HomeMy WebLinkAboutAkutan geothermal report Appendix H 2014
Appendix H
GRG Production Well and Plant Designs
• Planned Well Configuration
• Planned Well Configuration with Proposed Vendors
• Basic KO Procedure - Multilateral
• BOPE Design Schematics
• Personnel Requirements
• Rig Requirements
• GDA, JFM PE, GRG Meeting Agenda
• Basis of Design
• Road Plan Review
• Production Well Locations and Pad Specifications
• Draft Plan for Surface Reclamation
• Draft Plan for Drilling Waste Disposal
• Review of Proposed Production Well Targets for Hot
Springs Bay Valley – Nicholas Hinz, Geologist
• Akutan Drilling Targets
• Bore Hole Schematics
• Drilling Cost Estimate and Supporting Data
• JFMPE Status Report
Geothermal Resource Group, Inc.
75-145 St. Charles Place, Suite B
Palm Desert, CA 92211
Phone: 760-341-0186
AKUTAN GEOTHERMAL PROJECT PW-1
Planned Well Configuration - All depths from KB (conductor depth will be corrected for KB, all depths are MD)
• 30” conductor casing, 0.500 WT, X40 set at 50’
• 20” surface casing, 94ppf, K55, BTC set at 550’
• 13-3/8” intermediate casing, 61ppf, K55, BTC at 1,000’
• 9-5/8” production casing, 43.5ppf, L80, Metal One Geoconn at 2,500’
• 7” blank and slotted production liner, 26ppf, L80, BTC from 2,400’ to 5,500’ + (TVD).
Drilling Procedure-Pending final review (16 January 2014)
Procedure
1. Prepare location, sump and access roads.
2. Set and cement 30”, 0.500 WT, X-40 conductor casing at 50’.
3. Install Cellar.
4. Move in rig, associated equipment, materials and services.
4.1. Notify AOGCC 48 hours prior to rig up.
4.2. Conduct Drill-on-Paper session. Schedule session in accordance with AOGCC’s ability to attend.
4.3. Install direct communications between rig floor, tool pusher and drilling supervisor.
4.4. Be sure location is secured with proper ditches and berms prior to spud.
4.5. Install well and safety signs at location entrance and where appropriate on location
4.6. Install solids control equipment.
4.7. Install rat hole and mouse hole using mud motor or top drive.
4.8. Rig up H2S monitors on rig floor and in cellar. Rig up wind direction indicators, and horn and light assembly in a
location visible throughout the site. Assign 2 safety assembly areas relative to prevailing wind direction.
4.9. Rig up and test data acquisition equipment.
4.10. Conduct thorough safety inspections including IADC Rig Inspection Report.
5. Prepare for drilling operations:
5.1. Comply with all sections of the Plan of Operations.
5.2. Ensure that all wellfield personnel have appropriate certifications relative to their position, including well control
certificates, SCBA certifications, operating permits for heavy equipment, etc.
5.3. Ensure that all wellfield personnel have H2S safety training.
5.4. Instruct drillers to remain on the floor at all times during drilling operations unless relieved by a toolpusher.
5.5. Define Drilling Reporting Criteria.
5.6. Conduct pre-spud safety meeting covering well control, H2S, emergency medical evacuation, safety procedures and
well program.
6. Install 30” riser with pitcher nipple. Install 2” drain valve at bottom of the riser and a 3” fill up line opposite and just below the
flow line connection. Connect 10” flow line to shakers using a dresser sleeve.
7. Drill 26” vertical hole to 550’.
7.1. Drill using lime based mud as per mud program.
7.2. When drilling through unconsolidated formation, limit the flow rate and control ROP to prevent hole enlargement.
Use Goins’ calculation formula to determine flow rate to prevent hole enlargement.
7.3. Monitor returns and cuttings. Refer to mud program for LCM requirements if partial or total loss of circulation is
observed. Perform viper trips as needed.
7.4. If hole cleaning becomes an issue begin clearing collars on connections. Pump viscous sweeps to aid in hole
cleaning. Pump walnut hulls and sawdust if bit balling becomes an issue.
7.5. Maintain 3-4% micronized cellulose in mud. Attempt to cure losses with LCM. Refer to plug cementing procedure if
losses are not cured by LCM.
7.6. Take drift shots every 150’ and maintain verticality to within 2 degrees over hole section. If 9 -1/2” drill collars are
not available, take drift shots at 90’ intervals. Reciprocate the drill string during surveys to prevent differential
sticking.
7.7. Notify drilling supervisor if mud temperature increases more than 3 oF per 100’ drilled. Turn mud coolers on when
flowline temperature reaches 145 oF.
7.8. While drilling ahead, equip 20” casing with float shoe and stab-in / latch-down float collar.
7.9. Drill hole to fit casing. Plan to leave 3’ rat hole at TD. Circulate and condition hole for casing.
7.10. Survey on bottom with drift tool and temperature logger.
7.11. Run a wiper trip to the top stabilizer.
7.12. Circulate and condition hole for casing, break back gel strengths.
7.13. Measure out of hole. Keep the hole full while POH.
7.14. Lay down 26” bit and jewelry.
7.15. Run logs as per logging program and/or AOGCC requirements.
8. Run 20”, 94 ppf, K55, BTC casing to 550’:
8.1. Rig up casing handling equipment.
8.2. Keep 40’ Shoe track. Tacks weld 3 joints from the bottom.
8.3. Centralize string as per centralizer program to be provided by centralizer vendor. Use a rigid centralizer near the
float.
8.4. Fill casing while running in the hole. DO NOT drift casing into hole.
8.5. Rig up circulating swage. Circulate and condition mud for cementing. Break back gel strengths to near zero
progressive gels.
8.6. Have cementers begin rigging up cementing equipment and preparing to cement.
8.7. Make up stab-in tool and RIH while rabbiting drill pipe. Stab into float collar. Circulate and cool as necessary.
Check to make sure casing is centered at the table.
8.8. Finish rigging up to cement.
9. Cement 20” surface casing using premium cement with 35-40% Silica Flour BWOC as per cementing program:
9.1. Hold Pre-Job Safety Meeting (PJSM) with all personnel.
9.2. Secure casing and drill pipe with slings to prevent hydraulic lifting during cement job. Verify with casing lift
calculations.
9.3. Cement using 13.5 ppg lead and 15.4 ppg tail with zero free water cement. DO NOT trap water in the annulus at any
stage while cementing.
9.4. Use at least 100% excess over theoretical casing by open hole volume and 15% over casing x casing volume.
9.5. Check mud returns, measure cement back to surface. Take grab samples while cementing.
9.6. Do not displace more than 25% of shoe track volume if the plug does not bump.
9.7. Drain riser and WOC. Keep all surface water out of the annulus. If cement comes to surface and falls back, perform
top job as a top fill. If there are no cement returns to surface, perform a top job with tremie (refer to top job
procedures for details).
10. Notify AOGCC at least 48 hours prior to testing BOPE.
11. Prepare to install 20” wellhead and BOPE while WOC:
11.1. Release 20” casing after final cement samples are cured.
11.2. Hang 10” flowline. Cut and remove 30” riser.
11.3. Rough cut 20” casing. Refer to casing cut-off table for casing cut-off length.
12. Install 20” wellhead and BOPE as per 20” wellhead diagram:
12.1. Final cut and dress 20” casing.
12.2. Install 20” SOW x 21-1/4” 2M Casing Head with 2 ea 3-1/8” 3M Side Outlets.
12.3. Install 3-1/8” 3M side outlet gate valves with a check valve upstream of the fill-up side.
12.4. Install blow-down line to possum belly. Install kill line.
12.5. Install 21-1/4” 2M single ram type preventer equipped with blind rams.
12.6. Install 21-1/4” 2M annular BOP.
12.7. Install a spacer spool, length as needed with 10” flowline outlet.
12.8. Install 21-1/4” 2M rotating head.
13. Pressure test blind rams, 20” casing, 20” wellhead, valves and lines as per AOGCC requirements.
14. RIH to float collar with 17-1/2” rotary BHA. Run jars and shock tool in string. Test annular BOP as per regulatory
requirements.
15. Drill out and perform Leak Off Test:
15.1. Clean out shoe track and shoe.
15.2. Drill 3-5’ of new hole and spot high viscosity LCM pill.
15.3. Perform and record leak-off test to a maximum 0.75 psi/ft gradient.
16. Drill 17-1/2” vertical hole to 1,000’:
16.1. Perform drill-off test.
16.2. Drill using LSND mud as per mud program.
16.3. Maintain 3-4% micronized cellulose in mud. Attempt to cure losses with LCM. Refer to plug cementing procedure if
losses are not cured by LCM.
16.4. Take single shots directional surveys every 150’ and maintain verticality to within 2 degrees over hole section. If 9-
1/2” drill collars are not available, take directional surveys at 90’ intervals. Reciprocate the drill string during
surveys to prevent differential sticking.
16.5. Notify drilling supervisor if mud temperature increases more than 3 oF per 100’ drilled. Turn mud coolers on when
flowline temperature reaches 145 oF.
16.6. While drilling ahead, equip 13-3/8” casing with float shoe and stab-in / flapper type float collar.
16.7. Drill hole to fit casing. Plan to leave 5’ rat hole at TD. Circulate and condition hole for casing.
16.8. Survey on bottom with single shot directional survey tool and temperature logger.
16.9. Run a wiper trip to the 20” casing shoe.
16.10. Circulate and condition hole for casing, break back gel strengths.
16.11. Measure out of hole. Keep the hole full while POH.
16.12. Lay down 17-1/2” bit and jewelry. Lay down DC’s OD’s larger than 8”.
16.13. Run logs as per logging program and/or AOGCC requirements.
17. Run 13-3/8”, 61#, K55, BTC casing to 1,000’.
17.1. Rig up casing handling equipment.
17.2. Keep 80’ Shoe track. Tacks weld 3 joints from the bottom.
17.3. Centralize string as per centralizer program to be provided by centralizer vendor. Use a rigid centralizer near the
float.
17.4. Fill casing while running in the hole. DO NOT drift casing into hole.
17.5. Rig up circulating swage. Circulate and condition mud for cementing. Break back gel strengths to near zero
progressive gels.
17.6. Have cementers begin rigging up cementing equipment and preparing to cement.
17.7. Make up stab-in tool and RIH while rabbiting drill pipe. Stab into float collar. Circulate and cool as necessary.
Check to make sure casing is centered at the table.
17.8. Finish rigging up to cement. Disconnect kill and choke lines. Line up flexible hose to kill line to get cement returns.
18. Cement 13-3/8” intermediate casing using premium cement with 35-40% Silica Flour BWOC as per cementing program:
18.1. Cement using 13.5 ppg lead and 15.4 ppg tail with zero free water cement. DO NOT trap water in the annulus at any
stage while cementing.
18.2. Use at least 50% excess over theoretical casing by open hole volume and 15% over casing x casing volume.
18.3. Check mud returns, measure cement back to surface. Take grab samples while cementing. DO NOT take cement
returns through the choke or choke line.
18.4. Do not displace more than 50% of shoe track volume if the plug does not bump.
18.5. Drain BOPE and WOC. Keep all surface water out of the annulus. If cement comes to surface and falls back,
perform top job as a top fill. If there are no cement returns to surface, perform a top squeeze job. (refer to top job
procedures for details)
19. Notify AOGCC at least 48 hours prior to testing BOPE.
20. Prepare to install 13-5/8” wellhead and BOPE:
20.1. 4-bolt 21-1/4” BOPE while WOC.
20.2. Release 13-3/8” casing after final cement samples are cured.
20.3. Lift 21-1/4” BOPE.
20.4. Rough cut 20” casing and lay down stub.
20.5. Nipple down 21-1/4” BOPE. Hang 10” flow line. Cut and remove SOW x 21-1/4” 2M casing head and 21-1/4”
BOPE.
20.6. Dress 13-3/8” casing for the wellhead installation. Refer to casing cut-off table for casing cut-off length.
21. Install 13-5/8” wellhead and BOPE as per 13-5/8” wellhead diagram:
21.1. Install -3/8” SOW by 13-5/8” 3M casing head with 2 ea 3-1/8” 3M side outlets.
21.2. Install 3-1/8” 3M side outlet valves with a check valve upstream of the fill-up side.
21.3. Install choke line to 3M choke assembly. Install kill line.
21.4. Install 13-5/8” 3M double ram preventer with blind and pipe rams. (blind ram on bottom)
21.5. Install 13-5/8” 3M annular preventer.
21.6. Install a spacer spool, length as needed.
21.7. Install 13-5/8” 3M rotating head with flowline outlet.
22. Pressure test blind rams, 13-3/8” casing, 13-5/8” wellhead, valves and lines as per AOGCC requirements.
23. Scribe and surface test directional tools. Discuss maximum LCM size permissible and hydraulics concerns with directional
drilling supervisor prior to RIH.
24. RIH to float collar with 12-1/4” directional BHA and test MWD.
25. Pressure test pipe rams and annular preventer as per AOGCC requirements.
26. Drill out shoe and perform LOT:
26.1. Drill out float collar, shoe track and shoe.
26.2. Drill 3-5’ of new hole and spot high viscosity LCM pill.
26.3. Perform and record leak-off test to a maximum 1 psi/ft gradient.
27. Drill 12-1/4”vertical hole to 1,100’, kick-off at 1,100’ and drill 12-1/4”directional hole to 2,500’:
27.1. Drill according to directional plan. Keep moving the drill string as much as possible to prevent differential sticking
while taking surveys.
27.2. Drill using LSND mud as per mud program.
27.3. Maintain 3-4% micronized cellulose in mud. Attempt to cure losses with LCM. Refer to plug cementing procedure if
losses are not cured by LCM.
27.4. Notify drilling supervisor if mud temperature increases more than 3 oF per 100’ drilled. Turn mud coolers on when
flowline temperature reaches 145 oF.
27.5. While drilling ahead, equip 9-5/8” casing with float shoe and stab-in / flapper type float collar.
27.6. Plan to leave 5’ rat hole at TD. Circulate and condition hole for casing.
27.7. Run a wiper trip to the 13-3/8” casing shoe.
27.8. Circulate and condition hole for casing, break back gel strengths.
27.9. Measure out of hole. Keep the hole full while POH.
27.10. Lay down 12-1/4” bit and jewelry.
27.11. Run logs as per logging program and/or AOGCC requirements.
28. Run 9-5/8”, 43.5 ppf, L80, Metal One Geoconn casing to 2,500’.
28.1. Rig up casing handling equipment.
28.2. Keep 80’ Shoe track. Tack weld 3 joints from the bottom.
28.3. Centralize string as per centralizer program to be provided by centralizer vendor. Use stop rings on centralizers –
DO NOT place centralizers across connections. Use rigid blade stabilizers when necessary to maintain stand-off in
directional hole.
28.4. Fill casing while running in the hole. DO NOT drift casing into hole.
28.5. Rig up circulating swage. Circulate and condition mud for cementing. Break back gel strengths to near zero
progressive gels.
28.6. Have cementers begin rigging up cementing equipment and preparing to cement.
28.7. Make up stab-in tool and RIH while rabbiting drill pipe. Stab into float collar. Circulate and cool as necessary.
Check to make sure casing is centered at the table.
28.8. Finish rigging up to cement. Disconnect kill and choke lines. Line up flexible hose to kill line to get cement returns.
29. Cement 9-5/8” production casing using premium cement with 35-40% Silica Flour BWOC as per cementing program:
29.1. Cement using 13.5 ppg lead and 15.4 ppg tail with zero free water cement. DO NOT trap water in the annulus at any
stage while cementing.
29.2. Use at least 50% excess over theoretical casing by open hole volume and 15% over casing x casing volume.
29.3. Check mud returns, measure cement back to surface. Take grab samples while cementing. DO NOT take cement
returns through the choke or choke line.
29.4. Do not displace more than 50% of shoe track volume if the plug does not bump.
29.5. Drain BOPE and WOC. Keep all surface water out of the annulus. If cement comes to surface and falls back,
perform top job as a top fill. If there are no cement returns to surface, perform a top squeeze job. (refer to top job
procedures for details).
30. Notify AOGCC at least 48 hours prior to testing BOPE.
31. Prepare to install 13-5/8” 3M Expansion Spool and 12” Class 900 Master Valve and BOPE:
31.1. 4-bolt 13-5/8” BOPE while WOC.
31.2. Release 9-5/8” casing after final cement samples are cured.
31.3. Hang 10” flow line and lift 13-5/8” BOPE.
31.4. Rough cut 9-5/8” casing for expansion spool.
31.5. Land 13-5/8” BOPE and lay down spacer spool and rotating head.
31.6. Dress 9-5/8” casing for expansion spool.
32. Install 13-5/8” 3M by 10” 900 Expansion Spool with seals, 10” 900 Master Valve, 10” 900 by 10” 900 flow tee with wear
spool and 10” 900 blooie line valve, 10” 900 by 13-5/8” 3M DSA. Land 13-5/8” BOPE and as per wellhead diagram. Modify
spacer spool as required to fit flowline and rotating head.
33. Pressure test blind rams, 9-5/8” casing, and 10” Master Valve, kill line, choke line and choke as per AOGCC requirements.
34. Make up 8-1/2” steerable assembly. Scribe and surface test directional tools.
35. Stage in hole, circulating and cooling the well and the directional tools, to float collar. Signal test MWD.
36. Pressure test pipe rams and annular preventer as per AOGCC requirements.
37. Drill out shoe and perform LOT:
37.1. Drill out float collar, shoe track and shoe.
37.2. Drill 5’ of new hole and spot high viscosity LCM pill.
37.3. Perform and record leak-off test to a maximum 1 psi/ft gradient or collapse of 9-5/8” casing.
38. Drill 8-1/2”directional hole to 5,500’ TVD:
38.1. Turn over LSND mud to Pyrodrill mud. Refer to mud program for desired mud type and properties.
38.2. Continue drilling with water and hi-vis sweeps if total loss of circulation is encountered. Keep water on back side
when drilling blind.
38.3. Drill according to directional plan. Drilling supervisor is to be on floor when pumping up surveys.
38.4. Perform viper trips as needed.
38.5. Run mud coolers constantly until total loss of circulation is encountered. Notify drilling supervisor if mud
temperature increases more than 3 oF per 100’ drilled.
38.6. Circulate and condition hole for liner if necessary.
38.7. Measure out of hole. Keep water running at the backside while POH.
38.8. Run logs as per logging program and/or AOGCC requirements.
39. Run 7”, 26#, L-80, BTC blank and slotted production liner from 2400’ to 5500’. Set liner on bottom.
40. RIH to TD with 4-1/2”-3-1/2” combination DP string and 6-1/8” BHA to clean inside the liner and change over to water.
41. POH. Lay down tools and drill pipe.
42. Run tests as per testing program.
43. Nipple down, rig down and move the rig.
Geothermal Resource Group, Inc.
75-145 St. Charles Place, Suite B
Palm Desert, CA 92211
Phone: 760-341-0186
AKUTAN GEOTHERMAL PROJECT PW-1
Planned Well Configuration - All depths from KB (conductor depth will be corrected for KB, all depths are MD)
• 30” conductor casing, 0.500 WT, X40 set at 50’
• 20” surface casing, 94ppf, K55, BTC set at 550’
• 13-3/8” intermediate casing, 61ppf, K55, BTC at 1,000’
• 9-5/8” production casing, 43.5ppf, L80, Metal One Geoconn at 2,500’
• 7” blank and slotted production liner, 26ppf, L80, BTC from 2,400’ to 5,500’ + (TVD).
Drilling Procedure
Procedure Materials Resources
1. Prepare location, sump and access roads. Rig footprint, wellhead (cellar) and sump location
to Mead & Hunt
Mead & Hunt
2. Set and cement 30”, 0.500 WT, X-40
conductor casing at 50’.
80’ of 30” conductor pipe
286 ft3 (50% excess) Class A/C Cement
2 ea 50’ 2” OD Tremie pipe
Arctic Drilling
3. Install Cellar. Cellar diagrams to Joe Henning Joe Henning
4. Move in rig, associated equipment, materials
and services.
4.1. Notify AOGCC 48 hours prior to
rig up.
4.2. Conduct Drill-on-Paper session.
Schedule session in accordance
with AOGCC’s ability to attend.
4.3. Install direct communications
between rig floor, tool pusher and
drilling supervisor.
4.4. Be sure location is secured with
proper ditches and berms prior to
spud.
4.5. Install well and safety signs at
location entrance and where
Heavy Equipment
Trucking and Shipping
Rig, mud pumps, pits and Conexs (spares)
Generators
Trailers, Camp offices, Change House
Fuel and Water tanks
Cement silos
Solids control equipment
Solids control equipment parts and spares
Mud Coolers
Portable toilets
Dumpsters
Mud Materials
Mud Lab
Mud loggers office, Data Acq. Eqp., SCBA’s, H2S
Joe Henning – Drivers, operators, roustabouts,
welders, electricians.
Alaska Ship Supply
All drilling personnel
(GRG, Kuukpik, Prospect, Sinclair, Petroleum
Solids, K&R)
MSC
Grainger
Toolpushers Supply
URS Energy and Construction
appropriate on location
4.6. Install solids control equipment.
4.7. Install rat hole and mouse hole
using mud motor or top drive.
4.8. Rig up H2S monitors on rig floor
and in cellar. Rig up wind direction
indicators, and horn and light
assembly in a location visible
throughout the site. Assign 2 safety
assembly areas relative to
prevailing wind direction.
4.9. Rig up and test data acquisition
equipment.
4.10. Conduct thorough safety
inspections including IADC Rig
Inspection Report.
safety associated equipment
Well and Safety Signs
30” Riser with pitcher nipple, 2” drain valve, 3”
fill up line, 10” flowline, Dresser Sleeve
Accumulator
Wellhead Equipment (w/ 0.5x spares for studs
nuts and gaskets/rings)
BOPE (w/ 0.5x spares for studs nuts and
gaskets/rings)
Drill pipe, HWDP,8-9-1/2” Drill collars and 8”
NMDC (protectors, pipe dope)
Pub Joints, SDC’s and x/o’s
Pipe handling equipment
26” Bit and crow’s foot
26” BHA
Float Equipment
Casing running tools
20” Casing and Centralizers (dope, stop rings,
nails, set screws and spares for all)
20” Float Equipment
5. Prepare for drilling operations:
5.1. Comply with all sections of the
Plan of Operations.
5.2. Ensure that all wellfield personnel
have appropriate certifications
relative to their position, including
well control certificates, SCBA
certifications, operating permits for
heavy equipment, etc.
5.3. Ensure that all wellfield personnel
have H2S safety training.
5.4. Instruct drillers to remain on the
floor at all times during drilling
operations unless relieved by a
toolpusher.
5.5. Define Drilling Reporting Criteria.
5.6. Conduct pre-spud safety meeting
covering well control, H2S,
Plan of Operations All drilling personnel
emergency medical evacuation,
safety procedures and well
program.
6. Install 30” riser with pitcher nipple. Install 2”
drain valve at bottom of the riser and a 3” fill
up line opposite and just below the flow line
connection. Connect 10” flow line to shakers
using a dresser sleeve.
GRG
Kuukpik
Joe Henning
7. Drill 26” vertical hole to 550’.
7.1. Drill using lime based mud as per
mud program.
7.2. When drilling through
unconsolidated formation, limit the
flow rate and control ROP to
prevent hole enlargement. Use
Goins’ calculation formula to
determine flow rate to prevent hole
enlargement.
7.3. Monitor returns and cuttings. Refer
to mud program for LCM
Mud Materials (750 bbl mud with 100% open
hole excess)
Drift tool
Temperature logger
Logging Equipment
All drilling personnel
Hughes Christensen
Scientific Drilling (if e- logs are needed)
requirements if partial or total loss
of circulation is observed. Perform
viper trips as needed.
7.4. If hole cleaning becomes an issue
begin clearing collars on
connections. Pump viscous sweeps
to aid in hole cleaning. Pump
walnut hulls and sawdust if bit
balling becomes an issue.
7.5. Maintain 3-4% micronized
cellulose in mud. Attempt to cure
losses with LCM. Refer to plug
cementing procedure if losses are
not cured by LCM.
7.6. Take drift shots every 150’ and
maintain verticality to within 2
degrees over hole section. If 9 -1/2”
drill collars are not available, take
drift shots at 90’ intervals.
Reciprocate the drill string during
surveys to prevent differential
sticking.
7.7. Notify drilling supervisor if mud
temperature increases more than 3
oF per 100’ drilled. Turn mud
coolers on when flowline
temperature reaches 145 oF.
7.8. While drilling ahead, equip 20”
casing with float shoe and stab-in /
latch-down float collar.
7.9. Drill hole to fit casing. Plan to
leave 3’ rat hole at TD. Circulate
and condition hole for casing.
7.10. Survey on bottom with drift tool
and temperature logger.
7.11. Run a wiper trip to the top
stabilizer.
7.12. Circulate and condition hole for
casing, break back gel strengths.
7.13. Measure out of hole. Keep the
hole full while POH.
7.14. Lay down 26” bit and jewelry.
7.15. Run logs as per logging program
and/or AOGCC requirements.
8. Run 20”, 94 ppf, K55, BTC casing to 550’:
8.1. Rig up casing handling equipment.
8.2. Keep 40’ Shoe track. Tack weld 3
joints from the bottom.
8.3. Centralize string as per centralizer
program to be provided by
centralizer vendor. Use a rigid
centralizer near the float.
8.4. Fill casing while running in the
hole. DO NOT drift casing into
hole.
560,’ 20”, 94 ppf, K55, BTC casing
10 ea 20” semi-rigid centralizer, parts and spares
Slings
All drilling personnel
BPS
Project Engineering
Thermasource
Joe Henning
8.5. Rig up circulating swage. Circulate
and condition mud for cementing.
Break back gel strengths to near
zero progressive gels.
8.6. Have cementers begin rigging up
cementing equipment and preparing
to cement.
8.7. Make up stab-in tool and RIH
while rabbiting drill pipe. Stab into
float collar. Circulate and cool as
necessary. Check to make sure
casing is centered at the table.
8.8. Finish rigging up to cement.
9. Cement 20” surface casing using premium
cement with 35-40% Silica Flour BWOC as
per cementing program:
9.1. Hold Pre-Job Safety Meeting
(PJSM) with all personnel.
9.2. Secure casing and drill pipe with
All drilling personnel
Project Engineering
Thermasource
slings to prevent hydraulic lifting
during cement job. Verify with
casing lift calculations.
9.3. Cement using 13.5 ppg lead and
15.4 ppg tail with zero free water
cement. DO NOT trap water in the
annulus at any stage while
cementing.
9.4. Use at least 100% excess over
theoretical casing by open hole
volume and 15% over casing x
casing volume.
9.5. Check mud returns, measure
cement back to surface. Take grab
samples while cementing.
9.6. Do not displace more than 25% of
shoe track volume if the plug does
not bump.
9.7. Drain riser and WOC. Keep all
surface water out of the annulus. If
cement comes to surface and falls
back, perform top job as a top fill.
If there are no cement returns to
surface, perform a top job with
tremie. (refer to top job procedures
for details)
10. Notify AOGCC at least 48 hours prior to
testing BOPE.
11. Prepare to install 20” wellhead and BOPE
while WOC:
11.1. Release 20” casing after final
cement samples are cured.
11.2. Hang 10” flowline. Cut and
remove 30” riser.
11.3. Rough cut 20” casing. Refer to
casing cut-off table for casing cut-
off length.
GRG
Kuukpik
Joe Henning
12. Install 20” wellhead and BOPE as per 20” GRG
wellhead diagram:
12.1. Final cut and dress 20” casing.
12.2. Install 20” SOW x 21-1/4” 2M
Casing Head with 2 ea 3-1/8” 3M
Side Outlets.
12.3. Install 3-1/8” 3M side outlet gate
valves with a check valve upstream
of the fill-up side.
12.4. Install blow-down line to possum
belly. Install kill line.
12.5. Install 21-1/4” 2M single ram
type preventer equipped with blind
rams.
12.6. Install 21-1/4” 2M annular BOP.
12.7. Install a spacer spool, length as
needed with 10” flowline outlet.
Kuukpik
Joe Henning
JM Phillips
12.8. Install 21-1/4” 2M rotating head.
13. Pressure test blind rams, 20” casing, 20”
wellhead, valves and lines as per AOGCC
requirements.
All drilling personnel
Thermasource
14. RIH to float collar with 17-1/2” rotary BHA.
Run jars and shock tool in string. Test
annular BOP as per regulatory requirements.
All drilling personnel
Thermasource
Hughes Christensen
15. Drill out and perform Leak Off Test:
15.1. Clean out shoe track and shoe.
15.2. Drill 3-5’ of new hole and spot
high viscosity LCM pill.
15.3. Perform and record leak-off test
to a maximum 0.75 psi/ft gradient.
All drilling personnel
Thermasource
16. Drill 17-1/2” vertical hole to 1,000’:
16.1. Perform drill-off test.
16.2. Drill using LSND mud as per
All drilling personnel
Scientific Drilling (if e-logs are needed)
mud program.
16.3. Maintain 3-4% micronized
cellulose in mud. Attempt to cure
losses with LCM. Refer to plug
cementing procedure if losses are
not cured by LCM.
16.4. Take single shots directional
surveys every 150’ and maintain
verticality to within 2 degrees over
hole section. If 9-1/2” drill collars
are not available, take directional
surveys at 90’ intervals.
Reciprocate the drill string during
surveys to prevent differential
sticking.
16.5. Notify drilling supervisor if mud
temperature increases more than 3
oF per 100’ drilled. Turn mud
coolers on when flowline
temperature reaches 145 oF.
16.6. While drilling ahead, equip 13-
3/8” casing with float shoe and
stab-in / flapper type float collar.
16.7. Drill hole to fit casing. Plan to
leave 5’ rat hole at TD. Circulate
and condition hole for casing.
16.8. Survey on bottom with single
shot directional survey tool and
temperature logger.
16.9. Run a wiper trip to the 20” casing
shoe.
16.10. Circulate and condition hole for
casing, break back gel strengths.
16.11. Measure out of hole. Keep the
hole full while POH.
16.12. Lay down 17-1/2” bit and
jewelry. Lay down DC’s OD’s
larger than 8”.
16.13. Run logs as per logging program
and/or AOGCC requirements.
17. Run 13-3/8”, 61#, K55, BTC casing to
1,000’.
17.1. Rig up casing handling
equipment.
17.2. Keep 80’ Shoe track. Tack weld 3
joints from the bottom.
17.3. Centralize string as per
centralizer program to be provided
by centralizer vendor. Use a rigid
centralizer near the float.
17.4. Fill casing while running in the
hole. DO NOT drift casing into
hole.
17.5. Rig up circulating swage.
Circulate and condition mud for
cementing. Break back gel
All drilling personnel
Thermasource
BPS
Project Engineering
strengths to near zero progressive
gels.
17.6. Have cementers begin rigging up
cementing equipment and preparing
to cement.
17.7. Make up stab-in tool and RIH
while rabbiting drill pipe. Stab into
float collar. Circulate and cool as
necessary. Check to make sure
casing is centered at the table.
17.8. Finish rigging up to cement.
Disconnect kill and choke lines.
Line up flexible hose to kill line to
get cement returns.
18. Cement 13-3/8” intermediate casing using
premium cement with 35-40% Silica Flour
BWOC as per cementing program:
18.1. Cement using 13.5 ppg lead and
15.4 ppg tail with zero free water
cement. DO NOT trap water in the
All drilling personnel
Thermasource
Project Engineering
annulus at any stage while
cementing.
18.2. Use at least 50% excess over
theoretical casing by open hole
volume and 15% over casing x
casing volume.
18.3. Check mud returns, measure
cement back to surface. Take grab
samples while cementing. DO NOT
take cement returns through the
choke or choke line.
18.4. Do not displace more than 50%
of shoe track volume if the plug
does not bump.
18.5. Drain BOPE and WOC. Keep all
surface water out of the annulus. If
cement comes to surface and falls
back, perform top job as a top fill.
If there are no cement returns to
surface, perform a top squeeze job.
(refer to top job procedures for
details)
19. Notify AOGCC at least 48 hours prior to
testing BOPE.
20. Prepare to install 13-5/8” wellhead and
BOPE:
20.1. 4-bolt 21-1/4” BOPE while
WOC.
20.2. Release 13-3/8” casing after final
cement samples are cured.
20.3. Lift 21-1/4” BOPE.
20.4. Rough cut 20” casing and lay
down stub.
20.5. Nipple down 21-1/4” BOPE.
Hang 10” flow line. Cut and
remove SOW x 21-1/4” 2M casing
head and 21-1/4” BOPE.
GRG
Kuukpik
Joe Henning
20.6. Dress 13-3/8” casing for the
wellhead installation. Refer to
casing cut-off table for casing cut-
off length.
21. Install 13-5/8” wellhead and BOPE as per 13-
5/8” wellhead diagram:
21.1. Install -3/8” SOW by 13-5/8” 3M
casing head with 2 ea 3-1/8” 3M
side outlets.
21.2. Install 3-1/8” 3M side outlet
valves with a check valve upstream
of the fill-up side.
21.3. Install choke line to 3M choke
assembly. Install kill line.
21.4. Install 13-5/8” 3M double ram
preventer with blind and pipe rams.
(blind ram on bottom)
21.5. Install 13-5/8” 3M annular
preventer.
GRG
Kuukpik
JM Phillips
TNG
21.6. Install a spacer spool, length as
needed.
21.7. Install 13-5/8” 3M rotating head
with flowline outlet.
22. Pressure test blind rams, 13-3/8” casing, 13-
5/8” wellhead, valves and lines as per
AOGCC requirements.
All drilling personnel
Thermasource
23. Scribe and surface test directional tools.
Discuss maximum LCM size permissible and
hydraulics concerns with directional drilling
supervisor prior to RIH.
All drilling personnel
Scientific Drilling
Thermasource
24. RIH to float collar with 12-1/4” directional
BHA and test MWD.
All drilling personnel
Hughes Christensen
Scientific Drilling
25. Pressure test pipe rams and annular preventer
as per AOGCC requirements.
All drilling personnel
Thermasource
26. Drill out shoe and perform LOT:
26.1. Drill out float collar, shoe track
All drilling personnel
Scientific Drilling
and shoe.
26.2. Drill 3-5’ of new hole and spot
high viscosity LCM pill.
26.3. Perform and record leak-off test
to a maximum 1 psi/ft gradient.
Thermasource
27. Drill 12-1/4”vertical hole to 1,100’, kick-off
at 1,100’ and drill 12-1/4”directional hole to
2,500’:
27.1. Drill according to directional
plan. Keep moving the drill string
as much as possible to prevent
differential sticking while taking
surveys.
27.2. Drill using LSND mud as per
mud program.
27.3. Maintain 3-4% micronized
cellulose in mud. Attempt to cure
losses with LCM. Refer to plug
cementing procedure if losses are
All drilling personnel
Scientific Drilling
not cured by LCM.
27.4. Notify drilling supervisor if mud
temperature increases more than 3
oF per 100’ drilled. Turn mud
coolers on when flowline
temperature reaches 145 oF.
27.5. While drilling ahead, equip 9-
5/8” casing with float shoe and
stab-in / flapper type float collar.
27.6. Plan to leave 5’ rat hole at TD.
Circulate and condition hole for
casing.
27.7. Run a wiper trip to the 13-3/8”
casing shoe.
27.8. Circulate and condition hole for
casing, break back gel strengths.
27.9. Measure out of hole. Keep the
hole full while POH.
27.10. Lay down 12-1/4” bit and
jewelry.
27.11. Run logs as per logging program
and/or AOGCC requirements.
28. Run 9-5/8”, 43.5 ppf, L80, Metal One
Geoconn casing to 2,500’.
28.1. Rig up casing handling
equipment.
28.2. Keep 80’ Shoe track. Tack weld 3
joints from the bottom.
28.3. Centralize string as per
centralizer program to be provided
by centralizer vendor. Use stop
rings on centralizers – DO NOT
place centralizers across
connections. Use rigid blade
stabilizers when necessary to
maintain stand-off in directional
hole.
All drilling personnel
JD Rush
Project Engineering
Thermasource
28.4. Fill casing while running in the
hole. DO NOT drift casing into
hole.
28.5. Rig up circulating swage.
Circulate and condition mud for
cementing. Break back gel
strengths to near zero progressive
gels.
28.6. Have cementers begin rigging up
cementing equipment and preparing
to cement.
28.7. Make up stab-in tool and RIH
while rabbiting drill pipe. Stab into
float collar. Circulate and cool as
necessary. Check to make sure
casing is centered at the table.
28.8. Finish rigging up to cement.
Disconnect kill and choke lines.
Line up flexible hose to kill line to
get cement returns.
29. Cement 9-5/8” production casing using
premium cement with 35-40% Silica Flour
BWOC as per cementing program:
29.1. Cement using 13.5 ppg lead and
15.4 ppg tail with zero free water
cement. DO NOT trap water in the
annulus at any stage while
cementing.
29.2. Use at least 50% excess over
theoretical casing by open hole
volume and 15% over casing x
casing volume.
29.3. Check mud returns, measure
cement back to surface. Take grab
samples while cementing. DO NOT
take cement returns through the
choke or choke line.
29.4. Do not displace more than 50%
of shoe track volume if the plug
All drilling personnel
Project Engineering
Thermasource
does not bump.
29.5. Drain BOPE and WOC. Keep all
surface water out of the annulus. If
cement comes to surface and falls
back, perform top job as a top fill.
If there are no cement returns to
surface, perform a top squeeze job.
(refer to top job procedures for
details)
30. Notify AOGCC at least 48 hours prior to
testing BOPE.
31. Prepare to install 13-5/8” 3M Expansion
Spool and 12” Class 900 Master Valve and
BOPE:
31.1. 4-bolt 13-5/8” BOPE while
WOC.
31.2. Release 9-5/8” casing after final
cement samples are cured.
31.3. Hang 10” flow line and lift 13-
GRG
Kuukpik
Joe Henning
5/8” BOPE.
31.4. Rough cut 9-5/8” casing for
expansion spool.
31.5. Land 13-5/8” BOPE and lay
down spacer spool and rotating
head.
31.6. Dress 9-5/8” casing for expansion
spool.
32. Install 13-5/8” 3M by 10” 900 Expansion
Spool with seals, 10” 900 Master Valve, 10”
900 by 10” 900 flow tee with wear spool and
10” 900 blooie line valve, 10” 900 by 13-5/8”
3M DSA. Land 13-5/8” BOPE and as per
wellhead diagram. Modify spacer spool as
required to fit flowline and rotating head.
GRG
Kuukpik
Joe Henning
TNG
JM Phillips
33. Pressure test blind rams, 9-5/8” casing, and
10” Master Valve, kill line, choke line and
choke as per AOGCC requirements.
All drilling personnel
Thermasource
34. Make up 8-1/2” steerable assembly. Scribe All drilling personnel
and surface test directional tools. Scientific Drilling
Thermasource
35. Stage in hole, circulating and cooling the well
and the directional tools, to float collar.
Signal test MWD.
All drilling personnel
Hughes Christensen
Scientific Drilling
36. Pressure test pipe rams and annular preventer
as per AOGCC requirements.
All drilling personnel
Thermasource
37. Drill out shoe and perform LOT:
37.1. Drill out float collar, shoe track
and shoe.
37.2. Drill 5’ of new hole and spot high
viscosity LCM pill.
37.3. Perform and record leak-off test
to a maximum 1 psi/ft gradient or
collapse of 9-5/8” casing.
All drilling personnel
Thermasource
Scientific Drilling
38. Drill 8-1/2”directional hole to 5,500’ TVD:
All drilling personnel
38.1. Turn over LSND mud to
Pyrodrill mud. Refer to mud
program for desired mud type and
properties.
38.2. Continue drilling with water and
hi-vis sweeps if total loss of
circulation is encountered. Keep
water on back side when drilling
blind.
38.3. Drill according to directional
plan. Drilling supervisor is to be on
floor when pumping up surveys.
38.4. Perform viper trips as needed.
38.5. Run mud coolers constantly until
total loss of circulation is
encountered. Notify drilling
supervisor if mud temperature
increases more than 3 oF per 100’
drilled.
Thermasource
Scientific Drilling
Kuster
38.6. Circulate and condition hole for
liner if necessary.
38.7. Measure out of hole. Keep water
running at the backside while POH.
38.8. Run logs as per logging program
and/or AOGCC requirements.
39. Run 7”, 26#, L-80, BTC blank and slotted
production liner from 2400’ to 5500’. Set
liner on bottom.
All drilling personnel
BPS
Project Engineering
40. RIH to TD with 4-1/2”-3-1/2” combination
DP string and 6-1/8” BHA to clean inside the
liner and change over to water.
All drilling personnel
41. POH. Lay down tools and drill pipe. All drilling personnel
42. Run tests as per testing program. All drilling personnel
Kuster
Mill Man Steel
Puget
43. Nipple down, rig down and move the rig. All drilling personnel
Drilling Resource List
Resource Data Equipment, Materials, Services
Joe Henning Construction Inc.
629 Stewart Road
Unalaska, AK 99685
O: 907-581-3615
Joe Henning
M:907-359-1909
e-mail: mmm_8k@hotmail.com
Construction
Drivers/Operators
Welding
Mechanic/Electrician
Roustabouts
Mead & Hunt, Inc.
1345B North Road
Green Bay, WI 54313
O: 920-496-5055
Jim Botz
M: 920-655-3729
jim.botz@meadhunt.com
Road and pad construction
URS Energy & Construction
7800 E. Union Ave
Denver, CO 80237
O: 303-843-2703
Bill Hoskins
M:
Financial analysis
william.hoskins@urs.com
Bakersfield Pipe & Supply
2903 Patton way
Bakersfield Ca 93308
O: 661-589-9141
Joe Trahan
M: 661-978-1895
jtrahan@bakersfieldpipe.com
Casing
Flanges & HP fittings
JD Rush
5900 E Lerdo Hwy
Shafter, CA 93263
O: 661-392-1900
Contact person
M:
E-mail
GeoConn L80 casing
Mill Man Steel, Inc.
11307 E Montgomery Drive
Spokane, WA 99206
O: 800-688-7337
Tom Bresnahan
M: 509-290-3723
tbrez@millmansteel.com
Construction steel & pipe
Puget Sound Pipe & Supply
4800 Denver Ave S
Pipe & fittings
Seattle, WA 98134
O: 206-764-9300
Contact person
M:
e-mail
Flanges
ThermaSource Cementing
7085 Eddy Road Area G
Arbuckle, CA 95912
O: 530-476-3333
Marc Brennen
M: 916-801-3336
mbrennen@thermasource.com
Cementing services
BOP testing and leak-off testing
Scientific Drilling
4516 District Blvd.
Bakersfield, CA 93313
O: 661-831-0636
Chandler Smith
M: 661-201-3340
chandler.smith@scientificdrilling.com
Directional drilling services
Geophysical logging tools
Sinclair Well Products & Services
10602 Midway Ave.
Cerritos, CA 90703
O: 800-782-3222
John Tuttle
Drilling fluids
M: 661-212-1223
tutmud@aol.com
Prospect GeoTech
1040 Bowman Dr.
Reno, NV 89503
O: 505-228-3132
James Hill
M: 505-228-6690
jhill@prospectgeotech.com
Mud logging
Data acquisition
H2S safety
Petroleum Solids Control, Inc.
1320 E Hill Street
Signal Hill, CA 90755
O: (562) 254 6341
Manuel Tollini
M: (562) 254 6341
manuel@petroleumsolids.com
Solids control
K&R Drilling Tools
40725 Yucca Ln,
Bermuda Dunes, CA 92203
O: (760) 345-8939
Ken Hopkins
M: 760-861-2835
knrdrilling@me.com
Drill bits and drilling tools
Directional survey tools
Baker Hughes / Hughes Christensen
1417 Spruce drive
Woodland, CA 95695
O:
Mark Pahler
M: 661-428-2420
mark.pahler@bakerhughes.com
Drill bits
JM Phillips
2755 Dawson Ave
Signal Hill, CA 90755-2021
O: 661-327-3118
Ray Ardray
M: 661-717-4974
ray@johnmphillips.com
BOPE, spools
Project Engineering / Davis-Lynch
12611 S Enos Ln
Bakersfield, CA 93311
O: 661-763-1020
Charles Goetting
M: 805-302-5233
charlieg@pecorpusa.com
Casing accessories
MSC Industrial Supply
http://www.mscdirect.com/
O: 800-933-7260 x 487557
Small parts & supplies
Fran Katolas
M:
katolasf@mscdirect.com
Grainger
https://www.grainger.com/
O: 800-472-4643
Contact person
M:
e-mail
Small parts & supplies
Alaska Ship Supply
Salmon Way,
Dutch Harbor, AK 99692
O: 907-581-1284
Contact person
M:
Email
Small parts & supplies
Small parts & supplies
Toolpushers Supply Company
www.toolpushers.com
13231 Champion Forest Dr. Suite 104
Houston, TX 77069
O: 281-440-6681
Rig and pump parts
Contact person
M:
e-mail
Kuster Company
2900 E. 29th Street
Long Beach, CA 90806
O: 562-595-0661
Igor Yevdayev
M:
igoryevdayev@kusterco.com
PT logging equipment
Geothermal Resource Group
75145 St. Charles Place, Suite B
Palm Desert CA 92211
O: 760-341-0186
Alan Bailey
M: 775-304-3253
alanbailey@geothermalresourcegroup.com
Drilling engineering
Drilling supervision and coordination
Wellsite safety coordinator
Drilling logistics
Arctic Drilling
PO Box 58317
Fairbanks, AK 99711
O: 907-451-8706
Dan Brotherton
M:
dan@arcticdrilling.com
Conductor drilling and presetting
Kuukpik Drilling
801 B Street, Suite 300
Anchorage, AK 99501
O: 907-279-6214 (6241?)
Randy Hicks
M:
randy@kuukpik-drlg.com
Rig crews
Contract drilling services
TNG Energy Services
3505 Standard Street
Bakersfield, CA 93308
O: 661-323-7031
Bryan Grueter
M: 661-979-6397
bryan@tngenergyservices.com
Wellheads
Valves
Tees & spools
Geothermal Resource Group, Inc.
75-145 St. Charles Place, Suite B
Palm Desert, CA 92211
Phone: 760-341-0186
December 2013
Basic Procedure for the KO of a multilateral
1. The original well is isolated with an inflatable packer followed by a layer of sand and cement.
The layer of sand (usually10ft/3m to 15ft/4.6m) is to provide a safety buffer on top of the packer
and prevent the cement from interfering with later retrieval. The cement layer provides a base
to set the whipstock and anchor assembly.
2. The cement is cleaned out to a correlated depth with respect to the casing collar locations. If
available, a casing collar log provides better depth control. This depth control for placement of
the whipstock is to facilitate efficient milling and sidetracking operations.
3. A retrievable whipstock assembly is ran and oriented to a desired direction with the objective of
facilitating immediate directional separation when initiating the new leg. An MWD tool is
recommended for this orientation. It is more precise and controllable.
4. The anchor assembly is set on top of the cement. The milling assembly is then disengaged from
the whipstock ramp and casing milling is initiated. Multiple milling assemblies are used to
establish a complete “window” and a new rock formation.
5. A separate leg is directionally drilled form the production casing to a desired reservoir target.
6. A new perforated liner is installed. It is very important during placement that the top of the liner
is 15ft/4.6m to 20ft/6.1m below the bottom of the whipstock ramp to allow for any thermal
expansion after the whipstock has been removed and the well is exposed to flowing
temperatures. However, the liner installation can be problematic if any fill is encountered on
bottom. Diligence is necessary when preparing the wellbore prior to running the liner and
making sure any hole sloughing is mitigated.
7. Injectivity testing and/or production logging are performed to evaluate and assess the new leg.
8. The whipstock assembly is retrieved. A fixed lug retrieving tool and stabilized assembly is used. A
retrieval slot on the whipstock ramp is located and engaged. Overpull is applied to shear the
disconnect and then the whipstock and anchor assembly are recovered.
9. The cement and sand are cleaned out to the top of the packer. The packer is latched, released,
and recovered. The original leg is re-opened as an active wellbore.
10. Injection rate or production discharge testing and analysis are conducted for the combined
wellbore.
Another option is to run the liner, the set the whipstock on the liner using swab cups.
13-5/8" 3M Rotating Head
13-5/8" 3M Casing Head
w/ 3-1/8" 3M Valved Side Outlets
13-5/8" 3M Double Ram Preventer
Blind Ram on Bottom
13-5/8" 3M Annular Preventer
Akutan Geothermal Project
13-5/8” BOPE
GRGI 11/6/2014 – Not To Scale
12" 900 RTJ Expanding Gate Valve
13-5/8" 3M Test Spool
w/11" 3M Side Outlet and
10" 900 Expanding Gate Valve
Blind Flanged While Drilling
AKB
Ground Level
46-3/8"45" + 0.5"
MI 8068-G 21-1/4" 2M Rotating Head
20-3/4" 3M Casing Head
w/ 3-1/8" 2M Side Outlets
20-¾” 3M x 21-¼” 2M Double Ram Preventer
21-¼” 2M Annular Preventer
Akutan Geothermal Project
20” Production Well BOPE – Cased Hole Drilling
GRGI 8/24/2013 – Not To Scale
DSA, if required
Geothermal Resource Group, Inc.
75-145 St. Charles Place, Suite B
Palm Desert, CA 92211
Phone: 760-341-0186
December 2013
Suggested Drilling and Drilling Support Personnel for Akutan drilling
Positions Number of
Personnel Toolpushers 2 Drillers 2 Rig Crews 8 Mud Engineer 1 Mud Loggers 2 Geologists 1 Solids Control Technicians 2 Cementers 2 Drilling Supervisors 2 Drilling Coordinator 1 Drilling Administrator 1 Drivers 2 Rig Mechanic/Electrician 1 Welders 1 Roustabouts 2 Directional Drillers/MWD 3 EHS Technician 1
Geothermal Resource Group, Inc.
75-145 St. Charles Place, Suite B
Palm Desert, CA 92211
Phone: 760-341-0186 December 2013 Rig Requirements Based on the preliminary design of the wells to be drilled for the Akutan Geothermal Project, GRG has established the following rig requirements:
Component Requested Minimum Preferred General Depth Rating 6500’ Power System 500 Drawworks Auxiliary Brake Hydromatic Electric Brake Cooling System Water Input Horsepower 500 Derrick Gross Nominal Capacity 350,000 lb 500,000 lb+ Top Drive Capable Yes Date of Last Major Inspection Within 3 years Within 1 year Casing Stabbing Board Adj height with railing and anti-fall device Wireline Anchor/Type Required Derrickman Assist Required Substructure Construction Telescoping Box-on-box enclosed Clearance under beams 12’ 15’+ Set-back capacity/ weight in slips Wireline/slickline 12,000’ of 0.095 w/depth counter No sandlines Tuggers 2 x 10,000 lb each Rotating Equipment Rotary Table 27-1/2” Input HP 500 Low Gear 20-60 RPM High Gear 60-150 RPM Kelly 5.25” Hex Kelly Spinner Required Travelling Equipment Hook Rating 175 Ton 250 Ton + Elevator Links 250 Ton Drilling Line 1-1/8”
High Pressure Mud System Mud Pumps 2 Type Triplex Make/Model PZ-8 or equivalent
Component Requested Minimum Preferred Charge Pumps Independent Drive Centrifugal Discharge Line 4” Working Pressure 3000 psi Rotary Hose 3.5” ID Working Pressure 3000 psi Standpipe 4” Working Pressure 3000 psi Containment Hose restraints/drip pans Low Pressure Mud System Hoppers, Type Jet mixing Quantity 1 2+ Mixing Pumps 5X6 capable of 50 psi at head pressure point Make/Model Mission Magnum or equivalent Suction Line 8” Discharge Lines 6” nominal De-sander Yes Make/Model Brandt or equivalent Number of Cones 2 Total Flow Capacity 19 bbls/minute Feed Pump Yes Make and Type 5X6 Magnum or eq. De-silter Yes Make/Model Brandt or equivalent Number of Cones 10 Total Flow Capacity 9.5 bbls/minute Feed Pump 5X6 Magnum or eq. Mud Tanks 500 bbls active 800 bbls active + Sand Trap/Shaker Tank Yes Settling Tank Yes Suction Tank Yes Pill Tank Yes Drilling Water Tank 300 bbls 500 bbls Shale Shakers 2 Make/Model NOV Cobra or
equivalent Cellar Pumps 2 Type Diaphragm Manure Fuel Storage Size 7500 gallons 12,000 gallon + Containment Yes
Component Requested Minimum Preferred BOP/Well Control IBOP 2 Gray type w/wrench FOSV 2 TIW type w/wrench Kelly Cock 2 TIW type w/wrench Type Ball Size 7.75” X 3” Kelly Valves 2 TIW type w/wrench Type Ball Size 6.375” X 2.75” Float Subs/Bit Subs Bored for floats Drill String Drill Pipe 4-1/2” 16.6 5” 19.5 Grade G Class Premium Length 7,500 ft 10,000 ft Hard Banding Smooth particle Drill Pipe 3-1/2” 13.3 Grade G Class Premium Length 3,500 ft Hard Banding Smooth particle Pup Joints 4-1/2” 16.6 5” 19.5 Lengths 5’, 10’, 15’ HW Drill Pipe 4-1/2” 5” Grade G Class Premium Premium Number 12 joints 20 joints Hard Banding Smooth particle 10” X 3” DC’s 4 each + lead 8 each + lead, spiral 8” X 2-13/16” 10 each + lead 16 each + lead, spiral 6.6” X 2-3/4” 10 each + lead 16 each + lead, spiral Drill Pipe Elevators 2 each Drill Pipe Slips 2 each Drill Collar Slips 2 each Lifting & Handling Subs required Dog Collars 2 each Miscellaneous
DAQ System Pason or equivalent with PVT, TI/TO, WHP, PP, SPM,ROP, Block height, hookload, torque, flow out, 7 monitoring stations, satellite internet, remote login, VOIP.
Component Requested Minimum Preferred Rig Intercom 4 stations Bug Blowers 2 H2S Alarms Dual channel w/alarms Pipe Racks 4 sets 5+ sets Drill Pipe Torque Limiter Smith Torq-a-Matic or equivalent Environmental Mats Yes Bit Breakers Yes Mud Saver Bucket Yes Forklift 20K lbs all terrain 30K lbs all terrain Rig Cost Estimate (Purchase)
Component Est. Price
($US) Rig: Taylor C1000, Carrier Mounted or equivalent $1,750,000 Pumps: 2 Gardner Denver PZ-8 or equivalent $500,000 Drill Pipe: 4.5" 16.60#, 4.5XH, G-105, Premium, 6500' @ $40/ft $260,000 Drill Pipe: 3.5"15.5#, NC38, G-105, Premium, 3000' @ $32/ft $96,000 Heavy Weight Drill Pipe: 4.5", 20 joints @ $2250/joint $45,000 Drill Collars $250,000 Subs, Lifting Subs, Elevators, etc. $75,000 Pits, Shakers, Solids Control $500,000 Spare Parts $500,000 Total Cost Estimate $3,976,000 Representative Weights
Component Aprox. Weight (lbs) Shaffer Type U, 21-1/4” 2M Single Ram Preventer 13,250 Shaffer Type U, 21-1/4” 2M Double Ram Preventer 25,150 Hydril Type MSP, 21-1/4” 2M Annular Preventer 15,100 Shaffer Type U, 13-5/8” 3M Double Ram Preventer 14,300 Hydril Type GK, 13-5/8” 3M Annular Preventer 9,100
Gardner Denver PZ-8, Skid Mount, without Power End 19,500 Gardner Denver PZ-8, Skid Mount with Power End 44,000 Cat D398 Engine with Transmission 24,500 Gardner Denver 500S Drawworks 30,000 Gardner Denver 800S Drawworks 45,000 Water Use Estimate for Single Leg Completion Hole Section Total Hole Volume (bbls) X2 Total Cement Displacement (bbls) X3 Drilling Days Completion Days Total Primary Water Use Estimate Surface 526 321 2 4 847 Intermediate 1 642 441 3 4 1083 Intermediate 2 592 348 5 5 940 Production 720 0 12 3 720 Hole Section Total Water Use Estimate Total Days Total Water Loss (10%/Day) Surface 847 6 508 Intermediate 1 1083 7 758 Intermediate 2 940 10 940 Production 720 15 1080 Hole Section Total Hole Volume Total Lost Returns Estimate (%) Total Lost Returns Estimate
Surface 263 200 526 Intermediate 1 321 50 161 Intermediate 2 296 50 148 Production 360 500 1800 Hole Section Total Water Use Total Days Total Water Use per Day Total Water Use per Day (US Gals) Surface 1881 6 314 13168 Intermediate 1 2002 7 286 12010 Intermediate 2028 10 203 8518
2 Production 3600 15 240 10080 Projected Daily Average (US Gallons) 10944
Geothermal Resource Group, Inc.
75-145 St. Charles Place, Suite B
Palm Desert, CA 92211
Phone: 760-341-0186
Agenda-Akutan power generation design meeting
Introduction
This meeting is called to ensure that GRG, GDA and JFM are working in concert and achieving
the goals set forth by RMA to create plans, specifications, cost estimates; a system design report;
and the products needed to develop an economic and financial assessment report, a business and
operational plan and an investment strategies report.
Well planning-GRG will give an update on progress with the well planning, the well locations
and expectations of productivity, temperature and fluid composition.
Topics of discussion will include:
Level of planning
MW requirements
Trident heating needs and options
Type of plant
Modular or complete design
Power plant location
Steam separation location
Transmission options
Timeline for completion of work
Deliverables
We will plan to move through these topics through the day, recording decisions that are made
and assigning topics that need more investigation to the appropriate person. Lunch will be
brought into the office. We will begin at 9am and end at 4pm. We have a computer and projector
available for any presentations.
Geothermal Resource Group, Inc.
75-145 St. Charles Place, Suite B
30 December 2013
Basis of Design-Akutan Geothermal Development
In order to effectively plan for development of the geothermal resource at Akutan Island the design
factors including the resource temperature, chemical composition, location must be agreed upon. Based
on the available information and correlation with resources in similar geologic environments and
structural frameworks, the following criteria are proposed to form the basis of design for the wells and
power production equipment.
RESOURCE PARAMETERS
Following is a summary of resource parameters collected from reports on surface measurements
conducted to date:
• Deep reservoir temperatures are expected to be at least 240°C and may be as high as 300°C in
the upflow zone (gas geochemistry gave temperatures of 275-325°C).
• Gas content is expected to be 3.5 to 4 wt.% of steam with average H2S content at 2 mole % of
dry gas.
• Low scaling risk (low Ca, low SiO2 concentrations).
• Gas chemistry indicates a neutral chloride upflow but the geochemistry report expressed
concerns about elevated chloride concentration measured in the fumarole steam condensate.
This could indicate that the fumaroles contain a component of magmatic steam and thus a
probability that there is a corrosive environment beneath the fumarole complex.
HYDROGEN SULFIDE (H2S) REGULATORY CONSIDERATIONS
According to the Alaska Department of Environmental Conservation Division of Air Quality, a new
emission unit or operation is considered a new major source (as defined in the Prevention of Significant
Deterioration (PSD) Program) if it has a potential to emit (PTE) at least 250 tons per year (TPY) of any
regulated pollutant, H2S included, based on a unit operating 8,760 hours per year. A unit that qualifies as
a major source will trigger a PSD permit if it reaches a Significant Emission Rate threshold of 10 TPY of
H2S. This permit will require an ambient air quality analysis for the pollutant along with additional
requirements not required under the minor permit program.
Even with the moderate H2S concentrations that are expected to be encountered, a non-condensing
power plant would require high steam rates. Consequently H2S emissions would be high enough to
exceed 250 TPY. A condensing power plant operating at the conditions described below would require
half the steam supply of a non-condensing plant of the same power rating. A condensing plant would
still exceed the 250 TPY H2S threshold and therefore require H2S mitigation measures.
Page 2 Akutan – Basis of Design
DESIGN PARAMETERS FOR THE CONDENSING PLANT OPTION
For a single-flash, condensing power plant feeding 240°C pure water to a separator and operating the
condenser at 50°C (0.123 bar = 1.8 psi), the optimum separator pressure is 3.6 bar (= 140°C) (DiPippo,
Geothermal Power Plants). At these operating conditions, the plant will yield 86 kW per kg/s of water
fed to the separator. This translates to a production requirement of about 82 kg/s to produce 7 MW of
electricity. At 140°C the resulting separated brine equals about 250 cubic meters/hr or 1100 gpm. This is
the required injection capacity.
Based on production data from analogous fields like San Jacinto in Nicaragua, an 82 kg/s production rate
is achievable. San Jacinto (temp = 270°C) has well production rates ranging from 30 kg/s to 147 kg/s
(Ostapenko et al, A Reservoir Engineering Assessment of the San Jacinto-Tizate Geothermal Field,
Nicaragua). Another comparable field is the Miravalles geothermal field in Costa Rica. It is a water-
dominated reservoir on the slope of a volcano with temperatures at 230-240°C. Wells at Miravalles
produce 3-12 MW individually.
Page 3 Akutan – Basis of Design
Geothermal Resource Group, Inc.
75-145 St. Charles Place, Suite B
Palm Desert, CA 92211
Phone: 760-341-0186
15 November 2013
Production well locations and pad specifications
Submitted by Alan Bailey and Mary Ohren
The well pads for the production wells are designed to accommodate the drilling of two wells—Pad 1
contains production well 1 (PW-1) and production well 1A (PW-1A). Pad 2 contains production well 2
and production well 2A (PW-2 and PW-2A). They are located to the south and south west of the
fumarole field as shown in Table 1 and Figure 1. The pad proposed for the injection well targets will be
similar in size and specification, but the location for injection well drilling has not been finalized yet.
Initially the injection well locations were proposed in the higher elevations closer to the production
wells, but a site in the HSBV is being considered. The following report and figures are to be used as
guidelines for the design and construction of the well pads. Pad 1 (Figure 2) is designed to be longer
than Pad 2 (Figure 3) to accommodate steam separation equipment which may be located on the pad
depending on the power plant gathering system design.
Each well site will need a cellar built to accommodate the blowout prevention and wellhead equipment
under the rig during drilling. These should be built at the same time as the pads. They are to be lined
with cement. The cellar floor is sloped to facilitate drainage. The design for these cellars is shown in
Figure 4.
The production well design will require a rig with specific load capacity, depth rating and power to
efficiently be drilled and completed. It is likely that a smaller rig will be brought in to drill and set the
larger diameter conductor and surface sections of hole, but the infrastructure must be built to
accommodate the larger rig. Table 2 shows the weights of the rig components.
The full pad during drilling will be laid out similar to what is seen in Figure 5. If the terrain requires that
the pad be built with benches instead of one flat area, the rig and all its axillary equipment need to be at
one level, an area approximately 210’ x 90’. The inflatable sump that is planned will be about 150 x 60’
and will need to be on a level area.
Table 1: Production well surface locations. Coordinates in WGS 84 UTM meters Zone 3.
Name
Easting
(m)
Northing
(m)
PW-1 440,617.34 5,999,862.53
PW-1A 440,586.25 5,999,862.59
PW-2 440,223.02 6,000,033.88
PW-2A 440,222.82 6,000,002.20
Figure 1: Akutan geothermal project proposed well pad location map. Well pads represented by white
stippled rectangles. Fumarole field represented by the confluence of red symbols north of the PW-1
pad.
Figure 2: Well pad 1 is designed for drilling PW-1 and PW-1A, both of which may be drilled to produce
sufficient steam to run the power plant. The downhole targets for these wells are separated to reduce
their interaction.
Figure 3: Well pad 2 is designed for drilling PW-2 and PW-2A, both of which may be drilled to produce
sufficient steam to run the power plant. The downhole targets for these wells are separated to reduce
their interaction.
Figure 4: Cellar design. Each well will need a constructed cellar to accommodate BOP and wellhead
equipment.
Table 2: Weights of rig and some auxiliary equipment needed for drilling production wells.
Component Aprox. Weight (lbs)
Shaffer Type U, 21-1/4” 2M Single Ram Preventer 13,250
Shaffer Type U, 21-1/4” 2M Double Ram Preventer 25,150
Hydril Type MSP, 21-1/4” 2M Annular Preventer 15,100
Shaffer Type U, 13-5/8” 3M Double Ram Preventer 14,300
Hydril Type GK, 13-5/8” 3M Annular Preventer 9,100
Gardner Denver PZ-8, Skid Mount, without Power End 19,500
Gardner Denver PZ-8, Skid Mount with Power End 44,000
Cat D398 Engine with Transmission 24,500
Gardner Denver 500S Drawworks 30,000
Gardner Denver 800S Drawworks 45,000
Figure 5: Example rig layout.
DRAFT-Jan. 2014
Akutan Geothermal Project
Plan for Surface Reclamation
Prepared for the
City of Akutan
The Plan for Surface Reclamation, as submitted by City of Akutan Geothermal Project (AGP), is intended to account for the several possible conditions that may occur as a result of the drilling to be performed. These conditions are: 1. An unsuccessful well, with intention to re-drill; 2. An unsuccessful well, with intention to change well status to injection or observation; 3. An unsuccessful well, to be subsequently abandoned with no plan for continued site use, or; 4. A successful well, to be put into eventual production. The project site is currently not in use.
Reclamation Objectives
The objective of interim reclamation is to restore vegetative cover and a portion of the
landform sufficient to maintain healthy, biologically active topsoil; control erosion; and
minimize habitat, visual, and forage loss during the life of the well or facilities.
The long-term objective of final reclamation is to return the land to a condition
approximating that in existence prior to disturbance. This includes restoration of the
landform and natural vegetative community, hydrologic systems, visual resources, and
wildlife habitats. To ensure that the long-term objective will be reached through human
and natural processes, actions will be taken to ensure standards are met for site stability,
visual quality, hydrological functioning, and vegetative productivity.
Reclamation Performance Standards
The following reclamation performance standards will be met:
Interim Reclamation – Includes disturbed areas that may be redisturbed during
operations and will be redisturbed at final reclamation to achieve restoration of the
original landform and a natural vegetative community.
Interim reclamation will be judged successful when the City of Akutan authorized official
determines that…
Disturbed areas not needed for active, long-term production operations or vehicle travel
have been recontoured, protected from erosion, and revegetated with a self-sustaining,
vigorous, diverse, native (or as otherwise approved) plant community sufficient to
minimize visual impacts, provide forage, stabilize soils, and impede the invasion of
noxious, invasive, and non-native weeds.
Final Reclamation – Includes disturbed areas where the original landform and a natural
vegetative community have been restored.
Final reclamation will be judged successful when the City of Akutan authorized official
determines that…
The original landform has been restored for all disturbed areas including well pads,
production facilities, roads, pipelines, and utility corridors.
General: A self-sustaining, vigorous, diverse, native (or otherwise approved) plant
community is established on the site, with a density sufficient to control erosion and
invasion by non-native plants and to reestablish wildlife habitat or forage production. At
a minimum, the established plant community will consist of species included in the seed
mix and/or desirable species occurring in the surrounding natural vegetation.
Specific: No single species will account for more than [30]% total vegetative composition
unless it is evident at higher levels in the adjacent landscape.
Permanent vegetative cover will be determined successful when the basal cover of
desirable perennial species is at least [80]% of the basal cover on adjacent or nearby
undisturbed areas where vegetation is in a healthy condition. Plants must be resilient as
evidenced by well-developed root systems and flowers.
Erosion features are equal to or less than surrounding area and erosion control is
sufficient so that water naturally infiltrates into the soil and gullying, headcutting,
slumping, and deep or excessive rills (greater than 3 inches) are not observed.
The site is free of noxious weeds, drilling debris and equipment, and contaminated soil.
Invasive and non-native weeds are controlled.
Reclamation Actions
During initial well pad, production facility, road, pipeline, and utility corridor
construction and prior to completion of the final well on the well pad, pre-interim
reclamation storm water management actions will be taken to ensure disturbed areas are
quickly stabilized to control surface water flow and to protect both the disturbed and
adjacent areas from erosion and siltation. This may involve construction and maintenance
of temporary silt ponds, silt fences, berms, ditches, and mulching.
When the last well on the pad has been completed, some portions of the well location will
undergo interim reclamation and some portions of the well pad will usually undergo final
reclamation. Most well locations will have limited areas of bare ground, such as a small
area around production facilities or the surface of a rocked road. Other areas will have
interim reclamation where workover rigs and fracturing tanks may need a level area to set
up in the future. Some areas will undergo final reclamation where portions of the well
pad will no longer be needed for production operations and can be recontoured to restore
the original landform.
The following minimum reclamation actions will be taken to ensure that the reclamation
objectives and standards are met. It may be necessary to take additional reclamation
actions beyond the minimum in order to achieve the Reclamation Standards.
Reclamation – General
Procedure: The City of Akutan will be notified 24 hours prior to commencement of any
reclamation operations.
Housekeeping: Immediately upon well completion, the well location and surrounding
areas(s) will be cleared of, and maintained free of, all debris, materials, trash, and
equipment not required for production.
No hazardous substances, trash, or litter will be buried or placed in pits. Upon well
completion, any hydrocarbons in the pit will be remediated or removed.
Vegetation Clearing: Vegetation removal and the degree of surface disturbance will be
minimized wherever possible.
Topsoil Management: Operations will disturb the minimum amount of surface area
necessary to conduct safe and efficient operations. When possible, equipment will be
stored and operated on top of vegetated ground to minimize surface disturbance.
In areas to be heavily disturbed, the top [eight (8)] inches of soil material, will be stripped
and stockpiled around the perimeter of the well location and along the perimeter of the
access road to control run-on and run-off, and to make redistribution of topsoil more
efficient during interim reclamation. Stockpiled topsoil may include vegetative material.
Topsoil will be clearly segregated and stored separately from subsoil.
Earthwork for interim and final reclamation will be completed within 18 months of well
completion or plugging unless a delay is approved in writing by the City of Akutan
authorized official.
Salvaging and spreading topsoil will not be performed when the ground or topsoil is
frozen or too wet to adequately support construction equipment. If such equipment
creates ruts in excess of four (4) inches deep, the soil will be deemed too wet.
No major depressions will be left that would trap water and cause ponding unless the
purpose is to trap runoff and sediment.
Seeding:
Seeding Requirements. No seeding is expected to be required. The majority of the
project site is devoid of vegetation, and no commercial seed blend is readily available to
replenish the native grasses. The introduction of non-native grasses should be strictly
avoided.
Erosion Control and Mulching: Mulch, silt fencing, wattles, and other erosion control
devices will be used on areas at risk of soil movement from wind and water erosion.
Mulch will be used if necessary to control erosion, create vegetation micro-sites, and
retain soil moisture and may include wood fiber, cotton, jute, or synthetic netting. Mulch
will be free from mold, fungi, and certified free of noxious or invasive weed seeds.
Pit Closure: In -ground reserve pits will be closed and backfilled within eighteen months
of release of the rig. Immediately upon well completion, any hydrocarbons or trash in the
pit will be removed. Pits will be allowed to dry, be pumped dry, or solidified in-situ prior
to backfilling.
Following completion activities, pit liners will be completely removed or removed down
to the solids level and disposed of at an approved landfill, or treated to prevent their
reemergence to the surface and interference with long-term successful revegetation. If it
was necessary to line the pit with a synthetic liner, the pit will not be trenched (cut) or
filled (squeezed) while containing fluids.
When dry, the in-ground pit will be backfilled with a minimum of 5 feet of local material.
In relatively flat areas the pit area will be slightly mounded above the surrounding grade
to allow for settling and to promote surface drainage away from the backfilled pit.
Management of Invasive, Noxious, and Non-Native Species: All reclamation equipment
will be cleaned prior to use to reduce the potential for introduction of noxious weeds or
other undesirable non-native species.
An intensive weed monitoring and control program will be implemented prior to site
preparation for planting and will continue until interim or the authorized officer approves
final reclamation.
Monitoring will be conducted at least annually during the growing season to determine
the presence of any invasive, noxious, and non-native species.
Invasive, noxious, and non-native species that have been identified during monitoring
will be promptly treated and controlled. A Pesticide Use Proposal will be submitted to the
City of Akutan for approval prior to the use of herbicides.
Interim Reclamation Procedures – Additional Recontouring: Interim reclamation actions
will be completed no later than 6 months from when the final well on the location has
been completed, weather permitting. The portions of the cleared well site not needed for
active operational and safety purposes will be recontoured to the original contour if
feasible, or if not feasible, to an interim contour that blends with the surrounding
topography as much as possible. Sufficient semi-level area will remain for setup of a
workover rig and to park equipment. In some cases, rig anchors may need to be pulled
and reset after recontouring to allow for maximum interim reclamation.
If the well is a producer, the interim cut and fill slopes prior to re-seeding will not be
steeper than a 3:1 ratio, unless the adjacent native topography is steeper. Note:
Constructed slopes may be much steeper during drilling, but will be recontoured to the
above ratios during interim reclamation.
Roads and well production equipment, such as tanks, separators, vents, electrical boxes,
and equipment associated with pipeline operation, will be placed on location so as to
permit maximum interim reclamation of disturbed areas. If equipment is found to
interfere with the proper interim reclamation of disturbed areas, the equipment will be
moved so proper recontouring and revegetation can occur.
Application of Topsoil & Revegetation: Topsoil will be evenly spread and aggressively
revegetated over disturbed areas previously covered with soil that are not needed for all-
weather operations, including road cuts and fills, and to within a few feet of the
production facilities, unless an all-weather, surfaced, access route or small “teardrop”
turnaround is needed on the well pad.
In order to inspect and operate the well or complete workover operations, it may be
necessary to drive, park, and operate equipment on restored, interim vegetation within the
previously disturbed area. Damage to soils and interim vegetation will be repaired and
reclaimed following use. To prevent soil compaction, under some situations, such as the
presence of moist, clay soils, the vegetation and topsoil will be removed prior to
workover operations and restored and reclaimed following workover operations.
Visual Resources Mitigation: To help mitigate the contrast of recontoured slopes,
reclamation will include measures to feather cleared lines of vegetation and to save and
redistribute cleared trees, debris, and rock over recontoured cut and fill slopes.
To reduce the view of production facilities from visibility corridors and private
residences, facilities will not be placed in visually exposed locations (such as ridgelines
and hilltops).
Production facilities will be clustered and placed away from cut slopes and fill slopes to
allow the maximum recontouring of the cut and fill slopes.
All long-term above ground structures will be painted to blend with the natural color of
the late summer landscape background.
Final Reclamation Procedures - Additional
Final reclamation actions will be completed within 18 months of well plugging, weather
permitting.
All disturbed areas, including roads, pipelines, pads, production facilities, and interim
reclaimed areas will be recontoured to the contour existing prior to initial construction or
a contour that blends indistinguishably with the surrounding landscape. Salvaged topsoil
will be spread evenly over the entire disturbed site to ensure successful revegetation. To
help mitigate the contrast of recontoured slopes, reclamation will include measures to
feather cleared lines of vegetation and to save and redistribute cleared trees, woody
debris, and large rocks over recontoured cut and fill slopes.
Water breaks and terracing will only be installed when absolutely necessary to prevent
erosion of fill material. Water breaks and terracing are not permanent features and will be
removed and reseeded when the rest of the site is successfully revegetated and stabilized.
If necessary to ensure timely revegetation, the pad will be fenced to City of Akutan
standards to exclude livestock grazing for the first two growing seasons or until seeded
species become firmly established, whichever comes later. Fencing will meet standards
found locally, or will be fenced with operational electric fencing.
Final abandonment of pipelines and flow lines will involve flushing and properly
disposing of any fluids in the lines. All surface lines and any lines that are buried close to
the surface that may become exposed in the foreseeable future due to water or wind
erosion, soil movement, or anticipated subsequent use, must be removed. Deeply buried
lines may remain in place unless otherwise directed by the authorized officer.
Reclamation Monitoring and Final Abandonment Approval
Reclaimed areas will be monitored annually. Actions will be taken to ensure that
reclamation standards are met as quickly as reasonably practical and are maintained
during the life of the permit.
Reclamation monitoring will be documented in an annual reclamation report submitted to
the authorized officer by a time established by that officer. The report will document
compliance with all aspects of the reclamation objectives and standards, identify whether
the reclamation objectives and standards are likely to be achieved in the near future
without additional actions, and identify actions that have been or will be taken to meet the
objectives and standards. The report will also include acreage figures for:
1. Initial Disturbed Acres;
2. Successful Interim Reclaimed Acres;
3. Successful Final Reclaimed Acres.
Annual reports will not be submitted for sites approved by the authorized officer in
writing as having met interim or final reclamation standards. Monitoring and reporting
continues annually until interim or final reclamation is approved. Should 30% or more of
a reclaimed area again be disturbed, monitoring will be reinitiated.
The authorized officer will be informed when reclamation has been completed, appears to
be successful, and the site is ready for final inspection.
Akutan Geothermal Project
Plan for Drilling Waste Disposal
Prepared for the
City of Akutan
The Plan for Drilling Waste Disposal, as submitted by City of Akutan Geothermal Project (AGP), is intended to account for the several types of products of drilling and testing of geothermal wells. These products are:
1. Cuttings: rock fragments produced by the cutting action of the bit.
2. Drilling Fluids and Extracted Solids: Non-toxic, water-based drilling fluids,
containing bentonite and polymers, and the fine solids extracted by the solids
control equipment.
3. Produced Fluid: reservoir fluid, primarily brine, produced from the resource.
4. Transient Fluid: surface fluid, such as rain water and water used while operating
surface equipment. This may also include small quantities of petrochemicals such
as lubricants or diesel fuel.
Naturally Occurring Radioactive Material (NORM)
Technologically Enhanced Naturally Occurring Radioactive Material (TENORM)
January 12, 2014
Review of Proposed Production Well Targets for
Hot Springs Bay Valley, Akutan Island, Alaska
Nicholas Hinz
Nevada Bureau of Mines and Geology
University of Nevada, Reno
This summary report is an evaluation of the final proposed production well targets (1a, 1b, 1c,
and 2a) relative to the primary constraints on the location and characteristics of the reservoir as
inferred from the exploration phases accomplished to date. First a bulleted summary of the most
important data sets and interpretations are listed. Then the targets and targeting strategies are
discussed relative to this information.
Summary of Conceptual Model
The primary permeability of the reservoir under HSBV is probably associated with fractures in
the country rock surrounding a series of intrusions. The results of the magnetotelluric study
indicate that densest concentration of intrusive rocks resides directly below the fumarole field
starting at -500 m elevation below mean sea and extending deeper. The magnetotelluric study
indicates that the reservoir is located at approximately 0 to -500 m elevation within the western
part of upper HSBV. A system of steeply plunging fault and fracture intersections controls the
ascent of fluids from the reservoir to the fumarole field. These steeply plunging fault and
fracture intersections may also combine with intrusion-related fractures and locally increase
permeability within the reservoir.
Defining Data Sets and Interpretations
• Two upflow areas in HSBV
o Hot springs in lower HSBV
o Fumaroles in upper HSBV, coincident with region of localized outcrops of high to
moderate intensity argillic altered bedrock
o Fumaroles associated with the most robust part of the geothermal system
• Faults and Fractures
o No major faults in HSBV
o Numerous small faults encountered throughout study area 10s of meters to 5 km long and
only up to 10s of meters offset
o Highest density of faulting in upper HSBV
o Three primary orientations including E-W, WNW-ESE, and NE-SW striking
o Wide variety of dip directions of faults with a majority of the larger faults S-dipping
o WNW-ESE only set with Holocene scarps
o Kinematic analysis of fault surfaces indicating the modern least principal stress oriented
N-S to NE-SW
o Surface manifestations and alteration associated with steeply dipping faults, fractures,
and dikes
• Low-resistivity zone (<10 ohm-m) not present in HSBV
o Would correspond to clay cap if present
o System may be old and eroded
o System is young and underdeveloped
o Does not greatly affect choice of where to drill
• Low-resistivity zone (10 to 40 ohm-m)
o Corresponds to argillic alteration
o Averages 250 m thick, maximum 500 m thick
o Exposed in fumarole area and around hot springs
o Thins and forms an antiformal shape coincident with the western part of upper HSBV
• Intermediate resistivity zone (50 to 100 ohm-m)
o Corresponds to propylitic alteration associated with the reservoir
o Does not distinguish lateral variation in reservoir potential within this zone
o Ranges in elevation from -50 m to -400 to -500 m elevation underneath the entire western
part of upper HSBV
• High-intermediate resistivity zone (125 to 140 ohm-m)
o Elongate region NE-SW possibly punctuated with localized igneous intrusions
o Top of this zone at -300 to -550 m elevation
o Hot Springs straddle NE edge (NE end unbounded in model)
o Fumaroles centered above SW end (SW end unbounded in model)
• High resistivity zone (>160 ohm-m)
o Top of this zone at -450 m elevation
o Corresponds to narrow (500 to 1000m wide), vertically-oriented region dominated by
unaltered igneous intrusions
o Centered directly under the fumarole field
Well Targeting
The primary strategy for selecting production well targets in upper Hot Springs Bay Valley is to
intersect the reservoir between 0 and -500 m elevation as delineated by the intermediate resistive
zone (50 to 100 ohm-m) in the general region below the fumarole field. The fumarole field is
fed by fluids rising along steeply dipping faults and fractures and steeply plunging fault and
fracture intersections. The local dips of these faults and fractures controlling the precise upflow
pathways are not precisely constrained. It is possible that the most robust part of the reservoir
resides nearly directly below the fumarole field and the fluids are rising along a “chimney” of
intermeshed faults and fractures rather than along a consistently inclined pathway. Deviated well
paths designed to generally pass under the central part of the tributary valley with the fumaroles
at the 0 to -500 m elevation level will have the best chance at exploiting the most robust parts of
the reservoir even though the dips of the faults and fractures are not constrained in this area.
All four proposed well paths originating from the proposed well pads (PW-1 and PW-2) on the
ridge southwest of the fumaroles intersect the inferred reservoir at the appropriate 0 to -500 m
elevation under the active fumaroles. All well paths deviate in a NNE to ENE direction and are
oriented such that they will cross a combination of all three major fault and fracture orientations
mapping in HSBV (E-W, WNW-ESE, and NE-SW). The inferred orientation of the least-
principal tectonic stress is N-S to NE-SW and thus the WNW-ESE and NE-SW faults and
fractures are optimally oriented for slip and dilation which is favorable for increased
permeability. One limitation these well targets have is if the primary reservoir permeability is
located northwest or northeast of the fumaroles and proposed well targets at elevation above -400
m. The build rate of 3⁰/100 feet only allows a lateral reach to a distance directly below the
fumarole field from the proposed well pad locations. Deepening the targets along these deviated
paths would reach farther north but would do so below the anticipated reservoir elevation as
indicated by magnetotellurics and would likely encounter only hot dry rock.
All three targets are optimally designed in consideration of all exploration data available and
operating within the combined limits on pad location (on main ridge SW of fumarole field) and
well design (build rate). The three targets are ranked below in order of priority. Target 1b is left
out because it is redundant relative to Target 1a.
1) Target 1a – This target is centrally located to WNW trending line of fumaroles. Given
that specific upflow pathway of fluids feeding the fumaroles has not been constrained,
this well has the best chance at exploiting a resource located directly below most active
surface manifestations.
2) Target 2a – The core of antiformal 10-40 ohm resistivity zone is located slightly west of
the fumarole field and may indicate that the main upflow is also located under this area.
This target will best explore this option.
3) Target 1c – The tributary valley containing the fumaroles is associated with a couple
WNW-striking faults. These faults may play a major role in contributing to permeability
controlling fluid flow. This target is optimally oriented to intersect these structures. This
target also reaches under the easternmost fumarole and provides the longest lateral reach
under the tributary valley.
Geothermal Resource Group, Inc.
75-145 St. Charles Place, Suite B
Palm Desert, CA 92211
Phone: 760-341-0186
26 December 2013
Akutan Drilling Targets
A large part of Phase III of the Akutan project is to perform more detailed planning for drilling
of production capable wells. Several drilling targets were chosen in Phase II. These locations
have been reevaluated and finalized below:
Name
Easting
(m)
Northing
(m)
Surface
elevation
(m)
Underground
Target
Easting
(m)
Northing
(m)
Deepest
elevation
(m)
PW-1 440488 5999863 450 1a 440645 6000310 -430
PW-1A 440467 5999863 450 1b 440671 6000267 -444
PW-2 440223 6000034 465 1c 441026 6000168 -440
PW-2A 440223 6000002 465 2a 440482 6000419 -440
Coordinates are in UTM WGS84 Zone 3
Figure 1: Map image of proposed pad and drilling target (projected to surface) locations with available imagery and 30 m
contour lines.
N
Page 2 Akutan – Well Targets Phase III
PW-1 to Target 1a PW-1a to Target
1b PW-1 to Target 1c PW-2 to Target 2a
Feet
East
Feet
North
Feet
East
Feet
North
Feet
East
Feet
North
Feet
East
Feet
North
515 1466 669 1325 1747 761 850 1368
Surface locations
Four surface locations have been selected for drilling. They are located on the flat ridge
west of the fumarole and hot spring area. It is anticipated that a road can be built to this site and
that the wells can be drilled directionally from these locations to the intended targets. Wells PW -
1 and 1A on Pad 1 are at about 450 m (1476 ft) elevation and wells PW-2 and 2A are at about
465 m (1525 ft) elevation.
Targets
Target 1a and 1b represent the target that encompasses a body of rock directly below the
most active fumarole and hot spring area. In using directionally controlled drilli ng the well is
intended to cross numerous faults and fractures that create the permeability needed for a
productive geothermal well. Target 1c is further east and south from 1a and 1b, but would also
be reached from Pad 1. The trajectory is again meant to cross numerous faults and fractures that
were projected underground from the surface mapping. Target 2 is west and north of the rest of
the targets. All of the targets are at about the same depth from surface.
The targets lie within the 200°C temperature contour suggested in the conceptual model.
There is little actual temperature information to substantiate the location of the contour, but the
presence of the fumarole system indicates that there is substantial heat below this area.
Modeled resistivity values form the basis of the chosen target elevation. The body of rock
with resistivity values in the middle range is more likely to host the geothermal resource. The
lower values indicate altered rock, where and fractures present may be impermeable becaus e of
clay alteration. The highest resistivity values indicate probable unaltered bedrock which is
unlikely to contain the fluid. The target elevations indicate meters below sea level. The actual
intersection with the permeable reservoir may be shallower or deeper than the depth indicated.
Well Designs
The wells are planned to be vertical for the top 1100 feet and then kick off at a build rate
of ~3°/100 ft to a maximum angle in each case of 30°. The well design must be within the limits
of the chosen drilling rig.
Risks
This will be the first large scale drilling in this field
- Fault extent not known
- Dip angles unknown
- Percentage of open fractures unknown
- Extent of resource known only from modeled resistivity
- Temperature unknown
- Fluid composition of reservoir unknown
Plan Data
0
100
200
300
400
500
600
700
800
900
1000
1100
1200
1300
1400
1500
1600
1700
1800
1900
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2400
2500
2600
2700
2800
2900
3000
3100
3200
3300
3400
3500
3600
3700
3800
3900
4000
All Depths are relative to the Original RKB Elevation
Original RKB Elevation at 15.00ft above Ground Level
Ground Level
Section - COND - 36ins Hole to 50ft (50ft TVD)
30ins Casing to 50ft (0 to 50ft TVD)
Casing Grade: X-52, Weight: 234.5, Connection: PE
Section - SURF - 26ins Hole to 400ft (400ft TVD)
20ins Casing to 400ft (0 to 400ft TVD)
Casing Grade: K55, Weight: 94, Connection: BUTT
Section - INT1 - 17.5ins Hole to 1000ft (1000ft TVD)
13.375ins Casing to 1000ft (0 to 1000ft TVD)
Casing Grade: K55, Weight: 61, Connection: BUTT
Section - INT2 - 12.25ins Hole to 2200ft (2142ft TVD)
9.625ins Casing to 2200ft (0 to 2142ft TVD)
Casing Grade: L80, Weight: 43.5, Connection: MODBUTT
Section - OPEN - 8.5ins Hole to 4000ft (3702ft TVD)
7ins Casing from 2100ft to 4000ft (2055 to 3702ft TVD)
Casing Grade: L80, Weight: 29, Connection: BUTT
Bore Hole Schematic
Well ID:
Geothermal Resource Group
AGP IW-1 Well Name: IW-1
Report Date: 01-Dec-13
Printed: 14:12 04-Mar-14 Page: 1 of 1RIMBase 7.0.2.114
Plan Data
0
100
200
300
400
500
600
700
800
900
1000
1100
1200
1300
1400
1500
1600
1700
1800
1900
2000
2100
2200
2300
2400
2500
2600
2700
2800
2900
3000
3100
3200
3300
3400
3500
3600
3700
3800
3900
4000
All Depths are relative to the Original RKB Elevation
Original RKB Elevation at 26.00ft above Ground Level
Ground Level
Section - COND - 36ins Hole to 50ft (50ft TVD)
30ins Casing to 50ft (0 to 50ft TVD)
Casing Grade: X-52, Weight: 234.5, Connection: PE
Section - SURF - 26ins Hole to 400ft (400ft TVD)
20ins Casing to 400ft (0 to 400ft TVD)
Casing Grade: K55, Weight: 94, Connection: BUTT
Section - INT1 - 17.5ins Hole to 1000ft (1000ft TVD)
13.375ins Casing to 1000ft (0 to 1000ft TVD)
Casing Grade: K55, Weight: 61, Connection: BUTT
Section - INT2 - 12.25ins Hole to 2200ft (2142ft TVD)
9.625ins Casing to 2200ft (0 to 2142ft TVD)
Casing Grade: L80, Weight: 43.5, Connection: MODBUTT
Section - OPEN - 8.5ins Hole to 4000ft (3702ft TVD)
7ins Casing from 2100ft to 4000ft (2055 to 3702ft TVD)
Casing Grade: L80, Weight: 29, Connection: BUTT
Bore Hole Schematic
Well ID:
Geothermal Resource Group
AGP IW-1A Well Name: IW-1A
Report Date: 01-Dec-13
Printed: 14:21 04-Mar-14 Page: 1 of 1RIMBase 7.0.2.114
Plan Data
0
200
400
600
800
1000
1200
1400
1600
1800
2000
2200
2400
2600
2800
3000
3200
3400
3600
3800
4000
4200
4400
4600
4800
5000
5200
5400
5600
All Depths are relative to the Original RKB Elevation
Original RKB Elevation at 26.00ft above Ground Level
Ground Level
Section - COND - 36ins Hole to 50ft (50ft TVD)
30ins Casing to 0ft (50 to 50ft TVD)
Casing Grade: X-42, Weight: , Connection: WELD
Section - SURF - 26ins Hole to 550ft (550ft TVD)
20ins Casing to 550ft (0 to 550ft TVD)
Casing Grade: K55, Weight: 94, Connection: BUTT
Section - INT1 - 17.5ins Hole to 1000ft (1000ft TVD)
13.375ins Casing to 1000ft (0 to 1000ft TVD)
Casing Grade: K55, Weight: 61, Connection: BUTT
Section - INT2 - 12.25ins Hole to 2500ft (2413ft TVD)
9.625ins Casing to 2500ft (0 to 2413ft TVD)
Casing Grade: L80, Weight: 43.5, Connection: BOSS
Section - OPEN - 8.5ins Hole to 5500ft (5088.5ft TVD)
7ins Casing from 2400ft to 5490ft (2315 to 5080ft TVD)
Casing Grade: L80, Weight: 29, Connection: BUTT
Bore Hole Schematic
Well ID:
Geothermal Resource Group
AGP PW-1 Well Name: PW-1
Report Date: 01-Dec-13
Printed: 14:23 04-Mar-14 Page: 1 of 1RIMBase 7.0.2.114
Plan Data
0
100
200
300
400
500
600
700
800
900
1000
1100
1200
1300
1400
1500
1600
1700
1800
1900
2000
2100
2200
2300
2400
2500
2600
2700
2800
2900
3000
3100
3200
3300
3400
3500
3600
3700
3800
3900
4000
All Depths are relative to the Original RKB Elevation
Original RKB Elevation at 26.00ft above Ground Level
Ground Level
Section - COND - 36ins Hole to 50ft (50ft TVD)
30ins Casing to 50ft (0 to 50ft TVD)
Casing Grade: X-52, Weight: 234.5, Connection: PE
Section - SURF - 26ins Hole to 400ft (400ft TVD)
20ins Casing to 400ft (0 to 400ft TVD)
Casing Grade: K55, Weight: 94, Connection: BUTT
Section - INT1 - 17.5ins Hole to 1000ft (1000ft TVD)
13.375ins Casing to 1000ft (0 to 1000ft TVD)
Casing Grade: K55, Weight: 61, Connection: BUTT
Section - INT2 - 12.25ins Hole to 2200ft (2142ft TVD)
9.625ins Casing to 2200ft (0 to 2142ft TVD)
Casing Grade: L80, Weight: 43.5, Connection: MODBUTT
Section - OPEN - 8.5ins Hole to 4000ft (3702ft TVD)
7ins Casing from 2100ft to 4000ft (2055 to 3702ft TVD)
Casing Grade: L80, Weight: 29, Connection: BUTT
Bore Hole Schematic
Well ID:
Geothermal Resource Group
AGP PW-1A Well Name: PW-1A
Report Date: 01-Dec-13
Printed: 14:25 04-Mar-14 Page: 1 of 1RIMBase 7.0.2.114
Plan Data
0
100
200
300
400
500
600
700
800
900
1000
1100
1200
1300
1400
1500
1600
1700
1800
1900
2000
2100
2200
2300
2400
2500
2600
2700
2800
2900
3000
3100
3200
3300
3400
3500
3600
3700
3800
3900
4000
All Depths are relative to the Original RKB Elevation
Original RKB Elevation at 26.00ft above Ground Level
Ground Level
Section - COND - 36ins Hole to 50ft (50ft TVD)
30ins Casing to 50ft (0 to 50ft TVD)
Casing Grade: X-52, Weight: 234.5, Connection: PE
Section - SURF - 26ins Hole to 400ft (400ft TVD)
20ins Casing to 400ft (0 to 400ft TVD)
Casing Grade: K55, Weight: 94, Connection: BUTT
Section - INT1 - 17.5ins Hole to 1000ft (1000ft TVD)
13.375ins Casing to 1000ft (0 to 1000ft TVD)
Casing Grade: K55, Weight: 61, Connection: BUTT
Section - INT2 - 12.25ins Hole to 2200ft (2142ft TVD)
9.625ins Casing to 2200ft (0 to 2142ft TVD)
Casing Grade: L80, Weight: 43.5, Connection: MODBUTT
Section - OPEN - 8.5ins Hole to 4000ft (3702ft TVD)
7ins Casing from 2100ft to 4000ft (2055 to 3702ft TVD)
Casing Grade: L80, Weight: 29, Connection: BUTT
Bore Hole Schematic
Well ID:
Geothermal Resource Group
AGP PW-2 Well Name: PW-2
Report Date: 01-Dec-13
Printed: 14:26 04-Mar-14 Page: 1 of 1RIMBase 7.0.2.114
Plan Data
0
100
200
300
400
500
600
700
800
900
1000
1100
1200
1300
1400
1500
1600
1700
1800
1900
2000
2100
2200
2300
2400
2500
2600
2700
2800
2900
3000
3100
3200
3300
3400
3500
3600
3700
3800
3900
4000
All Depths are relative to the Original RKB Elevation
Original RKB Elevation at 26.00ft above Ground Level
Ground Level
Section - COND - 36ins Hole to 50ft (50ft TVD)
30ins Casing to 50ft (0 to 50ft TVD)
Casing Grade: X-52, Weight: 234.5, Connection: PE
Section - SURF - 26ins Hole to 400ft (400ft TVD)
20ins Casing to 400ft (0 to 400ft TVD)
Casing Grade: K55, Weight: 94, Connection: BUTT
Section - INT1 - 17.5ins Hole to 1000ft (1000ft TVD)
13.375ins Casing to 1000ft (0 to 1000ft TVD)
Casing Grade: K55, Weight: 61, Connection: BUTT
Section - INT2 - 12.25ins Hole to 2200ft (2142ft TVD)
9.625ins Casing to 2200ft (0 to 2145ft TVD)
Casing Grade: L80, Weight: 43.5, Connection: MODBUTT
Section - OPEN - 8.5ins Hole to 4000ft (3702ft TVD)
7ins Casing from 2100ft to 4000ft (2055 to 3702ft TVD)
Casing Grade: L80, Weight: 29, Connection: BUTT
Bore Hole Schematic
Well ID:
Geothermal Resource Group
AGP PW-2A Well Name: PW-2A
Report Date: 01-Dec-13
Printed: 14:26 04-Mar-14 Page: 1 of 1RIMBase 7.0.2.114
Page 1
AFE NO:Akutan PW-1
DATE:12-Jan-14
DRILLING COST ESTIMATE - SUPPORTING DATA
Well Name & Number: PW-1 Field:Akutan
Exploratory with 20" surface casing Proposed Depth:6000TVD
Estimated by: Alan Bailey
ESTIMATED COST
NATURE OF EXPENDITURE TANGIBLE INTANGIBLE SUBTOTAL
1.0 SUPERVISION
Supervision 162,000.00$ 162,000.00$
Geology 180,000.00$ 180,000.00$
Engineering 175,880.00$ 175,880.00$
Management & Logistics -$ -$
Permits 20,000.00$ 20,000.00$
Office / Living (On site)7,037.50$ 7,037.50$
Miscellaneous -$ -$
01.0 TOTAL SUPERVISION 544,917.50$ 544,917.50$
2.0 LOCATION COSTS
Road work 30,000.00$ 30,000.00$
Pad Construction 260,000.00$ 260,000.00$
Conductor and Cellar 55,000.00$ 55,000.00$
Surveying 1,850.00$ 1,850.00$
Site Remediation -$ -$
Conductor Pipe 49,000.00$ -$
Other -$ -$
02.0 TOTAL LOCATION COSTS 49,000.00$ 346,850.00$ 395,850.00$
3.0 RIG MOB / DEMOB
Rig Mob / Demob 600,000.00$ 600,000.00$
Truck & Crane Service -$ -$
Misc Move Costs 25,000.00$ 25,000.00$
03.0 TOTAL LOCATION COSTS 625,000.00$ 625,000.00$
04.0 RIG COST
Rig Up/Rig Down 127,500.00$ 127,500.00$
Daywork Rate 1,088,750.00$ 1,088,750.00$
Turnkey Cost -$ -$
Footage Rate -$ -$
Torque Limiter and Autodriller 17,075.00$ 17,075.00$
Top Drive -$ -$
Water Tanks 9,325.00$ 9,325.00$
Third party labor 26,752.50$ 26,752.50$
Crew Subsistence -$ -$
Crew Camp -$ -$
Boiler -$ -$
Other -$ -$
04.0 TOTAL RIG COSTS 1,269,402.50$ 1,269,402.50$
GEOTHERMAL RESOURCE GROUP
Page 2
ESTIMATED COST
NATURE OF EXPENDITURE TANGIBLE INTANGIBLE SUBTOTAL
05.0 DRILLING BITS & TOOLS
Bits 337,150.00$ 337,150.00$
Drill Pipe & Collar Rental -$ -$
Shock Subs & Drilling Jars 13,820.00$ 13,820.00$
Hole Openers -$ -$
Underreaming -$ -$
Stabilizers / Reamers 52,600.00$ 52,600.00$
Inspection and Repair 25,000.00$ 25,000.00$
Retrievable Tools -$ -$
05.0 TOTAL DRILLING BITS & TOOLS 428,570.00$ 428,570.00$
06.0 FUEL
Fuel - Rig and Assoc. Equip 109,500.00$ 109,500.00$
Fuel - Other -$ -$
Lubricants -$ -$
Fuel Tank Rental -$ -$
06.0 TOTAL FUEL 109,500.00$ 109,500.00$
07.0 EQUIPMENT RENTALS
Blowout Preventers 20,375.00$ 20,375.00$
Forklift 5,737.50$ 5,737.50$
Seperator -$ -$
Rotating Head 5,060.00$ 5,060.00$
Light plants / Generator -$ -$
Desander, Desilter, Degasser, Centrifuge 130,575.00$ 130,575.00$
Survey Instrument (Incl. Heat Shield)2,000.00$ 2,000.00$
Mud Cooler 56,900.00$ 56,900.00$
Other -$ -$
07.0 TOTAL EQUIPMENT RENTALS 220,647.50$ 220,647.50$
08.0 TOOL AND EQUIPMENT MAINT.
Rotating Rubbers -$ -$
BOPE Repair / Preventive Maintenance -$ -$
Shaker Screens 60,000.00$ 60,000.00$
Tubular Inspection and Repair -$ -$
Other -$ -$
08.0 TOTAL TOOL AND EQPT. MAINT.60,000.00$ 60,000.00$
09.0 OUTSIDE SERVICES
Casing Crew and Equipment 99,000.00$ 99,000.00$
Electric Logging 69,000.00$ 69,000.00$
Mud Logging 94,900.00$ 94,900.00$
PVT & Data Acquisition -$ -$
H2S Services -$ -$
Welding 90,000.00$ 90,000.00$
BOP & LOT Testing Service 15,000.00$ 15,000.00$
Misc. Service Company -$ -$
Communications -$ -$
09.0 TOTAL OUTSIDE SERVICES 367,900.00$ 367,900.00$
Page 3
ESTIMATED COST
NATURE OF EXPENDITURE TANGIBLE INTANGIBLE SUBTOTAL
10.0 MUD AND CHEMICALS
Drilling Fluids 259,250.00$ 259,250.00$
Engineering 23,100.00$ 23,100.00$
Mud Trucking -$ -$
Misc. Drilling Fluids -$ -$
10.0 TOTAL MUD AND CHEMICALS 282,350.00$ 282,350.00$
11.0 CEMENT AND SERVICES
Primary Cementing 554,844.00$ 554,844.00$
Secondary Cementing 165,000.00$ 165,000.00$
Cement Company Service -$ -$
Lost Circulation Plugs -$ -$
Safety/Whipstock Plugs -$ -$
Cement Retainers -$ -$
Cement Company Standby Charges -$ -$
Misc. Cement Company Charges -$ -$
11.0 TOTAL CEMENT AND SERVICES 719,844.00$ 719,844.00$
12.0 AIR / Sumpless drillling
Air Package -$ -$
Dewatering -$ -$
Misc Air/Sumpless Costs -$ -$
12.0 TOTAL AIR / Sumpless drilling -$ -$
13.0DIRECTIONAL SERVICES
Directional Tools 321,000.00$ 321,000.00$
Directional Engineer -$ -$
MWD Engineer -$ -$
Other -$ -$
Gyro -$ -$
Whipstock -$ -$
13.0 TOTAL DIRECTIONAL SERVICES 321,000.00$ 321,000.00$
14.0 FISHING TOOLS AND SERVICES
Fishing Tools and Services 350,000.00$ 350,000.00$
Standby / Rentals -$ -$
Total Lost in Hole "Fish"-$ -$
14.0 TOTAL FISHING COSTS 350,000.00$ 350,000.00$
15.0 OTHER EQUIPMENT
Floats -$ -$
Small Parts & Supplies -$ -$
Stud, Nuts, Rings -$ -$
Pump Expendables -$ -$
15.0 TOTAL OTHER EQUIPMENT -$ -$
16.0 TRANSPORTATION
Freight Charges 45,000.00$ 45,000.00$
Trucking & Hotshot -$ -$
Water Trucks -$ -$
Misc. Transportation -$ -$
16.0 TOTAL TRANSPORTATION 45,000.00$ 45,000.00$
Page 4
ESTIMATED COST
NATURE OF EXPENDITURE TANGIBLE INTANGIBLE SUBTOTAL
17.0 WASTE WATER DISPOSAL
Vacuum Truck Services -$ -$
Disposal Fees -$ -$
Miscellaneous (Other)-$ -$
17.0 TOTAL WASTE WATER DISPOSAL -$ -$
18.0 OTHER SERVICES
Garbage Bins 4,000.00$ 4,000.00$
Portable Toilets 7,500.00$ 7,500.00$
Water Lines and Pumps -$ -$
Dust Control 10,350.00$ 10,350.00$
18.0 TOTAL OTHER SERVICES -$ 21,850.00$ 21,850.00$
19.0 CASING COST
CASING AND ACCESSORIES
Casing 284,114.40$ 284,114.40$
Liner Hangers & Adapters -$ -$
Centralizers 845.00$ 845.00$
ECP/Stage Collars/Tiebacks -$ -$
Liner Hanger Serviceman -$ -$
Thread Serviceman -$ -$
Float Equipment -$ -$
Misc. Casing Cost -$ -$
19.0 TOTAL CASING COSTS 284,959.40$ -$ 284,959.40$
20.0 PRODUCTION EQUIPMENT
Wellhead 300,000.00$ 300,000.00$
Spools, T's & Flanges 15,000.00$ 15,000.00$
Master Valve -$ -$
Wing Valves -$ -$
Misc Production Equipment - Tangible -$ -$
Misc Production Equipment - Intangible -$ -$
20.0 TOTAL PRODUCTION 300,000.00$ 15,000.00$ 315,000.00$
21.0 WELL TESTING
Geochemistry -$ -$
Test Instruments -$ -$
Test Supervisor -$ -$
PTS Logging -$ -$
CT and Stimulation 32,000.00$ 32,000.00$
Blooie Line & Seperator -$ -$
Post Drilling Evaluation -$ -$
Separator Lines -$ -$
Well Stimulation -$ -$
Other -$ -$
21.0 TOTAL WELL TESTING 32,000.00$ 32,000.00$
TOTAL AFE DEVELOPMENT 633,959.40$ 5,759,831.50$ 6,393,790.90$
Page 5
SUMMARY OF DRILLING COSTS FOR DIRECTIONAL PRODUCTION
WELL
ESTIMATED COST
NATURE OF EXPENDITURE TANGIBLE INTANGIBLE SUBTOTAL
Supervision -$ 544,917.50$ 544,917.50$
Location Costs 49,000.00$ 346,850.00$ 395,850.00$
Rig Mob / Demob -$ 625,000.00$ 625,000.00$
Rig Cost -$ 1,269,402.50$ 1,269,402.50$
Drilling Bits & Tools -$ 428,570.00$ 428,570.00$
Fuel -$ 109,500.00$ 109,500.00$
Equipment Rentals -$ 220,647.50$ 220,647.50$
Total Tool & Eqpt Maintenance -$ 60,000.00$ 60,000.00$
Outside Service -$ 367,900.00$ 367,900.00$
Mud and Chemicals -$ 282,350.00$ 282,350.00$
Cement and Services -$ 719,844.00$ 719,844.00$
Directional Services -$ 321,000.00$ 321,000.00$
Fishing (as required)-$ 350,000.00$ 350,000.00$
Transportation -$ 45,000.00$ 45,000.00$
Other Services -$ 21,850.00$ 21,850.00$
Casing Costs 284,959.40$ -$ 284,959.40$
Production Equipment 300,000.00$ 15,000.00$ 315,000.00$
Well Testing -$ 32,000.00$ 32,000.00$
TOTAL 633,959.40$ 5,759,831.50$ 6,393,790.90$
Geothermal Resource Group, Inc.
75-145 St. Charles Place, Suite B
Palm Desert, CA 92211
Phone: 760-341-0186
January 2014
Budgetary cost estimates as of January 2014 for PW-1 directional well at fumarole site
NATURE OF EXPENDITURE SUBTOTAL
Supervision 544,917.50$
Location Costs 395,850.00$
Rig Mob / Demob 625,000.00$
Rig Cost 1,269,402.50$
Drilling Bits & Tools 428,570.00$
Fuel 109,500.00$
Equipment Rentals 220,647.50$
Total Tool & Eqpt Maintenance 60,000.00$
Outside Service 367,900.00$
Mud and Chemicals 282,350.00$
Cement and Services 719,844.00$
Directional Services 321,000.00$
Fishing (as required)350,000.00$
Transportation 45,000.00$
Other Services 21,850.00$
Casing Costs 284,959.40$
Production Equipment 315,000.00$
Well Testing 32,000.00$
TOTAL 6,393,790.90$
JFMPE, Inc.JFMPE, Inc.
Geothermal Plants, Processes, and Pipelines
Design and Consulting Services
OFFICE ADDRESS
78-541 RUNAWAY BAY DR.
BERMUDA DUNES, CA
92203
PHONE (760) 427-5335
FAX (760) 345-0172
JOHN F. MATTHEW, P.E.
PRESIDENT
jfmpe@thegrid.net
February 19, 2014
Ms. Mary Ohren
Geoscientist
Geothermal Resource Group
74145 St. Charles Place
Palm Desert, CA 92211
(760) 341-0186 office
(775) 527-8963 cell
Dear Mary,
The following report is a status update of the Akutan geothermal project, current as of the
meeting held at the GRG offices on January 16, 2014.
Project Concept
The project concept as of January 16, 2014 was as follows:
10 Mw flash steam plant.
Plant location to be near the well pads, requiring roughly 7 miles of road
construction for drilling access and for plant construction, operations, and
maintenance.
Transmission line to be low profile design, on a pipe support style support system,
designed for high wind velocities. Design wind speed was discussed to be 150
mph.
Additional power provided by the plant to used as an alternative to hot water
supplied by the current system. Electricity would be used to heat hot water
required by the fish processing plant.
The building concept for the plant is to use “Sprung” style buildings.
o These are compatible for wellhead valves-piping shelters.
o Are for consideration for the Turbine-Generator-Power block
shelter/building.
Process Engineering Details
A detailed Index Flow Sheet was developed for a hypothetical Akutan resource with the
following characteristics:
Resource Details:
Ms. Mary Ohren
Geothermal Resource Group
Akutan Geothermal Project
2/19/2014 JFMPE, Inc. Page 2 of 4
78-541 Runaway Bay Drive
Bermuda Dunes, CA 92203
760-427-5335
o Temperature: 464 F / 240 C
o Enthalpy: 437.68 Btu/lb
o TDS: 10,000 ppm
o NGC in steam: 3.5% of HP steam
o H2S in NCG: 1.58% of NCG
Production Well Conditions
o Flow rate: 1,188,930 lb/hr
o HP separator: 103 psig
o HP steam to turbine: 183,354 lb/hr
o NCG rate: 6,417 lb/hr
o H2S rate: 101 lb/hr
Production Gathering System
o Production wells:
Two (2) production wells are anticipated as required for this system.
o Separator system:
Either a single separator station for two phase piping to bring the
resource to the HP separator, or;
A wellhead separator station for each production well.
Brine Injection System
o Brine injection wells:
Two (2) injection wells are anticipated as required for this system.
o HP Brine:
HP brine will be pumped from the HP separator to an injection
gathering system.
Condensate Injection System
o Designated injection wells
A single designated injection well to be used exclusively for steam
condensate and cooling tower blow down (if a cooling tower is
selected)
Steam Turbine Details
Design turbine output: 10 Mw gross power
Steam to turbine inlet: 160,465 lb/hr
Steam to aux. systems: 22,025 lb/hr
Turbine condenser pressure: 3.00 inches HgA
Isentropic efficiency: 80.00%
H2S Abatement System: RTO unit (Reactive Thermal Oxidizer) was
discussed as an abatement system for consideration.
Ms. Mary Ohren
Geothermal Resource Group
Akutan Geothermal Project
2/19/2014 JFMPE, Inc. Page 3 of 4
78-541 Runaway Bay Drive
Bermuda Dunes, CA 92203
760-427-5335
Steam Condenser-Heat Rejection System
Steam condenser would be a surface condenser to enable superior options for H2S
abatement.
Heat rejection system evaluation would be conducted. Consideration of the
following systems:
o Traditional cooling tower system
Counterflow design
High wind and carryover a consideration.
o Air Cooled Condenser
Direct steam condensation
Similar to GEA in Europe
Consider use of fans or no fans.
Closed loop system.
Run Glycol through air cooled condensers.
Counterflow shell and tube condenser for steam turbine
exhaust.
Larger area required compared to wet cooling tower.
Electrical Distribution System
13.8 KV high voltage distribution to match steam turbine generator voltage.
Install on a low profile cable tray system as the base case:
o Design similar to what has been installed at the Patua 1 plant in Fernley
Nevada.
Use pipe support style with long span cable tray.
Evaluate other systems for potential applicability:
o Direct buried system.
o Pole mounted system.
Attached is a copy the 10 Mw process case for a HP flash steam turbine system.
If you have any questions or comments, please do not hesitate to call.
Best Regards,
John Matthew
John F. Matthew, P.E.
President
JFMPE, Inc.
Ms. Mary Ohren
Geothermal Resource Group
Akutan Geothermal Project
2/19/2014 JFMPE, Inc. Page 4 of 4
78-541 Runaway Bay Drive
Bermuda Dunes, CA 92203
760-427-5335
jfm: JFM
File: Project 13039
Attachment: Akutan Heat and Material Balance: 240 C Resource, 3.5% NCG
Index Flow Sheet.
Single Flash Turbine Geothermal Plant: Akutan Alaska HP Flash Heat and Material Balance: 240 C Resource, 3.5% NCGJFMPE, Inc.10.0 MW: 438 H Resource464 F, 117 psia HP Flash 10.00 MwWASH WTR 1.00% OF STEAM WASH WTR 0.07% OF STEAM 3173 19,250 HP STM TO JETS35 psia SP Flash 0.00 Mw514051702000 HP STM TO SEALSEach Plant Mw Case 1) 10.00 Mw @ 3.00" Hga775NCG IN AUX. STM22,025 PPH TO GRS/AUXTotal Brine Flow Required 1,188,930 PPH 118.9 KPH/MW149.8 Kg/Sec3140 3172 3171 3181WASH WTR 1.50% OF STEAM5110154,824 PPH STEAM31705,642PPH NCG160,465 PPH INLET98.59 PSIABRINE CARRYOVER 400.00 PPH 3120326.84 DEG F99.78% Steam Quality 183,354 LB/HR STMH2S EMISSIONS3110 3150421.87 TONS/YR95% AVAIL.1100Turbine Efficiency: 80.00% 10.34 Mw Gross 2.50 Inches HgA80.00% 10.00 Mw Gross 3.00 Inches HgA80.00% 9.71 Mw Gross 3.50 Inches HgA2110 CHEM. CONC.4170 80.00% 9.45 Mw Gross 4.00 Inches HgA1,188,930 PPH 25% 911080.00% 5.00 Mw Gross 31.39 Inches HgA10,000 PPM10 PPM INHIBITORS41400.5440% NCG437.68 BTU/LB 1,005,576 LB/HR BRINE 98.50% SCRUBBER EFFICIENCY 99.50% DEMISTER EFFICIENCY RESOURCE TEMP: 240.0 DEG CAdded C/O Added C/O Added C/OSTREAM NUMBER PVT Calc. HP PROD. HP SEP HP SEP HP SEP STM/WTR HP STEAM HP LIQUID HP SCRUB STM/WTR HP STEAM HP LIQUID HP STEAM HP TURB STM/WTR HP STEAM CHEM. HPInputs INLET BRINE STEAM WASH TO OUT OUT WASH TO OUT OUT TO WASH STEAM TO TO 25% TURBINE TURBINEBRINE OUT OUT WATER SCRBBR SCRBBR SCRBBR WATER DEMSTR DEMSTR DEMSTR HP T/G WATER HP T/G GRS/AUXTO HP BRN INLETSTREAM 1100 2110 3110 5110 3120 3140 4140 5140 3150 3170 4170 3171 5170 3181 3173 9110 STEAM NCGFLOW RATE PPH1,188,9301,005,576 183,354 2,750 186,105 182,627 3,478 1,826 184,453 182,378 2,076 160,353 112 160,46522,02540 154,824 5,642TEMPERATURE DEG. F464.00340.24 340.24 105.00 339.84 335.00 335.00 105.00 334.95 329.79 329.79 329.79 105.00 326.84 329.79 80.00PRESSURE PSIG 103.00103.00103.00143.00103.00 95.50 95.50 143.00 95.50 88.00 88.00 88.00 143.00 83.89 88.00 153.00PSIA 117.70117.70117.70 158.00 117.70110.20110.20 158.00 110.20102.70102.70 102.70 158.0098.59102.70 168.00ENTHALPY BTU/LB 437.68 305.87 1160.53 73.22 1144.46 1160.44 305.53 73.22 1149.68 1159.34 300.60 1159.34 73.22 1158.64 1159.34 30.52DENSITY LB/FT^3 1.7428 56.6247 0.27595 62.0681 0.28065 0.25900 56.3017 62.0681 0.26177 0.2423 56.4220 0.2423 62.0681 0.23312 72.8900VAPOR FRACTION % 15.39% 99.78% 98.10% 99.97% 98.87% 99.99% 99.99% 100.00% 99.99% 99.99%SPECIFIC VOLUME FT^3/LB 0.57380 0.01766 3.62389 0.01611 3.56313 3.86106 0.01776 0.01611 3.82008 4.12734 4.12734 4.28967GPM 2,216.3 5.53 7.71 3.67 4.59 0.23 0.07BTU/HR520,369,213 307,580,312 212,788,901 201,375 212,990,276 211,927,713 1,062,563 133,718 212,061,431 211,437,478 623,953 185,903,438 17,735 185,921,173 25,534,040 1,228Energy Balance0 520,369,213 307,580,312 212,788,901Carry over Enthalpy 307.09 307.09122,836 122,836Steam Enthalpy 1,162.39 1,162.60 1,160.92 1,161.17 1,159.58 1,159.58 1,158.85 1,159.58STEAM DENSITY 0.27535 0.27535 0.2754 0.25892 0.25883 0.24227 0.24227 0.23311 0.24227LIQUID DENSITY 56.6247 56.0508 56.6639 56.8649 56.8605 57.0679 57.0679 57.1809 57.0679TOTAL DISSOLVED SOLIDS PPM10,00011,819 25.782.0025.43 0.39 1340.52 2.00 0.40 0.00 36 0 2.00 0 0 250,000WT % 1.00% 1.18% 0.0026% 0.0002% 0.0025% 0.0000% 0.1341% 0.0002% 0.0000% 0.0000% 0.0036% 0.0000% 0.0002% 0.00% 0.0000% 25.0000% 0.0000%PPH 1.189E+04 11,8855050500 000 0 00100PIPING DIAMETER IN 20.00 12.75 20.00 20.00 20.00 20.00 20.00 20.00 20.00FLOW LINE VELOCITY FT/SEC 93.76 6.28 91.32 91.14 96.91 96.84 103.45 90.96 94.60NON-COND. GASES WT%0.5440%0.0050% 3.50% 0.0000% 3.4480% 3.5135% 0.0046% 0.00% 3.4788% 3.5183% 0.0044% 3.5183% 0.0000% 3.52% 3.5183% 0.0000% 0.0000% 100.00%PPH 6,467.24 50.40 6,416.84 0.00 6,416.84 6,416.68 0.16 0.00 6,416.68 6,416.59 0.09 5,641.70 0.00 5,641.70 774.89 0.00 0.00 5641.70H2S WT%/PPH1.580%101.39 101.39 101.39 101.39 101.39 89.14 89.14 12.24 89.14LIQUID CARRYOVER TO STEAM PPH400.0052.96 10.43 0.00BTU/HR 122,350 16,181 3,135 0HP BRINE SEPARATORV-2101HP STMSCRUBBERV-3131HP STEAMTURBINE GENERATORCONDENSERHP STMDEMISTERV-316113039 Akutan Process Model_01-16-14Akutan Case 1) (3)JFM 2:38 PM 2/19/2014