Slug-Smoothing Technology Sees Over 200 Shale Installs, Gets Boost From Schlumberger JV

Abstract

The undulating trajectories common to horizontal wells are the source of one of their greatest pain points—gas slugs. When these fast-moving accumulations reach the internals of an artificial lift system, a best case result may be a momentary pause in production. On the other hand, a gas slug could represent the bitter end for a lift system that may have cost six figures. The problem has been serious enough to drive operators in the Permian Basin to adopt an artificial lift strategy not historically used there. Manufacturers have responded to the challenge by trying to make pumps more slug-tolerant, while others are marketing automatic shut-down systems for asset protection. HEAL Systems has taken a different tact with a technology that it says removes slugging from the production equation by separating the horizontal from the vertical well sections and regulating the flow between them. The emerging innovation is called a horizontal-enhanced artificial lift (HEAL) system. It has no moving parts, and can be connected to any variant of lift system. In May, the company gained commercial steam through a joint venture with Schlumberger. Partnering with the service company will give HEAL Systems (formerly known as Production Plus Energy Services) manufacturing support and elevate its visibility in key markets such as the Middle East. “We’ve recognized that as a small company, scaling up is a challenge,” said Jeff Saponja, the chief executive officer of HEAL Systems, adding that the goal of the joint venture “is to get this technology out there, grow the company faster, and have access to an incredible research capability to develop it to the fullest.” Production Plus shareholders retain the majority share of the joint venture, allowing it to continue to market HEAL units to other service outfits and pump manufacturers. Based on its more than 200 installations in the US and Canada, the company is touting data that show its product has extended the run life of pumps in shale wells by months and sometimes years. Highlighted case studies of multiple wells in different formations claim this longevity has generated production improvements of 40–100% above prior baselines.