2 nd European Conference on Gas Well Deliquification Hampshire Hotel, Groningen, The Netherlands September

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1 2 nd European Conference on Gas Well Deliquification Hampshire Hotel, Groningen, The Netherlands September HYDRAULIC JET PUMPING A SUCCESSFUL ALTERNATIVE TO DEWATERING GAS WELLS Jim Speer * Erik Reissig J&J Technical Services, L.L.C JJ Tech 1

2 OVERVIEW IN GAS WELLS, WATER IS PRODUCED COMMINGLED WITH GAS. WITH TIME, THE WATER LEVEL INCREASES THE HYDROSTATIC HEAD. THE INCREASED HYDROSTATIC HEAD IN TURN DECREASES GAS PRODUCTION (KILLING THE WELL) ARTIFICIAL LIFT SYSTEMS ARE THE BEST WAY TO REDUCE WATER LEVELS AND INCREASE GAS PRODUCTIVITY. WE WILL FOCUS ON HYDRAULIC JET PUMPING AS A SUCCESSFUL, ECONOMIC ALTERNATIVE TO THE MORE TRADITIONAL MEANS OF DEWATERING GAS WELLS 2

3 Hydrostatic Loading Mar. 5-7, 2007 Suppressed Flowing BHP 2007 Gas Well Deliquification Workshop Denver, Colorado 3

4 Well is eventually loaded up and gas is prohibited by hydrostatic head from flowing. Well has little or no commercial viability. Hydrostatic head needs to be reduced, but what lift method should be used? Beam pump Gas Lift... Plunger Lift..PCP. ESP.or Mar. 5-7, 2007JET PUMP? Terminal Hydrostatic Loading 2007 Gas Well Deliquification Workshop Denver, Colorado 4

5 Plunger Lift: Hydrostatic loading Intermittent de-watering reliability?? Limited performance life Mar. 5-7, Gas Well Deliquification Workshop Denver, Colorado 5

6 Capillary Tubing: Hydrostatic loading Foam flow friction Slugging?? Limited performance life Mar. 5-7, Gas Well Deliquification Workshop Denver, Colorado 6

7 Rod Pumps: Servicing issues Gas locking Sand Rod cut tubing Rate limitations Completion sizing issues Mar. 5-7, Gas Well Deliquification Workshop Denver, Colorado 7

8 JPDS Details: Concentric completion: Coiled Tubing inside production tubing (1.25 & up) (power Fluid) or Integral Joint Tubing Inside production tubing (1 or 1.25 ) widely variable output range No downhole moving parts Sand handling abilities No gas-locking issues (pump is set a minimum of 30 below the perforations) Can be installed through tubing for 2 3/8 and larger Pumpable / fishable carrier Fluid Returns Power Fluid Gas Flow Mar. 5-7, Gas Well Deliquification Formation Workshop Denver, Colorado 8 Fluid

9 Hydraulic Jet Pump Analysis Software is now available to determine pumping combinations and cavitation rates Gas Flow Input Data COMPANY:...Deep Well WELL IDENTIFICATION:...Test PUMP DEPTH: Feet TUBING ID:...85Inches CASING ID.:...1.5Inches BH TEMP.:...200Deg F GAS LIQ. RATIO:...0SCF/BBL PROD. RETURN:...Annulus PROD. WATER GRAV: (Sp.Gr.): WAT. FRAC.: (50% = 0.50):...1 PUMPING BHP:...200psig LEASE:...Test REPRESENTATIVE:...Test TUBING LENGTH TO PUMP: Feet TUBING OD:...1Inches POWER FLUID:...Water FLOWING WH TEMP.:...70Deg F DESIGN LIQ. PROD. RATE:...30BBL/DAY PRODUCED OIL GRAVITY:...25API PRODUCED GAS GRAVITY:...8 SURFACE HYD. PRESS.: psig FLOWING WH PRESS.:...75psig Date:: 15 - June = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = Computed Output Data - English Units = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = Pump Size Power Press psig Power Horse Fluid Rate Power bblpd Non-Cav Rate bblpd Prod. Rate bblpd Pumping Bot-hole psig Nozzle Area inches Throat Area inches DD:00 DD:00 DD: CC:0 CC:0 CC: BB:00 BB:00 BB:

10 10

11 Current development effort has resolved a number of issues which have to date prevented jet pumps being given much consideration for gas well dewatering. These include: jet pump design improvements (larger intake and outlet) concentric completion (pump can be run in CT or IJ tubing) Gas Flow surface equipment optimization scaling and corrosion issues jet pump performance computer modeling well performance optimization & stabilization SEPT ND EUROPEAN CONFERENCE ON GAS WELL DELIQUIFICATION 11

12 New, more efficient jet pump design allows lower surface horsepower requirements. Low maintenance diaphragm pumps can now be used in some applications with volumes and pressures of PSI In these cases, the down hole jet pump and surface pump can be purchased for less than $50, Larger high pressure diaphragm pumps are undergoing field tests to provide volumes of PSI 35 HP Diaphragm Pump for Down Hole Jet Pump PSI SEPT 24-26, ND EUROPEAN CONFERENCE ON GAS WELL DELIQUIFICATION 12

13 Production Benefits: 1 - Increased Production Rates by reducing or eliminating hydrostatic suppression of gas from the formation 2 Achieves formation pressure draw down 3 Significantly increases recoverable reserves because more gas is able to move into the well bore 4 Constant monitoring of formation pressure and performance optimization via proprietary software 5 High solids in produced fluid can be handled efficiently and economically Gas Flow SEPT 24-26, ND EUROPEAN CONFERENCE ON GAS WELL DELIQUIFICATION 13

14 GAS WELL OPPORTUNITIES IPR & TPR Analysis: Current IPR Bottom Hole Flowing Pressure [psi] ) Increased Production Rates Well Details: 2 7/8 to 8,500 ft 5 1/2 to 9,000 ft 800 psi BHP static 300 psi BHP flowing MMcf/day - 35 BPD water 70 psi WHP Gas Production Rate [MMscf/day]

15 GAS WELL OPPORTUNITIES IPR & TPR Analysis: Current IPR Completion TPR 1000 Bottom Hole Flowing Pressure [psi] Gas Production Rate [MMscf/day]

16 GAS WELL OPPORTUNITIES IPR & TPR Analysis: Current IPR Completion TPR CT TPR 1.25 CT TPR Bottom Hole Flowing Pressure [psi] Gas Production Rate [MMscf/day]

17 GAS WELL OPPORTUNITES IPR & TPR Analysis: Current IPR Completion TPR CT TPR 1.25 CT TPR 1.75 Jet Pump TPR Bottom Hole Flowing Pressure [psi] Gas Production Rate [MMscf/day]

18 GAS WELL OPPORTUNITIES IPR & TPR Analysis: Current IPR Completion TPR Bottom Hole Flowing Pressure [psi] Daily Production Impact: 1.5 CT TPR 1.25 CT TPR Incremental = 0.19 MMscf/day x $ 7 gas = $ 1,330 / day or $ 486,000 / year 0.19 MMscf/day 1.75 Jet Pump TPR Gas Production Rate [MMscf/day]

19 GAS WELL OPPORTUNITIES IPR & TPR Analysis: Current IPR Lost Reserves Bottom Hole Flowing Pressure [psi] Completion TPR Reserves Impact: Assume 4 50% recovery => 2 BCF (current) Assume 15% additional => 0.6 BCF (incremental) 2) Greater Reserve Recovery 1.5 CT TPR 1.25 CT TPR or => $ 4.2 million 1.75 Jet Pump TPR Gas Production Rate [MMscf/day]

20 GAS WELL OPPORTUNITIES IPR & TPR Analysis: Current IPR Completion TPR Lost Reserves CT TPR 1.25 CT TPR Bottom Hole Flowing Pressure [psi] How much is this worth?? Gas Production Rate [MMscf/day]

21 Due to new designs, Jet Pumps are a viable economic alternative to de-watering gas wells. * Lower surface HP requirements * Less maintenance (no moving parts down hole) * High solids in produced fluid can be handled efficiently and economically * Down hole pumping combinations can be changed without a work over * Constant monitoring of formation pressure and performance optimization with proprietary software * Significantly increases recoverable reserves SEPT 24-26, ND EUROPEAN CONFERENCE ON GAS WELL DELIQUIFICATION 21