This paper discusses in general the phases necessary to undertake a Coiled Tubing Drilling project in a new area including: conceptual design during the feasibility study, equipment sourcing and mobilization, detailed design, operational challenges during execution, and results of the campaign. After this generic description, the operational performance will be discussed in detail.

Coiled Tubing Drilling (CTD) has been utilized on a commercial basis for many years, and can provide significant economic benefits when applied in the proper field setting. In addition to potential cost advantages, CTD can provide the following additional benefits: Safe and efficient pressure control, Faster tripping time (50+ ft/min), Smaller footprint and weight, Faster rig up/rig down, Reduced environment impact, Less personnel, and High speed telemetry. When applied to drill directional through tubing reentry wells, casing exit methods and high dogleg capability, provides the necessary flexibility to access compartmentalized bypassed pocket in the reservoir.

The drilling phase of the CTD pilot project in Malaysia started in February 2011 and was successfully completed in August 2011 with three (3) wells successfully drilled and completed in the desired target formation. The challenges faced during the beginning of the execution phase of this project were used as primary lessons learnt and contributed to a fast learning curve leading to delivering the last three (3) wells within budget.

With the successful completion of this campaign, numerous idle wells can be given a second chance to become producers again for by passed oil pockets. This is especially important for the offshore environment in Malaysia where aged platforms require a significant investment that is usually not justified for such marginal reserves. Even if sidetrack wells are planned using conventional rigs the return from such wells usually makes the cost uneconomical.