Canadian Coiled Tubing Horizontal Drilling: Technology And Applications
Authors: Hatala R. , Olanson M. , Davis P. 
Published: March 2010

Canada has played a prominent role in the development of horizontal drilling technology. To date, over 1,400 "grassroots" and "re-entry" wells have been drilled. Although other countries have experienced greater numbers of wells, the number of different types, varieties, and formations tested with this technology in Canada is unparalleled. Due in part to the exponential growth of horizontal well applications since the mid-1980's, coiled tubing CCT) technology in Canada has been adapted and evolved for more traditional uses such as horizontal well stimulation, evaluation, workovers, and clean-outs. The principal nontraditional aspect of CT is its use in drilling operations.

This paper will deal with the current state and recent advances in CT horizontal drilling in Canada, A brief historical perspective will be presented that highlights Canada's presence as a pioneer in CT drilling and documents its evolution from vertical re-entries dating back to 1974, grassroots vertical wells in 1976, to the industry's current efforts at vertical and horizontal CTD.

The principal Canadian service companies are reviewed in terms of present capabilities in CTO applications and the perceived driving forces that are stimulating the development of this emerging technology. The key factors such as diameter and fatigue life of the coil, length limitations, bottom hole assemblies, surveying methods and the economic and market factors affecting CTO relative to more conventional drilling techniques are reviewed.

Finally, the future technological, market and economic developments necessary for the successful implementation of CTO for grassroots vertical and horizontal well re-entry projects are suggested.

Introduction

The exponential growth in the number of horizontal well applications in Canada and internationally over the past eight years has led to a relatively rapid development of both personnel and equipment to enhance the horizontal drilling method of exploiting existing oil and gas pools.

In Canada, there are an estimated 70,000 producing wells: 40,000 gas wells and 30,000 oil wells. Recently, the National Energy Board (NEB) presented a study on horizontal oil wells and their impact on future crude oil supply in Canada. They estimated that there is a potential market of over 12,000 horizontal wells that can be economically drilled within 1,800 oil pools at a market price of $20 US/Bbl. Of these 12,000 wells, 5,000 were believed to be grassroots in nature (1 I 100 have been drilled to date) while 7,000 were horizontal re-entries through existing cased wells (300 have been drilled to date). Of the 6,700 remaining re-entries, the competition for services will be between slim hole (less than or equal to 6–1/4 in. hole size) conventional drilling systems using drilling rigs or modified service rigs and coiled tubing drilling (CTD) technology. Add to this potential market vertical deepenings, horizontal lengthenings and grassroots wells coupled with increasing interest in horizontal exploitation of gas pools, and the development of CTD appears to be poised for exponential growth in Canada over the next five years.

Some of the questions that will be addressed during the course of this paper are: