Abstract

Due to the unprecedented collapse in oil prices, unconventional exploration and production (E&P) companies are now focused on strong balance sheets and free cash flows more so than ever. This speaks to capital efficiency across the value chain, involving key improvements in well spacing, completions design, and development planning (McKinsey and Company, 2020). This is particularly critical as E&P companies continue to assume isotropic subsurface geology, resulting in frac interference, parent-child phenomena, and overall marginal field development. Hart Energy (2020) further emphasizes a necessity for optimal development and successful experimentation that is technology driven, involving technical managers, engineers, and geoscientists to identify transformation opportunities going forward.

That said, SciCat Geo has developed innovative seismic driven technology that measures in-situ 3D minimum horizontal stress which is the key rock parameter that governs hydraulic fracture stimulation of tight oil formations. Changes in rock geomechanics and subsequent minimum stress define stimulated rock volume and reservoir extent, which drives well performance and ultimate recovery of hydrocarbons. Intrinsic stress heterogeneity can now be measured in 3D space at the well pad, ahead of the drill bit. The cutting-edge technology provides subsurface geomechanics and stress variability necessary to maximize hydraulic fractures near wellbore and far field, allowing for pre-drill engineered completions design and subsequent wellbore spacing for production optimization and less completions cost.

Until now, quantitative minimum stress has been next to impossible to measure near wellbore and far field, particularly in 3D space. Other industry methods used to infer stress are non-unique based on, for example, drilling data and frac hit pressure response, or indirect modeling methods that interpolate rock geomechanics to the well pad from significant distance. Said methods are valuable for corroboration, but data is limited qualitatively to the wellbore only.

SciCat however measures stress directly and quantitatively at the well pad between wells in 3D space, using calibrated mechanical earth models integrated with completions engineering and geomechanics measured in-situ from the seismic (Fig. 1). The method implements a unique seismic-to-simulation multi-disciplinary/multi-physics approach, integrating multidomain independent data types that verify and corroborate (Fig. 2).

The measured stress from SciCat is versatile, allowing for data-driven solutions, contrary to trial-and-error development methods that are capital intensive. Applications include optimal landing and horizontal wellbore trajectory design, geosteering, identifying drilling hazards, 1D and 3D fracture geometry modeling for vertical and lateral wellbore spacing, pre-drill engineered treatment design for enhanced production and less cost, effective zipper sequencing for stress shadow mitigation, and wellbore stability applications.

Landing targets, and horizontal trajectory design and real-time geo-steering (Fig. 3) can now be optimized based on quantitative stress variability along the wellbore, defined by in-situ geomechanics measured by the seismic, representing a first step in minimizing rig time and maximizing in zone fracture stimulation. Moreover, assets can now be characterized based on reservoir and completion quality “sweet spot” fairways (Fig. 4) and evaluated basin-wide for longer term development strategies that are less conducive to parent-child and frac hit phenomena. The novel technology provides E&P operators the competitive advantage necessary by maximizing hydraulic fracture stimulation for optimizing production and minimizing ing completion costs, resulting in improved capital efficiency and a step closer to sustained free cash flow. Numerous examples of successful application in the prolific Permian Basin are presented.

For more, please visit: www.scicatoil.com.