page 4

Status of Web Based Reporting New start

In June 2008, Dave Wilkinson, Head of Performance Services in KCA DEUTAG presented a
paper at the IADC World Drilling Conference in Berlin entitled “Measurable Performance
Improvement – The Journey from Vision to Reality”.
At the conference he highlighted the importance and use of the EDRS in bringing to light
performance trends, identifying avenues for improvement and generating a lessons learnt culture
across all areas of our operation.
drillingahead
THE PERFORMANCE IMPROVEMENT NEWSLETTER JULY 2008

BEN RINNES NPT PERFORMANCE

Late 2007 through early 2008 saw excellent KCA
Kelani Bello, joined Performance DEUTAG rig equipment NPT performance being delivered
Services’s, Aberdeen office as by the Ben Rinnes team in Angola.
Performance Improvement Coordinator
At the end of April 2008, a performance certificate was
for UK and Norway in May, 2008. Until his
issued to recognise six consecutive months within “green
appointment, he worked as a senior
light” NPT status.
consultant with Abercom Energy
Following the start-up of operations in September 2007
Services, UK. Kelani has worked
KCA DEUTAG’s web-based daily drilling reporting systems (EDRS and Smartdesk) are now in the team has been focusing on performance and the hard
use on 82% of our worldwide operations as shown in the above chart. variously as a drilling engineer, university
work that was carried out by both the onshore and
Since first introduction in 2004, a phased approach to implementation has been taken to ensure lecturer in petroleum engineering, and a
adequate support and training could be given by Performance Services. offshore teams has paid off. Increased focus on all
consultant to the oil and gas industry in
Replacing the old paper based IADC reports, EDRS and Smartdesk (Norway only) provide us aspects of planning and excellent work by the
Nigeria.
with up to date operational information at our fingertips, allowing us to analyse and improve our maintenance team offshore has ensured minimal rig
performance. Kelani brings with him extensive
equipment downtime being recorded.
The bulk of the remaining 18% of the rigs not using web-based reporting systems are in Libya. knowledge in drilling, teaching & research
We hope to have some more of these rigs reporting within EDRS by the end of 2008. Open and honest feedback during rig audits and the Improvement
and consultancy experience.
continual drive to close any actions raised has also Suggestion Card scheme has also assisted in
enabled the rig performance to improve. In addition, the involving all crew members with ideas for upgrading /
MOF Guidance Cards client lookahead document is dislpayed on the rig notice improving the rig, thus promoting a team dedicated to
A tool recently developed to facilitate the kick boards each day which enables all crew members to improvement.
off and effective completion of MOF review operations in advance to begin planning ahead.
Overall, the Ben Rinnes team is working hard to build a
investigations within our company is the MOF The successful trialing of the new Continuous good performance improvement culture onboard.
Guidance card. This is a small pocket size
card for distribution across the rigs and
country offices. The idea of the card is to take Ben Rinnes Rig Equipment NPT
a proactive approach to familiarising the
operations and maintenance personnel with
the MOF process and what to do whenever a
IN THIS ISSUE
MOF occurs. We need the co-operation of our • Ben Rinnes NPT
rig teams to address major failures whenever performance
they occur and prevent them from happening • Performance Services
elsewhere. visits
• Nigeria improves
operational performance
Contributors
We are always on the look out for budding authors. If • Sustained improvement in
you have a good performance story or emerging
technology to share please write up and submit with
Siberia
your contact details to wellinform@uk.kcadeutag.com.
• Web based reporting
©KCA DEUTAG 2008; all rights reserved. No part of
this document may be reproduced, stored in a retrival • MOF guidance cards
system, or transmitted in any form or by any means
without prior permission of KCA DEUTAG. DT_03060 • New start

KCA DEUTAG Drilling Ltd., Minto Drive, Altens Industrial Estate, Aberdeen AB12 3LW
Tel: +44 (0) 1224 299600 Fax: +44 (0) 1224 230403 www.kcadeutag.com The preferred drilling contractor through measurable performance improvement
page 2
Performance Services visit North Africa and the Middle East
All four of the countries where we
currently have operations in North Africa
and the Middle East – Algeria, Libya,
Kingdom of Saudi Arabia and Oman,
have recently been visited by Julian
Farthing (the North Africa and the Middle
East Performance Improvement Coordi-
nator).
The trips produced some excellent
results that will contribute to making KCA
DEUTAG the “Preferred Drilling Contrac-
tor through Measurable Performance
Improvement”. Key elements focused
upon during these visits were the Major
Operational Failure (MOF) process and
the Performance Services Roadshow.
The effective use of the MOF process is
showing some dramatic effect in instigat-
ing change within the company and the
Roadshow demonstrates how perfor-
mance initiatives can benefit your
operation and how Performance Services
can help to achieve this.
In Algeria, which has faced and
overcome some startup challenges, Rig
T211 was also visited and the findings
presented to Senior Management.
Oman is leading the way in many aspects
of Performance Improvement with the net
result being a reduction in NPT and an
improvement in financial performance.
Most significantly, within the country was
the wish to improve the tools in use and
take greater ownership of them. The T78
T-76 sets new benchmark on BOP pressure testing
The crew of T-76 in the Ossiommo field in Nigeria is aiming for optimised rig time. On 5 May 2008 the crew set a new
benchmark while testing 13 ⅝" BOP on the Ossiommo 7 well. The previous pressure test time of 12 hours recorded on
the rig was beaten by a significant 2 ½ hours to achieve a new benchmark of 9 ½ hours.
...and improved tripping performance on T-43
Average POOHC Tripping Speed Per Well
After 01 Jan 2007
Before 01 Jun 2008
The preferred drilling contractor through measurable performance improvement
(one of our best tripping performers) was
also visited.
In The Kingdom of Saudi Arabia T67
(one of the older rigs within the company
fleet and the single string operating in
Saudi Arabia) was also visited. Improving
performance on such a rig is not related
to short term issues such as technical
changes but more focused on ongoing
investment / maintenance and cultural
issues such as team work, stability and
safety.
Libya has the highest amount of operat-
ing rigs per country in the entire
Julian Farthing
Average RIHC Tripping Speed Per Well
Country: Nigeria After 01 Jan 2007
Operating Unit: NG: T43 Before 01 Jun 2008
page 3
company, and is based in a desert
Sustained improved performance in Siberia
environment with large distances
RIG 3 (T-391)
The crew of Rig T-391 have drilled the fastest well ever
between the rigs and supply bases with
minimal infrastructure between locations. on the Salym field, breaking the old record by nearly half
There are also approximately 25 different a day. The K27-11 well was drilled and completed in 6.3
nationalities working for KCA DEUTAG in days at a depth of 2556 m (8380 ft). The deviated well
Libya with English the common language. was completed on the 5th June recording only one hour
Until recently Libya was the only country
of NPT.
in the KCA DEUTAG world not using web
based daily reporting due to IT related
challenges. EDRS was rolled out to 2 of
the rigs – T19 and T202. Further visits to
Libya will take place in order to imple-
ment EDRS on other rigs and undertake
new initiatives to improve performance.
Rig T-211 in Algeria
FASTEST WELL DRILLED IN SPD - 6.3 DAYS
WE'VE DONE IT!
TNK-BP rigs continue to improve T-390 drilling faster
In the last issue of Drilling Ahead the remarkable performance of the
maintenance teams on the T-501, T-502, T-503 and T-504 drilling for
The crew and rig team of the T-390 are heading for
the fast lane: drilling rates have come down since the
In April 2008, there was a
marked improvement in the TNK-BP in Western Siberia was highlighted. start of the year from 5 days /1000 m to 2.5 days
tripping speed over the values Now TNK-BP has confirmed that the four rigs have been performing /1000m (total well time).
recorded on T-43 in 2007. On well and that a steady improvement in two of their main KPIs has been Days per 1000m
Amoji – the crew achieved an seen since start-up. The Performance Index, which is a compilation of Country: Russia After 01 Jan 2008
average pulling out of hole Operating unit: RU: T390 Project type: Top Hole Well
several KPIs, has increased from 67 to 93.4. A score over 90 is
speed of 1063 ft/hr and a
running in hole speed of 873 excellent. At the same time the drilling days /1000m have dropped from
ft/hr and in May 2008, the 11.4 to 6.4.
crew showed that we could
achieve consistent improved
tripping performance and
recorded a new benchmark
record POOHC speed of 1218
ft/hr and almost doubled the
previous RIHC speed to 1248
ft/hr. Performance services
congratulates the crew of T-43
and urges them to keep up
trends like these.
The preferred drilling contractor through measurable performance improvement
page 2
Performance Services visit North Africa and the Middle East
All four of the countries where we
currently have operations in North Africa
and the Middle East – Algeria, Libya,
Kingdom of Saudi Arabia and Oman,
have recently been visited by Julian
Farthing (the North Africa and the Middle
East Performance Improvement Coordi-
nator).
The trips produced some excellent
results that will contribute to making KCA
DEUTAG the “Preferred Drilling Contrac-
tor through Measurable Performance
Improvement”. Key elements focused
upon during these visits were the Major
Operational Failure (MOF) process and
the Performance Services Roadshow.
The effective use of the MOF process is
showing some dramatic effect in instigat-
ing change within the company and the
Roadshow demonstrates how perfor-
mance initiatives can benefit your
operation and how Performance Services
can help to achieve this.
In Algeria, which has faced and
overcome some startup challenges, Rig
T211 was also visited and the findings
presented to Senior Management.
Oman is leading the way in many aspects
of Performance Improvement with the net
result being a reduction in NPT and an
improvement in financial performance.
Most significantly, within the country was
the wish to improve the tools in use and
take greater ownership of them. The T78
T-76 sets new benchmark on BOP pressure testing
The crew of T-76 in the Ossiommo field in Nigeria is aiming for optimised rig time. On 5 May 2008 the crew set a new
benchmark while testing 13 ⅝" BOP on the Ossiommo 7 well. The previous pressure test time of 12 hours recorded on
the rig was beaten by a significant 2 ½ hours to achieve a new benchmark of 9 ½ hours.
...and improved tripping performance on T-43
Average POOHC Tripping Speed Per Well
After 01 Jan 2007
Before 01 Jun 2008
The preferred drilling contractor through measurable performance improvement
(one of our best tripping performers) was
also visited.
In The Kingdom of Saudi Arabia T67
(one of the older rigs within the company
fleet and the single string operating in
Saudi Arabia) was also visited. Improving
performance on such a rig is not related
to short term issues such as technical
changes but more focused on ongoing
investment / maintenance and cultural
issues such as team work, stability and
safety.
Libya has the highest amount of operat-
ing rigs per country in the entire
Julian Farthing
Average RIHC Tripping Speed Per Well
Country: Nigeria After 01 Jan 2007
Operating Unit: NG: T43 Before 01 Jun 2008
page 3
company, and is based in a desert
Sustained improved performance in Siberia
environment with large distances
RIG 3 (T-391)
The crew of Rig T-391 have drilled the fastest well ever
between the rigs and supply bases with
minimal infrastructure between locations. on the Salym field, breaking the old record by nearly half
There are also approximately 25 different a day. The K27-11 well was drilled and completed in 6.3
nationalities working for KCA DEUTAG in days at a depth of 2556 m (8380 ft). The deviated well
Libya with English the common language. was completed on the 5th June recording only one hour
Until recently Libya was the only country
of NPT.
in the KCA DEUTAG world not using web
based daily reporting due to IT related
challenges. EDRS was rolled out to 2 of
the rigs – T19 and T202. Further visits to
Libya will take place in order to imple-
ment EDRS on other rigs and undertake
new initiatives to improve performance.
Rig T-211 in Algeria
FASTEST WELL DRILLED IN SPD - 6.3 DAYS
WE'VE DONE IT!
TNK-BP rigs continue to improve T-390 drilling faster
In the last issue of Drilling Ahead the remarkable performance of the
maintenance teams on the T-501, T-502, T-503 and T-504 drilling for
The crew and rig team of the T-390 are heading for
the fast lane: drilling rates have come down since the
In April 2008, there was a
marked improvement in the TNK-BP in Western Siberia was highlighted. start of the year from 5 days /1000 m to 2.5 days
tripping speed over the values Now TNK-BP has confirmed that the four rigs have been performing /1000m (total well time).
recorded on T-43 in 2007. On well and that a steady improvement in two of their main KPIs has been Days per 1000m
Amoji – the crew achieved an seen since start-up. The Performance Index, which is a compilation of Country: Russia After 01 Jan 2008
average pulling out of hole Operating unit: RU: T390 Project type: Top Hole Well
several KPIs, has increased from 67 to 93.4. A score over 90 is
speed of 1063 ft/hr and a
running in hole speed of 873 excellent. At the same time the drilling days /1000m have dropped from
ft/hr and in May 2008, the 11.4 to 6.4.
crew showed that we could
achieve consistent improved
tripping performance and
recorded a new benchmark
record POOHC speed of 1218
ft/hr and almost doubled the
previous RIHC speed to 1248
ft/hr. Performance services
congratulates the crew of T-43
and urges them to keep up
trends like these.
The preferred drilling contractor through measurable performance improvement
page 4

Status of Web Based Reporting New start

In June 2008, Dave Wilkinson, Head of Performance Services in KCA DEUTAG presented a
paper at the IADC World Drilling Conference in Berlin entitled “Measurable Performance
Improvement – The Journey from Vision to Reality”.
At the conference he highlighted the importance and use of the EDRS in bringing to light
performance trends, identifying avenues for improvement and generating a lessons learnt culture
across all areas of our operation.
drillingahead
THE PERFORMANCE IMPROVEMENT NEWSLETTER JULY 2008

BEN RINNES NPT PERFORMANCE

Late 2007 through early 2008 saw excellent KCA
Kelani Bello, joined Performance DEUTAG rig equipment NPT performance being delivered
Services’s, Aberdeen office as by the Ben Rinnes team in Angola.
Performance Improvement Coordinator
At the end of April 2008, a performance certificate was
for UK and Norway in May, 2008. Until his
issued to recognise six consecutive months within “green
appointment, he worked as a senior
light” NPT status.
consultant with Abercom Energy
Following the start-up of operations in September 2007
Services, UK. Kelani has worked
KCA DEUTAG’s web-based daily drilling reporting systems (EDRS and Smartdesk) are now in the team has been focusing on performance and the hard
use on 82% of our worldwide operations as shown in the above chart. variously as a drilling engineer, university
work that was carried out by both the onshore and
Since first introduction in 2004, a phased approach to implementation has been taken to ensure lecturer in petroleum engineering, and a
adequate support and training could be given by Performance Services. offshore teams has paid off. Increased focus on all
consultant to the oil and gas industry in
Replacing the old paper based IADC reports, EDRS and Smartdesk (Norway only) provide us aspects of planning and excellent work by the
Nigeria.
with up to date operational information at our fingertips, allowing us to analyse and improve our maintenance team offshore has ensured minimal rig
performance. Kelani brings with him extensive
equipment downtime being recorded.
The bulk of the remaining 18% of the rigs not using web-based reporting systems are in Libya. knowledge in drilling, teaching & research
We hope to have some more of these rigs reporting within EDRS by the end of 2008. Open and honest feedback during rig audits and the Improvement
and consultancy experience.
continual drive to close any actions raised has also Suggestion Card scheme has also assisted in
enabled the rig performance to improve. In addition, the involving all crew members with ideas for upgrading /
MOF Guidance Cards client lookahead document is dislpayed on the rig notice improving the rig, thus promoting a team dedicated to
A tool recently developed to facilitate the kick boards each day which enables all crew members to improvement.
off and effective completion of MOF review operations in advance to begin planning ahead.
Overall, the Ben Rinnes team is working hard to build a
investigations within our company is the MOF The successful trialing of the new Continuous good performance improvement culture onboard.
Guidance card. This is a small pocket size
card for distribution across the rigs and
country offices. The idea of the card is to take Ben Rinnes Rig Equipment NPT
a proactive approach to familiarising the
operations and maintenance personnel with
the MOF process and what to do whenever a
IN THIS ISSUE
MOF occurs. We need the co-operation of our • Ben Rinnes NPT
rig teams to address major failures whenever performance
they occur and prevent them from happening • Performance Services
elsewhere. visits
• Nigeria improves
operational performance
Contributors
We are always on the look out for budding authors. If • Sustained improvement in
you have a good performance story or emerging
technology to share please write up and submit with
Siberia
your contact details to wellinform@uk.kcadeutag.com.
• Web based reporting
©KCA DEUTAG 2008; all rights reserved. No part of
this document may be reproduced, stored in a retrival • MOF guidance cards
system, or transmitted in any form or by any means
without prior permission of KCA DEUTAG. DT_03060 • New start

KCA DEUTAG Drilling Ltd., Minto Drive, Altens Industrial Estate, Aberdeen AB12 3LW
Tel: +44 (0) 1224 299600 Fax: +44 (0) 1224 230403 www.kcadeutag.com The preferred drilling contractor through measurable performance improvement