© 2013 halliburton. all rights reserved. baroid high-performance invert emulsion fluid systems

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© 2013 HALLIBURTON. ALL RIGHTS RESERVED. Baroid High-Performance Invert Emulsion Fluid Systems

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© 2013 HALLIBURTON. ALL RIGHTS RESERVED.

Baroid High-Performance Invert Emulsion Fluid Systems

2 © 2013 HALLIBURTON. ALL RIGHTS RESERVED.

Why Baroid?

1925 Filed patent for first barite-based drilling fluid

1930 First mud school

1932 First mud-testing procedures and kit

1939 First mud-logging service

1940s Pioneers service by air and sea

1950s Invents foam drilling technology

1960s Invents oil-based fluid, INVERMUL® system

1970s Develops new fluids for hostile geology

1980s Develops mud loop testing, improves waste management

1990s Pioneers of first biodegradable/synthetic invert drilling fluids

2000s Rolls out first families of clay-free syntheticand high performance water-based fluids

2010s Introduces automated mud monitoring equipment to industry

3 © 2013 HALLIBURTON. ALL RIGHTS RESERVED.

CONSISTENT Quality: Technical and Operational Process

4 © 2013 HALLIBURTON. ALL RIGHTS RESERVED.

BAROID Laboratory Support

Baroid scientists and engineers work with state of the art equipment and an extensive global database in order to perform comprehensive testing analysis on a global scale.

Analytical technical support Bioassay technical support Reservoir and completion fluids

technical services Drilling fluids technical services Industrial drilling products lab Quality assurance Research and development

Baroid’s Laboratory Services include:

5 © 2013 HALLIBURTON. ALL RIGHTS RESERVED.

OPERATOR Challenge

High Temperatures

Non-productive Time

Wellbore Stability

Stuck Pipe

HSE/Compliance

Logistical Costs Reduced ROP

Lost Circulation

Barite Sag

Hole Cleaning

6 © 2013 HALLIBURTON. ALL RIGHTS RESERVED.

Engineered invert emulsion fluids that provide superior performance over conventional inverts

Customized application of organophillic clay and lignite free fluid technology

Diverse family of fluid solutions to provide maximum drilling performance and overall well-bore value

Baroid’s Family of High-Performance Invert Emulsion Fluid Systems

BAROID Solution

7 © 2013 HALLIBURTON. ALL RIGHTS RESERVED.

INNOVERT® - Synthetic/Refined Parafin Invert Emulsion Fluid System

Ideal for deepwater, shelf, and land drilling Stable up to 450º F (232º C) Available for all formation types Meets North Sea regulations

ENCORE® - Olefin Based Invert Emulsion Fluid System

Ideal for deepwater and shelf drilling Stable up to 450º F (232º C) Provides environmental compliance

Baroid’s Family of High-Performance Invert Emulsion Fluid Systems

ACCOLADE® - Ester/Olefin Based Invert Emulsion Fluid System

Ideal for deepwater and shelf drilling Stable up to 300º F (149º C) Exceeds environmental compliance in

GOM

INTEGRADE® - Diesel Based Invert Emulsion Fluid System

Ideal for shelf and land drilling Stable up to 430º F (221º C) Diesel reliability with increased drilling

performance

BAROID Solution

8 © 2013 HALLIBURTON. ALL RIGHTS RESERVED.

Baroid’s high-performance fluid systems are also customized to deliver maximum drilling efficiency in every location and formation type

BAROID SolutionConventional IEF’s

Baroid High-Performance IEF’s

Fluid Design

Organophilic Clay & Lignite 1960’s Clay Technology Higher solids Not tolerant to water flows

and LGS

Fatty Acid & Polymers No organophilic materials Low solids for faster

penetration rates High tolerance to water /

solids contamination

RheologyMore solids & losses = more chemical and base oil used to stabilize fluids

Unique fragile gel structures for lower downhole losses

Cost Higher wellbore construction costs due to lost circulation Lower product and base oil used

Reservoir Performance

Possible formation damage, reduced return permeability

Superior return reservoir permeability

9 © 2013 HALLIBURTON. ALL RIGHTS RESERVED.

Free of organophillic clays

Organophillic clay and lignite are not used in clay-free fluids because they can negatively impact drilling performance and reservoir producibility

Increase rate of penetration Decreased risk of formation

damage Increased production of reservoir

Baroid’s Family of High-Performance Invert Emulsion Fluid Systems

BAROID Solution

10 © 2013 HALLIBURTON. ALL RIGHTS RESERVED.

Robust, yet fragile gel technology

Unique fragile gel structure minimizes surge/swab, to allow: Essentially no sag during

downtime Logging success Easy trips Casing strings run without losses Successful primary cementing Staging is now optional

Baroid’s Family of High-Performance Invert Emulsion Fluid Systems

BAROID Solution

11 © 2013 HALLIBURTON. ALL RIGHTS RESERVED.

Robust, yet fragile gel technology

Although the fluid is heavier, the clay-free system reaches it’s peak more rapidly and flow is initiated almost 30 seconds faster compared to conventional systems Eliminate pressure spikes Reduce risks of lost circulation Adequately clean wellbore

Baroid’s Family of High-Performance Invert Emulsion Fluid Systems

10.2+ Conventional IEF’s12.6+ Baroid HP IEF’s

BAROID Solution

12 © 2013 HALLIBURTON. ALL RIGHTS RESERVED.

Increased Sag Resistance

Baroid’s family of invert emulsion fluids are able to not only provide increased ECD control, but do so without sacrificing hole cleaning efficiency and resistance to barite sag Thinner fluid at higher shear rates to

control pressure Flat viscosity at lower shear rates

forming fragile gels and preventing barite sag

Baroid’s Family of High-Performance Invert Emulsion Fluid Systems

Baroid HP IEF’s

Conventional IEF’s

BAROID Solution

13 © 2013 HALLIBURTON. ALL RIGHTS RESERVED.

Increased Drilling Performance – Organophillic clay-free systems with fragile, yet robust gel strength– Increased ECD control and excellent hole cleaning – Superior return permeability, low lift pressure – Increased penetration rates

Superior Hole Cleaning– Reduced NPT associated with barite sag, lost circulation and ECD

control– Improved logistics and rig space use

Custom Application– Decreased wellbore limitations– Real time response to chemical treatment – Stable performance over a wide temperature and density range– Customized to meet environmental requirements around the world

CUSTOMER Benefits

14 © 2013 HALLIBURTON. ALL RIGHTS RESERVED.

Baroid’s field proven family of engineered, high-performance invert emulsion drilling

fluids are customized for every job to deliver faster drilling in the most challenging drilling

operations while reducing NPT

Drill Faster

Baroid High Performance Invert Emulsion Fluid System

Reduce Risks

15 © 2013 HALLIBURTON. ALL RIGHTS RESERVED.

CASE STUDY: Using ACCOLADE® System Saved Operator over $491K on 63° SidetrackLocation: Gulf of Mexico

After evaluating a well drilled with a salt/PHPA water-based fluid system, the operator decided to drill a 63° sidetrack to reach target sands at a different angle.

The operator requested a drilling fluid that would help improve formation evaluation by minimizing washout. The selected drilling fluid system would also be required to help minimize risk of stuck pipe in the high-angle

wellbore and provide sufficient wellbore stability to allow the well to be logged and evaluated extensively.

The Baroid team recommended the ACCOLADE® synthetic-based system to help maintain optimal wellbore stability and reduce the risk of stuck pipe or lost-in-hole tools.

During the planning phase, DFG™ hydraulics modeling software was used to determine optimal fluid and drilling parameters for hole cleaning and drilling efficiency.

Drilling was completed without incident and the operator was able to log the well extensively with no complications, including shooting sidewall cores.

Production casing was run to bottom with no problem.

Based on savings earned by avoiding fishing operations and the cost of lost-in-hole tools, switching from the water-based system to the ACCOLADE system saved the operator an estimated $491K.

CHALLENGE

SOLUTION

RESULTS

16 © 2013 HALLIBURTON. ALL RIGHTS RESERVED.

CHALLENGE: The operator was drilling a 63° sidetrack to reach target

sands at a different angle. The operator requested a drilling fluid that would help

improve formation evaluation by minimizing washout, minimize risk of stuck pipe and provide sufficient wellbore stability

SOLUTION: The Baroid team recommended the ACCOLADE®

synthetic-based system DFG™ hydraulics modeling software was used to

determine optimal fluid and drilling parameters

RESULT: Based on savings earned by avoiding fishing operations

and the cost of lost-in-hole tools, switching from the water-based system to the ACCOLADE system saved the operator an estimated $491K.

CASE STUDY

CASE STUDY: Using ACCOLADE® System Saved Operator over $491K on 63° SidetrackLocation: Gulf of Mexico

17 © 2013 HALLIBURTON. ALL RIGHTS RESERVED.

CASE STUDY: INNOVERT® clay-free high performance, invert emulsion system introduced into Norwegian market, offering an environmental HP/HT drilling fluid solution

Location: North Sea

Expanded environmental regulations in Norway have increased demand for drilling fluid systems that can meet drilling challenges, remaining environmentally acceptable.

This facilitated Halliburton’s introduction of the first clay-free drilling fluid system for the prospect

Baroid fluid engineers developed a program to introduce the clay-free INNOVERT® high-performance invert emulsion system.

To facilitate drilling in the high temperature zone of the 8 ½ section a customized treatment was developed by Baroid at their Tananger Fluids Lab.

ROP was maintained between 40-50 m/hr for the majority of drilling, with a period of ROP at 80 m/hr, with no major downhole losses or hole cleaning issues.

Drilling with the clay-free INNOVERT invert emulsion fluid reduced losses from previous wells by 23%, representing $104,477 USD in cost savings.

In addition, with the development of a certified HP/HT fluid system, resulted in further savings of $372,717 USD for a total well savings of $483,372.53 USD.

CHALLENGE

SOLUTION

RESULTS

18 © 2013 HALLIBURTON. ALL RIGHTS RESERVED.

CHALLENGE: Expanded environmental regulations in Norway have

increased demand for drilling fluid systems that can meet drilling challenges, remaining environmentally acceptable.

SOLUTION: Baroid fluid engineers developed a program to introduce

the clay-free INNOVERT® high-performance invert emulsion system.

RESULT: Drilling with the clay-free INNOVERT invert emulsion fluid

reduced losses from previous wells by 23%, representing $104,477 USD in cost savings.

In addition, with the development of a certified HP/HT fluid system, resulted in further savings of $372,717 USD for a total well savings of $483,372.53 USD.

CASE STUDY

CASE STUDY: INNOVERT® clay-free high performance, invert emulsion system introduced into Norwegian market, offering an environmental HP/HT drilling fluid solution

Location: North Sea

19 © 2013 HALLIBURTON. ALL RIGHTS RESERVED.

CASE STUDY: INTEGRADE® Fluid System Reduces Base-Oil Usage and Increases ROP

Location: US Oklahoma

An operator recently sought a solution to reduce its total fluid cost while drilling in the Cana Woodford in Central Oklahoma.

The original system proved to be a poor solution because it required excessive base-oil usages (between 28,000 and 31,000 gallons of diesel) just to drill the 8-¾-in. production section.

Baroid recommended the use of INTEGRADE® high-performance fluid system to reduce diesel requirements. The INTEGRADE system, 70/30 oil-water ratio, was considered as an option to reduce the amount of diesel that the

customer would have to use, resulting in reduced transportation costs and retention of drilling fluid on the cuttings. The INTEGRADE solution not only reduced the total fluid cost to the customer, but it also aided to increase the

average ROP due to its clay-free nature.

The wells drilled with INTEGRADE fluid system proved to have a higher ROP than the wells drilled with the conventional oil-based system.

This solution successfully reduced the total fluid cost to the customer, thereby lowering average diesel usage by 39%.

Through reduced retention on cuttings and the 9% reduction in transportation costs, the customer was able to save substantially on its overall fluid costs, and an average of $35,000 was saved per well.

CHALLENGE

SOLUTION

RESULTS

20 © 2013 HALLIBURTON. ALL RIGHTS RESERVED.

CHALLENGE: Expanded environmental regulations in Norway have

increased demand for drilling fluid systems that can meet drilling challenges, remaining environmentally acceptable.

SOLUTION: Baroid fluid engineers developed a program to introduce

the clay-free INNOVERT® high-performance invert emulsion system.

RESULT: Drilling with the clay-free INNOVERT invert emulsion fluid

reduced losses from previous wells by 23%, representing $104,477 USD in cost savings.

In addition, with the development of a certified HP/HT fluid system, resulted in further savings of $372,717 USD for a total well savings of $483,372.53 USD.

CASE STUDY

CASE STUDY: INNOVERT® clay-free high performance, invert emulsion system introduced into Norwegian market, offering an environmental HP/HT drilling fluid solution

Location: North Sea

21 © 2013 HALLIBURTON. ALL RIGHTS RESERVED.

CASE STUDY: ENCORE® Clay-Free, Synthetic-Based Fluid Helped Operator Overcome Stuck Pipe and Wellbore Stability Issues in 57° Well in the Gulf of Mexico

Location: Gulf of Mexico

The operator was planning a high-angle development well in a shelf field in the Gulf of Mexico. Previous wells drilled at lower angles with a variety of water-based fluids had experienced wellbore stability

issues, stuck pipe, bit and bottomhole assembly (BHA) balling and slow rates of penetration (ROP).

Based on analysis of the previous wells drilled in the area, Baroid personnel recommended clay-free ENCORE® synthetic-based fluid.

The 13,421-ft interval was drilled with one PDC bit and neither bit nor BHA balling was an issue. The hole remained stable, and after cleaning up the hole, trips were problem-free.

Operational benefits included trouble-free trips, no lost BHAs, and no need to sidetrack for wellbore stability issues.

Based on a spread rate of $210K a day, the 10-day savings in rig time amounted to $2.1M.

CHALLENGE

SOLUTION

RESULTS

22 © 2013 HALLIBURTON. ALL RIGHTS RESERVED.

Product Data Sheets

Sales Data Sheets

Case Histories

RELATED Documents

23 © 2013 HALLIBURTON. ALL RIGHTS RESERVED.

Water Based Fluids

Invert Emulsion Systems

Wellbore Stability

Lost Circulation Materials

Wellbore Clean-Up and Displacement Packages

Breaker Systems for Polymer and Solids Removal

Lost Circulation in Pay Zone Solutions

BAROID Drilling Fluid Solutions

24 © 2013 HALLIBURTON. ALL RIGHTS RESERVED.

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