Register      Login
The APPEA Journal The APPEA Journal Society
Journal of the Australian Petroleum Production & Exploration Association (APPEA)
RESEARCH ARTICLE

Characterising the application of horizontal wells and indirect hydraulic fracturing for improved coal seam gas drainage

Raymond L. Johnson Jr A C , Sharon Cheong B and Andrew Farley B
+ Author Affiliations
- Author Affiliations

A The University of Queensland, Brisbane, QLD 4072.

B Strike Energy Limited, 1/31-35 George Street, Thebarton, SA 5031.

C Corresponding author. Email: r.johnsonjr@uq.edu.au

The APPEA Journal 61(1) 89-105 https://doi.org/10.1071/AJ20122
Submitted: 13 January 2021  Accepted: 11 March 2021   Published: 2 July 2021

Abstract

Historically, horizontal wells in coal seam gas (CSG) producing areas of Australia have been limited in their ability to stimulate horizontal wellbores with hydraulic fractures, despite most basins being in favourable stress states capable of generating multiple transverse hydraulic fractures. In some cases, overlapping mining tenements limit the ability to effectively deploy steel casing completions to effectively manage multi-stage fracture stimulations along the lateral. In other cases, potential wellbore instabilities preclude the placement of laterals with adequate length to stage numerous fractures required to make a well economic. Strike Energy’s Jaws 1 well indicated well instability when drilling horizontally in the Patchawarra Vu Coal Seam in Petroleum Exploration Licence 96 of the Weena Trough in the Cooper Basin. To overcome this instability, Strike Energy introduced the application of an innovative process of deploying multiple, indirect hydraulic fractures in Jaws 1ST from a horizontal wellbore underlying the coal. Microseismic and surface deformation tiltmeter data acquired during the treatment confirmed the successful placement of fractures in the Patchawarra Vu Coal Seam. Further, chemical tracing and production testing provide further insight into the placement and effectiveness of the overall stimulation. Through analyses of data from the Jaws 1ST, we provide insight and recommendations regarding horizontal well placement to improve indirect hydraulic fracture effectiveness. These recommendations would be applicable for other Australian CSG basins where direct horizontal well drilling and fracture stimulation has been limited (e.g. overlapping mining tenements) or where horizontal well instabilities limit drilling within the seam (i.e. Cooper Basin, depleted coals).

Keywords: Indirect hydraulic fracturing, coalbed methane, coal seam gas, microseismic, fracture modelling, geomechanics, Cooper Basin, Patchawarra Vu Coal Seam, South Australia.

Prof Raymond (Ray) L. Johnson, Jr. is presently a Professor of Well Engineering and Production Technology, School of Chemical Engineering, and Energi Simulation Co-Chair in The Centre for Natural Gas, at The University of Queensland. He has a PhD in Mining Engineering, a MSc in Petroleum Engineering, a Graduate Diploma in Information Technology and a BA in Chemistry. Ray has been active in the Society of Petroleum Engineers (SPE), past chair of the SPE Queensland Section, 2013 and 2015 co-Chair of the SPE Unconventional Reservoir Conference and Exhibition Asia Pacific, and the Technical Award Recipient of SPE Regional Awards in 2011 and 2017. He has been actively involved as an author and researcher in the areas of reservoir geomechanics; hydraulic fracture design, execution and evaluation; and unconventional resources estimation and development.

Sharon Cheong is presently a Senior Reservoir Engineer at Strike Energy Limited with 15 years of experience in the oil and gas industry. Sharon holds a BA in Chemical Engineering and MSc in Petroleum Engineering (University of Adelaide). She is an SPE member and past SPE committee member (South Australian Sector). Sharon began her graduate years in processing roles at BHP and ExxonMobil; however, the majority of her career was at Santos as a Development Reservoir Engineer and Fracture Stimulation Engineer working in conventional and unconventional Cooper Basin gas fields. Sharon joined Strike Energy’s subsurface team in 2019 and works mainly on field development and exploration activities in the Perth Basin as well as monitoring the Klebb/Jaws pilot program in the Cooper Basin.

Andrew Farley is presently Exploration Manager at Strike Energy Limited. Andrew graduated from the University of Newcastle (Australia) in 2002 with a BSc in Geology. He has 18 years of experience working with onshore oil and gas operators on exploration and development projects in all five mainland states of Australia. Prior to joining Strike Energy in 2012, Andrew worked with AGL Energy in Sydney. Since joining Strike Energy in 2012, Andrew has held a number of technical positions, becoming Exploration Manager in September 2019. Andrew has been a key member of the Strike Energy team during the design and execution of the Jaws Project in the Cooper Basin and more recently the West Erregulla discovery in the Perth Basin.


References

Bale, A., Smith, M. B., and Settari, A. (1994). Post-Frac Productivity Calculation for Complex Reservoir/Fracture Geometry, SPE-28919-MS. Paper presented at the European Petroleum Conference, London, United Kingdom. 10.2118/28919-MS

Barree, R. D. (1983). A Practical Numerical Simulator for Three-Dimensional Fracture Propagation in Heterogeneous Media, SPE 12273. Paper presented at the SPE Reservoir Simulation Symposium, San Francisco, California.

Barree, R. D., Duenckel, R. J., and Hlidek, B. T. (2019). The Limits of Fluid Flow in Propped Fractures- the Disparity Between Effective Flowing and Created Fracture Lengths. Paper presented at the SPE Hydraulic Fracturing Technology Conference and Exhibition, The Woodlands, Texas, USA. Paper SPE-194355-MS. 10.2118/194355-MS

Branajaya, R., Archer, P., and Farley, A. (2019). Pushing the boundaries – deployment of innovative drilling, completion and production technology to advance a deep coal seam play. The APPEA Journal 59, 770–775.
Pushing the boundaries – deployment of innovative drilling, completion and production technology to advance a deep coal seam play.Crossref | GoogleScholarGoogle Scholar |

Di Vaira, N. J., Johnson Jr, R. L., and Leonardi, C. R. (2020a). Modelling micro-proppant transport in stress-sensitive naturally-fractured reservoirs, paper SPE-200600-MS. Paper presented at the 82nd EAGE Conference and Exhibition (SPE EUROPEC), Amsterdam, Netherlands.

Di Vaira, N. J., Łaniewski-Wołłk, Ł., Johnson Jr, R. L., Aminossadati, S. M., and Leonardi, C. R. (2020b). Hydrodynamic and electrostatic jamming of microparticles in narrow channels, paper. Paper presented at the 22nd Australasian Fluid Mechanics Conference (AFMC2020), paper, Brisbane, Australia.

Fisk, J. C., Marfurt, K. J., and Cooke, D. (2010). Correlating Heterogeneous Production to Seismic Curvature Attributes In an Australian Coalbed Methane Field, SEG-2010–2323. Paper presented at the 2010 SEG Annual Meeting, Denver, Colorado.

Fraser, S. A., and Johnson Jr, R. L. (2018). Impact of Laboratory Testing Variability in Fracture Conductivity for Stimulation Effectiveness in Permian Deep Coal Source Rocks, Cooper Basin, South Australia, paper SPE-191883-MS. Paper presented at the SPE Asia Pacific Oil and Gas Conference and Exhibition, Brisbane, Australia. 10.2118/191883-MS

Hill, T. (Ed.) (2000). Cooper Basin Exploration Opportunity - Third Round Blocks CO2000-A to H, Report, Fig. 4. Primary Industries and Resources SA (PIRSA)

Johnson Jr., R. L. (2016). Improving diagnostic fracture injection testing for in situ stress profiling, reservoir characterisation and well optimisation in unconventional gas reservoirs, paper IC3G-95. Paper presented at the International Conference on Geomechanics, Geo‐energy and Geo‐resources, Melbourne, Vic, Australia.

Johnson, R. L., Jr., and Greenstreet, C. W. (2003). Managing Uncertainty Related to Hydraulic Fracturing Modeling in Complex Stress Environments with Pressure-Dependent Leakoff, SPE-84492. Paper presented at the SPE Annual Technical Conference and Exhibition, Denver, Colorado.

Johnson, R. L., Jr., and Titus, L. (2014). Observations and Recommendations From a Hydraulic Fracturing Case in the Pre-Cambrian Lawn Hill Shale, Isa Superbasin, Australia, SPE 171448. Paper presented at the 2014 Asia Pacific Oil and Gas Conference and Exhibition, Adelaide, Australia.

Johnson, R. L., Jr., Flottman, T., and Campagna, D. J. (2002). Improving Results of Coalbed Methane Development Strategies by Integrating Geomechanics and Hydraulic Fracturing Technologies, SPE 77824-MS. Paper presented at the SPE Asia Pacific Oil and Gas Conference and Exhibition, Melbourne, Australia.

Johnson, R. L., Jr., Glassborow, B., Datey, A., Pallikathekathil, Z. J., and Meyer, J. J. (2010a). Utilizing Current Technologies to Understand Permeability, Stress Azimuths and Magnitudes and their Impact on Hydraulic Fracturing Success in a Coal Seam Gas Reservoir, SPE 133066. Paper presented at the SPE Asia Pacific Oil and Gas Conference and Exhibition, Brisbane, Queensland, Australia.

Johnson, R. L., Jr., Scott, M., Jeffrey, R. G., Chen, Z. Y., Bennett, L., Vandenborn, C., and Tcherkashnev, S. (2010b). Evaluating Hydraulic Fracture Effectiveness in a Coal Seam Gas Reservoir from Surface Tiltmeter and Microseismic Monitoring, SPE 133063. Paper presented at the SPE Annual Technical Conference and Exhibition, Florence, Italy.

Johnson, R. L., Zhong, R., and Nguyen, L. (2019). Well Trajectory, Completion and Fracture Design Changes Improve Execution for Deep Unconventional Tight Gas Targets in the Cooper Basin, Australia, SPE-194366-MS. Paper presented at the SPE Hydraulic Fracturing Technology Conference and Exhibition, The Woodlands, Texas, USA. 10.2118/194366-MS

Keshavarz, A., Johnson, R., Carageorgos, T., Bedrikovetsky, P., and Badalyan, A. (2016). Improving the Conductivity of Natural Fracture Systems in Conjunction with Hydraulic Fracturing in Stress Sensitive Reservoirs, SPE-182306-MS.

Kirsch, E. G. (1898). Die Theorie der Elastizität und die Bedürfnisse der Festigkeitslehre. Zeitschrift des Vereines deutscher Ingenieure 42, 797–807.

Olsen, T. N., Brenize, G., and Frenzel, T. (2003). Improvement Progress for Coalbed Natural Gas Completion and Stimulation, SPE-84122-MS. Paper presented at the SPE Annual Technical Conference and Exhibition. 10.2118/84122-MS

Olsen, T. N., Bratton, T. R., Tanner, K. V., Donald, A., and Koepsell, R. (2007). Application of Indirect Fracturing for efficient Stimulation of Coalbed Methane, SPE-107985-MS. Paper presented at the Rocky Mountain Oil & Gas Technology Symposium, Denver, CO. 10.2118/107985-MS

Palmer, I. D. (1990). Uplifts and Tilts at Earth’s Surface lnduced by Pressure Transients From Hydraulic Fractures. SPE Production Engineering 5, 324–332.
Uplifts and Tilts at Earth’s Surface lnduced by Pressure Transients From Hydraulic Fractures.Crossref | GoogleScholarGoogle Scholar |

Palmer, I. D. (1992). Review of Coalbed Methane Well Stimulation. Paper presented at the International Meeting on Petroleum Engineering, paper SPE-22395-MS, Beijing, China. 10.2118/22395-MS

Pokalai, K., Kulikowski, D., Johnson, R. L. J., Haghighi, M., and Cooke, D. (2016). Development of a New Approach for Hydraulic Fracturing in Tight Sand with Pre-Existing Natural Fractures. The APPEA Journal 56, 225–238.
Development of a New Approach for Hydraulic Fracturing in Tight Sand with Pre-Existing Natural Fractures.Crossref | GoogleScholarGoogle Scholar |

Reynolds, S. D., Mildren, S. D., Hillis, R. R., Meyer, J. J., and Flottmann, T. (2005). Maximum horizontal stress orientations in the Cooper Basin, Australia: implications for plate-scale tectonics and local stress sources. Geophysics Journal International 160, 331–343.
Maximum horizontal stress orientations in the Cooper Basin, Australia: implications for plate-scale tectonics and local stress sources.Crossref | GoogleScholarGoogle Scholar |

Simon, G. W. (2000). The Structural Evolution and Coal-Bed Methane Potential of the Weena Trough, Cooper Basin, South Australia. (BSc Honours Geology). The University of Adelaide, SA, Australia.

Strike Energy Limited. (2018). Jaws 1 ST1 Well Completion Report, PEL 96 – South Australia. Retrieved from Thebarton, SA: http://peps.sa.gov.au/

Thiercelin, M. J., Ben-Naceur, K., and Lemanczyk, Z. R. (1985). Simulation of Three-Dimensional Propagation of a Vertical Hydraulic Fracture; SPE 13861. Paper presented at the SPE/DOE Low Permeability Gas Reservoirs Symposium, Denver, Colorado. 10.2118/13861-MS

You, Z., Wang, D., Di Vaira, N. J., Johnson Jr, R. L., Bedrikovetsky, P., and Leonardi, C. R. (2019). Development of Predictive Models in Support of Micro-Particle Injection in Naturally Fractured Reservoirs, paper URTEC-198276-MS. Paper presented at the SPE/AAPG/SEG Asia Pacific Unconventional Resources Technology Conference, Brisbane, Australia. 10.15530/AP-URTEC-2019–198276