COILED ROD. Optimize Your Rod Lift Systems With Pro-Rod

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1 COILED ROD Optimize Your Rod Lift Systems With Pro-Rod

2 DOVER ARTIFICIAL LIFT Elevating the Potential of Artificial Lift Production Dover Artificial Lift, part of Dover Energy, offers a comprehensive line of artificial lift equipment, accessories and services strategically designed to drive the operational excellence of each of our clients. We provide industry-leading systems and components engineered to enhance the profitability of ESP lift, gas lift, plunger lift, hydraulic lift, rod lift, progressing cavity pump applications and surface production, as well as state-of-the-art software and products in the well automation, analysis and optimization space. As an organization dedicated to the needs of our clients, we place a consultative service and support approach at the forefront of our operations. Driven by a team of veteran artificial lift experts, our mission is to deeply understand the complex production challenges faced by well operators on a daily basis, and provide them the exact set of tools needed to meet them as efficiently and effectively as possible. Strengthened by the vast global footprint and tradition of excellence of our parent company, the Dover Corporation, we are able to ensure that the products we provide and more importantly, the people who make up our organization are the best in the artificial lift industry. 1

3 Three major value points of PRO-ROD Reduce Maintenance Increase Production Enhance Profit Pro-Rod delivers the most convenient and cost-effective coiled rod product and is the industry's largest coiled rod manufacturer, with world-class facilities in Canada, the United States and the Middle East. Coiled rod is manufactured as a one-piece, continuous rod string that effectively connects the bottom-hole pump to the prime mover at surface. With only two connections, one at the top and one on bottom of the rod string, all other connections are eliminated for a uniform rod diameter. Costly well maintenance interventions due to failures associated with rod couplings, tubing wear and coupling makeup issues are significantly reduced. Coiled rod's uniform and flexible nature makes it the most effective and efficient choice for rod strings in all wells deviated from vertical (horizontal, slant or directional). Our coiled rod is manufactured using the highest quality domestic steel available and is subject to the industry's most rigorous quality assurance program. Pro-Rod s proprietary high-quality, fully quenched and tempered coiled rod is available in the size and grade required to meet your needs. REDUCE LIFT COSTS Failure analysis data indicates that the majority of conventional sucker rod string failures occur within the coupling connections and forged upset areas. Pro-Rod s connectionless rod string with uniform rod diameter can drastically reduce the associated costs of rod string maintenance, tubing replacement and well downtime. INCREASE PRODUCTION Removal of the couplings from a rod string creates a uniform flow area for fluid in the production tubing and eliminates pressure loss experienced across couplings, increasing both pump efficiency and production. reduce SERVICE COSTS Firstly, producers can expect lower well service costs by reducing well intervention frequency utilizing Pro-Rod. Secondly, coiled rods one-piece configuration also helps to significantly reduce trip times, rod handling and manpower associated with conventional sucker rods. 2

4 BENEFITS OF COILED ROD Bringing the benefits of coiled rod to your oilfield, simply and efficiently Coiled rod technology has been available since the 1960s but remained a relatively under-utilized product due to the significant logistical obstacles it once presented for well operators. Recent advances in the equipment used to install and maintain coiled rod-equipped wells, coupled with an increased availability of third-party coiled rod installation services, have removed the cost-prohibitive barriers of entry and revolutionized the utilization of coiled rod in the industry. Pro-Rod and Dover Artificial Lift have been at the forefront of these recent advances. Thanks to state-of-the-art installation and servicing equipment, coupled with coiled rod manufactured with industry-leading steel strength and quality, oil producers can now leverage coiled rod in any type of well, in a manner that ensures optimal production and drastically reduces well maintenance costs. The Benefits of Coiled Rod INCREASED PRODUCTION By removing couplings, centralizers and guides from the rod string, coiled rod helps boost production by providing: Increased annular flow area Eliminates pressure drop across couplings/centralizers/guides Eliminates rod coupling/centralizer piston effect Allows for utilization of larger diameter rod in slim-hole applications ROD IN PRODUCTION TUBING Conventional coupled rod Coiled rod Conventional sucker rod Coiled rod with coupling 3

5 BENEFITS OF COILED ROD CONTACT LOAD & TUBING WEAR Couplings on conventional sucker rod (left) generate high concentrated contact loads and bending stresses especially in deviated tubing sections. Coiled rod's uniform diameter (right) allows for a more uniformly distribution of loads which decreases contact loads and bending stresses. Tubing Sucker Rod Concentrated Contact Load Tubing Uniformly Distributed Contact Area Coupling or/and Guide Coiled Rod Reduce Well Downtime and Maintenance Eliminating couplings prevents an estimated 75% of rod string failures Coiled rod distributes side loads more effectively than conventional sucker rod throughout the entire rod string, which eliminates the concentrated wear caused by couplings every 25 feet to significantly reduce tubing wear SUCKER ROD IN TUBING SUCKER ROD COUPLING & Tubing WEAR 4

6 PRO-ROD APPLICATIONS Optimizing Production Across a Range of Rod-Driven Pump Systems Pro-Rod has earned its reputation as an industry-leading rod lift solution for a variety of well configurations and artificial lift applications. Reciprocating Rod Lift Reciprocating rod lift (RRL) remains the most widely utilized method of artificial lift around the globe. Coiled rod can complement most RRL systems, particularly those producing from horizontal, or directional well profiles. Pro-Rod enhances these systems by reducing tubing wear, improving pump and surface equipment efficiencies, and increasing production in both light-and heavy-oil applications. The removal of rod couplings along the entire length of a rod string achieves several key efficiencies to reduce your lift costs: Eliminates rod coupling failures with the majority of rod failures confined to the coupling/upset area. Reduces tubing wear by distributing contact loads over a larger area. Reduces rod stress. Creates unrestricted laminar flow through uniform rod diameter. Eliminates the piston effect common to conventional sucker rods, which reduces friction and increases plunger travel for increased production. Makes Pro-Rod a more efficient and longer-running alternative to coupled sucker rods. Coiled rod lowers maintenance costs, as overall rod stress and tubing wear are reduced, particularly in the case of deviated wells. With lower rod stresses, surface drives can be downsized, thus lowering capital and energy costs, and downhole pumps can be upsized to provide increased production. The absence of couplings also creates a more uniform diameter, resulting in reduced pressure losses, a lower likelihood of paraffin deposition and buildup and a less turbulent flow profile up the production tubing. Polished Rod Polished Rod Coupling Coiled Rod Coiled Rod Solution Applications/Well Configurations Light, medium & heavy crude Thermal applications - Cyclic Steam Stimulation - Steam Flood - SAG-D Horizontal, deviated and vertical wells Deep wells Slim-hole well design Shear Coupling Conventional Rod(s) Reciprocating Pump 5

7 PRO-ROD APPLICATIONS Progressing Cavity Pumping Progressing cavity pump (PCP) systems are a popular lift option in wells characterized by mid to low API gravity oil. In many regions this viscous oil is produced along with sand (solids) cuts that create conditions unfavorable to the utilization of conventional rod with couplings. The presence of solids in a vortex condition around each coupling increases the risk of abrasive coupling failure. In addition, the flow restrictions created by the couplings decreases the pump's Polished Rod ability to effectively lift fluid/solids to surface. The streamlined profile of Pro-Rod coiled rod helps to enhance the operational efficiency of PCP systems by reducing rod and tubing wear as well overall rod stress. Lower rod stress allows the operator to downsize the surface drive, thus lowering operating costs, or upsize the PC pump to increase flow rates to the surface. The streamlined profile of coiled rod enables laminar flow of fluids to surface which minimizes problems associated with solids fall-out. This profile also allows for coiled tubing clean-outs to remove solids down to the top of the pump. Additionally, without having to make-up a coupling connection every 25 feet, Pro-Rod strings are installed faster and with less manpower. PC Drive Side Entry Rod-Lock BOP Polished Rod Polished Rod Coupling Eliminate ROD COUPLING FAILURES BY USING PRO-ROD COILED ROD Applications/Well Configurations Light, medium & heavy crude Cold heavy-oil Production with Sand (CHOPS) Thermal Applications - Cyclic Steam Stimulation - Steam Flood - SAG-D Horizontal, slant, deviated and vertical wells Polish rod-less systems Coiled Rod Solution PC Pump Tube Coupling Coiled Rod Tube Coupling Coiled Rod 6

8 DOVER FULL LIFT SOLUTION Providing a Full Lift Solution While Pro-Rod promises numerous benefits over coupled sucker rods in a range of field applications, it provides further advantages when used in conjunction with other Dover Artificial Lift products. The result: a full-suite production optimization solution that minimizes downtime and cuts costs for all types of wells and operational scenarios. Pro-Rod coiled rods are routinely used with numerous other Dover tools and services, including: Oil Lift Technology s line of progressing cavity pumps and pump drives are designed to operate safely and reliably in less-than-ideal production scenarios, including sandy, heavy oil, depleted wells, and dewatering applications for coalbed methane (CBM) wells. Combined with Oil Lift s Rod-Lock BOP, hydraulic power packs, electric generators and Pro-Rod coiled rod, Dover Artificial Lift offers a complete solution for PCP applications. Norris/Alberta Oil Tool provide unparalleled value in the rod lift market as the world s leader in sucker rod production and include a wide range of rod lift accessories including pony rods, couplings, polish rods, stabilizer and sinker bars, guides and shear-couplings to compliment both RRL and PCP systems. Harbison-Fischer reciprocating rod pumps and pump accessories have provided efficient, dependable operation in oil fields around the world for more than 70 years. HF produces the industry s highest quality barrel tubes and are available in many lengths, diameter sizes and various materials for all pumping conditions. HF pumps along with Pro-Rod coiled rod and Norris rod string accessories provide the producer with a premier rod lift solution for a variety of applications. Spirit Global Energy Solutions is world renowned for its well analysis expertise, electronic pump-off control, field service and support. The Spirit Intelligent Speed Drive (ISD) is an adjustable frequency drive ideally suited for efficient control of artificial lift AC motors. Used in conjunction with Spirit s Genesis Intelligent Asset Manager, the motor speed and torque can be further refined through downhole pump fillage control. Spirit products are an ideal complement to Dover Artificial Lift rod lift systems. PCS Ferguson s Well Site SCADA is a fully-integrated automation solution continuously collecting real-time data from each well creating timely and accurate electronic reports and storing current and historical data that can be accessed from the field or office. With the information at your team's fingertips, they are able to recognize trends and correct problems to ensure optimum production levels. Maximize production and streamline costs with centralized production management and operation. Theta Oilfield Services is the leader in Rod Pumping Optimization software and training. Theta has developed diagnostic, design, pumping unit balancing, dynamometer data measurement, and smart oilfield automation software that are used by many oil companies, service companies, and rod pumping equipment suppliers. Theta Oilfield Services also provides training courses and consulting services in rod pumping optimization. Design or optimize your Rod Lift system utilizing the Theta product line. 7

9 CASE STUDY The Case for Pro-Rod Pro-Rod works with a major Canadian heavy oil producer for drastically increased mean time before system failures, substantial service cost savings and enhanced production. Understanding the Challenge Reduce well intervention frequency in their CHOPS (Cold Heavy Oil Production with Sand) wells. The harsh conditions of the wells in question caused excessive tubing and rod string wear, especially in the rod coupling area. This led to frequent interventions, high service costs and less than optimal well production. Average mean time between system failures was roughly 9 months, much shorter than ideal or possible. Identifying the Right Solutions Pro-Rod replaced the traditional conventional coupled rod with coiled rod. Pro-Rod was installed into 1,500 wells, initially as a pilot study. Due to the documented early success of the product and service model, the company elected to convert 3,500 producing wells and install all new drills to Pro-Rod coiled rod. The service model warranted the deployment of 20 Pro-Rod coiled rod injectors directly into the company's service equipment fleet over time. Pro-Rod also provided coiled rod injectors to third party contractors to ensure full and on-going coverage for this producer. This model alleviated the inconvenience and service delays typically associated with coiled rod-driven production. The pilot also proved that the servicing of coiled rod was much more efficient compared to conventional coupled rod. Delivering Results In the wells monitored by the pilot, net well service costs were reduced by $1,600 per well, per month, for a total field-wide savings of $2.4 million per month. The mean time between system failure was improved by 33%, from 9 to 12 months. This represented significant savings due to a decrease in service costs. The average time for the first intervention on a new well was improved by 200%, from 3 to 9 months. This decrease in site downtime improved overall production by 10%, or 258 barrels per month per well. SAVE $2.4M SAVINGS OF $1,600 / MONTH per well, per month MTBF 33% increase PRODUCTION 10% increase 8

10 COILED ROD SPECIFICATIONS Coiled Rod Specifications Pro-Rod offers a wide variety of coiled rod products and sizes designed to meet the unique challenges of any well utilizing a Progressing Cavity or Rod Lift pumping system. Additional products available upon request. Physical Properties - Quenched and Tempered Pro-Rod Type 620C 780M 750N 960M 970N Grade 1536M 4120M 4320M 4120M 4330M Tensile, ksi (MPa) min. 120 (827) 120 (827) 125 (862) 140 (965) 140 (965) Yield, ksi (MPa) min. 85 (586) 100 (689) 100 (689) 115 (793) 115 (793) Hardness, Rc 22 min 22 min 24 min 30 min 30 min Maximum Service Torque ft-lbs (N-m) Rod Size Grade D Carbon (620C) AISI 1536M Grade D Alloy (780M) AISI 4120M Grade D Special Alloy (750N) AISI 4320M Special Service (960M) AISI 4120M Grade D Carbon (970N) AISI 4330M 13/16" (20.6 mm) 540 (732) 565 (766) 580 (786) 725 (983) 725 (983) 7/8" (22.2 mm) 680 (922) 735 (997) 750 (1,017) 900 (1,220) 900 (1,220) 1" (25.4 mm) 1,015 (1,376) 1,100 (1,491) 1,110 (1,505) 1,350 (1,830) 1,350 (1,830) 1 1/8" (28.6 mm) 1,445 (1,959) 1,535 (2,081) 1,550 (2,101) 1,900 (2,576) 1,900 (2,576) Carefully crafted chemical properties provide improved corrosion resistance. High quality steel ensures maximum fatigue life, strength and durability. Various sizes and grades available to cater to any type of well conditions. 9

11 PCP SYSTEMS CONTACT INFORMATION PRO-ROD COILED ROD SOLUTIONS Calgary, Alberta Suite 400, Petex Building Avenue SW Calgary, AB T2P 0S5 P: (403) F: (403) Edmonton, Alberta Avenue NW Edmonton, AB T6P 1K1 P: (780) F: (780) Lloydminster, Alberta P.O. Box Lloydminister, AB 3C5 T9V P: (780) F: (780) OIL LIFT TECHNOLOGY INC Head Office #37-19 Aero Drive NE Calgary AB T2E 8Z9 P: (403) F: (403) Bonnyville, Alberta Avenue Bonnyville, AB T9N 2L8 P: (780) oillifttechnology.com Lloydminster, Alberta Box Street Close Lloydminster, AB T9V 3B1 P: (780) Peace River, Alberta Avenue Peace River, AB T8S 1M6 P: (780) prorod.com 10

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