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HAL Refracking Service Could Create 'Boom of a Boom' in Shale Recovery

Question asked by jillian.sherburne Champion on Sep 22, 2015

Refracking Service Could Create 'Boom of a Boom' in Shale Recovery

Halliburton officials say refracking is here to stay, touting the results seen with its recently released ACTIVATE refracturing service.

Refracking has become a hot topic of industry discussion as operators seek ways to cut costs and boost production output. Previous refracturing technologies were not effective, meaning that refracking results were unpredictable and not repeatable, like the odds of gambling in Las Vegas, said Ranjan.

Refracturing seeks to reconnect existing fractures disconnected from the wellbore, and creating new fractures. The combination of the two provides the incremental estimated ultimate recovery (EUR) boost, said Ranjan. Given the amount of resources that have been left behind, Halliburton sees great potential for its service.

Through Halliburton’s ACTIVATE Refracking Service, unveiled in July, Halliburton reports seeing up to an 80 percent increase in (estimated ultimate recovery) EUR per well, up to 25 percent increase oil recovery factor of unconventional asset with a balanced portfolio, and up to 66 percent reduced cost per barrel of oil equivalent (BOE) compared to new drills. The company reports seeing a 300 percent improvement in EUR in natural gas wells in the Haynesville and Eagle Ford plays. In the oil window of the Eagle Ford, Halliburton’s technology has increased the average EUR of wells by 121 percent.

In terms of production, Halliburton has seen accelerated recovery in wells treated with the ACTIVATE process, not only from restored connectivity of existing fracs but new stimulation, turning a 4 billion cubic feet per day (Bcf/d) well into a 6 Bcf/d well. In addition to boosting incremental EURs, Halliburton has been able to reduce non-productive time for wells by 33 percent as fracing is done continuously.

Given the fall in oil commodity prices versus natural gas commodity prices, shale gas wells that are economic – but weren’t as economic as unconventional oil wells were at one point – and that have wellbores already in place could be good refracking candidates. This includes wells in the Haynesville and Barnett shale plays, where understimulated wells and bypassed reserves exist. The Barnett play, which has stiff, hard rock, has a higher spacing of wells that present infill opportunities. The Haynesville, a deep soft rock with high pressure and high temperatures, is susceptible to production-related damage. Halliburton believes its technology can refracture wells despite this damage, Ranjan said.

Halliburton is unveiling refracturing technology to help companies achieve focus on reducing the breakeven point of their assets and balancing portfolios.

“A truly balanced portfolio needs the right combination of production from refracced wells at a lower cost BOE, infill wells at a higher cost BOE, and new wells with the highest BOE cost,” said Ranjan. Having all three can reduce the average BOE of an asset. - See more at: http://www.rigzone.com/news/oil_gas/a/140694/Refracking_Service_Could_Create_Boom_of_a_Boom_in_Shale_Recovery/?all=HG2#sthash.AH7IFQmP.dpuf
“A truly balanced portfolio needs the right combination of production from refracced wells at a lower cost BOE, infill wells at a higher cost BOE, and new wells with the highest BOE cost,” said Priyesh Ranjan, senior manager of business development. (Having all three can reduce the average BOE of an asset.)

What new technology have you read about or come across recently aiming to work within a lower oil price environment?
“A truly balanced portfolio needs the right combination of production from refracced wells at a lower cost BOE, infill wells at a higher cost BOE, and new wells with the highest BOE cost,” said Ranjan. Having all three can reduce the average BOE of an asset. - See more at: http://www.rigzone.com/news/oil_gas/a/140694/Refracking_Service_Could_Create_Boom_of_a_Boom_in_Shale_Recovery/?all=HG2#sthash.AH7IFQmP.dpuf

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