Team Resources Kevin Boyles

Exploration for new reserves and redevelopment of existing oil fields is a matter of both hope and despair on the domestic level.  The KIOGA report concerning state regulations for oil and natural gas recovery and protection of water resources, paraphrased these opposing feelings:

“From the oil shale beds in the Rocky Mountains to the Outer Continental Shelf oil and gas deposits; the tight shale gas zones in numerous states, to the oil and gas reservoirs underlying the Arctic National Wildlife Refuge, the prospect of drilling for and producing oil and gas has raised both hopes and concerns.  Hopes that someday these resources will help the U.S. reduce or eliminate its dependence on foreign sources of oil and gas, and concerns that the subsequent exploration and development will not be tempered by sensitivity to the needs of the environment.”

Is it reasonable that Kansas state regulations can actually reconcile these two seemingly opposite goals: oil production and environmental protection?   The report does not address the effectiveness of the different EOR methods, but rather the regulations to which each process must adhere.

“Some have suggested that the dual responsibilities of resource conservation and environmental protection are incompatible and that an oil and gas agency may be more interested in the production of petroleum resources than in environmental protection. This perception may have had some validity until the 1960’s, but is no longer true, as the progression of water protection regulations implemented during the past fifty years demonstrates.  In reality, resource conservation laws led to the development of regulations that were rooted in practical, implementable actions.”

Do companies follow these regulations? After all, in some places in the US flaming cocktails are known to be served from the kitchen faucet in place of a glass of water. Contamination of water supply is a huge concern, and cannot be usurped by the US demand for a domestic supply of oil and natural gas.

There are companies, such as Team Resources Inc, where the adverse affects on the general environment and the water supply in particular, are negligible due to the particular technology that they are using, and their strict observance of state regulations. Kevin Boyles of Team Resources Inc states:

“Team Resources adheres to the guidelines set up and regulated by the Kansas Corporation Commission or “KCC”. When drilling a well, we are required to set surface casing at a depth below the fresh water table. This steel casing is cemented from bottom to surface and then is pressure tested to insure the protection of the fresh water. When we reach the total depth of the well production casing is cemented in place with adequate cement placed to protect reservoirs between the bottom of the hole and the surface. When completing a reservoir, proven completion techniques are implemented. Team Resources is not drilling wells which require large slick water fracs (forcing hundreds of thousands barrels of water into a formation)… When Team Resources is finished drilling a well, the location is cleaned using our own dozers and restored back to original condition. The only footprint left behind is a pump-jack which is set on a gravel pad which is fenced to keep cattle / wildlife out.”

The Radial Jet Drilling technology that is employed by Kevin Boyles’ company uses only a minor amount of water in the process. Mr. Boyles assures the residents of Kansas, that there are EOR procedures to safely extract oil reserves from existing wells without endangering the environment.

Logic dictates that if you use more of a product than you can produce, then you will have to obtain more of that product from another source. That is why the US buys oil and gas from foreign suppliers.

Since 1970 production from proven oil reservoirs and new discoveries has dropped by 3.8% annually, while demand has been steadily increasing. The creation of biofuels has not evolved fast enough, and there is no indication that they will be saving the US from its hunger for energy in the near future.

Since the US government is encouraging the satisfying of their energy needs domestically, there are only two choices: use less or produce more. While some conservation of energy incentives have resulted in small efforts to curb use of non-renewable energy, the total is too small to make any major impact against the continuously growing need for it.

The only solution then is to increase domestic production. Again there are two choices: increase exploration for new reservoirs, or make use of new technology to increase EOR.  Since there have been more newly proven oil reservoirs in existing oil fields than potential new sources, EOR looks like the best bet.

There are many new innovations in EOR. The controversy over “fracking” shows that not all new technology is superior environmentally. But there are some methods that have been developed that create a very small environmental footprint while effectively tapping the remaining reserves under the abandoned oil fields.

One of these is Radical Jet Drilling. Team Resources LLC CEO Kevin Boyles explains the process:

“Team Resources LLC,” says Kevin Boyles, “is currently working with Well Enhancement Services “WES” and using their Radial Jet Horizontal technology.  Team Resources LLC is working in oil reservoirs with certain characteristics which respond well to Radial Jet Horizontal applications. According to WES, Enhanced Oil Recovery – Radial Jet Technology has been proven to enhance production 3-10 fold and is less costly than most conventional technologies. Radial Jet Enhancement is a method of “Jet Drilling” horizontal laterals using a high-pressure water jet system. Oil reserves that otherwise would have remained beyond the reach of conventional technologies can now be recovered efficiently and economically. In some cases, production recoveries are to a point equal to or exceeding that of the wells initial production.”

Kevin Boyles says that Team Resources LLC is working to increase domestic production because he does not feel that renewable fuel sources are going to be riding to the rescue for a while. For the moment, EOR is where it’s at. That is what Kevin Boyles believes, and he is going to see that Team Resources LLC prove him right.

Horizontal drilling from the end of the vertical bore of an oil well has been in existence since the 1920’s, but only reached a point of commercial viability near the end of the 1980s. At that time there were three categories of horizontal drilling: short, medium, and long radius, with medium being the most productive and therefore most widely utilized.

Applications have included drilling of fractured conventional reserves, fractured source rocks, and stratigraphic traps. Horizontal wells have increased production and have advanced the recovery process. Case in point is the Austin  Chalk of the Texas Giddings Field, where production has increased 2.5 to 7 times. “Fracking” in North Dakota’s Bakken Shale resulted an increase from almost 0 production to 10% of the output for the state in 1991.

No one can accuse the government of not being supportive of these efforts.  Over the years the Department of Energy has allotted funds for a number of experimental horizontal gas wells. In recent time, through the Energy Policy Act of 2005 the US companies drilling for oil and gas were given an exemption from the Safe Water Drinking Act.

There were a few problems though.

The first was that deep horizontal drilling, in a single direction from the original bore hole was very, very expensive.

Second, companies could unfortunately offset their expenses by drilling horizontally underground into a reservoir that was not theirs and tap the oil and gas. Stealing oil became an issue in 1990 when Iraq accused Kuwait of siphoning off their oil through slant drilling, starting an occupation that lasted seven months and resulted in the Gulf War.

And third, the whole process was destroying the environment by contaminating water, causing instability in the ground foundation, and adding chemicals and gasses to places where they did not belong. Residents where their kitchen facets had become potential Molotov Cocktails were not amused, and much controversy grew around the “fracking” process.

Enter new technology. Revolutionary new methods of lateral drilling have reduced or eliminated all of the above issues.

Radial Jet Horizontal Technology, developed by Enhanced Well Services, and put into use in mature Kansas oil fields, in an effort between themselves and Team Resources, is proving to be a less expensive and environmentally friendly method of extracting oil and gas.

Kevin Boyles, CEO of Team Resources, makes it very clear that they are not a part of those companies using fracking to tap into oil and gas reserves.

“Team Resources is not drilling wells which require large slick water fracs (forcing hundreds of thousands barrels of water into a formation). These completion techniques are being used in the shale formations found in Texas, Pennsylvania, other States whereas they have had environmental contamination of the fresh water.”

Boyles continues by saying:

“Team Resources adheres to the guidelines set up and regulated by the Kansas Corporation Commission or “KCC”. When drilling a well, we are required to set surface casing at a depth below the fresh water table. This steel casing is cemented from bottom to surface and then is pressure tested to insure the protection of the fresh water. When we reach the total depth of the well production casing is cemented in place with adequate cement placed to protect reservoirs between the bottom of the hole and the surface. When completing a reservoir, proven completion techniques are implemented… When Team Resources is finished drilling a well, the location is cleaned using our own dozers and restored back to original condition”

The Radical Jet system uses only a small amount of water, and does not add any chemicals or gases to the process. Kevin Boyles points out that from a single head, using the original bore hole, Team Resources can drill in 16 different directions up to 300 ft. And by doing this, can increase the output of a mature well 3 to 7 times.  Not bad for minimal expense and ecological damage.

It looks like this is going to be the next step in the history of drilling for oil and gas. A step in the right direction this time.