1. 1 New Production Technologies for Lifting Liquids from Horizontal Wells Radius Energy, LLC May, 2015

2. 2 PROBLEM 1 - Vertical wells have sump (“rat hole”) to place pump Liquid separates in vertical section; falls to sump Sump is below producing formations; No fluid head pressure to hinder production Liquid falls into Sump (“Rat-Hole”) Gravity Separation: Gas rises to surface

3. 3 BUT - Horizontal wells have no rat hole – Pump must be placed directly in production stream Any gas production causes interference with pump’s ability to pump liquid Inefficient pumping causes liquid level to build; High bottom-hole pressure hinders production Gas Interference Pump is unable to “pump” gas – Fluid level raises

4. 4 Artificial sumps don’t solve the problem in low pressure wells. Liquid head “H” required to spill into vertical sump. Low angle sumps may not be effective at allowing separation of entrained liquids High velocity gas may not allow separation of entrained liquids Low pressure formation affected by liquid head

5. 5 Cavity acts as gas-water separator. Pump located in base of cavity Dual Well Articulated Well “Cavity” Well Articulated “Service” well used only in drilling the horizontal laterals.

6. 6 SOLUTION: Selective create a temporary seal below the pump to form an isolated pumping chamber : 1) Form seal 2) Pump liquid 3) Release Seal Normal Operation: Sealing Device OPEN Pump OFF Pumping Cycle: Sealing Device: CLOSED Pump ON Sealing Device: OPEN Sealing Device: CLOSED

7. 7 Example: Use inflatable bladder (packer) below pump suction. Can be externally inflated, or inflated by production fluids from pump discharge 1) Form seal 2) Pump liquid 3) Release Seal Normal Operation: Sealing Device OPEN Pump OFF Pumping Cycle: Sealing Device: CLOSED Pump ON

8. 8 Claim 6 “A flow control system comprising: a pump positioned in a well to remove liquid from the well; an isolation device positioned downhole of the pump and capable of being selectively engaged to substantially reduce gas and liquid flow from a producing formation at the pump during removal of the liquid; and wherein the pump is positioned in a substantially horizontal portion of the well.”

9. 9 PROBLEM 2 – Solids may settle along bottom of horizontal well – Blocking flow or inlet to pump Solids settle along bottom of well, blocking flow and inlet to the pump

10. 10 SOLUTION: Slowly rotate tubing with eccentric tail joint to keep solids agitated and in suspension. Suspended solids removed from well along with other production liquids. Helically shaped tail-joint “wipes” the circumference of well bore to agitate solids

11. 11 Claim 1 “A system for controlling solids within a wellbore of a well comprising: a pump positioned within a substantially horizontal portion of the wellbore; a first tubing string operatively connected between the pump and a surface of the well for removing liquid from the wellbore that is pumped by the pump; and a second tubing string operatively connected to the pump and extending downhole of the pump, the second tubing string having a longitudinal axis that is offset from an axis of rotation about which the second tubing string is capable of being rotated.”

12. 12 PROBLEM 3 – Electric pump cable can become damaged when being installed in deviated well Electric Submersible Pump (ESP) Electric Cable exposed to damage

13. 13 SOLUTION: Use “Wet Connect” to install pump cable inside of discharge tubing after pump is in place. Pump-down plug pulls cable into tubing – even into horizontal sections

14. 14 CABEL BRAKE: Relief valve above pump sets the required “pump-in” pressure so as to support weight of cable. Power cable receiver installed above the pump Pump Pump-in pressure must overcome relief valve setting to allow cable movement.

15. 15 Claim 15 15. A system for delivering a cable through a tubing string to a downhole location in a well, the system comprising: a plug having a first connector configured to be operably connected to the cable, the plug having a plug housing adapted to fit within the tubing string, the plug housing having a passage to permit fluid flow past the plug housing; and a valve operably associated with the passage of the plug housing to restrict fluid flow through the passage in a downhole direction and allow fluid flow through the passage in an up-hole direction; wherein the plug is deliverable downhole through the tubing string such that the first connector of the plug is positioned in electrical communication with a downhole device.

16. 16 PROBLEM 4 – Horizontal wells are ideal application for cyclic chamber gas lift, but how to ensure positive seating of horizontal standing valve? Lift Valve Standing valve Compressor Open tubing

17. 17 Solution - Chamber gas lift: Gas injection string manipulated at surface to create positive sealing down-hole chamber Chamber valve

18. 18 Reciprocate gas injection string to selectively activate down-hole valve forming isolation chamber. Stuffing Box

19. 19 Gas injection string stays charged with lift gas. Sliding sleeve valve opens to release gas after chamber is sealed from well production. Chamber fills with liquid Sliding sleeve covers gas injection port Chamber sealed Gas injection port exposed Move gas injection string downhole

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21. 21 PROBLEM 5 – Need for a low cost, long stroke rod-pump system for shallow horizontal wells. Conventional beam pumps being increasingly challenged by linear action pump mechanisms. Typical shallow well

22. 22 SOLUTION – Hydraulic pumping system specifically designed for low acquisition and installation cost, together with simplified field operation. 96” stroke Pivot mounting to “Huber” style wellheads Assemble on ground with hand tools, then lift into place

23. 23 Simple Hydraulic System - Built from off-the-shelf components.. Traveling Head Shifting Assembly Control Rod Flow Control Valve Heat Exchanger Hydraulic Pump Shifting Valve

24. 24 Shift speed dampener 2-Position Detent Control Rod

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28. 28 Recap: 1.Flow control of production fluids during pump cycle 2.Solids control with helical tail joint 3.Pump-down “wet connect” for installing ESP cable 4.Surface activated chamber gas lift valve 5.Hydraulic pumping unit with mechanical shifting assembly

29. 29 Contact Joseph A. Zupanick, P.E. Radius Energy, LLC P.O. Box 991 Beckley, WV 25802 (304) 688-6556 Joe.Zupanick@RadiusEnergy.com www.RadiusEnergy.com