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IADC/SPE 35077 6oc1e: . .)1 Pet~;...leUI'T' :.ngl"'eers
Copyright 1996, Society of Petroleum Engineers, Inc. against the Technical Limit delivered step change
This paper was prepared for presentation at the 1996 IADC/SPE Drilling performance improvement with high rate of learning.
Conference held in New Orleans ,Louisiana, 12-15 March 1996
Technical Limit is a term used to describe a level of The aim ofbreaking each section down was to defme
performance defined as the "best possible" for a sufficient design detail to enable estimating of actual
given set of design parameters. Such performance durations; too much detail became cumbersome to
can be approached but requires a perfect set of work with. For each sub group, durations were then
conditions, tools and people. A close analogy ofthe estimated. Drilling time assumed a 10 minute
Technical Limit is a world record in athletics. connection time 3 and ROP from the best bit runs in
the area.
The Philosophy of Targeting 'Technical Limit'
A well time produced by this method often resulted
Our decision to target Technical Limit was a in disbelief at the short duration calculated. An
profoundly significant one. As with a decision to example comparing two offset directional well times
pursue a world record in athletics, we committed with their equivalent theoretical well times is:-
ourselves to a course which required extraordinary
effort and commitment. Implications included a need
for highly competent people, team work and effective Offset Directional Theoretical Actual Time
leadership. Wells Time Days Days
drilling/completion knowledge. The study provided then planned their removal. The rate at which we
quantification of the missing IL T and a list of all the were to drill and complete wells would be the
problems and technical limitations which prevented indication of our ability to understand then manage
best performance on those wells. the variables.
After subtracting Removable time from actual time Approximately 9 months were spent planning the
the result was significantly greater than the time startup of operations. The planning process used the
predicted by the Theoretical well. This indicated that Theoretical Well and offset well analysis to develop
either the Theoretical Well was overly optimistic or an engineering workscope and determine the
that further removable time was hidden in the resources needed. Execution of the engineering
reports. In order to deal with this discrepancy, we workscope involved getting all engineers and
introduced another term, Effective Time. contractors to understand all potential obstacles in
achieving the Technical Limit and then manage
them.
Again using Cossack 2 and 3 as an example:
Approximately 175 days were identified as
Offset Wells Theoretical Actual Removable Effective Removable Time from a total of 435 days on the
(Days) Well Time Time Time eight offset wells. The problems identified by
Cossack 2 22.0 42.3 13.6 28.7 analysis are shown in Figure 3 as a Pareto chart.
Significantly, the invisible lost time was categorised
Cossack 3 22.0 51.5 22.3 29.2 as Bit/BHA 47%, Mud 23%, WOW 13% and other
15%. Clearly if the Bit/BHA and mud problems
It was concluded that there must be a component of were addressed then 72% of the Removable Time
Invisible Lost Time associated with such things as would be eliminated. Drilling and completing
efficiency improvements in rig crew activities, and outside cyclone season would potentially remove
drilling optimisation (bit type, and bit weight etc.). another 13% due to WOW.
It would require cross comparison of in-efficiencies
on different wells to identify the best. By knowing (from the Wanaea and Cossack
Removable Time study) what major "problems" had
To further investigate these in-efficiencies the data been experienced before, we were able to
set of the eight immediate offset wells was checked systematically work with all the drilling variables to
for Effective Time for each section. Table 3. shows produce the drilling plans most likely to succeed. In
the Effective Time for each section of the wells. The order to tap the expertise and resources of
highlighted times represented the "best" sections and contractors, selected service companies were asked
when combined they added up to 19 days. Although to research and prepare solutions to the identified
design parameters had changed somewhat for the problems. When integrated, each solution had to
new wells, this compared very closely to, in fact a complement the total objective. The Woodside
little less than, the Theoretical Well times estimated management role was to resolve the inevitable
above. The conclusion was that the Theoretical Well conflicts in engineering solutions agreeing what
times were valid as the starting point for the compromises were to be made. At the end of the
Technical Limit. planning phase each service company was able to
produce a report detailing the problems researched,
The Theoretical Well time developed for the solutions considered and the final proposal for the
completion (as with drilling) appeared too low. well plan. When all the reports were combined a
Since Woodside had never performed a subsea comprehensive reference was available for the rig
completion, it had no in house data to use in site in the event any part of the process or tool choice
verifying the Theoretical Well. Therefore, a similar was not understood.
exercise ofRemovable time analysis was performed
on a comparable, three well North Sea subsea The development of the theoretical well activities and
completion campaign. The results from the study times provided a baseline for further analysis of the
confirmed that the theoretical durations were sequences required. PERT charts were constructed
achievable after IL T and down times were removed. listing typically 300 tasks per well and used to
undertake Critical Path Analysis. A number of
By objectively assessing the Removable Time an activities were removed from the critical path by
opportunity to reduce well times by up to 60% was introducing new tools and/or techniques. The PERT
revealed. charts provided an excellent visual presentation of
the process to be followed later offshore, and were
Using the Technical Limit Method used by most of the rig personnel to gain
understanding of the jobs.
Planning. The planning process used the Technical
Limit concept to identify the problems which The engineering planning work had a big impact on
prevented the Technical Limit being reached and 301 the specification of the drilling rig needed for the
4 STEP CHANGE IMPROVEMENT AND HIGH RATE LEARNING IADC/SPE 35077
ARE DELIVERED BY TARGETING TECHNICAL LIMITS ON SUB SEA WELLS
project. The cost ofthe higher rig specification was Initially offshore personnel were un-comfortable
easily justified against the potential efficiencies reporting via this method because every non-
indicated by the theoretical well time. The result conformance, large or small was exposed. It was
allowed 'fit for purpose' rig selection and ultimately important that management encouraged and
sole source negotiation of the selected rig rather than supported the offshore team in pursuit of the ideal
a low bid tendering process. standards we had set. A no-blame environment was
essential.
PERT charts were further used to organise
procedures into a logical sequence with timing for The measurement of operations against the
critical and non-critical path activities defined. 'Technical Limit' schedule was extremely powerful.
Examples included: Makeup of stands of drill pipe The authors believe that there is no better way to
when anchoring, achieving all stack up testing of the highlight and pursue maximum opportunity for
subsea trees away from the moon pool, installing a improvement.
skid beam/hydraulic system to move large items of
equipment into the moonpool, and optimising 13Cr Results
tubing handling/running without compromising
connection makeup. Drilling Performance. Typical historical drilling
times for directional appraisal wells on these fields
A number of other factors were addressed during the were 42 to 52 days. Anticipating some improvement
planning stage and were influential in the overall in performance, 50150 budget estimates (a budget
success ofthe project, these included: estimate based on time, considered as equally likely
to be exceeded than beaten) had been prepared using
Identification and management of risk; 34 days for a typical moderately deviated well and 46
days for a horizontal section well.
Communication of the 'plan' to all
involved, to gain ownership and shared 'Technical Limit' determination was carried out using
goals; the methodology described above, arriving at
durations of 19.8 days and 27.5 days respectively.
Pre-offshore familiarisation to procedures,
sequence of events and equipment; Presented in Table 4. is the comparison between the
Technical Limit, actual and Effective times on Well
Operations. In the operational phase ofthe project, 1. The fifth column shows where a new technical
IL T was made very visible. Any activity-time limit had been set.
deviation from the Technical Limit schedule was
reported daily. Ifthe deviation was negative (ie. time Further, Well 1 could have taken 22.1 Effective days.
reduced), the time expected on future wells was This compared to the previous offset well's Effective
adjusted downward, and a new Technical Limit was time of 28.7 and 29.2 days, an improvement of 6.6
defined. If the deviation was positive (ie. extra time days. However, Well 1 had 26.2 days of Removable
taken) it was analysed for cause. If the extra time Time. Table 5. shows the causes of the Removable
taken was unavoidable (ie. the Technical Limit time Time and the actions taken to prevent recurrence.
had been under estimated), a new time was defined Most of the removable times were new problems not
for the next well. If it was removable, solutions seen on the offset wells, an indication that our
were developed which would prevent re-occurrence process was still not fully in control.
of the event.
Well 3 was virtually identical to the first well (Well
The team continually made changes to minimise or 2 had a horizontal section) and makes a good
eliminate the identified Removable Time. Similar to comparison. Presented in Table 6. is the Drilling
the approach taken by Kadaster4 , the use of a TQM Performance for Well 3. As indicated by the
approach was found to be very effective. (See the Effective Time overall performance had improved by
TQM feedback loop in Figure 4). The feedback nett 2.8 days. Also the offshore team was more
system was very broad in it's application and with efficient in many areas including running BOP and
proper resourcing from either company or contractor, casing. Again, new events happened which had not
became very efficient. been anticipated. The Removable Time analysis is
presented in Table 7. Only 8.2 days was identified as
As well as providing a benchmark by which removable, 85% of which was accounted for by just
performance could be monitored, the activity two events. An indication that process control was
schedule also allowed accurate forward planning (+5 quickly improving.
days) with a high level of certainty on the earliest
time an activity could start which enabled resourcing The analysis for Well 2 (with 808m (2651 ft) of
(equipment and personnel) to be optimised. horizontal section) was drilled in 40.4 days with 9.4
302 days of Removable Time. Adding all wells together,
IADC/SPE 35077 D.F. BOND, P.W. SCOTI, P.E. PAGE, T.M. WINDHAM 5
the drilling part of the project took 116.1 days The drilling and completion campaign not only
compared to the budget base time of 114 days. delivered significant cost savings against the budget,
Although drilling performance still contained but also delivered subsea wells with well productivity
significant removable time, it was a marked 30% greater than expected.
improvement on the past (see Figure 5).
Conclusions
By comparing Effective Time and Removable Time
for each of the 3 wells (Figure 6) a learning curve is Ideal well construction operations were characterised
evident. Indeed it would appear that the operational by the "Theoretical" well and a Technical Limit.
efficiency had approached the technical limit in just These concepts were quantified and used in an
3 wells. Such a performance has been described by aggressive method to target "what is possible?"
Brett (et al) 3 as "excellent". "Good" being the Technical Limit was applied to planning and
adjective used for approaching the asymptote in 5 operations.
wells.
From this approach it has been concluded that:
On the activity level, the BOP running times provide
evidence of a rate of learning (see Figure 7) which w Drilling and completion performances can be
was common on the project. usefully modelled using the Technical Limit.
Completion Performance. Based on the planning w The Invisible Lost Time component of this
phase described above, subsea completions Technical model offers insight into operational
Limits of 10.5 days (new well) and 14.0 days (pre- efficiencies which conventional industry Lost
drilled well) had been established. These compared Time systems ignore.
with 50/50 budget estimates of 16.5 days and 21.5
days respectively. All of these time included w Technical Limit was used to set the highest
production testing. performance standards possible.
The actual durations achieved, averaged 11.3 days w Quantifying and addressing Removable Lost
for new wells and 15.9 days for existing wells on the Time provided the maximum opportunity to
six well campaign. This performance was compared improve.
to data obtained from two of our partners who carry
out similar operations and showed that we were w When applied to 3 new directional wells and 6
substantially more efficient. Unfortunately the data subsea completions the Technical Limit model
cannot be published here. led to a step change in performance and a high
rate of learning.
Due to the detailed planning prior to the start of
operations which was unprecedented in our w Adoption of this technique requires courage, as
experience, very few changes were required during it reveals every deviation from the ideal. A no
the first completion. The infamous "first well blame culture was essential to its acceptance.
syndrome" where deficiencies in lesser levels of
planning show up, were avoided. Nomenclature
As more wells were completed the process of BHA Bottom Hole Assembly
refining the Technical Limit continued. The six IL T Invisible Lost Time
completion times are shown in Table 8. At the end PERT Program Evaluation Review
of the six well campaign the Technical Limit for a Technique
new well had changed from 10.5 days to 8.5 days. wow Waiting on Weather
The best new well completion was 9.1 days which
includes all forms of Removable Time. The subsea Acknowledgements
completions were finished 33 days ahead of the
50/50 budget times. The authors wish to thank Woodside Offshore
Petroleum and it's Joint Venture participants (BHP
The Completions, by their more mechanically Petroleum, BP Developments Australia, Chevron
controllable nature started further along the learning Asiatic, Japan Australia LNG (MIMI) and Shell
curve than drilling did. The first completion took Development Australia) for their support throughout
25% less time than the 50/50 budget time. Figure 8 this project. Additional thanks to Sedco Forex,
shows the Technical Limit after the final completion Baker I.S., and all personnel that contributed to the
compared to Effective Time and Removable Times development and application of the Technical Limit
for each core completion activity. Although less method.
pronounced than with drilling, the completions
learning curve is still evident in Figure 8. Personal thanks to Phillis Harley for tireless support
303 from the beginning of the project and through the
6 STEP CHANGE IMPROVEMENT AND HIGH RATE LEARNING IADC/SPE 35077
ARE DELIVERED BY TARGETING TECHNICAL LIMITS ON SUB SEA WELLS
References
304
IADC/SPE 35077 D.F. BOND, P.W. SCOTT, P.E. PAGE, T.M. WINDHAM 7
WAN WAN WAN WAN WAN coss coss coss TECH LIMIT
#1 #2 #3 #3
8.50 4.50
13.50 13.50
305
8 STEP CHANGE IMPROVEMENT AND HIGH RATE LEARNING IADC/SPE 35077
ARE DELIVERED BY TARGETING TECHNICAL LIMITS ON SUB SEA WELLS
1 Back-oft in 17Y:z'' hole 187.25 High drilling torque due to Reduce drilling parameters. Eliminate string weak-points
formation & aggressive drilling review drilling procedures
2 Twist off 2%" drillpipe in 97.00 Excess weight on pipe Procedures. Source stronger pipe. Minimise use
liner
3 Clean out of cement in 71.00 Plug not bumped, no shear Reviewed procedures-developed inner string method
liner indication
4 Dropped junk basket and 64.00 Nut backed off downhole Weld nut to shank. Review Schlum tool procedures
nut
5 Correction run in 12Yz" 44.00 Right hand bit walk and drop Review bit and BHA selection. Allow left hand lead
hole too high
6 No cement in 9%" shoe 29.00 Mud syphoning through top Reviewed cement head design. Increased shoetrack to 3
drive when changing over to joints. Plan to bump plug and pressure test casing.
release dart
7 Dropped 20" casing 24.00 Back up tong slipped Review top drive and casing procedures
8 Rig downtime (total) 22.00 Various equipment problems, Review maintenance planning
critical path maintenance
9 Problem landing CGB 18.00 Incorrect bolts-QC. Cuttings Use correct bolts. Revise procedures
buildup at wellhead
10 Washout in Monel DC 14.00 Stress corrosion crackmg Inspect all monels internally (baroscope). Review BHI
QNQC procedures
11 Trip 1n 17%" slow ROP 11.00 Bit balling Use PDC b1t. Review mud system
12 Logging failure 4.00 Intermittent short in LOT Tool returned for repa1r. Calibrate back-up prior to use
connection
306
IADC/SPE 35077 D.F. BOND, P.W. SCOTT, P.E. PAGE, T.M. WINDHAM 9
1 Liner lap seal failure 153.5 Cause unknown Ran 2 JM packers then squeezed lap Open
2 Power supply to TDS 13.50 Faulty PCB boards (2) Fly in new board Closed
3 Drill cement on float collar 4.75 Under gauge pup joint Review procedures and responsibilities Closed
4 Cement head malfunction 4.75 Flapper valve failure Change cement head design Closed
5 Pack-off seal failure 2.75 0 ring alignment Redress tool, review maintenance Closed
programme
7 Back out of running tool 2.50 Under gauge pup joint Review procedures and responsibilities Closed
replace dart
8 Circulate & short trip 2.25 Tight hole on Increase mud weight Closed
connections
9 Logging tool string stuck 1.75 Junk in hole from float Solution not yet identified Open
equipment
10 Lost rig power 1.50 Switch gear fault Replace part Closed
11 Remove cuttings from CGB 1.50 Drilling riserless Take longer with DP & ROV Closed
12 Accident investigation 1.50 Floorman hurt by Better planning of unusual jobs Ongoing
movement of pipe
14 Pump problem 0.50 Swab failure Change swab, review hours Closed
15 Replace valve on cement 0.50 Seized manifold gate, Flush after use, review maintenance Closed
manifold poor preparation programme
16 Clear shakers 0.25 High ROP Encourage more, manage shaker Ongoing
screens
17 Clear mud pump strainers 0.25 Polymers in strainer Review mixing procedures Closed
19 Ream tight hole 0.25 Precaution prior to As required from well site Ongoing
running casing
307
10 STEP CHANGE IMPROVEMENT AND HIGH RATE LEARNING IADC/SPE 35077
ARE DELIVERED BY TARGETING TECHNICAL LIMITS ON SUB SEA WELLS
Table 8- Core Completion Times (Completion, Pull BOP, Run Tree, Test and Pull Completion
Riser)
250 ~-----------------------------------.~~------~---------.
/~
i
I /
!
i
200 ~-------+~---~---~---------------+/_;________._·-4--------~
i
Curves represent upper & lower bound i
I
I
,/
i•
0 I 0
0 • I
~
U> I
I o .; o
I
I /
/
>- / I "I
/
~ 100 1--------------t------~ / • ! /
./.- . ~
i///
~
' / • • • /'[
I
!// I I I ·' : •• -= I L /,/// ~
)
50 1-------------~-----~-~----~.--~:~-~
I I
. // ,1 I/_..,/'" I
. ... ·... ..
: ·------·------··-~-·--·----·-··-
.--·······
QULLL-~W-~~--~--~~----~--~w_----~~~~'L'L'L
j'~-~~~LU
0 1,000 2,000 3,000 4,000 5,000 6,000
Depth m
308
IADC/SPE 35077 D.F. BOND, P.W. SCOTT, P.E. PAGE, T.M. WINDHAM 11
4
time
----- Industry Normal well
-------
.•·.·
THEORETICAL INVISIBLE CONVENTIONAL
WELL TIME LOST TIME LOST OR DOWN TIME
-•·'
t
Technical Limit
REMOVABLE TIME
TfiWrg w:::J.N Lqjljrg Rig D'Tirre PressTest Fislirg l.f'..O:; Slip & ClJ
ReaTirg Cae Oro.J<iirg Wp3rTri~ Too Falu-e W:il Ca1rd Stl.dl Ape
•
BiAIBT49%
D
MLD23%
D
WON13%
309
12 STEP CHANGE IMPROVEMENT AND HIGH RATE LEARNING IADC/SPE 35077
ARE DELIVERED BY TARGETING TECHNICAL LIMITS ON SUB SEA WELLS
REMOVE OR
REFINE
PROCESS
(WHAT IF)
OPERATIONS
DEVELOP
ASSIGN TIME REPORTING
PLANNING
250 ~--------------------------------------------------,
•
.
! •
I
200
Curves represent upper & lower bound
c 150
1-
...
0
1/)
>. ·..· ..
~ 100 ------.----
...
.·. .....
50
·~.
:.--:~ ~~
~ . ·''-----------
....
-...
·.
·-·· ..
•
Wanaea & Cossack
Results
0
0 1,000 2,000 3,000 4,000 5,000 6,000
Depth m
60
Offset Wells Project Wells
50
~ 40
n:l
c
...
n:l 30
0
1-
20
10
0
Cossack 2 Cossack 3 Well1 Well3
~
D Technical
Limit
. .
~ lneff1c1ency
• Removable
Time
-(/) 40 ---
Q)
1-
"0
c
ro
c
:::J
0:: EXPECTED TECHNICAL LIMIT TIME
.8 20
~ ~~,
:::J
I
I
0
10 - --~---- ·----r-----
1
I
311
14 STEP CHANGE IMPROVEMENT AND HIGH RATE LEARNING IADC/SPE 35077
ARE DELIVERED BY TARGETING TECHNICAL LIMITS ON SUB SEA WELLS
14
12
10
8
....,ns 6
0
1-
4
2
0
Comp 1 Comp 2 Comp 3 Comp 4 Comp 5 Comp 6
~
D Technical
Limit
ff" .
~ 1ne ICiency
• . Removable
· Time
312