Helix Energy Solutions Group, Inc. · NYSE:HLX

Helix Energy Solutions — Technical Presentation (April 2012)

54 slides from Helix Energy Solutions's technical presentation, Apr 9, 2012

  1. Slide 1: Well Intervention Overview

    Well Intervention Overview Changing the way you succeed. Owen Kratz, Helix ESG Chairman and CEO

  2. Slide 2: What is well intervention?

    What is well intervention? • Well intervention is the ability to safely enter a well with well control for the purpose of doing a number of tasks other than drilling. • Well intervention historically was done with drill rigs, with an 18-3/4” BOP and 21” marine riser as the only means of well access

  3. Slide 3: Well intervention systems and services by vessel type

    ie HELIX Wessel Monohull Semi Smaller larger Intervention System. sit SIL/IRS IRs IRs 183/480P Well mn 7 7” 2a" IRS Intervention | __ Smaller cata catat cat aes cate. catc Wireline Wireline Wireline reline Drilling <T' riser <Triser <T"riser Colledtubing Coiled tubing Coiled tubing L Pull tubing. TT

  4. Slide 4: Related operations and future applications of intervention assets

    • Xmas tree recovery/installation • Xmas tree/wellhead maintenance • Choke change-out • Light construction • Saturation diving (inspection, repair & maintenance) • ROV support services Future Applications of Some Intervention Assets: • Through tubing well intervention • Top hole drilling • Extended

  5. Slide 5: Downhole Well Intervention Solutions

    Downhole Well Intervention Solutions

  6. Slide 6: Helix Intervention Industry Firsts

    ü First Subsea Intervention Lubricator operations in the North Sea ü First build and launch of dedicated intervention vessel - Seawell ü First coil tubing deployed on a subsea well from a rig alternative monohull ü Build and operation of prototype vessel Q4000 ü First rig alternative decommissioning

  7. Slide 7: Growing Market

    • As production goes to deeper water, subsea wells market grows. • As the number of subsea wells increase and they age, the demand and frequency of required servicing through intervention grows. • The market is in its infancy with huge growth potential. Growing Market

  8. Slide 8: Well Intervention Demand Drivers

    Well Intervention Demand Drivers Global offshore rig count • Declining shallow water resources have spurred technical advances that allow offshore exploration and production in deeper, harsher environments • New discoveries and pressure to improve recovery rates from developed fields increase demand

  9. Slide 9: Intervention Needs Rises with Subsea Well Count

    Intervention Needs Rises with Subsea Well Count Source: Quest Offshore Resources Subsea wells installed base (2002 - 2012) Installed subsea completion base over 5 yrs old Installed subsea completion base 5 yrs or younger Note: Total installed base includes all subsea well completions from 1990, not

  10. Slide 10: Market Outlook for Well Intervention

    Market Outlook for Well Intervention • Subsea intervention demand driven by increasing activity and rising subsea well counts • Maintenance intensity expected to rise as greater share of production moves into deepwater fields and as operators face increasing oil recovery needs from maturing fields •

  11. Slide 11: Market for Well Intervention Services by region

    North America Latin America United Kingdom Norway Africa 2011 Market for Well Intervention Services SS Intervention spend: $470mm Offshore rigs: 31 Offshore wells drilled: 260 SS Intervention spend: $427mm Offshore rigs: 88 Offshore wells drilled: 572 SS Intervention spend: $272mm Offshore rigs: 16

  12. Slide 12: Regulatory Limitations

    Regulatory Limitations Vessel Class - Many independent classing societies • Most Prominent - DNV (Det Norske Veritas), ABS (American Bureau of Shipping) • MODU Notation - Specific requirements for a vessel used in intervention including zoning for handling hydrocarbons. • Government - No internation

  13. Slide 13: Wireline Deployment via SIL

    Wireline Deployment via SIL • 7-3/8” bore, 10ksi WP - single trip • 600 m water depth rated • Various wireline & coiled tubing modes with sub-modes (long and short tools, etc.) • Live well decommissioning & stimulation modes • Balanced stabs with valves • Modular design • LRA / URA - VXT, HXT & CT r

  14. Slide 14: SIL Overview - MUX Controls

    SIL Overview - MUX Controls MUX EH control system • Mode Screens • Auto Set Interlocks • Configuration, Set Up & Test, Lifting Ops • Slickline, Braided Line & Riser • ROV electronics technology • Grease system same as Seawell & Enhancer • Not electric pump - seawater powered from surface • No wireli

  15. Slide 15: Intervention Riser System for CT Deployment

    Intervention Riser System for CT Deployment • As water depth increases, the cost of intervention increases. If a problem is encountered, wireline alone is limited in being an effective remediation tool. • To run coiled tubing into a well requires either an absurdly complicated well head mounted syst

  16. Slide 16: Helix Coiled Tubing Setup

    Compensation Frame CCTLF Flow Tee and Swivel Riser Centraliser Moonpool Joint Fatigue Enhanced Riser Mid Joint Connector Stress Joint SIL including EDP Assembly Multi Purpose Tower MPT Helix Coiled Tubing Setup

  17. Slide 17: Vessels - Category A Intervention

    Vessels - Category A Intervention Category A - Wireline only deployed via a SIL. Typically a monohull due to build cost and spend of transit. • Smaller the better to keep costs down commensurate with limited capability. • Limited deck area required for necessary equipment. $110 million and larger ty

  18. Slide 18: Vessels - Category A+ Wireline

    Vessels - Category A+ Wireline Category A + - wireline and coiled tubing deployed via SIL and sub 7” riser, i.e. drill pipe. Also typically a monohull. • Greater capability with CT but unable to work full bore 7” which restricts what can be done. • Advantage of being smaller and lower cost. • Motion

  19. Slide 19: Vessels - Category A++ Intervention

    Vessels - Category A++ Intervention Category A ++ - Wireline and CT deployed via a 7” riser. • Has full bore capability with coiled tubing through full 7” bore of the well. • May have limited capability of pulling tubing. • Size of the vessel increases deck space required for equipment and riser han

  20. Slide 20: Vessels - Category B Intervention

    Vessels - Category B Intervention Category B - Semi Submersible • Ample deck area • Motions are the best and allows for less complexity and risk in systems design. • Greatest number of applications possible.

  21. Slide 21: Vessel size, complexity, risk and capability

    HELIX ENERGY SOLUTIONS GROUP 2 Vessel Size Vessel Size (cost) (cost) eo ae se ah Complexity Risk Capability, Efficiency, Operability

  22. Slide 22: Conclusion: balancing vessel cost and system complexity

    Determining which solution makes sense is a balance between small, low cost vessel with a complex high risk system. (Technology is not fully developed) Or Larger, high cost vessel with simpler low risk system. Primary Focus: Semi Platform Deploying IRS Conclusion

  23. Slide 23: Well Intervention Fleet Overview

    Well Intervention Fleet Overview Colin Johnston, Helix Well Ops Senior Engineer

  24. Slide 24: Well Intervention Assets

    MODU DP3 Q4000 Vessel of opportunity MSV DP3 Well Enhancer MSV DP2 Seawell Well Intervention Assets

  25. Slide 25: Helix is the leader in subsea through-tubing intervention

    Helix is the leader in subsea through-tubing intervention • Global Reach • 24 years experience in the North Sea on more than 600 wells • 14 years experience in the Gulf of Mexico on more than 100 wells • 5 years experience in Australia & Sea East Asia on more than 20 wells • Successful application o

  26. Slide 26: History and Evolution - Seawell

    History and Evolution - Seawell

  27. Slide 27: History and Evolution - Well Enhancer

    History and Evolution - Well Enhancer

  28. Slide 28: History and Evolution - Vessels of Opportunity

    History and Evolution - Vessels of Opportunity

  29. Slide 29: History and Evolution - Q4000

    History and Evolution - Q4000

  30. Slide 30: Where the value is found

    Where the value is found • Efficiency - Main Driver • Time efficient • Cost efficient • Campaign Based • Shared across BU, Assets, Operators • Broad Functionality • Minimal Built-ins • Variable deck lay out • Construction Support • Construction and well intervention capability • Seabed access and re

  31. Slide 31: Seawell Light Well Intervention Vessel

    Accommodation (122) & project offices 18 man saturation 1 x WROV 1 x Obs ROV Active heave-comp Derrick Twin Crane & Well Services spread: Slickline E-line Pumping Well test • Main deck • (Client supplied) • Below deck • 2 x drill water tanks 258m3 • 4 x bulk fluid tanks 240 m3 (1509 bbl) 114m • Derr

  32. Slide 32: Well Enhancer Light Well Intervention Vessel

    • Main deck • 1 x bulk fluid tank 150m3 (943bbls) • Below deck • 2 x drill water tanks 90m3 each • 1 x bulk fluid tank 190m3 • Tower Lifting Capacity 100Te • Crane 150Te • 2 x 10k psi SPM600 pumps Well Services spread: Slickline E-line Pumping Well test Coiled Tubing Active heave-comp Tower, Crane,

  33. Slide 33: Subsea Intervention Lubricators (SILs)

    7 3/8” SIL in the Well Enhancer Tower 5 1/8” SIL in the Seawell Derrick 7 1/16” SIL in the Seawell Derrick Subsea Intervention Lubricators (SILs)

  34. Slide 34: Well Enhancer - Overview

    • Tower Lifting Capacity = 150Te • Tower Active Heave Comp = 130Te • Crane = 100Te • Guide Line Tensioner = 4 off (10te) • Active Pod Line Tensioner = 2 off (15te) • 2 x SPM600 673kw 10k pumps • 1 x s/steel frac tanks = 200 m3 (1260 bbl) • 2 x drill water tanks = 190m3 • Deck tanks = >266m3 Well Enh

  35. Slide 35: Well Enhancer Coiled Tubing Setup

    Compensation Frame CCTLF Flow Tee and Swivel Riser Centraliser Moonpool Joint Fatigue Enhanced Riser Mid Joint Connector Stress Joint SIL including EDP Assembly Multi Purpose Tower MPT Well Enhancer Coiled Tubing Setup

  36. Slide 36: Q4000 DP3 MODU Semi-submersible

    4,000 mT variable main deck load • MPT Tower Lifting Capacity 600 mT • Active and Passive Heave Comp • 360 mT Huisman crane with 10,000 ft capacity traction winch Well Services spread: Slickline E-line Pumping Well test Coiled Tubing Active heave-comp Tower, Crane, Riser Handling & Skidding system A

  37. Slide 37: Well Ops 7-3/8” Intervention Riser System

    Well Ops 7-3/8” Intervention Riser System

  38. Slide 38: Future Vessels

    Future Vessels • Through tubing well intervention • Top hole drilling • Extended top hole drilling • Riserless Mud Return • Subsea Rotary Controlled Device • Well flow back, well testing • Subsea construction • Subsea processing support • Open Water Completions

  39. Slide 39: Well Intervention Methodologies

    Well Intervention Methodologies Kurt Hurzeler, Helix Well Ops Commercial Manager

  40. Slide 40: Consistent Success Requires…

    Critical Skill Sets • Specialized vessels and vessel management • Down hole & Service Options expertise • ROV expertise • In-house Subsea expertise • Construction expertise • Saturation Diving expertise • Multi Functional Crew Management Vessel Functions • Adequate usable Deck space • Adequate Accom

  41. Slide 41: Where the Value is Found

    Facilitate Wellbore Access • Flexibility of system to interface with all subsea well types with minimal modification. • Provide systems on a day rate basis to reduce end user’s cost • Minimize complication, deployment and testing time • Reduce rig requirements and costs Reduce Decommissioning Liabil

  42. Slide 42: Where the Value is Found

    Campaign Based • Shared costs across BU’s, fields and operators • Reduced transit time • Minimal port and duty costs Construction Support • Ability to carry out construction and well intervention • Lift and/or transport heavy equipment from port to location, install via crane or drill pipe, assist p

  43. Slide 43: Operational overview - Seawell North Sea

    Operational overview - Seawell North Sea The Client objective was to maximise the operational functionality of the MSV Seawell in order to complete the following well workscopes: • Mechanical repair/well maintenance/integrity • Production logging • Mechanical repair/well maintenance; tree change-out

  44. Slide 44: Operational overview - Seawell North Sea

    Operational overview - Seawell North Sea • In field 16 days Highlander Field • In field 16 days Tartan Field • In field 14 days Enoch / South Wood • In field 17 days Claymore • In field 9 days Tweedsmuir 5 1/8” SIL in the MSV Seawell Derrick

  45. Slide 45: Seawell Operation summary

    Seawell Operation summary • Number of well locations = 7 • Water depth range = 90 - 141m • Full demobilisation of 5 1/8” SIL in order to mobilise 7 1/16” SIL for TNT • Total days = 68 • Vessel off-hire 0 days • Wait on Weather 9.5 days • Uptime 58.1 days • Well-work completed: • 4 Interventions (Wel

  46. Slide 46: Q4000 Gulf of Mexico Snapshot

    Q4000 Gulf of Mexico Snapshot

  47. Slide 47: Q4000 Gulf of Mexico Snapshot

    Q4000 Gulf of Mexico Snapshot

  48. Slide 48: Q4000 Deck Layout for Well Stimulation

    Q4000 Deck Layout for Well Stimulation Deck Space- More is Better

  49. Slide 49: Intervention Deck Space and Positioning

    Drilling module roofs with complete coiled tubing system, E -Line, Slick Line, fluids and second WROV system Intervention Deck Space and Positioning

  50. Slide 50: Critical Components Remain Onboard

    • Coil-tubing Lift Frame • Intervention Riser Package • Flowhead • H4 Connector • Riser • 3 rd Party Service Equipment Critical Components Remain Onboard

  51. Slide 51: Construction - Dock to Seabed

    280 MT Manifold being deployed Construction - Dock to Seabed

  52. Slide 52: Construction - Concurrent Operations

    • Seabed debris recovery • Debris cap recovery and reinstall • Flowline plug and burial Flowline clean out • Jumper disconnect and recovery Construction - Concurrent Operations

  53. Slide 53: Q4000 Versatility and Capabilities

    Static Kill Oil & Gas Burn Dynamic Kill SIMOPS Q4000 Versatility and Capabilities

  54. Slide 54: Summary

    Summary • A unique combination of specialized skills and equipment • A clear understanding of Client value • Recognition of operational technical limits • The means, ability and experience to manage and control diverse assets and personnel effectively and reliably Helix Well Ops Provides

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