Shell and Enventure Global Technology Install World's First Corrosion-Resistant Solid Expandable Tubular System in a Producing Well.

Business/Energy Editors

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HOUSTON--(BUSINESS WIRE)--Oct. 30, 2002

Record 6,095-Ft Chrome 13 Expandable Tubular Liner

Expected to Increase Production 60%

Nederlandse Aardolie Maatschappij B.V. (NAM) and Enventure Global Technology have successfully installed 6,095 feet of 6-in. corrosion-resistant alloy (CRA) Solid Expandable Tubular (SET(TM)) Liner in a producing well located in the Groningen field, The Netherlands. Enventure's Cased-Hole Liner (CHL(TM)) System was installed inside 7 5/8-in. base casing to improve the productivity of the Eemskanaal-2 well, proving a novel retrofit design for "low pressure" gas wells, and setting world records as the longest solid tubular expansion in a single run and the first commercial applications of expandable Cr13 tubulars and Vallourec Mannesmann (VAM) proprietary expandable gas-tight connections (VAM ET-NA 4).

This multiple-record installation comes quickly after the July 2002 proof-of-concept downhole expansion of Cr13 tubulars and gas-tight connections in NAM's Wanneperveen-2 well. Both CRA SET installations were the result of a cooperative effort between Shell Exploration and Production, B.V., NAM, VAM and Enventure.

"This project is an excellent demonstration of the impact of SET Technology," said Hans Bouman, Groningen Asset Manager for NAM. "Because of limitations in drilling additional wells in this field, we need to maximize the deliverability from existing wells to provide flexibility in meeting peak gas demand situations.

"The ability to expand Cr13 tubulars will allow us to do that by providing far greater production deliverability from highly corrosive wells and allowing us to drill deeper than ever before," Bouman added.

The 6,095-ft CRA CHL System, installed in a gas well in the Groningen field, was expanded in 7 5/8-in. 39 ppf, 33.7 ppf and 29.7 ppf casing, with elastomer seals in each section. Combined mechanical and hydraulic forces used to expand the chrome pipe by 9.8% averaged approximately 92,000 lbs. Post-expansion ID of the 6-in. 18.6 ppf CRA Liner was 5.92 in. (compared to a pre-expansion diameter of 5.39 in.), while post-expansion burst and collapse were estimated at 7,000 psi and 4,000 psi, respectively. Overall liner length was reduced from 6,095 feet to 5,869 feet as a natural result of the expansion process.

"This CRA SET workover is a giant step forward for the oil and gas industry," said Lance Cook, President and CEO, Enventure Global Technology. "Now that the research and development expertise of Shell and VAM, coupled with Enventure's SET experience, have demonstrated the effectiveness of the expandable CRA workover, this will be a springboard for more such workovers and the commercial application of MonoDiameter(TM) Technology."

As of Oct. 20, 2002, Enventure has performed 91 installations and expanded more than 88,000 feet of pipe and more than 2,300 connections for 35 operators globally. Enventure Global Technology, L.L.C., the world's leading provider of solid expandable tubular solutions, is a limited liability company organized and owned by Halliburton Energy Services Inc. and Shell Technology Ventures Inc. For more information go to www.EnventureGT.com.

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