Quantum Leap TM Downhole Data Acquisition & Nexus MWD Vibration Mitigation. Bo Daniel & Lance Griffith

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1 Quantum Leap TM Downhole Data Acquisition & Nexus MWD Vibration Mitigation 1 Bo Daniel & Lance Griffith

2 Who is Integrity Directional? Integrity Directional is full-service directional technology company with state-of-the-art facilities operating our own fleet of motors, MWD, and data acquisition tools. We are utilizing our experience in every major US basin to provide data driven insights and technology. SOURCE Process of Continuous Improvement Source creates data-driven insights and collaborative improvement efforts to advance our tool fleet & improve directional performance The Source system: Captures clean data Communicates relevant directional activities throughout our organization Monitors tool & personnel performance Identifies areas of continuous improvement 2

3 Downhole Data-Acquisition Sub Quantum Leap The Quantum Leap is a downhole data acquisition sub that connects the rig floor to the bit. Our product delivers a unique downhole data source to accurately describe the drivers of drilling performance that EDR is missing. Are you ready to take the LEAP with us? 3

4 What is the Quantum Leap TM? Quantum Leap Features Unique design fits above the motor to capture ROTOR RPM, Vibration, Pressure, and a host of other measurements Captures data at 1000 Hz and will have realtime capabilities Tailored service delivery that is focused on the specific needs of our partner oil & gas operators 4

5 Quantum Leap TM : Value Generation Currently, drilling optimization insights are limited to qualitative recommendations based on surface data and a small set of downhole data options. Quantum Leap delivers a data-driven optimization process using downhole information to calculate optimized operating conditions to deliver quantitative recommendations QL Data Sub Value for Optimization 5

6 Data is Getting Bigger Management of the 3 Vs of data are critical to delivering fast insights. Integrity performs the legwork needed to transform data into a useful form for our customers. Vibrations 3 V s of Big Data Quantum Leap Burst Data MWD Data Vibrations Modeling 6

7 Measurements General Sampling Rate Configurable from 1 to 60 second Sampling Rate will affect Battery Life Burst Mode If measurement > set threshold set by user, the tool will enter into Burst Mode The waveform will be recorded into memory, the duration of each burst capture will last 15s Tool can also be set to record burst data periodically The burst mode data rate: Vibrations: 200 to 1000Hz configurable 7

8 Parameter Based Vibration Analysis Lateral Application Case Study Axial RPM & WOB parameters have an effect on multiple modes of vibration Tangential High Vibration windows associated with RPM & WOB parameter ranges Lateral 8

9 Vibration Performance Investigation QL Lateral Run Selected Data where: Vib (X) > 7 G Vib (Z) > 2 G Looking for unique combination of RPM vs WOB that creates dysfunction Data falls in the middle of the normal operating ranges pointing to a different cause 9

10 End of Well Vibrations Final Slide Vibrations occur in the final 500 of the well Began following a slide Reduced ROP with same parameters after slide ROP control set at surface to save bit to finish well. Did this lead to vibration damage? 50 FPH ROP Drop ROP Limited

11 Single Stand Analysis - RPM Step Test 11 Interval of Interest 11,636 to 11,731 RPM Step Test: 40 RPM 90 RPM Constant Surface RPM leads to variable Downhole RPMs Variations in RPMS are shown to be greater than the step size

12 Resonance Behavior Identification Analysis in the frequency domain spectrum suggests that 50 rpm is the closest resonant speed Highest degree of speed oscillation is 60 rpm. EDR data confirms this & is supported by the MSE trend 12 *Data Analysis provided by TAMU

13 Motor Performance Continued insights from the Quantum Leap will help Integrity uncover the effects of vibration on motor performance across an entire run With Quantum Leap we can determine operational ranges for optimal motor performance by comparing motor horsepower input to output. Deeper understanding of motor efficiency will improve directional tool selection as well as improved directional accuracy & drilling speed Motor Input= (Flow Rate*Quantum Leap Differential Pressure)/1714 Motor Output= (Quantum Leap TQ * Rotor RPMs)/5252

14 MWD Platform Shock mitigation through continued learning 14

15 Industry Demands Surveys Inc. & Az on the fly Gamma Azimuthal Gamma Resistivity Shock & Vibe PWD BHA RPM Increase accuracy Faster updates Improve reliability 15

16 16 Effects Drilling Disfunction

17 Mississippi Lime Case Study High-Vibration Horizontal Application Iterative approach to shock & vibe mitigation 17

18 Baseline - No Mitigation Amplitude: 74.7 Ax Events / hr.: 4, ,772 Axial Events Resulted in damaged pulser and electronics 18

19 MWD Locked Down Amplitude: 57.4 Ax Events / hr.: ,821 Axial Shock events Completed run, damaged gamma & pulser % Ax Events vs baseline 19

20 MWD Vibration Mitigation Tools Tool 1 28,922 axial shocks 45 g s -86.1% Ax Events vs baseline Amplitude: 55.9 Ax Events / hr.: 535 Tool 2 16,699 axial shocks 45 g s -92% Ax Events vs Baseline Amplitude: 58.4 Ax Events / hr.:

21 Shock and Vibration Reduction Amplitude: 49.4 Ax Events / hr.: 18.3 SAVR TM System 2,196 ax shocks 45 g s % Ax Events vs Baseline % Ax Events vs lock down alone % Ax Events vs VMT alone 21

22 Additional Opportunities Determine economic benefit of retrievability Shorten tool lengths Propper centralization Tool packaging improvements Improve materials Acknowledge motor yield 22

23 23 Thank You

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