Update 18-06-1918 Jun 2018 04:47
Highlights
• Nitrogen lift commenced at Icewine#2
• Yukon Gold and Western Margin leases formally awarded
Project Icewine – Icewine#2 Production Testing
As at 0530 17th June (AK time), wellhead pressure was 370psi with a flowback rate of 166 barrels of water per day on a variable choke setting, in order to manage wellhead pressure (currently 28/64”).
A production log was run on 12th June and confirmed that all perforations were contributing to flow. As per the flowback design, nitrogen was then introduced gradually to the wellbore from 0845 13th June (AK time), prior to installation of the coiled tube velocity string, to artificially lift stimulation fluids in order to gain connectivity to the reservoir. The flowback rate stabilised at 200 barrels of water per day through an 8/64” choke and then steadily declined to circa 100 barrels of water per day, as per expectation.
Flowback was interrupted, as per the program, on the 15th June 08:00 (AK time) to allow installation of the velocity string. Flow was re-established on 15th June at 20:00 (AK time) with nitrogen introduced into the annulus between the 4.5” casing and the 1.75” velocity string. After displacement of fluid in the annulus, the flowback rate stabilised at 350bpwd through a variable choke to maintain a target wellhead pressure of 200-400psi. This technique decreases the backside pressure in the system and optimises lifting of fluid from the wellbore.
Flowback is now being run through the separator and gas chromatograph and is considered to be 100% stimulation fluid and gas. The gross gas rate is averaging 571mcf/d. Approximately 24.8%, or 142mcf/d, of this is estimated to be hydrocarbons with the remainder being returned nitrogen, injected as part of the artificial lift. Hydrocarbon content is mostly methane (90%) with some heavier elements up to trace C6. The composition and rate is as expected for this stage of the flowback and results are considered unrepresentative of the hydrocarbon composition in the reservoir, as the well is still in clean-up phase. Salinity measurements of the flowback fluid indicate that connectivity to the reservoir remains limited, as expected, at this early stage.
Total clean up fluid returned (net of diesel for freeze protection and any other fluids introduced as part of the current operation) since commencement of flowback on 12th June is 820 barrels (interpreted as 100% stimulation fluid). Total fluid returned for the entire flowback operation, including last year, is now 6,353 barrels or 23% of the frac fluid injected vs a target percentage return of at least 30%.