Probability-Derived Risk-Model: Lowers Costs through Reduction in Backup Tool Requirements, Improves Return on Capital Employed for the Contractor, and Reduces Scope 1 CO2 Emissions

2021 ◽  
Author(s):  
Steven Johannesen ◽  
Thomas Lagarigue ◽  
Gordon Shearer ◽  
Karen Owen ◽  
Grant Wood ◽  
...  
Keyword(s):  
Co2 Emissions ◽  
North Sea ◽  
Financial Risk ◽  
Risk Model ◽  
Probability Of Failure ◽  
Drilling Tool ◽  
Drilling Tools ◽  
Return On Capital ◽  
Financial Impacts ◽  
Binomial Models

Abstract A review of the utilization of Drilling Equipment highlighted an opportunity to lower operational cost for the Operator, reduce Capital Employed for the Service Company, and reduce industry Scope 1 CO2 emissions. The Operator and the Oilfield Services Company set the objective of developing a risk-based probability model that could be used to assess the positive and negative financial impacts of reducing, or perhaps entirely removing, the need for backup drilling tools in the historically risk-averse UK North Sea. The scope of the analysis was to be a drilling campaign on a single rig contracted by the Operator (Rig A). The last three years of Drilling tool reliability data from North Sea operations, as recorded by the Drilling Service Provider, were used as an input. To assess the probability of failure, a Binomial Model was developed to create a Binomial Distribution for each tool, before determining the probability of failure of a given drilling string. The method calculates the probability of having 0 to X failures for a selected Drilling tool/string for a given number of runs. Three Binomial Models were developed to analyze the effect of "Easy", "Moderate" and "Challenging" drilling environments on drilling tool reliability. A financial risk model was developed that balanced the probability-weighted cost of failure for the Operator against the lower costs resulting from reduced tool provision by the Service Provider. In order to better estimate the risks and financial impacts on the project, Sensitivity Analysis was performed on the financial risk model using the three Binomial Models. Scope 1 CO2 emission reductions result from fewer logistical movements and diminished backup tool manufacturing requirements. As a result of the analysis, it was shown that recent improvements in tool reliability support a reduction in backup Drilling tools for the majority of North Sea drilling scenarios, meeting the objective of reducing well construction cost while lowering carbon footprint. Open discussions, focused on maximizing economic hydrocarbon recovery, reducing costs for the Operator, improving Return on Capital Employed for the Oilfield Services Provider and reducing Scope 1 CO2 emissions, resulted in a commercial model that could deliver a Win-Win scenario for all parties. It was observed that the approach was scalable, and would deliver further benefit from a broader workscope, generating "network" benefits when applied to a cluster of rigs, and/or an entire play/basin. In addition, the risk model can be applied to alternative industry scenarios where strong reliability data exist.

Reduction in Backup Tool Requirements: Risks vs. Benefits, a Probability Analysis

2021 ◽  
pp. 1-14
Author(s):  
Steven Johannesen ◽  
Thomas Lagarigue ◽  
Gordon Shearer ◽  
Karen Owen ◽  
Grant Wood ◽  
...  
Keyword(s):  
North Sea ◽  
Financial Risk ◽  
Risk Model ◽  
Probability Model ◽  
Directional Drilling ◽  
The North ◽  
Drilling Tools ◽  
Measurement While Drilling ◽  
Financial Impacts ◽  
Binomial Models

Summary A review of the use of measurement while drilling (MWD), logging while drilling (LWD), and directional drilling (DD) tools mobilized to offshore drilling units in the North Sea highlighted an opportunity to lower operational cost for the operator and reduce capital used for the oilfield services company. An objective was set to develop a risk-based probability model that would assess the positive and negative financial impacts of reducing, or perhaps entirely removing, backup tools in this historically risk-averse basin. The scope of the initial analysis was a drilling campaign on a single rig contracted by the operator (Rig A). This analysis was then extended to review scenarios in which several operations in close proximity would share backup tools. The last 3 years of MWD/LWD/DD tool reliability data from North Sea operations, recorded by the oilfield services company, were used as an input. To assess the probability of failure, a binomial model was developed to create a binomial distribution for each tool to calculate the probability of having zero to X failures for a selected tool or bottomhole assembly (BHA) for a given number of runs. Three binomial models were developed to study the effect of “easy,” “moderate,” and “challenging” drilling environments on tool reliability. A financial risk model was designed to balance the probability-weighted cost of failure for the operator against the lower costs resulting from reduced tool provision by the oilfield services company. To better estimate risks and financial impacts on the project, a sensitivity analysis was performed on the financial risk model using the three binomial models. As a result of the analysis, it was demonstrated that recent improvements in tool reliability support a reduction in the provision of backup MWD/LWD/DD drilling tools for the majority of North Sea drilling scenarios.

MODELING OF THE DYNAMIC PROCESS RELEASE OF STUCK DRILLING TOOLS BY HYDRO-PULSE METHOD

2019 ◽  
pp. 94-103
Author(s):  
K. H. Levchyk ◽  
M. V. Shcherbyna
Keyword(s):  
Mathematical Model ◽  
Dynamic Process ◽  
Drilling Fluid ◽  
Pulse Method ◽  
Geometrical Parameters ◽  
Technical Solution ◽  
Rock Layer ◽  
Drilling Tool ◽  
Drilling Tools ◽  
Drill Pipes

A technical solution is proposed for the elimination the grabbing of drilling tool, based on the use of energy due to the circulation of the drilling fluid. The expediency eliminating the grabbing drilling tool using the hydro-impulse method is substantiated. A method of drawing up a mathematical model for the dynamic process of a grabbing string of drill pipes in the case of perturbation of hydro-impulse oscillations in the area of the productive rock layer is developed. The law of longitudinal displacements arising in the trapped string is obtained, which allows choosing the optimal geometrical parameters of the passage channels and the frequency rotational of shutter for these channels. Recommendations for using this method for practical use have been systematized.

Effect of Capital Structure Determinants on Profitability: With Special Reference to Iron and Steel Sector Units of India

2016 ◽  
Vol 6 (2) ◽  
Author(s):  
Neeraj Gogia
Keyword(s):  
Capital Structure ◽  
Sample Size ◽  
Financial Risk ◽  
Iron And Steel ◽  
Coverage Ratio ◽  
Independent Variables ◽  
Operating Profit ◽  
Return On Capital ◽  
Steel Sector ◽  
Equity Ratio

This paper is an attempt to study the capital structure of Indian Steel Industry and its major determinants. In this study, almost 50% of companies out of 22 sample size are bearing highly debt driven in their capital structure and it creates financial risk to the debt driven companies. Debt driven companies have obligation to pay interest irrespective of profit made or loss incurred by the firms. Hence we tried to find out which are the various factors significantly explaining the return on capital employed. For which we have considered four independent variables from early studies and employed correlation analysis, multiple regression analysis techniques and ANOVA in this study to test the dependency of the return on capital employed ratio on independent variables. The researcher found three variables such as debt equity ratio, operating profit ratio and interest coverage ratio respectively having significant impact on the return on capital employed to ratio of selected sample size of steel companies.

How does financial risk affect global CO2 emissions? The role of technological innovation

2021 ◽  
Vol 168 ◽  
pp. 120751
Author(s):  
Jun Zhao ◽  
Muhammad Shahbaz ◽  
Xiucheng Dong ◽  
Kangyin Dong
Keyword(s):  
Co2 Emissions ◽  
Technological Innovation ◽  
Financial Risk

Small Holes Fabrication on Soda Glass by Self-Elastic Polycrystalline Diamond Tool

2012 ◽  
Vol 516 ◽  
pp. 516-521
Author(s):  
Chung Chieh Cheng ◽  
Dong Yea Sheu
Keyword(s):  
Surface Roughness ◽  
Diamond Tool ◽  
Polycrystalline Diamond ◽  
The Self ◽  
High Quality ◽  
Drilling Tool ◽  
Drilling Tools ◽  
Absorbing Materials ◽  
New Type ◽  
Small Holes

This study describes a novel process to drill small holes in brittle materials such as glass, silicon and ceramic using a self-elastic polycrystalline diamond (PCD) drilling tool. In order to improve the surface roughness and reduce crack of the small holes, a new type of self-elastic PCD drilling tool equipped with vibration absorbing materials inside the housing was developed to fabricate small holes in glass in this study. The self-elastic PCD drilling tools could absorb the mechanical force by the vibration absorbing materials while the PCD tool penetrates into the small holes. Compared to conventional PCD drilling tools, the experimental results show that high-quality small holes drilled in glass can be achieved with cracking as small as 0.02mm on the outlet surface using the self-elastic PCD drilling tool.

scholarly journals Dynamic Characteristics and Key Parameter Optimization of Mechanical Automatic Vertical Drilling Tools

2021 ◽  
Vol 2021 ◽  
pp. 1-17
Author(s):  
Jin Wang ◽  
Yuanbiao Hu ◽  
Zhijian Liu ◽  
Lixin Li ◽  
Baolin Liu ◽  
...  
Keyword(s):  
Friction Coefficient ◽  
Zero Point ◽  
Influence Coefficient ◽  
Response Accuracy ◽  
Drilling Tool ◽  
Stable Position ◽  
Sensing Mechanism ◽  
Limit Value ◽  
Drilling Tools ◽  
Control Stability

Mechanical automatic vertical drilling tools (MAVDT) have gradually gained attention as a drilling tool that can achieve active correction in harsh working environments such as high temperature and high pressure. The gravity sensing mechanism can sense the deviation and convert the deviation signal into the control signal to drive the actuator to correct the deviation. It is the core component of the mechanical automatic vertical drilling tool. This paper analyzes the force on the gravity sensing mechanism based on the structural analysis of the mechanical automatic vertical drilling tool. Then, the general dynamic equation of the gravity sensing mechanism is established based on D’Alembert principle. The critical response position where the acceleration value is zero is used as the research object to complete the preliminary design and analysis of the sensing mechanism. Through analysis, it can be found that there is a conflict between the response accuracy and control stability of the gravity sensing mechanism. High response accuracy often means poor control stability. For the gravity sensing mechanism with definite structural parameters, there is a limit value of the allowable friction coefficient. When the friction coefficient of the thrust bearing exceeds the limit value, the gravity sensing mechanism cannot achieve the inclination response no matter how big the inclination angle and deflection angle are. The friction coefficient between the disc valves and the force between the disc valves of the gravity sensing mechanism have a linear effect on the performance of the mechanism, and the smaller the deviation angle, the greater the influence coefficient of the force or the friction coefficient between the disc valves on the length of the gravity sensing mechanism. During the process of dynamic swing, the dynamic stable position of the gravity sensing mechanism is related to the relative relationship between the restoring force of the mechanism and the friction damping. To be precise, it is related to the potential energy zero point and the speed zero point during the gravity sensing mechanism swing process before it reaches the dynamic stable position.

scholarly journals Modern drilling technologies used for the making bored piles under the conditions of dense urban area

2019 ◽  
pp. 70-75
Author(s):  
M. O. Neplevksy
Keyword(s):  
Urban Area ◽  
Cross Section ◽  
Drilling Tool ◽  
Drill Stem ◽  
Drilling Tools ◽  
Static Indentation ◽  
Dense Urban Area ◽  
Bored Piles ◽  
Modern Technologies

The parameters of drilling boreholes (including depth, diameter, angle of borehole inclination, cross-section) that are currently used for the making bored piles under the conditions of dense urban area, have been considered. The review about modern technologies of drilling boreholes used for making bored piles has been prepared. The updated classification of drilling technologies used for the making bored piles, which taking into account the nature of the removal of the destroyed rock and the movement of the drilling tool, the type of drilling tool, as well as the method of mounting the borehole walls, has been proposed. The classification, according to the nature of removal of the destroyed rock, distinguishes technologies providing or not providing the removal of destroyed rock. According to the nature of movement of the drilling tool, the rotary, shock and vibration technologies, as well as a static indentation technology, can be identified. According to the type of drilling tools, the classification divides methods into hollow drill stem with sacrificial drill bit and soil compactor and displacement tools with a starter auger section, augers, drilling buckets, core barrels, belling buckets, roller, impact and three-way bits, grabs. According to the methods of well casing, the technologies can be divided into the ones, allowing and not allowing the casing of well.

scholarly journals The Application of Downhole Vibration Factor in Drilling Tool Reliability Big Data Analytics—A Review

2018 ◽  
Vol 5 (1) ◽  
Author(s):  
Yali Ren ◽  
Ning Wang ◽  
Jinwei Jiang ◽  
Junxiao Zhu ◽  
Gangbing Song ◽  
...  
Keyword(s):  
Big Data ◽  
Data Analytics ◽  
Big Data Analytics ◽  
Future Research ◽  
Maintenance Planning ◽  
Drilling Tool ◽  
Operation Conditions ◽  
Drilling Tools ◽  
Drilling Operations ◽  
Field Reliability

In the challenging downhole environment, drilling tools are normally subject to high temperature, severe vibration, and other harsh operation conditions. The drilling activities generate massive field data, namely field reliability big data (FRBD), which includes downhole operation, environment, failure, degradation, and dynamic data. Field reliability big data has large size, high variety, and extreme complexity. FRBD presents abundant opportunities and great challenges for drilling tool reliability analytics. Consequently, as one of the key factors to affect drilling tool reliability, the downhole vibration factor plays an essential role in the reliability analytics based on FRBD. This paper reviews the important parameters of downhole drilling operations, examines the mode, physical and reliability impact of downhole vibration, and presents the features of reliability big data analytics. Specifically, this paper explores the application of vibration factor in reliability big data analytics covering tool lifetime/failure prediction, prognostics/diagnostics, condition monitoring (CM), and maintenance planning and optimization. Furthermore, the authors highlight the future research about how to better apply the downhole vibration factor in reliability big data analytics to further improve tool reliability and optimize maintenance planning.

scholarly journals Análise financeira de sistemas de produção para novilhas em pastagem de Brachiaria brizantha

2015 ◽  
Vol 64 (246) ◽  
pp. 123-130 ◽  
Author(s):  
A. A. C. O. Peres ◽  
A. A. Santos ◽  
C. A. B. Carvalho ◽  
N. Brandalise
Keyword(s):  
Production System ◽  
Financial Risk ◽  
Net Present Value ◽  
Production Systems ◽  
Cash Flows ◽  
Economic Feasibility ◽  
Present Value ◽  
Savings Accounts ◽  
Return On Capital ◽  
Mineral Mixture

The objective was to determine the economic feasibility and financial risk of different production systems for dairy heifers grazing on Xaraes pallisadgrass pasture, during the year, with roughage supplementation of sugarcane, during the autumn-winter and the supply of mineral mixture (commercial and selective). Each production system was characterized and quantified in accordance with the administrative and livestock realized during the period February 2006 to March 2008. The cash flows were constructed for production system in a horizon of 12 years, being applied discount rates of 6, 10, 14, 18 and 22 % per year. About the cash flows were determined economic indicators of profitability: net present value and internal rate of return. The sensitivity and financial risk analyzes were realized. The production systems showed positive net present value at a discount rate of 14 % per year, which reflects the return on capital invested, compared to savings accounts. The trading price of the heifer is the item of greatest influence on economic results. The production systems had low financial risk of becoming unviable, given the price fluctuations that occurred in the market. The production systems are financial viable to exploration.

scholarly journals Fatigue detection and analysis of drilling tools based on metal magnetic memory method

2021 ◽  
Vol 2045 (1) ◽  
pp. 012010
Author(s):  
J W Zhang ◽  
J C Fan
Keyword(s):  
Oil And Gas ◽  
Horizontal Wells ◽  
Magnetic Memory ◽  
Metal Magnetic Memory ◽  
Drilling Tool ◽  
Internal Corrosion ◽  
Drilling Tools ◽  
Drill Pipes ◽  
External Corrosion ◽  
Metal Magnetic Memory Method

Abstract With the vigorous development of offshore oil and gas resources in the world, underwater extended reach horizontal wells have been widely used. However, due to the complicated stress and serious corrosion of drill pipes in horizontal wells, drill pipes are vulnerable to damage. After a period of service at sea, some drill tools will be placed in coastal areas for a long time. The cumulative fatigue of drilling tools is not easy to master. In the past year or two, drilling tool failure has become more and more frequent. In order to evaluate the fatigue of drilling tools in different periods and master the quantitative fatigue of drilling tools, the metal magnetic memory method has its unique advantages in detecting the stress concentration and early damage of ferromagnetic materials. The self-developed metal magnetic memory detection device is used to detect the drilling tools in the drilling tool base. The results show that the gradient peak value and ladder are used to detect the drilling tools in the drilling tool base. The average degree can be used to classify the fatigue of drilling tools, and the metal magnetic memory method is more than sensitive to various defects of drilling tools, such as penetration, internal corrosion, external corrosion, wall thickness thinning, etc.

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