Introduction to Petroleum Engineering

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DrillingOperations.pdf

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

PTRE 201

Introduction to Petroleum Engineering

Drilling Preliminaries

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Lecture Outline

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• Phases in an oilfield life cycle

• Different types of wells drilled in each phase

• An overview of the activities before drilling operations start

• National and international agreements involved in drilling projects

• Governmental regulations

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

1. Exploration: Involves geological, geochemical and geophysical surveys

2. Appraisal: Preliminary development planning, feasibility studies

3. Development: Capital-intensive investments for operational infrastructure

4. Production: Starting to produce hydrocarbon

5. Abandonment: Decommissioning of facility installations

Oilfield Life Cycle

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

• Geoscientists predict where the oil and gas occur.

– Geology: Structural and stratigraphic studies

– Geochemistry: Chemistry of petroleum and its sources

– Geophysics: Gravity, magnetic and seismic methodologies

• Existence of a working petroleum system is proved.

– Preliminary business and economic planning

– Define the optimal drilling location

• Drilling starts after all

» geological,

» economic,

» political and

» environmental

conditions are considered and evaluated.

Exploration Phase

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

• WildCat Wells

– Drilled in an unexplored and unproven area  Might be “Dry Hole”

• Exploratory wells

– Assess if a prospect comprises commercial amounts of hydrocarbon

• Appraisal (step out, delineation) wells

– Determine the size of the field

– Assess the viability of the reservoir

• Developmental wells

– Drilled in the known extent of the field to produce the hydrocarbon

• In-fill wells

– Drilled within the original drilled well patterns

Well-Type Classification

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

• The most expensive component in exploration and field development.

• A multidisciplinary project:

– Operating company

– An outside drilling contractor

– One or more service companies

• Health, safety and environmental (HSE)

Drilling Engineering Group Activities:

– Detailed well design, drilling rig selection

– Contractor evaluation and bid requests

– Risk assessment

– Ensuring safe, economic and on schedule operations

Drilling Operations

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

• In most countries, all mineral resources belong to the government

• In the United States and parts of Canada, private land has two separate ownerships:

– Surface rights owner

• Can build a house, ranch, or farm on the land

– Mineral rights owner

• Can explore for and produce the gas and oil found on their land

Land Rights

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Lease

A legal document that grants the right to explore, drill and produce oil and gas during the life of the lease.

Signing Bonus

An up-front payment to the owner for granting the lessee a right to explore the property for a limited period of time.

– No exploration or no marketable hydrocarbon  Lease expires

– Commercial amounts of hydrocarbon  Lease is automatically extended

Royalty

A fraction of the gross revenue from production paid to the owner.

Exploration Lease

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Concession Agreement

• Full control over exploration and production

• Liable for the entire costs and risks

• Pay bonuses, taxes, and royalties to the host country

Production-Sharing Contract

• Full control over exploration and production

• Liable for the entire costs and risks

• An agreed share of the gross production (cost oil) goes towards the costs.

• The remaining production (profit oil) is split between the company and the host country

Service contract

• Contractor is paid a fee for specific services

Production contract

• Contractor takes over an existing or underdeveloped field to improve production

• Portion of the increased production paid to the contractor

Foreign Contracts

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Joint Operating Agreements

• A single well or the development of a larger area

• Reduce the financial impact of a dry hole

• Cost share and production shares are defined and agreed

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Support (Contribution) Agreement

Dry hole agreement

• Cash contribution towards a dry hole

• Receives the geological and drilling information

Bottom hole agreement

• Cash contribution to a certain well depth

• Receives the geological and drilling information

Acreage contribution agreement

• Property lease or interest contribution

• Receives the geological and drilling information

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Drilling Contracts

Footage drilling contract

• Based on cost per foot to drill down to contract depth

Daywork contract

• Based on a cost per day to drill down to contract depth

Turnkey contract

• An exact cost to drill down to the contract depth

Combination contract

• Footage rate to a certain depth and daywork rate below that

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Government Regulations Drilling Spacing Unit (DSU)

• A legally described boundary (a square or a rectangle area) around each well

• Typically 40 or 80 acres for oil wells and 640 acres for gas wells.

• Depends on the oil viscosity and reservoir permeability.

• Well can be off center but cannot be located on the edge.

Allowable

• The maximum amount of production allowed from a single well, lease, or field during a specific unit of time.

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Drilling Plan

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Authority for expenditure (AFE)

Drilling Prognosis

Drilling engineers & contractors

Technical aspects Expected drill time Cost estimate

Drilling permits acquired

Lease is secured

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Site preparation

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Site is cleared of vegetation and leveled

Below-ground-level cellar is excavated Reserve pit and settling pits for water

or drilling fluid (mud) discharges

Pad for the drilling rig and other equipment is constructed

Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Rigging Up

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Rig Crew

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• Company man/Rig Supervisor

• Tool Pusher

• Driller

• Derrick man

• Floormen (Rotary helpers, roughnecks)

• Mud Engineer (Mud Logger)

• Mechanics & Electricians

Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Typical Rig Site

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Power

Pipe Racks

Drill Rig

Mud System

Personnel Quarters

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei 19

Mud System

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

PTRE 201

Introduction to Petroleum Engineering

Drilling Mechanics

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

History of Drilling

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Cable Tool Rigs

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• Derrick

• Engine

• Drilling Cable

• Drill Stem

• Drill bit

• Bailer

Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Cable Tool Rigs

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Advantages:

• Suitable for remote settings

• Low fuel consumption

• Low capital investment and cheap maintenance

• Efficient use of personnel

• Simple design

Disadvantages:

• Very slow

• Rock chips remain in the hole

• Limited to vertical holes

• Suitable for shallow depths

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Rotary Drilling Rigs

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

• Hoisting System

• Rotary System

• Fluid Circulating System

• Power System

• Well Control System

• Well Monitoring System

Rotary Rig Components

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Hoisting system

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• Derrick

• Draw works

• Fast line

• Crown block

• Travelling block

• Dead line

• Deal line anchor

• Storage reel

• Hook

Derrick

Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Hoisting System

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

The Rotating System

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– Swivel

– Kelly

– Kelly Bushing

– Master Bushing

– Rotary Table

Drill String Rotates Rotates

Bit

Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

• Rotary Table: Spinning section of the drillfloor

• Master Bushing: Receives the rotational momentum

• Kelly Bushing: Transfers the rotation to the Kelly

Rotary Mechanism

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

• Developed in the 1970s

• Becoming very popular

• More efficient than

conventional rotary systems

Top Drives

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Drill String

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• Transmits the rotational movement to the drill bit

• Transmits drilling fluid (via the mud pumps)

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Drill Pipe Connection

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Environmentally Friendly Drilling Systems

Virtual Tour of a Drilling Rig

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Drill Pipe Connection

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Drill Bit

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• Located at the bottom of the drill string

• Breaks up & dislodges the formation rock

• Common diameters of 3 3/4 to 26 in

• Rotating at a rate of 50-100 rpm

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Blade Bits (Drag, Wing, Fishtail Bits)

– Unconsolidated formations

– Cuts the rock by shearing force

Tricone Bits

– Cuts by crushing and chipping

• Milled teeth – Long toothed for soft formation

– Short toothed for medium hard formations

• Insert or button type – Tungsten carbide implanted on the cone

Drill Bit Types

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Polycrystalline Diamond Compact Bits

• Man-made polycrystalline diamonds attached to the carbide inserts

Diamond Bits

• Industrial diamonds implanted on bit

• Extremely hard formations

• 40-50 times harder than steel bits

Drill Bit Types

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Drill Bits

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

• Drilling Fluid

• Drilling fluid pumps

• Mud pits

• Compressors

• Mud mixing equipment

• Solid removal equipment

The Circulating System

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De-sander and De-silter)

Mud Pump

De-gasser

Vibrating mesh screens (shale shaker)

Mud Mixer

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Drilling mud is a mixture of clay with:

• Water (water-based)

• Oil (oil-based)

• Oil and water (emulsion mud)

• Water & a synthetic organic matter (synthetic-based)

Purpose:

• Cool and lubricate the drill bit

• Remove debris and cuttings

• Stabilize the well wall

Drilling Mud

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Drilling Mud

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Underbalance Drilling

Mud hydrostatic pressure < Formation pressure

• Reservoir fluids flow into the wellbore

• Sides of the well to cave in

• Equipment trapped

• Blowout

Overbalance Drilling

Mud hydrostatic pressure > Formation pressure

• Prevent reservoir fluids from entering wellbore

• Drilling mud is forced into the surrounding rocks

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei 23

Circulating System

Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

The Power System

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Depending on the size of the rig and the drilling depth, one or more diesel engines supply the power to the rig.

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Well Monitoring and Control Systems

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Well Monitoring System:

• Sensors, gauges, indicators, alarms

Well Control System:

• Detect, stop and remove undesired formation fluid in the borehole.

Kick: Undesired entrance of formation fluid into the borehole

Blowout: Uncontrolled release of formation fluids from the well to the surface

Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Seal, control and monitor wells to prevent uncontrolled release of formation fluids from the well.

Blowout Preventer (BOP)

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei 27

Well Control

BOP

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

PTRE 201

Introduction to Petroleum Engineering

Drilling Problems

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Drilling Problems

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• Junk in hole

• Stuck Pipe

• Lost Circulation

• Formation Damage

• H2S Embrittlement

• Kick and Blowout

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Fish in the Hole

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• Very time consuming and

costly for the operator.

• A side track or a new

borehole may be necessary.

Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Fishing Tools

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Wireline spear

Impression block (a weight with soft lead or wax on the bottom)

Washover pipe (washpipe)

Tapered mill reamer Junk mill

Magnets

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Drill String Twist Off

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Causes:

• Rough pipe handling

• Faulty drill string

• Improper torque and stress

• Damage on the drill string

Diagnosis:

• Loss of drill string weight

• Lack of penetration, increased rotary speed

• Reduced pump pressure, increased pump speed

Spear: fits into and grips the inside of the pipe

Overshot: Fits and grips the outside of the pipe

Overshot

Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Mechanical Sticking

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• Inadequate hole cleaning

• Unconsolidated formations

• Sloughing shale

• Hole Geometry

• Ledges: Soft rock above and

below the hard rock washed out

• Key seating: The drill pipe wears

a groove in the side of the well

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Mechanical Sticking

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Stuck Pipe

Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Mechanical Sticking

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• Locate the stuck point using a stuck-point indicator tool or stuck-pipe log

• Back off: Unscrew the free section of the drill string

• Cut above the stuck point:

- Chemical cutter: Hydrofluoric Acid

- Jet cutter: Shaped explosive charge

- Severing tool: Powerful explosive

• Use fishing tools to remove the stuck pipe

Back off Video

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Differential Pressure

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ΔP = Pmud – Pformation

Pmud = ρgh

ΔP _

+

Overbalanced Drilling

Underbalanced Drilling

ΔP

Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Differential Pipe Sticking

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Solution

• Reduce hydrostatic pressure

• Pipe release agents to reduce the surface tension

• Sudden movement of the drill string (Jarring)

Source: www.aapgsuez.net

Jarring

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Lost Circulation

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Drilling fluid flow in > flow out

Causes:

• High formation permeability

• Faults and fractures

• Low formation pore pressure

• Drilling fluid characteristics

Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Lost Circulation

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Solution:

• Decreasing circulation rate

• Decreasing mud weight

• Mud additives (fibers, granules)

• Minimizing pressure loss

• Use of casing

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Formation Damage

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• Reduction in formation permeability

- Physical plugging of pores by mud solids

- Migration of fines into pore throats

- Clay swelling in pore spaces

Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Abnormal High Pressure

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Reservoir with large, aerial extent:

Depth increase

 Overburden pressure increase

 Reservoir compacts

 Squeezing fluids out of the pore space

 Normal hydrostatic pressure is maintained

Isolated reservoirs with limited extent:

Depth increase

 Overburden pressure increase

 Seal prevents the fluids to expel from the pore space

 Fluid pressure increases

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Kick and Blowout

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Kick: Undesired entrance of formation fluid into the borehole

Blowout: Uncontrolled release of formation fluids from the well to the surface

Formation fluid

entering the wellbore

Mud pressure is

reduced

Wellbore pressure is

reduced

Indications:

• Out-flow rate increase

• Mud pit volume increase

• Flowing well with pumps off

• String weight change

Causes:

• Insufficient mud weight

• Improper hole fill-up during trips

• Pipe pulling speed

• Lost circulation

Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Kick and Blowout

16Source: Oil and Gas Well Drilling and Servicing eTool, www.osha.gov

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

H2S Embrittlement

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Problem:

• H2S corrodes and weakens the metal

• Diffused hydrogen makes steel brittle

Prevention:

• Using drill string with more resistant steel

• Adding chemicals to the drilling mud

Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Fishing by Downhole Camera

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Downhole Camera

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Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

A Different Type of Fish in the Hole!

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Fish in the Hole

Introduction to Petroleum Engineering Prepared by Dr Minou Rabiei

Embedded Video Links:

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Fishing Animations:

https://www.youtube.com/watch?v=7-WqVgksKtk

https://www.youtube.com/watch?v=o2Ca6pwr0XY

Downhole Camera:

https://www.youtube.com/watch?v=ZzDrheWDhGw