Drilling Technology and Costs

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Drilling Technology and Costs ( drilling-technology-and-costs )

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Chapter 6 Drilling Technology and Costs Table 6.1 EGS well drilling­cost estimates from the Wellcost Lite model (in 2004 U.S. $) Shallow Mid Range Deep Depth, m No. of Cost, Depth, m No. of Cost, Depth, m No. of Cost, (ft) Casing million $ (ft) Casing million $ (ft) Casing million $ Strings Strings Strings 1,500 4 2.3 4,000 4 5.2 6,000 5 9.7 (4,900) (13,100) (19,700) 2,500 4 3.4 5,000 4 7.0 6,000 6 12.3 (8,200) (16,400) (19,700) 3,000 4 4.0 5,000 5 8.3 7,500 6 14.4 (9,800) (16,400) (24,600) 10,000 6 20.0 (32,800) Mid­range EGS wells. For the mid­range of depths, 4,000 m and 5,000 m, the cost estimates have been made by extending the same well design and drilling approaches used in the shallow group. 6­21 Shallow EGS wells. For the shallow wells (1,500 m, 2,500 m, and 3,000 m), the well­cost predictions are supported by actual geothermal drilling costs from the Western U.S. states. Due to the confidential nature of these actual costs, the level of validation with the model is far from precise, because only the depth and cost were provided. No specific formation characteristics or well/casing design information was used in this modeling effort, but it was assumed that bit performance in the model was similar to current geothermal well experience. The 5,000 m well is first modeled as a 4­casing interval model (surface casing, intermediate liner, production casing into the heat, production zone lined with perforated liner). Another 5 km­deep well has 5 casing intervals (surface casing, intermediate liner, intermediate liner 2, production casing into the heat, production zone lined with perforated liner). The cost impact of the additional liner is significant. For the same diameter in the production zone, all casings and liners above that zone are notably larger in diameter. Deep EGS wells. The 6,000 m well is the first in a number of modeled well designs with very large upper casing sections and higher cost. The 6,000 m well uses 5­ and 6­casing interval cost models to better accommodate the greater casing diameters needed and reduce the length of the intervals. The change results in an increase in cost, due to the additional casing and cementing charges as well as the other end­of­interval activities that occur. The cost of a 6­casing, 6,000 m (19,700 ft) geothermal well compares satisfactorily with a limited number of oil and gas wells from the JAS database. The estimated cost of the 6,000 km EGS well is $12.28 million vs. an average JAS oil and gas well cost of $18 million. For the very deep wells, 7,500 m and 10,000 m (24,600 ft and 32,800 ft), both modeled assuming 6 casing intervals, the developed estimates reflect the extreme size of the surface casing when the amount of open hole is limited to 2,130 to 2,440 m (7,000 to 8,000 ft). The well designs were based on oil and gas experience at these depths. Well­cost models have been developed for numerous

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