Transcript Slide 1

When you know the code the secret to enhanced wellbore integrity is revealed.

Enhancer 923 ™ Cement Agent

Cementing Challenges During Drilling

 Formation Interaction  Reduce/Eliminate Formation Damage That Can Reduce Recovery  Reduce Fluid Losses to the Formation  Prevent fluid influx from the formation (i.e. gas migration)  Avoid possible communication in the annulus  Free water on high side of deviated or horizontal wells  Decrease the need for remediation due to cement fallback © 2010 Halliburton. All Rights Reserved.

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Cementing Challenges During Completion

 Resist failure and maintain isolation throughout the high pressures of hydraulic fracturing and drawdown during production  Control the direction of stimulation treatments  Avoid communication between fractures  Optimize fracture direction / placement  Enhance control over fracture initiation so that placement and size reflect the stimulation design © 2010 Halliburton. All Rights Reserved.

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Cementing Challenges During Production

 Withstand stress loads brought on by cyclic loading and/or annular deformation  Prevent water cut  Avoid reduction in hydrocarbon production  Avoid management, treatment and disposal costs of unwanted produced water  Avoid lost gas (gas wells)  Contain gas in a manner that enables maximized extraction  Avoid environmental hazards / operational issues © 2010 Halliburton. All Rights Reserved.

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Cement System with Enhancer 923™ Agent Key Attributes

 Enhanced early compressive strength  Greater free water control  Reduced API fluid loss

Enhancer 923 agent is locally sourced requiring slurries engineered for location-specific applications.

© 2010 Halliburton. All Rights Reserved.

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Cement System with Enhancer 923™ Agent Early Compressive Strength Development

Conventional vs. with Enhancer 923 Cement Agent Comparison at 12 Hours Conventional 14.5 lb/gal With Enhancer 923 agent Conventional 13.8 lb/gal With Enhancer 923 agent 200 °F BHST 205 °F BHST Conventional 15 lb/gal With Enhancer 923 agent Conventional 14.2 lb/gal With Enhancer 923 agent Conventional 15.8 lb/gal With Enhancer 923 agent 102 °F BHST 177 °F BHST 175 °F BHST Conventional 13.2 lb/gal With Enhancer 923 agent 225 °F BHST 0 200 400 600 800 Pounds per Square Inch (PSI) 1000 1200

Enhancer 923 agent is locally sourced requiring slurries engineered for location-specific applications.

© 2010 Halliburton. All Rights Reserved.

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Fluid loss

Cement System with Enhancer 923™ Agent Decreased Free Water

Free Water Conventional Cement System vs. Cement System with Enhancer 923 Cement Agent Conv. Slurry 16.4 lb/gal Enhancer 923 Slurry 16.4 lb/gal 0 5 10 Milliliters 15 20 25

Enhancer 923 agent is locally sourced requiring slurries engineered for location-specific applications.

© 2010 Halliburton. All Rights Reserved.

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Cement System with Enhancer 923™ Agent Reduced Fluid Loss

Fluid loss API Fluid Loss Conventional Cement System vs. Cement System with Enhancer 923 Cement Agent Conv. Slurry 12 lb/gal Enhancer 923 Slurry 12 lb/gal Conv Slurry 13 lb/gal Enhancer 923 Slurry 13lb/gal 0 100 200 300 Fluid Loss: cc/30 min.

400 500 600

Enhancer 923 agent is locally sourced requiring slurries engineered for location-specific applications.

© 2010 Halliburton. All Rights Reserved.

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Cement System with Enhancer 923™ Agent Field Comparison

  Previous Tight Gas Cementing Solution  Lead  Density = 12.5 lb/gal   Yield = 1.95 cu.ft/sk Water Requirement = 10.62 gal/sk  Tail    Density = 13.5 lb/gal Yield = 1.7 cu.ft/sk Water Requirement = 8.06 gal/sk Lab Results-Previous Solution  Free Water  0% at 45o angle (lead & tail)  Fluid Loss  930 API (lead)  219 API (tail)  Compressive Strengths @ 170 o F  24 hr = 255 psi (lead)    72 hr = 637 psi (lead) 24 hr = 796 psi (tail) 72 hr = 1433 psi (tail)  Cement System with Enhancer 923 Agent*  25% Enhancer 923 Agent by weight in the slurry  Lead & Tail are same density  Yield = 2.49 cu.ft/sk to 1.96 cu.ft/sk  Water Requirement = 13.96 gal/sk to 9.96 gal/sk  Lab Results   – 12 lb/gal Cement System with Enhnacer 923 Agent* Free Water 0% at 45o angle (12 lb/gal and 13 lb/gal)  Fluid Loss  117 API (12 lb/gal)  129 API (13 lb/gal)  Compressive Strength @ 170 o F  24 hr = 470 psi (12 lb/gal)    72 hr = 721 psi (12 lb/gal) 24 hr = 740 psi (13 lb/gal) 72 hr = 1120 psi (13 lb/gal)

*Results are from the total cement system design, a design that included Enhancer 923 agent. Enhancer 923 agent is locally sourced requiring slurries engineered for location-specific applications.

© 2010 Halliburton. All Rights Reserved.

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Cement System with Enhancer 923™ Agent Field Comparison

Previous Slurry Rheologies 80 ° F

RPM

600 300 200 100 60 30 6 3 Agent Slurry Rheologies* 80 ° F

RPM

600 300 200 100 60

Dial RPM

36 600 20 300

Dial

54 130 ° F

RPM

600 32 300 18 200 22 200 14 100 14 100 14 60 10 60 13 30 8 30 12 6 5 6 11 3 5 3 30 6 3

Dial

23 10 8 7 6 6 5 4

A single cement blend with Enhancer 923 Agent replaces two-stage cementing RPM

130 ° F 600 300 200 100 60 30 6 3

Dial RPM

95 600 85 300 83 200 78 100 69 60 63 30 27 6 16 3

Dial

35 21 18 17 17 17 9 7

A single cement blend with Enhancer 923 Agent replaces two-stage cementing Dial

52 28 21 13 9 6 3 1

RPM

170 ° F 600 300 200 100 60 30 6 3

RPM

170 ° F 600 300 200 100 60 30 6 3

Dial RPM

132 600 131 300 119 200 112 100 106 60 62 30 20 6 15 3

Dial

43 32 28 26 26 25 17 12

A single cement blend with Enhancer 923 Agent replaces two-stage cementing Dial

58 33 24 15 10 7 2 1

*Results are from the total cement system design, a design that included Enhancer 923 agent. Enhancer 923 agent is locally sourced requiring slurries engineered for location-specific applications.

© 2010 Halliburton. All Rights Reserved.

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Previous Tight Gas Slurry – Static Gel Strength (SGS) Development – Field Data

© 2010 Halliburton. All Rights Reserved.

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Cement System with Enhancer 923 ™ Agent –12 lb/gal Static Gel Strength (SGS) Development – Field Data 600 500 400 300 200 100 0

0:00:00 0:18:00 0:36:00 0:54:00 1:12:00 1:30:00 1:48:00 2:06:00 2:24:00 3:04:00 3:22:00 3:40:00 3:58:00

Time

*Results are from the total cement system design, a design that included Enhancer 923 agent. Enhancer 923 agent is locally sourced requiring slurries engineered for location-specific applications.

© 2010 Halliburton. All Rights Reserved.

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Cement System with Enhancer 923 ™ Thickening Time – Field Data Agent –12 lb/gal

*Results are from the total cement system design, a design that included Enhancer 923 agent. Enhancer 923 agent is locally sourced requiring slurries engineered for location-specific applications.

© 2010 Halliburton. All Rights Reserved.

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Previous Tight Gas Slurry – Field Data

© 2010 Halliburton. All Rights Reserved.

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Cement System with Enhancer 923™ Agent Field Data

*Results are from the total cement system design, a design that included Enhancer 923 agent. Enhancer 923 agent is locally sourced requiring slurries engineered for location-specific applications.

© 2010 Halliburton. All Rights Reserved.

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Cement System with Enhancer 923™ Agent Benefits

 Improves performance with light-weight slurries    Lower Specific Gravity Higher Surface Area Enhanced Slurry Stability  Cost efficient, higher performing slurries  Single bulk blends  Field-adjustable density for lead and tail slurries  Can eliminate use of two-stage tools reducing cost and risk

Enhancer 923 agent is locally sourced requiring slurries engineered for location-specific applications.

© 2010 Halliburton. All Rights Reserved.

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Cement System with Enhancer 923™ Agent Field Results

Challenge: Tight Gas wells / Colorado  Avoid gas migration issues common to conventionally cemented wells in the area  Dramatically improve cement bond logs over previously logged wells in the area Solution: Deliver a fine-mesh slurry with Enhancer 923 Agent  Achieved early compressive strength eliminating gas channeling Results: Cost savings of ~US$60K  Single-stage cementing operation eliminated the need for a stage tool  Excellent cement bond logs indicated no voids from gas flow, improved bonding to casing and the formation

Enhancer 923 agent is locally sourced requiring slurries engineered for location-specific applications.

© 2010 Halliburton. All Rights Reserved.

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Cement System with Enhancer 923™ Agent Field Results

Challenge: Coalbed Methane (CBM) / New Mexico  Weak zones above and below the CBM seam  Avoid common need for remedial services in the area due to cement fall back after achieving top of cement Solution: Cement System with Enhancer 923 Agent   Control over fluid loss Immediate gel strength Results:  Remedial cementing was eliminated  Cement bond logs significantly improved over conventionally cemented offset wells

Enhancer 923 agent is locally sourced requiring slurries engineered for location-specific applications.

© 2010 Halliburton. All Rights Reserved.

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Cement System with Enhancer 923™ Agent Advantages Summarized

    Cost efficient higher performing light-weight slurry  Lightweight cement optimized for low-temperature compressive-strength enhancement  Can enhance static gel strength development Increased free-water control & reactivity due to high surface area of the cement particles  Lower Specific Gravity   Higher Surface Area Fewer sacks blended on location Compatible with all:  Currently used cementing additives  Classes of Portland cement or commonly used ASTM cements One system blend  Single slurry design with field-adjustable densities for lead and tail slurries can replace two-stage cementing  Eliminates the need for a two-stage tool

Enhancer 923 agent is locally sourced requiring slurries engineered for location-specific applications.

© 2010 Halliburton. All Rights Reserved.

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Cement System with Enhancer 923™ Agent Key Attributes

 Enhanced early compressive strength  Greater free water control  Reduced API fluid loss

Enhancer 923 agent is locally sourced requiring slurries engineered for location-specific applications.

© 2010 Halliburton. All Rights Reserved.

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