10 Well Abandonment Presentation Jan 29

10 WELL ABANDONMENT PLAN

Background & AER Directives

10 wells are in the Cold Lake Oil Sands Area

AER Directive 009 (1990) • Sec. 4.2 Conventional wells licensed in designated oil sands areas and

that penetrate oil sands zones will be required to cement casing with thermal cement

AER Directive 020 (2010) • Sec. 4.3 A thermal cement plug must be set from the well’s TD to a

minimum of 15 vertical meters above the top of the Grand Rapids Formation – Open-hole Abandonment in the Cold Lake Oil Sands Area

• All zones above the top of the Mannville group must be covered with a cement plug.

• Sec. 5.4 Wells Penetrating Oil Sands Zones – Cased-Hole Abandonment Requirements.

Well 1 Rig Release: July 25, 1953

Non-Thermal cement used for primary cementing

Thermal cement plug was set at 124.2 - 502.9 mKB on Feb 8, 2008. 89mm tubing was stuck at approximately 432.0 - 123.0mKB in well during cementing

Class "G" cement plug was set at 41.7 - 123.0 mKB on Feb 16, 2008

Well was cut and capped on Feb 19, 2008

Apply to the AER for a waiver to leave the well as it is now.

COST ESTIMATE: $0.00

Well 1If a waiver is rejected by the AER, the following operations may be performed.

Excavate wellbore and install new production casing stub and wellhead

Drill out cement plug from 41.7 to the production casing shoe

Section mill and under ream the casing from 283.7mKB to the production casing shoe

Spot a continuous thermal cement plug from PBTD to 15m above the surface casing shoe

Cut and cap the well

COST ESTIMATE: $600,000.00

Well 2 Rig Release Date: November 20, 1985

Current thermal cement top is 17.4 vertical meters above the top of the Grand Rapids Formation in this well

Formations above the Mannville group require isolation i.e. Joli Fou and Viking in Schematic, which are not covered and are non-compliant (D20)

Apply to the AER for a waiver to leave the wellbore as it is now, due to no evidence of porosity in the Joli fou and Viking formations and the extreme difficulty of drilling out a 200m cement plug in openhole.


Well 3 Rig Release Date: November 24, 1985

Thermal cement plug was set in openhole, but TOC is only 6.4 vertical meters above the top of the Grand Rapids Formation

Apply for two separate waivers:

1. A waiver for the low thermal cement plug.

2. A waiver for Joli fou and Viking not being covered with cement. Justification is that these formations are not porous and drilling out +200m of cement in openhole would be very difficult and risky.


Well 4 Rig Release Date: March 28, 2006

Downhole abandonment has been done by setting a continuous thermal cement plug from TD @ 517.0 mKB to surface on Mar 28, 2006

Well is compliant

Cut and cap well



Thermal cement is used inside and outside production casing

0.25% inhibited fresh water was used on top of cement plug

Displace wellbore to clean fresh water

Cut and cap well



Thermal cement (Oilwell Silica) was used behind production casing

Non-thermal cement plug was set at 434.0 - 460.6 mKB on Mar 24, 1965

Thermal cement plug was set at 372.2 - 425.7 mKB on Jul 7, 2007

Bridge plug was set at 285.0 mKB with 10 m thermal cement on top on Jul 9, 2007

Will apply to the AER for a waiver to leave the well as it is now. Well was cut and capped on Jul 13, 2007.

Well 7 Rig Release Date: August 3, 2005

Production casing was cemented to surface with thermal cement

Downhole abandonment has been done by setting a continuous thermal cement plug from PBTD @ 503.0mKB to surface on Aug. 16, 2007.

Well is compliant

Cut and cap well


Well 8 Rig Release Date: June 21, 2005

Production casing was cemented with Non-Thermal cement

A thermal cement plug was set from PBTD @ 491.0 to surface in wellbore.

Apply to the AER for a waiver to leave the wellbore as it is now

Cut and cap well


Well 8If waiver is rejected by the AER, the following operations need to be performed.

Drill out cement plug down to TD

Section mill production casing and under-ream from 275.0mKB to TD

Spot a continuous thermal cement plug from TD to 15m above the surface casing shoe

Cut and cap well


Well 9 Rig Release Date: August 27, 2005

Production casing was cemented with Non-Thermal cement

Apply to the AER for a waiver to leave the production casing as it is now and set a thermal cement plug from PBTD to 15m above the surface casing shoe.

Cut and cap well


Well 9If a waiver is rejected by the AER, the following operations will be performed.

Section mill production casing and under-ream from 289.0mKB to TD

Spot a continuous thermal cement plug from TD to 15m above the surface casing shoe

Cut and cap well


Well 10 Rig Release Date: May 23, 1993

Downhole abandonment has been done by setting a continuous thermal cement plug from TD @ 370.0 mKB to surface on May 22, 1993

Well is compliant

Cut and cap the well


10 ABANDONMENT WELLS

NO. UWI Compliant (Yes/No) Cost with Waiver Potential Cost Estimate

1 No $0.00 $600,000.00

2 No $0.00 Unlikely

3 No $0.00 Unlikely

4 Yes $8,000.00 $8,000.00

5 No $30,000.00 $30,000.00

6 No $0.00 Unlikely

7 Yes $8,000.00 $8,000.00

8 No $8,000.00 $500,000.00

9 No $40,000.00 $350,000.00

10 Yes $8,000.00 $8,000.00

Total $102,000.00 $1,504,000.00

THANK YOU FOR YOUR ATTENTION

SAFETY MATTERS IN EVERYTHING WE DO

10 Well Abandonment Presentation Jan 29

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Transcript of 10 Well Abandonment Presentation Jan 29