Nautec Energy Solutions (Nautec) was contracted by Arrow Energy (Arrow) to assist in developing well handover and integrity check sheets for a series of recently drilled water monitoring wells. Until 2010, Arrow was a low cost CBM exploration and production company focused on the Surat and Bowen Basins. Arrow was acquired 50:50 by Shell and CNPC (China National Petroleum Corporation) to enable a large scale gas development. After the purchase both parent companies began to provide secondees and various systems and standards to what was a low cost and relatively low risk business.
As part of a legislative requirement, Arrow had drilled 32 water monitoring wells which were yet to be commissioned. As these were water wells they did not meet any one specific standard, therefore Arrow’s operational department was unwilling to accept the wells and start collecting the required data.
Nautec worked with Arrow’s water team, drilling and completions department and operations department to develop fit-for-purpose well acceptance criteria which would allow Arrow to effectively evaluate whether their wells are compliant to internal and external standards, and ready to be handed over to Operations. Nautec’s technical team took the lead in implementing the process by collecting the required well data, conducting a full well integrity review of all wells, and completing the handover packs for each of the 32 wells. Any discrepancies with documentation or highlighted integrity issues were risk assessed, with remedial work carried out if required. At the end of the project all 32 wells were successfully handed over to Operations and Arrow now has a framework to develop other local fit-for-purpose standards.
- Arrow Energy is a small CBM exploration and development company which was purchased by Shell and CNPC in 2010
- It is one of the big four CBM development companies in Australia
- It has two domestic gas fields currently under operations
- Arrow has plans for a large scale CBM to LNG program with a final investment decision planned for early 2016
- Develop a well acceptance criteria
- Design and develop a well handover pack template
- Collect data and reports for each of the 32 existing wells as required in the handover packs
- Complete handover packs for compliant wells
- Review well integrity data
- Assess compliance of integrity against internal and external standards
- Provide a summary of non-conformances.
- Stakeholder management was a challenge given the level of secondees in the organisation and their desire to operate under international oil and gas standards, rather than local risk based fit for purpose standards
- The water monitoring program was not a standard gas well development, therefore there was a lack of awareness of risk and the objectives of the program which needed to be communicated
- Conflicting and varying set of objectives coming from various functions or departments needed to be met
- Designed and developed well acceptance criteria for existing and future wells
- Prepared a handover process map for existing and future wells
- Designed and developed well handover templates, requirements and packages, including a single page well integrity summary
- Collected data, prepared and completed full and summary versions of handover packs for each of the 32 existing wells
- Conducted technical review of well integrity for each of the 32 existing wells
- Prepared a summary of non-conformances and provided recommended actions
- Assisted in the development of a hazardous area dossier for 4 wells by collecting and reviewing well data
- Provided project management services including planning, coordination with the client, and facilitating and attending workshops
- A structured well integrity review process integrating Arrow’s robust standards with local requirements
- Improved transparency on status of wells, making informed decisions easier
- Ensured compliance to internal and external standards