, design more
existing controls in place, injury Environmental damage or production term local impact
hydrocarbon to arrival and establish if complex well kill
is expected to occur in lasting less than 1 week loss/deferment between (community)
formation via failed related to tubing/packer most circumstances at $10M-$50M
packer, tubing and/or leak or B Annulus the location during the
casing lifecycle phases or
phases being assessed.
4 Pressure on B and/or leak from Bleed down pressure prior 7. EXPECTED: With the 1. NEGLIGIBLE: First Aid 1. NEGLIGIBLE: 3. MODERATE: Material 3. MODERATE: Short If required, remove well

• Section Milling in High Angle Hole

existing controls in place, injury Environmental damage or production term national coverage,
C Annuli hydrocarbon to arrival and establish if from rigless programme
is expected to occur in lasting less than 1 week loss/deferment between JV oversight impact
formation via failed source is from reservoir or most circumstances at $10M-$50M
and require remedial
cement and/or casing shallow formations the location during the cementation of production
lifecycle phases or casing with rig.
phases being assessed.
Mill shallow cement plug
6 Pressure below Loss of Containment well control and kill 5. LIKELY: Has 3. MODERATE: Lost 2. MINOR: 3. MODERATE: 3. MODERATE: Short Brief crews and develop
cement plug weight brine in place occasionally Time Injury (LTI) Environmental damage Material or term national contingency plans
occurredwithin the lasting from 1 week to 1 production coverage, JV oversight
industry & the team has month loss/deferment impact

– Delays
had first hand experience
between $10M-$50M
(Between 1 and 10
incidents every 100
years)
5. LIKELY: Has 1. NEGLIGIBLE:
7 undetonated guns fishing of guns contingency plans and 1. NEGLIGIBLE: First 3. MODERATE: 1. NEGLIGIBLE: Short investigate alternate of
occasionally Aid injury Environmental damage Material or term local impact
below squeeze packer tooling cementing in guns at lower
occurredwithin the lasting less than 1 week production (community)
to be milled industry & the team has
depth downhole
loss/deferment
had first hand experience
between $10M-$50M
(Between 1 and 10
incidents every 100

• Surface Isolation Valve Functionality

years)
Section Milling
25 Milling in high angle Snapped knives, Loss Careful control of milling 7. EXPECTED: With the 1. NEGLIGIBLE: First Aid 1. NEGLIGIBLE: 3. MODERATE: Material 1. NEGLIGIBLE: Short Lost tubular will need to be
existing controls in place, injury Environmental damage or production term local impact
hole (~>45deg) of BHA parameters, establish fished causing additional
is expected to occur in lasting less than 1 week loss/deferment between (community)
cement behind casing with most circumstances at $10M-$50M
duration - factor into cost
log prior to milling window the location during the estimate as a risk
lifecycle phases or
phases being assessed.
Setting Cement plug in casing/annulus
29 Anulus cement lower change to programme 6. PROBABLE: 1. NEGLIGIBLE: First Aid 1. NEGLIGIBLE: 3. MODERATE: Material 1. NEGLIGIBLE: Short develop programme

– Circulation Failures
Consequence or event injury Environmental damage or production term local impact
than anticipated abandonment contingency required contingency for additional
has occurred within the lasting less than 1 week loss/deferment between (community)
method including alternative Company (Between 1 $10M-$50M
annulus cementation by
tooling and 10 incidents every 10 perf and wash or annulus
years) circulation

30 Annulus cement change to programme 7. EXPECTED: With the 1. NEGLIGIBLE: First Aid 1. NEGLIGIBLE: 3. MODERATE: Material 1. NEGLIGIBLE: Short develop programme
existing controls in place, injury Environmental damage or production term local impact
higher than expected abandonment contingency required contingencies for
is expected to occur in lasting less than 1 week loss/deferment between (community)
method including alternative most circumstances at $10M-$50M
cementation higher in

• Casing Leaks
tooling the location during the wellbore, perf and
lifecycle phases or squeeze/wash, and/or
phases being assessed. section milling
31 Casing leak(s) effective circulation programme 7. EXPECTED: With the 1. NEGLIGIBLE: First Aid 1. NEGLIGIBLE: 3. MODERATE: Material 1. NEGLIGIBLE: Short develop programme
existing controls in place, injury Environmental damage or production term local impact
prevented contingency required contingencies for loss
is expected to occur in lasting less than 1 week loss/deferment between (community)
including alternative most circumstances at $10M-$50M
control, cement squeeze
tooling the location during the and/or alternative
lifecycle phases or abandonment
phases being assessed.

– Failed Barriers, Compromised Circulation Paths

• Pressure and/or Undetonated Guns
below Shallow Cement Plugs
– Alternative Intermediate Abandonment

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 ADDITIONAL STRATEGIC RISKS &
OPPORTUNITIES

• Regulator Agreement
• Unit Cost Inflation (Rates are Low, but for how long?)
• Alternative (Local) Liftboat
• New & Emerging Technologies/Methods
– Logging thru’ tubing
– Reduced cement plug length
– Alternatives to conventional section milling
– Alternative barrier materials
– Removing the need to pull tubing
• Synergies with Facilities Decommissioning
• Suspended Well Risk Assessment

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 COST ANALYSIS

• Single Mobilisation of Each Asset *

• Liftboat and Rig mobilised to/from Singapore*
– * Exception: US$ 25k/day amortization for rig opportunity case (based on previous QE
experience)
• Significant Inclusions
– Safety Case
– Liftboat Cantilever Mods
– Supply Base and Dedicated Supply Boats & Helicopters
– WOW and Cyclone Provision
• Offset Operations Durations & Recent Unit Costs used where Possible

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 RESULTS

Opportunity Case Total

197.59 211.58
10.0% 80.0% 10.0%
8

5
Values x 10^-8

0
210

215
185

190

195

200

205

220

225
Values in Millions ($)

Conservative Case P50: 389 rig days plus 184 liftboat days
Opportunity Case P50: 137 rig days plus 284 liftboat days –
27% cost reduction

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 MOST LIKELY CASE

$$ $$$$$
Likely Cost
Opportunity Conservative
Case Case

Most Likely Case

Quantification of Risk Impact Required

• Example: Additional Surface Plug (~USD17.4M

Impact)

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 RECOMMENDED ACTIONS &
CONCLUSIONS

• Early & Sustained Dialogue with Regulator

• Follow up Risk Register Actions to Reduce Unknowns
• Finalise Most Likely Case
• Liftboat cost savings are limited until rig rate escalates or local
liftboat option is feasible
• Investigate Local Liftboat Options & Contractor Model
• Confirm Facilities Strategy before Committing to P&A Strategy
• Significant further cost reduction opportunities through
– Understanding source of annular pressures
– Understanding condition of tubulars
– Alternatives to section milling
– Challenging multizone isolation, surface plugs etc.
• Declaring suspended wells as abandoned requires further study
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