Energy XXI

OCS-G-01443 D-13 ST02BP00

South Timbalier 027

TORQUE AND DRAG ANALYSIS

1.1 Final Torque and Drag Report

1.1.1 Summary Report

During the drilling of this well, high surface torques were experienced and this necessitated down
time to pick up 5 ½ in. Drill Pipe in order to finish drilling the well to TD. This report is a look at the
surface torque and possible reasons for the high levels seen during this well. This report will
further give examples of ways in which this surface torque could be decreased if a well profile
such as this is drilled again off this platform.

For the purposes of looking at this well we have run a report at TD of 14111 ft with the motor BHA,
however, we have used the calibrated frictional factors of 0.22 for Cased hole and 0.35 for open
hole (the factors that were calibrated before any torque reducing beads were added to the mud
system). All analysis is on this as the higher torque was the area to study and to review where the
highest input of torque would come from.

Further analysis over how to optimize the well plan for any future drilling which will include using
lower DLS, use of OBM and the use of Rotary Steerable to build the curve and a review of the
anticipated Surface Torque will be accomplished.
2.1 Graphs of Surface Torque

2.1.1 Surface Torque Plots at each Casing Point or Change in Torque Noted

The following graphs have been created in order to review the amount of surface torque lost over
each operation. These graphs are against actual surveys from surface to TD and show how each
section of well contributed to the overall surface torque. We have then reviewed each graph and
compared to the actual drilling data to verify the modeling seen. On average the modeling matched
what was seen in actual data.

2.1.2 Final Surface Torque –

This graph gives a value of 28,000 ft-lbs for the final surface torque for the well. Please note this is
not actually what was seen at TD due to mud additives which lowered the torque, however, at the
end of Run 006 the max surface torque seen was 27,000 ft-lbs so the model does agree with actual
data. The box on the graph states 20.4, 28.0 and the value on the left is the depth that the surface
torque, on right, corresponds to.
2.1.3 Surface torque at bottom of Conductor

This graph illustrates the change in Surface Torque through the conductor. This conductor had a
final inclination of 5.73 and a direction of 266. This caused up to a 4°/100 ft DLS through the
conductor over the 406 ft. The surface torque at the conductor is 26.5 Kft-lbs for a loss of 1.5 Kft-lbs
to the surface torque.
2.1.4 Surface torque at to bring well back to vertical
The well was then returned to vertical by 1100 ft MD with a maximum 2.05°/100 ft DLS and the
surface torque seen was 25.2 Kft-lbs. This represents a total loss to the upper conductor area at
2.8 Kft-lbs from 1100 ft to surface.
2.1.5 Surface torque after use of PowerV for vertical control
PowerV was used to maintain verticality during the drilling of the upper section. Very little
tortuosity was noted during this section. Total Surface Torque was 24.7 Kft-lbs at the 10 ¾ in.
casing point. Total loss over the vertical section was 0.5 Kft-lbs over the 3,000 ft interval. Total
Surface Torque when casing point was reached was 3.3 Kft-lbs. This is in line with observations on
the rig where at the end of BHA 3 the directional driller noted a minimum torque of 2 Kft-lbs and a
maximum of 6 Kft-lbs.
2.1.6 Surface torque over the 2.5°/100 ft Build Section with Motor

During the build section a motor was used to achieve the 2.5°/100 ft DLS. A maximum DLS of
3.95°/100 ft was achieved during the execution of this phase at 5800 ft MD. The total torque at the
end of this section is 16.6 Kft-lbs and subtracting that from surface torque gives a total of 8.1 Kft-lbs
increase over this section of the well. The total torque at the end of this section would be 11.4 Kft-
lbs and this is not to what the rig actually saw, a minimum value of 1 Kft-lbs and maximum value of 5
Kft-lbs. We are unclear if this data received from the rig was correct as the rest of the actual
torque data through this report are representative of the modeling.
After the build section the tangent was started with the Motor and a graph of that information is
provided below. The value of the torque at this point was 14.6 Kft-lbs for a change of 2 Kft-lbs over
1,000 ft of the motor accomplishing the tangent. Total loss at this point is 13.4 Kft-lbs of surface
torque. This would equate to a slope of 200 ft-lbs per 100 ft increase in surface torque while
drilling.
2.1.7 Accidental Sidetrack while tripping BHA 4 into the Hole.

While tripping in to bottom with BHA 4, the well was sidetracked at 6500 ft MD. In this graph a
slight change in the line illustrates where the sidetrack occurred with the tortuosity of the well.
This increased the tortuosity within the wellbore, but the increase in torque is not quantifiable.
2.1.8 Use of Xceed to achieve Tangent Section

The Rotary steerable technology was utilized to maintain the angle and direction while lowering
tortuosity in the well bore. Xceed was used from 6500 ft to 13439 ft MD. However, prior to the end
of the Xceed tool run there is a noticeable change in the slope of the torque line at 12706 ft MD and
this section is reviewed in later graphs. The change in Surface Torque through this section of well
from 6500 to 12706 ft MD is 7.81 Kft-lbs. This is an increase over the 6200 ft of 126 ft-lbs/100 ft. The
total increase in surface torque over this section is 21.21 Kft-lbs. The data from the rig was
reviewed and the actual surface torque seen on the rig over these sections as 14 Kft-lbs to 24 Kft-
lbs, which is as seen from the model.

If a value of the original motor slope is used of 200 ft-lbs/100 ft, a savings of 4.6 Kft-lbs is seen using
the Xceed tool over a motor during the drilling of this tangent.
At the end of the last Xceed run, after 12706 ft MD to TD which was reached with a motor, there is a
significant change in Surface Torque as can be seen by the decreased slope in the following graph.
We have reviewed this section in two parts, the Xceed run and then the later motor run. The final
section of the Xceed run contributed 1.96 Kft-lbs to the overall torque and this increased the total
torque at TD of the Xceed run to 23.17 Kft-lbs as was also seen in the actual drilling information.

This value from 12706 ft MD to 13439 ft MD was 1.96 Kft-lbs which relates to a slope change of 267.4
ft-lbs/100 ft and is significantly higher than previous sections of the well.
2.1.9 Final Motor Run to TD

The final torque on the well was at 3 Kft-lbs and this was attributed to the calibration of the model
to actual data. Generally, an average of 3 Kft-lbs was seen at surface when rotating off bottom.

Removing this value from the previous data illustrates that the increase in torque through the motor
section to TD was 1.83 Kft-lbs over the final 673 ft of the well. This illustrates that 25 Kft-lbs of
torque was attributed to drag in the well bore. The value for the slope over the motor run is 272 ft-
lbs/100 ft.

As can be seen here, a total of 3.76 Kft-lbs was lost from 12706 to TD. Both the slope of the Xceed
and the motor appear to be consistent. The motor run had a straight motor and no corrections
were completed during the final 700 ft of the well, yet the slope and torque increase remain at a
constant value.
3.0 Overpull plots while Drilling and Tripping

3.1.1 Summary Report

Over the course of drilling the well our remote operations center (OSC) worked at real time monitor of the
trips via the “broomstick plot” (Tripping Load Analysis). Many trips during the drilling of this well had over
pulls that were more than anticipated. Therefore, the monitoring was to review areas of concern on trips
out. This section of the report has compiled this data for further review.

3.1.2 Short Trip Out at 8335 ft MD on Run 004 with Xceed tool Trip 1.

This trip was on January 4, 2008 at approximately 11 a.m.

3.1.3 Short Trip Out at 8335 ft MD on Run 004 with Xceed tool Trip 1.

This plot is from backreaming between 7670 ft to 6722 ft was on January 4, 2008 at approximately 4
p.m. The mud weight had already been raised to 9.6 PPG
3.1.4 POOH at 10124 ft MD on Run 004 with Xceed tool to pick up Ecoscope Trip 2.

This plot illustrates that no excessive overpull was seen on this trip out of the well. The mud
weight had been increased to 9.6 PPG and CBU for 2 hours prior to the trip. This plot was from
12:30 a.m. on January 5, 2008.
3.1.5 Wash and Ream to Bottom on Run005 Xceed and Ecoscope – Trip in

This plot was captured during wash and ream sections of the trip into the hole. On the daily reports
reaming was required from 8818 ft to 10027 ft. This plot was from 7:30 p.m. on January 6, 2008.
3.1.6 Short trip with BHA 005 -

During this trip it was necessary to pump out of the hole 34 stands and to circulate bottoms up
every 17 stands. This plot is from 1:20 p.m. on January 8, 2008.
3.1.7 Short trip with BHA 005 – Stuck Pipe Event on January 10, 2008

A trip was taken in which the pipe was stuck momentarily around 11690 ft and 11360 ft. A review of
the trip was completed and it appeared to happen when the stabilizer and bit went through two
different sand sections at the same time. Pack off was believed to the be the cause of this
momentary well event. Two plots are presented, the tripping analysis and also a graph of the BHA
vs logging data to review the geological markers.
3.1.8 Short trip with BHA 005 – Stuck Pipe Event on January 15, 2008

This trip was difficult when the original short trip had problems getting back on bottom with the
topdrive stalling multiple times. A second short trip was taken with no excessive overpull or drag
seen. Extra circulating was accomplished and a pill was pumped. Drilling was accomplished on on
the second short trip at 13004 some overpull was noted on the first two stands out of the hole, but
the rest of the trip was uneventful.
4.0 Plan with only Rotary Steerable in the original Build Section

4.1.1 Summary Report

In order to review what future planning can be accomplished in order to ensure lower
torques in future wells in this area, a look at different plans has been reviewed. The
well was originally built to 42° with the use of a steerable motor and had up to 4°/100
ft DLS during the build section. With the use of rotary steerable it is possible to
minimize the DLS and lower the overall torque.

4.1.2 Surface Torque Plot

We have kept the consistent all values in the original well, only the Build section was lowered
tortuosity. The data used for this well is actual up to the 4020 ft Casing point, after that theoretical
data was used to lower tortuosity to 0.5°/100 ft in the build and tangent sections. Total Torque is
26.8 Kft-lbs and is only a 1.2 Kft-lbs savings in this well, this well plan has no “actual” DLS above
3°/100 ft.
5.0 Plan with lower DLS, Motor to build, RSS for Tangent and Vertical

5.1.1 Summary Report

In order to review this plan the original plan Rev13 was taken and tied into the casing point at 4020
ft MD, then the DLS for the curve was lowered to 1.5°/100 ft. This created a longer well that would
TD at 14244 ft MD. The total surface torque with a 0.5/100 ft tortuosity added as if the entire well
was drilled with a rotary steerable was 24.9 Kft-lbs. All other factors in this well were kept
consistent with the calibrated data reviewed in the first section.
6.0 Actual Torque and Drag data, with common OBM frictional Factors

6.1.1 Summary Report

In order to review this plan for lowering torque the original files from section 1 including actual
survey data was used. The only difference between this data and Section 1 actual drilling data is a
lowering of the frictional factors to those common when using a Synthetic Based Drilling Fluid with
(70/30) values. Those frictional factors would be for Cased Hole 0.15 and for openhole with shales
0.17. These values were used to illustrate surface torque savings.

6.1.2 Surface Torque Graph with OBM frictional factors

The total surface torque is 15.8 Kft-lbs and well within the 5 in. Drill Pipe make-up torque and safety
factor.
7.0 Actual Torque and Drag data, with 31° inclination plan KOP 500 ft

7.1.1 Summary Report

To review other possible areas of high torque a plan was created with a KOP at 500 ft so the
tangent angle could be lowered to 31°. Then the tortuosity of 0.5°/100 ft was added as if a rotary
steerable system was used to drill the entire well. The total surface torque was at 20.9 Kft-lbs.
8.0 Study of Continuous Inclination Data while Drilling Well for Tortuosity

8.1.1 Summary Report

Data was collected from 6600 ft MD to TD using the Schlumberger Continuous Inclination and
Azimuth data. This data is real-time qualitative data in order to review if the well was changing
directions. As the object of this study was to look at torque in the well a study of the tortuosity was
reviewed. The continuous inclination and azimuthal data was converted to a DLS over the course
of the well. This data was then reviewed against GR data in order to provide geologic correlation
data.

It should be noted that this data is only qualitative as the small changes in survey stations noted
were over a short period. An example of this is that a 7°/100 DLS is seen with an inclination
change of 0.02° and an azimuthal change of 0.15°. Therefore, this data should be used to review
the areas of higher tortuosity verses areas of less tortuosity.

Overall, the data does appear to show an increased tortuosity towards the end of Run005 and
through Run 006 which was also supported with rig data in which formation tendencies were noted.

Areas of highest tortuosity were after 12800 ft MD, which correlates with increased sands and less
shale content.

BHA007 was a straight motor and high tortuosity was seen during this run also, however, as noted
on the continuous data, there was less direction work and therefore, a drop in angle was noted
during this section of the well.
9.0 Conclusions
After reviewing all data presented in this report it was noted that the highest contributing factor to
the surface torque was the long 42° tangent and the higher frictional factors. Lowering either of
those values seemed to have the largest affect on the modeling of the surface torque.

All other changes to the wellbore, including lower tortuosity through the Build had less than a 3 Kft-
lbs lowering affect on the Surface Torque.

Many problems with over pull occurred while drilling this well. This data is inconclusive as to the
reasons behind those problems and further review of the wellbore stability would need to be looked
at. There was only one other well drilled off this platform with inclinations above 40° and it was a
shorter well by 1,000 ft, the D-09 ST1BP00.

Cum ulative Tortuosity

A review of the tortuosity in the actual wellbore
shows that up to approximately 10,800 ft MD the
Plan Actual
well was below the planned tortuosity of a
0 “perfect” wellbore. This was achieved through the
use of PowerV which lowered the overall well path
below planned. The motor in the tangent section
2000
increased the survey tortuosity close to the
planned tortuosity. When the Xceed tool was
picked up at 6400 ft the tortuosity followed the plan
and remained consistently lower than plan until
4000
10,800 ft. At which point the tortuosity increased
above the plan and then significantly increased
when the motor BHA was utilized at 13400 ft MD.
6000

The data is inconclusive as to why the tortuosity

increased at 10,800 ft other than formations, where
8000 there appears to be more sand stringers and less
shale content in many areas. The sandier areas
also appear to have the higher tortuosity in the
continuous DLS graphs provided within.
10 0 0 0

12 0 0 0

14 0 0 0

- 50 0 50 10 0 150 200
T o r t uo sit y