Case study: Colombia

AquaCUT RPM significantly reduced
water cut in mature, high-permeability
field creating $millions in extra value
An operator in Colombia had a maturefield with sandstone formation, highwater cut (above 90 percent in somewells), and depleted formations withreservoir pressure gradients close to
0.25 psi/ft. They wanted to find asolution to keep oil production andprofitability even in long, perforated
intervals with variable permeabilities(from 500 mD to 3,000 mD) andaverage temperatures of 180˚F.
Lithological logs showed the reservoir
had intercalations of sand and shale.

Initially, permeability baselines weremeasured obtaining an absolutepermeability (K) of 2,353 mD.

The operator reached out to Baker
Hughes, who suggested AquaCUT™
relative permeability modifier (RPM).
AquaCUT RPM is a subsurface water
conformance product that decreases
the water cut in mature sandstone
wells, reducing associated processing
and disposal costs while also
extending the productive life of thewell. By selectively targeting only thewater phase of produced fluids,
AquaCUT RPM products reduce theamount of produced water with no
impact on hydrocarbon production. In
the presence of oil, the AquaCUT RPM
components deform and minimize therestriction of the formation pore throat,allowing oil or gas to flow unimpeded.
Alternatively, in the presence of water,
the water-wetting polymer expands,
filling the pore throats which increases
the resistivity of water flow.

Hydrocarbon production improved on
average by 43 percent, with somewells up to 100 percent increase
compared to pre-treatment
production. None of the wells treatedwith Aquacut RPM presented reduction
on hydrocarbon production.

For the qualification process, coreflooding tests were performed onplugs in conjunction with thecustomer's technical representatives.

A total of 30 wells were treated withAquaCUT RPM within the field. Someof the wells were also stimulated
and re-perforated.
Water production decreased by anaverage of 200 BWPD, with decreasesof up to 900 BWPD in some wells. An
average 12 percent reduction wasobserved among all wells treated.

Water cut was decreased by 55
percent in wells where AquaCUT RPM
was applied through matrix-type
pumping or as a pre-pad stage inhydraulic fracturing.
Additionally, field production history
has demonstrated sustainable water
reduction for more than two years
post treatment.
On average, the value created to thecustomer, in terms of NPV, only due tothe extension on the well economic life
generated by the water reduction, wasestimated at $3.5M USD per well withROII of 902 percent. Extrapolating theaverage NPV for the 30 wells treated,
the total value created was as highas $105M USD.

Challenges• Keep oil production and profitability
in a mature field with high water cut(above 90 percent in some wells)• Depleted formations with pressure
gradients close to 0.25 psi/ft• Long perforated intervals andvariable permeabilities (from 500 mD
to 3000 mD)

Results• Decreased water production by anaverage of 200 BWPD (12 percent),
with decreases up to 900 BWPD insome wells• Improved hydrocarbon production
an average of 43 percent, anddoubled production in some wells• Continues to maintain water
reduction results two years
post treatment• Value creation for customer attributed
exclusively to extension on welleconomic life due to water reduction
was estimated at $3.5M USD per wellwith ROII of 902 percent• Value creation for customer also
considering the average increase inhydrocarbon production wasestimated in $9.6M USD per well withROII of 1,493 percent

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Besides the water reduction, also
considering the increase in the oilproduction presented by some of thewells, the value created in terms ofNPV was estimated at $9.6M USD per
well, on average. Considering thatabout 60 percent of the wells treatedwith Aquacut within the fieldpresented water reduction andincrease in oil production, the totalvalue created for the field in terms of
NPV was as high as $215M with ROIIof 1,493 percent.

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