Case Studies

Case Study # 1 - Value-Added and Reduced Environmental Impact

Objective: Determine critical desorption pressure, pressure drawdown and gas content on eight wells to determine economic feasibility. The customer had only two dewatering permits and needed to select the most economic wells to develop.

WellDog performed the Critical Gas Content™ service on each well shown. WellDog’s analysis determined:

Wells A, B and C would take about 15 to 16 months of water disposal before producing gas
Wells D and E were better production targets
Wells on coal seam #2 were uneconomic and would not produce gas or contribute to overall reservoir dewatering

As a result of WellDog’s analysis, the customer moved their water disposal permits to Wells D and E and cancelled the water disposal system for wells A, B and C.

Result: WellDog saved the customer an estimated $0.800MM by moving their two water permits. Wells D and E dewatered in five to six months, producing gas 10 months sooner than the customer’s original plan. Additionally, the customer elected not to develop coal seam #2 after WellDog’s tests indicated the seam was uneconomic.

Case Study # 2 - Value-Added and Risk Management

Objective: Determine economic viability of four coal seams.

WellDog performed the multi-seam analysis service on each of four seams and determined:

The largest and primary target seam (#3) had low gas concentration and saturation and high pressure drawdown and was therefore uneconomic
Seam #1 was uneconomic
Seam #2 was the most economic and should be developed first
Seam #4 had good gas content but was thin and should be developed later in the life of the field

Result: WellDog helped re-prioritize seam development and identified uneconomic seams. This saved the costs of poor coal seam completions and accelerated revenues from the early gas production from seams 2 and 4.

Case Study # 3 - Increased ROI

Objective: Perform a “look back” study to determine how WellDog’s services would have affected cash flow.

Using information from 125 wells in Helper Field (Uinta Basin), reconstruct field development if WellDog services had been utilized.

Results: Using WellDog would have resulted in an earlier payout and improved cash flow as shown in the graph below. Ultimately, fewer wells would have produced more gas, more quickly.

Case Study # 4 - Show Heterogeneity of Coals

Objective: Determine heterogeneity across multiple wells and seams.

WellDog conducted tests on multiple wells across multiple coal seams in the Powder River Basin.

Results: The graphs below show heterogeneity in gas content across the wells and seams and indicate the variability that will occur in a field. These results clearly show the importance of performing analysis on multiple wells in order to create a field development plan.

Case Study # 5 - Predicting Production and Economics

Objective: Determine economics of wells, including pressure reduction needed to produce gas.

WellDog performed Critical Gas Content™ and determined:

Well #1 was 3 psi to first gas production (Initial pressure was 136 psi).
Well #2 gas content and pressure drawdown indicated an economic well.

Result: The customer reversed their decision and continued to produce Well #1. Well #2 was considered economic due to gas content and pressure drawdown and customer proceeded with development.

Case Study # 6 - Regional Mapping to Determine Optimum CBM Fairway

Objective: Obtain an understanding of the area to be developed to identify the most attractive CBM development areas.

WellDog constructed regional isopleth maps showing gas content, desorption pressure, required pressure drawdown and coal top structure.

Result: The maps showed that a complete analysis (all four interpretations) must be considered when planning field development due to variability across the field. Conventional wisdom would have directed development into a different area than what was determined by the isopleths below.