JANUARY / FEBRUARY 2015

The official publication of the Canadian Association of Drilling Engineers

Report on

BRITISH
COLUMBIA

The energy industry

remains promising but
controversial in B.C.

PLUS
The PR War
Public events throughout B.C. aim
to spread energy information

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JANUARY/FEBRUARY 2015

The official publication of the Canadian Association of Drilling Engineers

The mandate of the Canadian Association of Drilling Engineers is to

provide high-quality technical meetings and to promote awareness on
behalf of the drilling and well servicing industry. With more than 500
members from more than 300 companies, CADE represents a broad
spectrum of experience in all areas of operations and technologies.
Through CADE, members and the public can learn about the technical challenges and the in-depth experience of our members that
continue to drive the industry forward. For drilling and completions
specialists, CADE currently offers one of the best networking and
knowledge sharing opportunities in the Canadian petroleum industry.

CANADIAN ASSOCIATION OF DRILLING ENGINEERS

PO Box 957 STN M
Calgary, AB T2P 2K4
Canada
Phone: 877-801-1820
www.cadecanada.com
PRESIDENT: Dan Schlosser
PAST PRESIDENT: Jeff Arvidson
WELL CONSTRUCTION JOURNAL EDITOR: Christian Gillis

WELL CONSTRUCTION JOURNAL IS PUBLISHED FOR CADE

BY VENTURE PUBLISHING INC.
10259 105 Street
Edmonton, AB T5J 1E3
Phone: 780-990-0839
Fax: 780-425-4921
Toll Free: 1-866-227-4276
circulation@venturepublishing.ca
PUBLISHER: Ruth Kelly
DIRECTOR OF CONTRACT PUBLISHING: Mifi Purvis
MANAGING EDITOR: Lyndsie Bourgon
ART DIRECTOR: Charles Burke
ASSOCIATE ART DIRECTOR: Andrea deBoer
PRODUCTION MANAGER: Betty Feniak Smith
PRODUCTION TECHNICIANS: Brent Felzien, Brandon Hoover
CIRCULATION COORDINATOR: Karen Reilly
ACCOUNT EXECUTIVE: Kathy Kelley
CONTRIBUTING WRITERS:
Robin Brunet, Robbie Jeffrey,
Jacqueline Louie, Samus Smyth

PRINTED IN CANADA BY ION PRINT SOLUTIONS.

RETURN UNDELIVERABLE MAIL TO 10259 105 ST.
EDMONTON AB, T5J 1E3
CIRCULATION@VENTUREPUBLISHING.CA
PUBLICATION MAIL AGREEMENT #40020055
CONTENTS 2015 CADE. NOT TO BE REPRINTED OR
REPRODUCED WITHOUT PERMISSION.

www.cadecanada.com

13

DEPARTMENTS
4

PRESIDENTS MESSAGE

THE DRAWING BOARD

10
11
19
24
26

Editors note, members

corner, news and notes,
technical luncheons

16

FEATURES
13 FORWARD ENERGY

STUDENT PROFILES
HELP WANTED

The future of energy

production in British
Columbia remains promising,
and controversial

MEMBER PROFILE
BY THE NUMBERS

16

DRILLING DEEPER

20

MAKING THE SWITCH

LNG could be the
new sweetheart of the
transportation industry and
it all comes down to cost

20

OPEN FOR QUESTIONS

22

RESEARCH HEATS UP

A series of public information

sessions aims to spread fair
information about the LNG
industry in B.C.

Nanotechnology expert
Steven Bryant starts a new
tenure at the University of
Calgary
january/ february 2015

Presidents

MESSAGE

Honing Our Image

I
Dan Schlosser
CADE President

N THIS ISSUE OF WELL CONSTRUCTION JOURNAL,

we focus on the vast development opportunities that are about to take place in British
Columbia. B.C. has found itself playing an
important role in this countrys energy future,
and it has become a battleground for government,
business, policy-makers and environmentalists.
The provinces citizens, it seems, are left silent in
the mix.
On page 20, we tell you about a series of meetings taking place across British Columbia, which
aim to inform the public and answer their many
questions and concerns about LNG production
in the province. These meetings are important,
because media coverage often sensationalizes the
facts and simplifies debate surrounding energy issues. Its great to see government officials and representatives from Science World British Columbia
working together to bring this information to
communities that are affected by development
and opportunity in the near future. It can be hard
on all ends to bring accurate information to the
public while there is a lot of protest going on, and
these efforts help in spreading fair information.

Industry has not always been good at getting

our message out there, which leaves more space
for our opponents to take advantage of the media.
Its not that theres nothing we can do, but we
are often stuck between a rock and a hard place
environmentalists tend to be trusted over big
oil companies, and industry often stays quiet.
People believe what they see in the news, and
if they only see one side of the story, they only
believe one side to be true. Lets not forget that we
often have the science behind us, and we should
be more confident in taking this information to
who needs it most.
I truly believe that our public outreach has
improved over the years, especially in terms of advertising and raising awareness. Still, more needs
to be done, especially as news about pipelines and
LNG spreads across the world.
I believe the industry should do more, but Im
not sure how we should be doing that. Please
consider getting involved in your industry organizations and pitch them ideas and suggestions on
how energy education can progress and how they
might better serve you going forward.

An artists rendering of a planned LNG export

terminal in Kitimat, British Columbia.

january/ february 2015

Well Construction Journal

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The Drawing

BOARD

E D I TORS N OT E

Choppy Waters Lie Ahead

HE START OF THE 2015 DRILLING SEASON ISNT GOING

to start off with the bang that most of us hoped for.

As Im writing, this oil is down to $53 and it
seems to be a very gloomy outlook. As is always the
case in times like these, some companies will struggle to
keep going and some wont make it. The companies who
have been prudent and have had success will be able to use
this as an opportunity to strengthen their bottom lines.
The investment houses will use this as an opportunity to
load up on undervalued companies, some of which are
continuing to pay dividends with great yields. It will also be
an opportunity for companies to look for new innovations
and better ways to do business.
In response to requests from some of our members CADE
will be looking at hosting a couple of networking events
in the new year, one being a possible bowling event in
February and another being a possible meet and greet for
new engineers and members. Our 2015 technical luncheon
presentations kick off in January with the annual comedian
luncheon. With the way prices are going and budgets being
slashed, a little humor might be just what everyone needs.
Please watch for email announcements and check the
website for the start of our fall luncheons and upcoming
topics and dates. We are also looking for topics that tie
into our journal focus for each month, and we hope you

WELCOME NEW MEMBERS

OLADIPUPO ADEBARI
BRENT BREEZE
BARNABAS EGBUONU
TED FRASER
CARRIE HLADILEK
SAJJAD HUSSAIN
ISAAC SAID MICHAEL KENYI
MATTHEW LAROCQUE
ALAJEMBA LEONARD
TRACY LLOYD
WAGAS MADNI
JENNIFER MARCOTTE
JOHN NOYNAY
AYODELE ONIJIGIN
SONIA PLAZAS
JIM ROTH
BRAD TAKENAKA
ASMAR WALEED

january/ february 2015

will participate and continue to make these events

interesting and successful. If you have any issues youd
like to see covered, please email me and we will do our
best to get the story.
Dont forget, we would like to publish any of your
information and announcements on new products,
new technologies and senior personnel changes
for publication each month. Please forward any
announcements to us, as we would be excited to run
them in our new feature section.
We appreciate your continued support and look
forward to seeing you at the upcoming luncheons.
CHRISTIAN GILLIS, Managing Editor, Canadian Well
Construction Journal christiang@hawkeyeengineering.ca
Phone: (403) 265-4973

EXEC U TIVE TEAM

CADE Executive
Team 2014/2015
President

Dan Schlosser

Vice President

Ryan Richardson rrichardson@secure-energy.ca

Education Chair

Linden Achen

lachen@westpetro.com

Membership Chair

Andy Newsome

andyn@xitechnologies.com

Social Chair

Kristy Hysert

kristy.hysert@shaw.ca

Treasurer

Cecil Conaghan

conaghan.concepts@gmail.com

WCJ Editor

Christian Gillis

christiang@hawkeyeengineering.ca

Sponsorship Chair

Craig Joyce

craigj@xitechnologies.com

Sponsorship Chair

Brooke Needer

Brooke.needer@cadecanada.com

IT Chairman

Matt Stuart

matt.stuart@surgeinc.com

Secretary

Tammy Todd

tammy.todd@taqa.ca

Communications

Oliver Descoteaux oliver.descoteaux@cadecanada.com

dschlosser@ncsfrac.com

Well Construction Journal

M EM B E R S C OR N E R
WHY BECOME A CADE MEMBER?
As of 2015, the Canadian Association of
Drilling Engineers (CADE) has been active for
40 years. With more than 500 members from
more than 300 companies, CADE represents
a large spectrum of experience in all areas of
operations and technologies.
For drilling and completions specialists,
CADE currently offers one of the best networking and knowledge sharing opportunities in the Canadian petroleum industry.
The skills and knowledge obtained by your
participation in CADE will benefit you and
your employer, with direct application to
your professional career.
CADE offers various means for members
to connect and share their insights. Monthly
technical luncheons are held with topical industry presentations. Other mebership benefits include our monthly publication Well

Construction Journal and a membership directory, which is the whos who of the Canadian
drilling industry.
Our website cadecanada.com is an
excellent focal point for industry events,
blogs and other news. We are also active on
LinkedIn and Twitter.

WHO CAN BECOME A CADE MEMBER?

CADE members can be anyone employed
in the drilling and completions industry or
anyone who is interested in the industry.
Typical members include drilling and
completions engineers, geologists, technical
personnel, sales personnel and students.
Student memberships are available to any
post-secondary student interested in learning more about drilling and completions.
Please feel free to share information about
CADE with all the people in your organiza-

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CADE MEMBERSHIP RENEWALS

CADEs membership year is from September to September. During the summer,
CADE members will receive an email and
link for the renewal process on our website.
Please remember the benefits of being
a CADE member include APEGAs professional development hour, staying abreast
of technological and industry advances,
drilling conferences and a great opportunity to network. Thank you for your support.

CADE MEMBERSHIP CHANGES

Log on to cadecanada.com to become
a member or to update your contact
information.

The Drawing

BOARD

N EW S AN D N OT ES

Suncor encourages animal

awareness
SUNCOR HAS DECIDED TO MAKE WILDLIFE TRAINING
mandatory for all of its employees and contractors
after an employee was killed by a bear at one of its
sites earlier this year.
In May, 36-year-old Lorna Weafer was exiting
an employee washroom when she was attacked by
a black bear at one of the companys mine sites
about 25 kilometres from Fort McMurray. While
her co-workers tried to stop the attack, they didnt
have bear spray on them and the bear wasnt scared
away by noise. After the attack, employees noted
that they were worried about doing their jobs in
areas trafficked by black bears.
Albertas Bear Safety & More organization will be
providing the training. While Suncor offered the
training beforehand, it has stepped up efforts to
make sure all of its employees are fully-equipped
and comfortable in dealing with wildlife on the
job. The level of wildlife training they receive
will depend on where an employees job takes

place. The training will range from a web course

to classroom and field training. It will include
everything from assessing bear behaviour to
dealing with an encounter, deploying bear spray
and using bangers and flare guns. It will also
cover interactions with other animals like
cougars, wolves and coyotes.
The training will become mandatory for all
employees and visitors to the work site by the
end of March 2015.

More pipelines in the works for

TransCanada
TRANSCANADA IS PLOTTING A NUMBER OF NEW
pipeline developments that would tap into
burgeoning U.S. shale deposits, according to
company representatives. Not long after efforts
to speed up approval of the Keystone XL pipeline
failed, the company spoke briefly about its plans
during an investors meeting in Toronto.
North Americas crude production is set to
grow 40 per cent, to 14 million barrels per day
by 2020. TransCanada sees this as an opportunity
for more pipelines, as numerous shale plays will
require transportation. The projects are in various
stages of production. Some of those have the
opportunity to connect to our existing Keystone
system and some of those would be independent
of our existing Keystone system, the companys
executive in charge of liquids pipelines told
media during the conference call.

january/ february 2015

Well Construction Journal

C O M I C LU N C H E ON
Save the Date: January 14, 2015
Event: Simon King performs for CADE members
At this years event, CADE will host Simon King, a performer known for changing a room
the moment he takes to the stage. Known for his explosive comedy that marries sharp,
socially conscious material with a keen point of view that screams the gospel of common
sense, Kings comedy has always gone flat out.
King has appeared on comedy programs and competitions around the world, and has
had stints at the Just for Laughs Festival, appearances on CTV and CBC, and specials on
the Comedy Network. In 2010, he released his first full-length album, Unfamous.
CADE will host King on January 14, 2015, at the Westin Hotel in downtown Calgary.
There are less than 450 seats available for this event, so act quick to get your ticket.

Luncheon Tickets
MEMBERS:
NON-MEMBERS:
FULL TABLES OF 10:
STUDENT:

$47.50 (plus GST)

$55 (plus GST)
$475 (plus GST)
$20 (plus GST)
GST REGISTRATION #R123175036
Visit www.cadecanada.com for all ticket purchases

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Student

PROFILE

Young Talent
Highlighting tomorrows best and brightest

J
Jonathan McGregor
Petroleum Engineering Technology
SAIT

ONATHAN MCGREGOR IS IN HIS FIRST YEAR OF THE PETROLEUM

Engineering Technology program at SAIT. He was born in

Scotland and grew up in Vernon, B.C.
Four years ago, McGregor got a job working for Precision
Drilling with the goal of saving money to put towards an economics
degree. But it wasnt long before he knew he wanted a career in oil
and gas. He worked for three years as a motorhand with Precision
Drilling then enrolled in the program at SAIT.
At SAIT, hes begun developing an understanding of production
and completions. He looks forward to getting on board with a service
company in the summer to expand on this knowledge. After he has
completed the program at SAIT, his goal is to work towards becoming
a drilling engineer.
Growing up in the Okanagan meant that McGregor did a lot of
snowboarding. To this day, he spends most winter weekends in the
mountains snowboarding. He also plays soccer as a goalkeeper and
loves to travel. He hopes his career will eventually allow him to travel
and work overseas.

ERLIN LUKOSE IS A FOURTH YEAR ENGINEERING STUDENT IN

the oil and gas program at the University of Calgary. She also
has a Bachelor of Science degree in Biological Sciences from
the University of Alberta.
Lukose gained valuable experience through summer work terms
at TransCanada Pipelines and Nexen CNOOC, and hopes to use her
exposure in academia and industry to help fellow students achieve
their goals. Lukose serves as a volunteer on the Petroleum and Energy
Society (PES) council at the University of Calgary. Through her roles
within PES, Lukose has had the opportunity to plan and execute
many undergraduate events, such as the annual PES Energy Industry
Mixer which typically hosts over 15 companies and draws crowds of
over 200 students looking for valuable experience in the oil and gas
sector. In her current role as VP Events, she hopes to host exciting
events that will equip students with a solid foundation of knowledge,
experience and networking skills, helping them gain a competitive
advantage when entering the energy industry.
In the areas of personal development, Lukose has always had
a keen interest in developing her leadership potential and to be
actively aware of and champion global literacy campaigns. She has
taken part in the yearlong Emerging Leaders Program for first years
at the university and was the recipient of the 2013 Suncor Emerging
Leader Award and the 2014 Jason Lang Scholarship, given to students
with outstanding academic merits and active extra-curricular lives.
Lukose hopes to direct the resources that come from an engineering
career to help educate financially unstable children. In her free time,
she likes to travel, read and participate in the local church choir.

10 january/ february 2015

Merlin Lukose
Oil and Gas Program
University of Calgary

Well Construction Journal

HELP WANTED: Career Department

UNIVERSITY OF CALGARY GRADS TOP OIL PATCH CEO LIST
A NEW STUDY FROM THE EXECUTIVE SEARCH FIRM PEARSON
Partners International has found that, if you have ambitions to be
an oil patch CEO, youd be best advised to start getting an education at the University of Calgary.
A representative from the group studied the background of
more than 200 chief executives from the largest publicly traded
oil and gas companies in the U.S. and abroad, and found that the
University of Calgary had the most representation of any other
post-secondary institution in North America.
The research found that 22 per cent of Canadian CEOs received
their undergraduate degrees from the University of Calgary. They
are followed by the University of Alberta, at 18 per cent, and
10 per cent at the University of Saskatchewan. Graduates from
the University of Calgary made up seven per cent of the international list.
A Pearson Partners International representative credits the
citys ties to industry for the universitys strong performance,
noting that most CEOs are graduating from school with degrees
in business, engineering or earth sciences.
University reps note that they have emphasized the energy
sector in the programs that they offer, and hopes that the new
report will help in recruiting future students.

DRILLING SLANG
If you want to walk the walk on a drill site, it helps to talk the
talk. Here are some terms and phrases often heard out in the field:

MAKE UP: To tighten threaded connections.

THREADFORM: A particular style of type of threaded connection,

BOX: A female threadform (internally threaded) for tubular goods especially as used for rotary shouldered connections. Threadforms
and drill string components.

CONNECTION: Any threaded or nonthreaded union or joint that

connects two tubular components.

come in a variety of sizes, pitches, tapers, threads per inch and

individual thread profiles.

TUBULARS: A generic term pertaining to any type of oilfield pipe,

Source: Schlumberger Oilfield Glossary

such as drill pipe, drill collars, pup joints, casing, production tubing

COLLAR: A threaded coupling used to join two lengths of pipe such and pipeline.
as production tubing, casing or liner. The type of thread and style of
collar varies with the specifications and manufacturer of the tubing.

PRODUCTION TUBING: A wellbore tubular used to produce reservoir

fluids. Production tubing is assembled with other completion components to make up the production string.

www.cadecanada.com

ZIP GROOVE: A reduced-diameter section that has been machined

at the box (up) end of a drill collar so that the collar may be more
easily handled with open-and-close elevators.

january/ february 2015

11

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Special

REPORT

By Robin Brunet

PHOTO: CANADIAN PRESS

The future of energy production

in British Columbia remains
promising, and controversial

Drilling rig at work near Fort Nelson

in northern British Columbia.

ARELY DOES A WEEK GO BY WITHOUT VANCOUVER PUNDITS

portraying B.C.s nascent liquefied natural gas industry as
too slow in coming and beset by problems.
Part of the reason for this is political: Premier Christy
Clarks 2013 re-election is still a sore point amongst those who
eagerly predicted an NDP landslide. Combined with a distrust of
big industry, this leaves any Liberal initiative subject to criticism
and no other has defined the partys post-election platform more
thoroughly than LNG, which it has touted as potentially supporting up to 100,000 jobs and contributing up to $1 trillion to
the provinces GDP.
Criticism notwithstanding, 2014 was a banner year for development in the province, as evidenced on November 8 when LNG
Canadas environmental certificate application was made public.
The joint venture company, comprised of Shell Canada Energy,
PetroChina, Korea Gas Corp. and Mitsubishi Corp., says it will
spend up to $40 billion to build a proposed export facility in Kitimat, B.C., which could generate up to $39 billion in tax revenue
over its lifespan. LNG Canada has already signed an agreement
to connect to BC Hydros power grid for up to 20 per cent of
its energy needs. In a press conference call that same day, LNG
Canada spokeswoman Susannah Pierce insisted that, With the
hydro announcement and this announcement today, we are
clearly moving forward.

www.cadecanada.com

Other developments indicate that B.C.s oil and gas sector

overall may be headed towards a boom that would benefit CADE
members, amongst others. A November 5 Crown Petroleum and
Natural Gas Public Tender auction sold 28 land parcels totalling
over 28,000 hectares at an average price of $7,267, almost double
the average price of any auction in 2014. This puts the amount
made from drilling permits and leases at almost $350 million for
the year. Charter Land Services made the largest bid (just under
$124 million) for 8,350 hectares, 60 kilometres north of Hudsons
Hope, while Windfall Resources paid the most per hectares ($67
million for 3,700 hectares) in the same area.
These sales dont quite match B.C.s peak year of 2008, when
auctions pulled in nearly $2.7 billion. But that astronomical
figure was the result of the province offering much more land for
sale: 757,000 hectares, compared to 126,598 in 2014. The average
price in 2014 is higher than any year since theyve been staging
auctions, except for 2008.
Deputy Premier and Minister of Natural Gas Development
Rich Coleman is particularly enthused by events in 2014. CADE
members should expect lots of drilling opportunities in the foreseeable future, and as for LNG weve moved it faster than anyone
had thought. This is because we studied other countries industries and built a competitive platform, he says.
Coleman, who also vice-chairs the Cabinet Working Group on
january/ february 2015

13

Special

REPORT

The facility at Bish Cove is currently in

the process of its 180-day environmental
assessment.
In November, First Nations communities
throughout the Skeena Watershed voiced
their opposition to the facility in Lelu,
saying it could negatively impact the
salmon population.

PHOTO: CANADIAN PRESS

FAST FACTS:

Liquefied Natural Gas, goes on to say that, Of (including $11 billion for a Lelu Island export
the 18 LNG proposals from 35 companies, nine plant). Final investment decisions for both projalready have export permits from the National ects are expected by the end of 2014.
Still, skepticism about B.C.s ability to attract
Energy Board, and were negotiating for development agreements for seven projects by the end investment and compete internationally perof November. The Liberals plan of having three sists. Jennifer Winter, associate director of enerLNG facilities in operation by 2020 is still on gy and environmental policy for the University
of Calgarys School of Public Policy, worries that
track, he adds.
Coleman dwells on two projects to justify his many countries may be faster in delivery than
optimism: the Chevron/Apache joint venture Canada: the U.S. on the Gulf Coast, or Australia,
near Kitimat, and the Pacific NorthWest LNG which has the advantage of being closer to Asia.
project on Lelu Island south of Prince Rupert. The Even Africa is a viable contender due partly to a
former will see Chevron Canada operate an LNG far less complex regulatory structure.
An RBC Capital Markets report supports
facility at Bish Cove, and Apache will manage the
Winters concerns. It predevelopment and producItll be tricky for protestors to make dicts that Australia is set to
tion of natural gas from the
headway, plus a lot of aboriginal
eclipse Qatar as the largest
Liard and Horn River Basins. An NEB licence has groups are already on board the LNG global supplier of LNG by
bandwagon. Jennifer Winter
2018, though also notes
been granted to export up
that
Australian
greento 10 million tonnes of LNG
per year, which will be delivered to the facility field LNG projects have been plagued by cost
by a 480-kilometre Pacific Trail Pipeline from overruns.
Winter adds that the provinces ultimate goal
Summit Lake. The pipeline and plant will create
an estimated 4,500 construction jobs. The Pacif- of exporting 82 million tonnes per year would
ic NorthWest project is led by Malaysias state- mean we would contribute 15 per cent of toowned Petronas, which will invest $36 billion tal offshore need, which is about 500 million

A dock at the Chevron-led Kitimat LNG

construction site, Bish Cove, B.C.

14

january/ february 2015

Well Construction Journal

tonnes yearly. That figure is nothing to sneeze costs of their terminals. Thats about the only
at in terms of benefiting the B.C. economy, but thing the government dropped the ball on, says
its still small in the grand scheme of things Winter. It sent the message that by virtue of an
which would make it all the easier for Asia to industry merely existing, it would be taxed. It was
simply look elsewhere for product if the province a blatant money grab.
doesnt meet its production goals.
But in October, the Liberals introduced legisOne factor Winter doesnt think will hinder lation to slash its proposed tax rate and add inLNG progress is anti-resource development activ- centives for LNG companies. The design and
ism. Itll be tricky for protestors to make head- the tax structure needs to take into account
way, plus a lot of aboriginal groups are already changing circumstances in the market and poon board the LNG bandwagon, she says. This tential for return, Finance Minister Mike de Jong
is in stark contrast to the experience of compa- told the press. Its not quite as lucrative as
nies like Kinder Morgan, which in November it once was.
was forced to seek a court order against protestThe initial income tax rate will stay at 1.5
ers who blocked crews from
per cent, but the second
CADE members should expect
performing survey work
tier will be 3.5 per cent
lots of drilling opportunities in the
on Burnaby Mountain on
instead of seven. Meanforeseeable future, and as for LNG
behalf of the Trans Mounwhile, a new provincial
weve moved it faster than anyone
tain pipeline.
natural gas tax credit will
Winter says that while
reduce corporate income
had thought. This is because we
LNG will play a role in B.C.s studied other countries industries and tax rates to as low as eight
energy future, It will be a
per cent from the current
built a competitive platform.
mix of LNG and natural gas,
11 per cent.
Rich Coleman
and I doubt the former will
Susannah Pierce of LNG
represent anything more than 20 per cent of the Canada praised the government for the turnoverall economy: hardly in league with the oil around. There is a lot of competition in the
sands, which some proponents have compared global LNG marketplace, and we know that
the industry to.
the B.C. government recognizes this, she
Coleman replies, Whats so bad about LNG said during an October 20 press conference.
making up 20 per cent of our economy? Consid- David Keane, president of the BC LNG Alliance,
ering we have forestry, mining and other pow- expressed similar sentiments.
erhouse industries in this province, 20 per cent
While government optimism and academwould be a great achievement.
ic skepticism about LNG is predictable, invesThe minister outlines the main challenges in tor opinion is arguably the best indication of
exploiting LNGs full potential. Fluctuating oil where the provinces new industry truly stands.
prices can affect final investment decisions and Although Michael Culbert, president and CEO
accessing capital, he says. Also, access to labour of Progress Energy Canada Ltd., turned down
is critical to the success of the proposed projects. WCJs request for an interview, he has gone on
Although we cant control the former, were en- record as being cautiously optimistic that Canagaged in vigorous conversation with Ottawa to da can become a meaningful player in the global
get flexibility in importing the skilled labour re- LNG industry.
quired to build LNG facilities.
Culbert, who is helping develop LNG projects
Coleman says policy-makers in Ottawa are re- on the west coast through Pacific NorthWest
ceptive to B.C.s concerns. Its a good dialogue, LNG, states on the Canadian Association of Peand one idea being floated is that in exchange for troleum Producers website, I think technically
us bringing in skilled professionals, these profes- Western Canada has the natural gas to supply
sionals could teach what they know to our home- all of the proposed projects. But will they all
grown labour force.
go ahead? Probably not. Will there be consoliAnother challenge, this one self-imposed, was dation? Possibly. He adds that we can compete
recently addressed. Under a plan announced in with countries that are already exporting LNG,
last Februarys provincial budget, a tax rate of up if we can secure markets and commit to the
to seven per cent would be levied on LNG com- construction of these projects within the next
panies net income once they recoup the capital two to three years.
www.cadecanada.com

FAST FACTS:

A government report released in fall

2014 found that LNG development could
spike B.C.s carbon footprint.
Experts believe that the push for LNG
across Canada will drive demand for
an extra 40,000 beds in worker camps
over the next four to five years.

january/ february 2015

15

Transportation

REPORT

By Ryan Van Horne

The Spirit of Vancouver Island will
soon be outfit to run on LNG.

FAST FACTS:

BC Ferries CEO and president Mike

Corrigan says its switch to LNG is a
game-changer. The plan is for all
future builds to use LNG as fuel.

Making the Switch

LNG could be the new sweetheart of the transportation industry and it all
comes down to cost

EGULATIONS FORCING THE REDUCTION OF

tional type of natural gas customer, according to Algreenhouse gas emissions are accelerating
lison. What weve been doing, since 2009, is worka migration from diesel to liquefied natural
ing with companies to help convert their heavy-duty
gas (LNG). Diesel, the
vehicle fleets to either comreliable-yet-noxious beast of
pressed natural gas or LNG,
Adding natural gas trucks to
burden in the heavy transporhe says.
our fleet will help us reduce
tation and marine industries,
Cost
is
probably
the
transportation-related emissions,
originally rose to prominence
first
selling
point,
and
ultimately improving air quality while
because it was more efficient
when
British
Columbia
reducing
fuel management expenses. amended its greenhouse gas
than the steam engine.
Fred Zweep
But, years later, the transregulations in 2012, it permitportation companies and
ted FortisBC to give out incenheavy industry that use diesel to run machinery are
tives to help encourage companies to convert from
looking to save money by switching to LNG. Its
diesel to LNG or compressed natural gas, which
significantly less costly than diesel, says Michael
made it even more attractive.
Allison, a spokesman for FortisBC. It can be a
Its created a great demand in the past few years,
significant percentage with commodity price
says Allison.
changes, but its roughly 25 to 50 per cent less than
In 2012, FortisBC received $104.5 million in
diesel or gasoline.
incentives, $16 million of which went to vehicle inCompanies like FortisBC and AltaGas have been
centives while the remainder was spent on training
working to grow the market for LNG in British
and the construction of fuelling stations.
Columbia, and are planning to increase their capacWhen a fleet comes to us for conversion, we
ity to supply the West Coast market.
either find a fuelling station nearby that already exFortisBC currently has 900,000 natural gas cusists, or we work with them to see what they want,
tomers in British Columbia, a number that has been
Allison says. They may not select FortisBC to build
steadily growing and expanding beyond the tradiit, but in some cases, like that of Vedder Transport

16 january/ february 2015

Well Construction Journal

Ltd., they do. In 2012, FortisBC built the largest

town of Inuvik, N.W.T. The gas is chilled to
standalone LNG fuelling station in Western Canada
-162 C and put into a vacuum-sealed container
in Abbotsford, which supplies LNG to all of Vedtruck which acts as a giant Thermos for the
ders 50-truck fleet. Three other companies and a
gas during its 3,600-kilometre journey from
total of 200 semi-trucks have been converted to
Vancouver.
LNG. Arrow Transportation Systems Inc., Wheeler
Allison says the trucks can make the entire trip
Transport and Denwill Enterprises Inc. have all
without venting, so the range of distribution is
made the switch.
pretty wide.
Adding natural gas trucks to our fleet will help
There are six LNG facilities in Canada and Forus reduce transportation-related emissions, ultitisBC operates two of them. Its plant in Tilbury
mately improving air quality while reducing fuel
Island, B.C., has been operating since 1971. In
management expenses,
October, it broke ground on
says Fred Zweep, presi- Companies like FortisBC and AltaGas have a $400-million expansion at
dent of Vedder.
been working to grow the market for LNG Tilbury. The company is addAllison says trucking
in British Columbia, and are planning to ing a liquefaction facility and
companies that switch increase their capacity to supply the West another storage tank that will
from diesel or gas to LNG
add 1.1 million gigajoules of
Coast market.
can reduce greenhouse
capacity. It is expected to be
gas emissions by between 15 and 25 per cent. LNG
complete by the fourth quarter of 2016. LNG is
is well-suited to heavy-duty long haul operations,
used in fracing operations, including the Montand most companies only need one fuelling
ney play that straddles British Columbia and
station in their area of operations.
Alberta, and has potential for the mining, marine
FortisBC also sells tanker loads of LNG to the
and rail transport industries. Any company that

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Transportation

REPORT

is required to lower or is interested in lowering its

carbon footprint or emissions profile has a second
reason to do it. In fracing pilot projects, Ferus
has observed significant emissions reductions.
A company spokesman told Well Construction
Journal in the spring of 2013 that it achieved a 30
per cent reduction in carbon dioxide, 75 per cent
reduction in nitrous oxide, 90 per cent reduction
in particulate emissions and nine per cent reduction in sulphur dioxide by switching from diesel
to LNG.
Last June, AltaGas signed a letter of intent with
the province the first agreement of its kind for
domestic LNG. The company expects to invest
approximately $250 million to build a network
of small LNG facilities throughout northern B.C.,
and the first step is to build a liquefaction facility
in the northern town of Dawson Creek. The plan
is to serve customers who use natural gas to generate power, heat and to operate heavy machinery
in the oil and gas industry.
We look forward to working with the province
to make LNG a viable option for B.C. residents

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and industry, and to help establish a competitive

LNG export industry in the province as well,
says John Lowe, executive vice-president of
AltaGas.
BC Ferries is doing a mid-life refit on two of
its ships the Spirit of Vancouver Island and the
Spirit of British Columbia. For ships already in
the fleet, the company will wait until the midlife upgrade is scheduled for the engines before
making the switch to dual-fuel capability. This
gives the ship the flexibility of using whichever
fuel is cheapest, although thats usually LNG.
Our intention will be to run them on LNG,
says spokesperson Deborah Marshall.
When the ferries return to duty on the companys busiest run, between Tsawwassen on the
lower mainland and Swartz Bay on Vancouver
Island, the company expects to save $8.5 million
per year on fuel, she adds. BC Ferries also plans to
purchase three new smaller ferries with dual-fuel
capability, to be delivered sometime in 2016 or
2017. Fuel savings for these are expected to be
about $3 million per year.

Member

PROFILE

By Martin Dover

Heading Towards a
new green
How pro-golfer Allen Bekolay left
the course to start a successful
career in sales

OR FIVE YEARS, ALLEN BEKOLAY DEDICATED HIS

life to golf. Raised in Saskatoon, Bekolay
first arrived in Alberta to study golf business management at Lethbridge College
right after high school. Soon, he turned pro and
left Alberta to travel internationally he went
to New Zealand, and stuck around there to play
for a winter.
Eventually, he came back to Canada and
started studying business management at
Athabasca University. Golf was great for me,
he says. But I felt a calling to make my way
in the world of business and commerce, and
with the energy market being on my doorstep
I wanted to learn about the business and how
it worked.
He eventually got a job with Imperial Oil as
an account representative, looking after their
bulk lubricant customers. I loved it, he says,
of his switch over to a new industry. I like the
fact that its quite dynamic and always changing. Theres a bit of variety and the job is a bit
different every day.
Bekolay has been working in the field for
seven years. His first position with a small drilling company was with Komat Drilling, working
on their sales side. His job has since taken him
towards different positions between a few small
drilling companies, working in both sales and
business development.
Most recently, he started working for Compass Directional Services Ltd. Its an incredibly
technical field and Im going to be working hard
at catching up, getting up to speed with everyone and getting to learn a new part of the industry, he says. But he enjoys the change of pace at
Compass. Its leading-edge and attracting more
and more people, he adds. Im trying to learn

www.cadecanada.com

Allen Bekolay

as much, and research as much as I can into our

business.
Outside of work, Bekolay spends a lot of his
free time playing golf and hockey. He currently
acts as the president of the Turner Valley Oilmens Association. And he has also taken up a
new position at CADE, helping to plan technical presentations and find younger members
and students to learn from the wealth of knowledge in CADEs membership. Im looking for
new and interesting topics, things that will
help the younger engineers coming out of college to give them a base knowledge about where
trends are going in the oil patch, he says. That
means lots of talk about efficiency. Its about
making sure your wellbore is placed accurately
to optimize production and life of the well, but
saving on your costs. Everyones trying to limit
the amount of money spent while maximizing their return. Really, its about making sure
theyre using the proper services to get that well
done properly, efficiently and on budget.
january/ february 2015

19

Public Relations

REPORT

By Jacqueline Louie

Open for Questions

A series of public information sessions aims to spread fair information about
the LNG industry in B.C.

UBLIC DEBATE, CONTROVERSY AND OPPOSITION

of its original volume. After its shipped, its then
often go hand in hand with proposed new
reheated, converted back into a gaseous state and
energy projects. At
used for power generation.
The seminars are attracting strong
the same time, oil and
Northeast B.C. holds an esinterest from communities, from the
timated 2,933 trillion cubic
gas development can bring
public at large and from schools,
economic opportunity and
feet of natural gas, primarily
which are bringing in large groups of in the Horn River Basin, the
the hope for a more prosperstudents to attend.
ous future.
Montney, the Liard Basin
Thats the message the B.C.
and the Cordova Embayment. An LNG industry in B.C., based on five
government wants to get out to citizens about
liquefied natural gas (LNG) and its possible benplants operating by 2021, could create more than
efits to British Columbia.
100,000 jobs for British Columbians, according
LNG is natural gas that has been chilled to -160
to a 2013 analysis of the potential employment
C, turned into a liquid and condensed to 1/600th
benefits commissioned by the B.C. government.

20 january/ february 2015

Well Construction Journal

To reach out to the public with information about LNG and what it could mean
for B.C., the province is hosting a series of
seven interactive community seminars to
help educate B.C. residents about LNG and
the career options and business opportunities that will be available through LNG
development. The seminars, which began
in October and will wrap up in February,
are intended to explain the science of LNG,
delving into what natural gas development
and export will mean for B.C.s future, in
terms of both business opportunities and
career opportunities for young people.
The Regional Liquefied Natural Gas
Energy Seminars are being well received,
and were pleased by the attendance,
says Rich Coleman, B.C.s deputy premier
and minister of natural gas development.
The sessions are providing people of all
ages an interactive and fun forum to learn
about B.C.s role in energy production and
supply, as well as the economic opportunities that will be available as the industry
develops.
The sessions feature a business-to-business component, through the LNG-Buy
B.C. program, which the province created
to connect LNG project proponents with
B.C. companies. The goal is to encourage
B.C. businesses, both large and small, to
participate in LNG and other major project
opportunities.
Another key component to the sessions
is aimed at young people. WorkBCs Find
Your Fit offers hands-on learning focused
on the skills required for the jobs of the
future. At each seminar, activity stations
will allow young people to get a taste of
the type of work skills that are required in a
variety of fields, from welding and carpentry to accounting.
Science World British Columbia, a notfor-profit organization whose objective is
to engage British Columbians in science
and inspire future science and technology leadership, is also participating in the
seminars. At each event, Science World is
making presentations on the science of
energy, with an introduction to the fundamentals of energy science, including how
www.cadecanada.com

energy is stored, transmitted and released

into usable formats.
Residents of B.C. have to make important decisions over time, and we hope those
will be informed decisions, says Bryan
Tisdall, Science World British Columbia
president and CEO. If people understand
more about energy, they will be in a better
position to make those decisions. Whenever you can provide folks with more information, its good.
Increased knowledge and understanding
of the LNG industry will allow B.C. citizens
to develop a broader appreciation of the
opportunities the industry would bring
to the province, Tisdall notes. This means
focusing not only on a narrow selection
of opportunities related specifically to extracting natural gas, but also opportunities
during the construction phase of projects
for a wide range of trades, as well as technicians and technologists all careers that
feature portable skills.

Some of these LNG projects wont be in

operation until the next decade, so if we
start now, getting youth engaged in the
training they would require, they would
be well positioned to take advantage of the
jobs that will be available in the future.
Emma Shea
Another strong point of the seminars,
he adds, is the many points of view that
are represented, including corporate sector
LNG proponents, post-secondary institutions (which train young people and provide career information), government, and
basic science, provided by Science World.
The seminars are attracting strong interest from communities, from the public at
large and from schools, which are bringing in large groups of students to attend.
They are also drawing praise from public
relations experts as an effective way for
the government to convey information to
the public.
Emma Shea, B.C. operations manager at
Communica Public Affairs, which focuses
on public consultation and aboriginal engagement strategies for the energy sector

in Western Canada, thinks its important

for the B.C. government to actively engage
the public about LNG and its benefits.
The government is trying to reach out
to a younger demographic and get them
more engaged. Some of these LNG projects
wont be in operation until the next decade, so if we start now, getting youth engaged in the training they would require,
they would be well positioned to take
advantage of the jobs that will be available
in the future, Shea says. I think its great
that these things are happening because
somebody needs to champion getting the
literacy out there about the LNG industry
in our province.
Allison MacKenzie, associate professor of
public relations at Mount Royal University
in Calgary, also praises the B.C. seminars as
an effective way to reach the public.
Face-to-face, one-on-one interpersonal
communication is the most effective form
of communication, MacKenzie says, pointing to research that has shown this type
of human interaction is the most effective
at persuading, providing information and
creating relationships.
Any type of outreach that involves real
people talking to youth is an extremely effective strategy, she says, noting that parents today are extremely concerned about
their childrens future: about their career
options, employment opportunities and
what the future will hold. With these seminars, when you reach out to youth in this
way, you are also reaching out to parents
and creating favourable impressions with
adults, as well as with their friends. Its a
really good strategy with a really strong
ripple effect in terms of outreach.

SEMINAR LOCATIONS
Prince George, Fort St. John, Terrace,
Prince Rupert, Squamish, Nanaimo
(January 13-14) and Kamloops,
(February 3-4).
Attendance at the seminars is free.
Register at www.LNGinBC.ca.

january/ february 2015

21

Research

REPORT

By Lisa Ostrowski

FAST FACTS:

PHOTO COURTESY THE UNIVERSITY OF CALGARY

CERC was established by the federal

government in 2008 to encourage
accomplished academics and researchers from around the world to work at
Canadian universities.

Research Heats Up
Nanotechnology expert Steven Bryant starts a new tenure at
the University of Calgary

TEVEN BRYANT BELIEVES A LITTLE COULD GO A resources using nanoparticles. Through the CERC

long way in the oil sands. A world leader in program, the university will receive up to $10 milnanotechnology, Bryant is the recently ap- lion in funding to support Bryants research. This
pointed Canada Excellence Research Chair funding will then be matched by the University of
(CERC) in Materials Engineering for Unconven- Calgary in order to support innovation in energy
tional Oil Reservoirs. Working out of the University research.
of Calgarys Schulich School of Engineering, Bryant
This is the opportunity to be a part of someis looking to improve current extraction methods thing big, Bryant says. Theres a lot going on in
in order to increase efficiency and reduce the envi- this province in terms of energy production of all
ronmental impact of the oil sands. Alberta, he says, kinds. And all the challenges of energy production
is the ideal place for him to
in the modern world pretty
This all sounds like science
further this work.
much all come together in the
fiction, except that these particles
Its an exciting place. Peooil sands.
exist. Its just a question of folks
ple want to do things up here
Bryant comes to the Unifiguring it out. Steven Bryant
and are interested in trying all
versity of Calgary from the
kinds of stuff, he says. The
University of Texas at Austin,
research community in place here is looking at all where he directed the Geological CO2 Storage Joint
kinds of aspects [of nanotechnology], so it is really Industry project and the Nanoparticles for Subsura great place.
face Engineering Industrial Affiliates program. He is
As the first CERC created at the University of a pioneer in the field of meso-science, a relatively
Calgary, Bryant will spend the next seven years ex- new angle within chemical engineering, and has
ploring alternative means to extract oil and natural made significant advances in the fields of CO2

22

january/ february 2015

Well Construction Journal

sequestration, porous media modelling and reacthat field reaches a particle, that particle is going to
tive transport theory.
get hot. So its a way to imagine delivering thermal
While his position at the University of Texas led
energy in a completely different mode than whats
him to explore the use of nanoparticles for petrobeing done anywhere.
leum engineering applications, his new role will alCurrently, this technology has been devellow him to further delve into the possibilities that
oped for use in Arctic and deep-sea drilling. The
these particles may hold. Utilizing nanoparticles to
nanoparticles, coupled with oscillating electrochange the properties of substances currently used
magnetic fields, can be used to heat the walls of
in the oilfield, Bryant hopes to improve both the
pipes, decreasing the viscosity of materials inside.
environmental impact of, and energy expended
In the case of a flow line with gas, water and oil in
during, extraction.
it, these self-heating nanoparticles can also be used
Bryant notes that current technology and preto keep methane hydrates from forming.
vious work in the oilfield has positioned his team
Similar to their use in the biomedical field,
on the brink of a new and exciting frontier. With
nanoparticles could also be used as contrast agents
some of these particles weve got a new tool in
to allow for better visualization of steam chambers.
the tool kit We know what the constraints are,
Using a lower-frequency electromagnetic field,
we know what the challenges are. Now weve got
researchers would be able to map the spaces and
another way to try to address those challenges.
optimize well trajectories.
One of the most exciting concepts that
Bryant hopes that his research will not only
Bryant will be examining draws inspiration from
improve oil extraction processes, but those of oththe biomedical field. For years, researchers in
er natural resources as well. Similar to his teams
medicine have used nanoparticles to help locate
ability to transfer and develop knowledge from
and target tumours or internal
the biomedical field, Bryant
If youre in the right position to is hopeful that the research
injuries, but this technology
be aware of whats needed out
has not yet been applied to
could lead to similar improvethere in the field, and aware of
the oilfield.
ments in other industries.
Bryant and his team are whats available, you start to spot
If youre in the right poparticularly
interested
in
sition to be aware of whats
these opportunities.
the properties of iron oxide
needed out there in the field,
nanoparticles (smaller than 50 nanometres) disand aware of whats available, you start to spot
solved in water. When outside of a magnetic field,
these opportunities. This [technology] was estabthis mixture acts as a stable solution. When placed
lished in a completely different area; the last thing
in a magnetic field, the particles of iron oxide are
on their mind was getting heat into a pipeline. But
attracted to the magnet. If this mixture is exposed
if you realize that getting heat in there might be
to an oscillating magnetic field, the iron oxide
useful for environmental impact reasons, theres
nanoparticles attempt to orient themselves with
a great chance to have some impact in a short
the magnetic attraction. If the oscillation occurs
amount of time.
above a certain frequency, the movement of these
Reducing the environmental impact of natural
nanoparticles causes them to generate heat.
resource extraction is of particular importance in
For the 80 per cent of the oil sands that must be
Alberta. The effects of oil extraction in the province
accessed through in situ operations, Bryant hopes
have had major implications in the lives of people
that the development of this technology will
across the province and country. The creation of
create a new method to inject heat into reservoirs.
more environmentally friendly methods for oil
Steam-assisted gravity drainage uses a large amount
extraction could lead to lower costs for companies
of energy to heat water, so the use of oscillating
in the oil sands, safer methods for extraction and
magnetic fields might be a new method that could
more easily accessible oil reserves.
increase the accessibility of oil while decreasing the
Bryant acknowledges that his teams research may
energy used to access it.
sound far-fetched to some, but is confident that
Maybe we can get heat into the reservoir withit will lead to lower-impact extraction methods
out using steam at all. We could put some of these
in the future. This all sounds like science fiction,
magnetic particles in place and apply a sufficiently
except that these particles exist. Its just a question
fast oscillating magnetic field, he says. Wherever
of folks figuring it out.
www.cadecanada.com

FAST FACTS:

Speaking of science and the patch,

researchers at the University of British
Columbia are applying genomic technologies and charting how microbes
function during different stages of shale
gas development.

january/ february 2015

23

By the

NUMBERS

Stats at a Glance
Canadian Rig Counts
December 1, 2014

Drilling

Down

Total

Utilization

Alberta

310

253

563

55%

B.C.

56

13

69

81%

Manitoba

12

12

24

50%

New Brunswick

Newfoundland

Northwest Territories

Quebec

100%

Saskatchewan

75

74

149

50%

Totals

454

352

806

56%

Source: Alberta Department of Energy

Top 5 Most Active

Drillers in Western Canada

Top 5 Most Active Operators

December 1, 2014

November 27, 2014

Active
Rigs

Active

Total

Precision Drilling Corp.

108

191

Canadian Natural Resources Ltd.

25

Ensign Energy Services Inc.

48

101

Progress Energy Canada Ltd.

18

Savanna Energy Services Corp.

43

71

Tourmaline Oil Corp.

17

Nabors Industries Ltd.

41

64

Crescent Point Energy Corp.

16

Trinidad Drilling Ltd.

38

57

Encana Corp

16

Source: FirstEnergy Capital

Source: CAODC

Alberta Land Sales

October 2014

October 2014

October 2013

YTD 2014

YTD 2013

$69 million

$19 million

$442.2 million

$587.6 million

$488.57

$450.64

$491.64

$340.19

$268,086

$5.4 million

$4.5 million

$27.2 million

$42.74

$400.42

$172.15

$194.83

Oil and Natural Gas

Land Sales
Price Per Hectare
Oil Sands
Land Sales
Price Per Hectare
Source: Alberta Department of Energy

24

january/ february 2015

Well Construction Journal

Thank You to Our Sponsors

The support of CADE sponsors plays an integral part in our associations success.
Platinum Sponsors

Gold Sponsors

Silver Sponsors

Newpark Drilling Fluids

Pason Systems

Global Steel Ltd.

NCS Energy Services
Pacesetter Directional
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XI Technologies Inc.

Akita Drilling Ltd.

Baker Hughes
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Drilling

DEEPER

By Robbie Jeffrey

With the click

of a button
Could apps like PetroFeed become the oil and gas
industrys future?

N OILMAN AND A SILICON VALLEY TECH in a private social communication loop. With
entrepreneur walk into a bar. Over a the help of a former well site geologist and
rye and an elderflower lime martini industry veteran, PetroFeed was launched in
(guess who orders what), they chat February 2014. By May, the app had attracted
about their respective industries. One of them a few thousand users and PetroFeed had six
recommends an app, called PetroFeed, to the employees. Then it blew up, Dunfield says.
other but the mystery is who suggested it By November 2014 it had users in the tens
to whom?
of thousands and the company just hired its
Ashley Dunfield, founder of PetroFeed, is a 15th employee.
composite of the two archetypes. His grandfaWith the PetroFeed app, users see the prother built an oil company, his father built an files of rigs in Western Canada, which state
oil company and his two sisters built service their location and activity. They request to
companies. He was producing wells at his be connected to the rig and undergo a verifathers exploration and production company fication process to identify their relationship
and was about to take it
to the rig, like
I was fascinated with how [social
over when he first got
what position
networks] deliver the right information they hold at
involved in software.
Dunfield
made
an
what compato the right person at the right time.
application that created
ny. PetroFeed
Ashley Dunfield
financial evaluations for
collects
data
drilling opportunities, which he later sold, directly from the companies that report the
and took off to Silicon Valley to work in social drilling activity while also using governnetworks. I was fascinated with how [social ment information, public information and
networks] deliver the right information to the user-reported data. Dunfield stresses that he
right person at the right time, he says. And understands the importance of confidentialiwhen he applied these principles to oil and ty and that its key to the business: You cant
gas, he saw a new frontier.
just take Facebook and dump it into oil and
When youre drilling a well, youve got gas it doesnt work, he says. In PetroFeed,
over 20 different companies and 100 people you cant communicate things publicly, but
that are going to be involved in the develop- you can connect and share information with
ment cycle, and its all happening in a remote people tied to the same asset.
location, Dunfield says. And today its all
The numbers dont lie: PetroFeed fills a
co-ordinated by phone calls, emails and text vacuum. Its the engineers, the geologists
messages. All the major operators are talking and the drilling engineers that understand
about supply chain efficiency, but nobody the challenges, Dunfield says. But theyre
has thought about the communication and not the ones who understand the potential
digital infrastructure required to make that solutions. Thats where Im coming from:
possible. The industry moves uncharacteris- building the infrastructure that enables other
tically slow in terms of data, he says and yet people to have those kinds of ideas and easily
data is leading change in the rest of the world. build and commercialize them.
Dunfield envisioned software in which
The future of PetroFeed, therefore, goes
wells, rigs and employees could be connected beyond the app to an entire digital network

26

january/ february 2015

built upon the requirements of the industry,

and every major data vendor and major operators and service providers are jumping on
board. Dunfield hopes to allow companies
to communicate with their employees and
co-ordinate their activities and find business
opportunities and co-ordinate with the people who are organizing those activities.
In short, it doesnt matter whether the oilman
or the tech entrepreneur suggested the app.
What matters is that afterwards, a whole industry showed up to join them.

THERES AN APP FOR THAT!

A BRIEF SELECTION OF APPS FOR THE
DRILLING INDUSTRY:
OilTrax (BlackBerry): Specific to Western
Canada, OilTrax is a navigation platform
that allows users to search well sites and
facilities using satellite imagery and street
maps
Prairie Coordinates (Android): Providing
data based on the National Topographic
System, this site locator is supported for
Alberta, Saskatchewan and Manitoba
WellEz (iPhone): A complement to WellEz.
net, where you can upload custom drilling
and operations reports and the data is
analyzed and sent out in activity reports

Well Construction Journal

WeldCor, Canadian Technical Center

for Duraband Hardbanding
WeldCor Supplies, an independent consumer-direct supplier of welding materials, hardbanding alloys
DurabandNC and TuffbandNC, hardfacing products and equipment calls itself The ller metal experts, and
for good reason. The company, with ofce and warehouse locations across Canada, has gained a reputation as
the knowledgeable source for alloy ller metals. Maybe thats because we can answer the second and third
questions our customers ask...not just take their order, explained Leroy Billesberger,
president and owner of the company. Our extensive knowledge of welding materials,
welding processes and the properties of different metals is what really sets us apart. Our
people are true welding experts who understand the unique characteristics of different
metals, as well as the difference proper welding techniques can make.
WeldCor has been involved in the
Canadian Energy Industry for many
years and Hardbanding Products
were a good t for their business.
Knowledgeable energy companies
and drilling contractors have come to
appreciate the benets of a superior
performing hardbanding product
coupled with technical expertise.
Protecting the casing and tool joints is
critical. This protection also results in
more efcient drilling, longer drilling
cycles and reduced maintenance of
the drill pipe. Drilling contractors
understand that extending the life of
drill string assets goes right to the
bottom line. Hardbanding applicators
have also beneted by the use of noncracking Duraband NC and Tuffband
NC, since re-application is so much
easier and the wire can be re-applied
over and over again without removal.
We look for specialized products that
can satisfy the customers needs, and
is cost effective. The Hardbanding
products from Postle perfectly t
this criteria. WeldCor is also the only
Canadian company that supplies
hardbanding products direct to the
applicators and provides local on-site
technical assistance, Billesberger said.
Today, the Saskatoon resident nds
himself in great demand providing

technical support
and consulting
to hundreds of
companies in Canada
and the USA.
His current company,
WeldCor Supplies,
also provides products
to some of Canadas
largest oil projects.
With the increase of
directional drilling
in Western Canada,
there has been a rise
in the usage of wear
resistant products such as non-cracking
Duraband NC from Hardbanding
Solutions, a business unit of Postle
Industries. WeldCor is the Hardbanding
Solutions Technical Center for all
of Canada. In addition to being a
resource for the oil and gas industry,
the Technical Center offers educational
sessions and provides assistance to
applicators with hands-on training at
the applicators facility or in the eld.
The training that is provided, gives
applicators a basic understanding of
the different types of hardbanding.
In addition, they are introduced to
the principles of heat treatment and
metallurgy and how it relates to the
hardbanding process. The end result

is an applicator who understands

their machine, as well as the welding
process, in order to produce an end
product with guaranteed quality.
To reinforce WeldCors commitment
to the oil and gas industry, and as a
response to requests by producers
and drilling contractors for high
quality hardband work, Billesberger
developed a site inspection program
to ensure that certied applicators are
correctly and consistently applying their
hardband alloys. WeldCor dispatches a
quality assurance specialist to monitor
the application and then prepares
a comprehensive report that will be
shared with the applicator and the
requesting drilling contractor.

www.hardbandingsolutions.com
hbs1200@hardbandingsolutions.com

WeldCor Supplies Inc.

Edmonton, Alberta
Canada
www.WeldCor.ca
sales@weldcor.ca