Drilling At Low-Cost

Statoil is now drilling production wells at a fraction of the cost of conventional drilling on Statfjord in the North Sea, as stated by Statoil. They are using through-tubing drilling which is three times less the cost of conventional drilling which cost around NOK 15 million. This new technology is productive because it is not necessary to retrieve and re-run the production tubing in the old well. Less time is spent and lower material costs. "For a mature field such as Statfjord it is important to penetrate the reservoir in many places in order to retrieve as much of the residual oil as possible. That's why it is crucial to reduce the costs per well", states Øystein Arvid Håland, manager for Statfjord resource development. The aim is to continue profitable production until 2020 with the main Statfjord field producing 190,000 barrels of oil per day and with 90 per cent of the producible oil being recovered.