Services / Directional

Directional Drilling - Overview

Cathedral Energy Services Income Trust provides Directional Drilling Services through the two following business units:

Customer Login: Canada | USA

• Remote Drilling System ("RDS")

• Horizontal and Directional Drilling

Horizontal drilling involves drilling a well horizontal to the vertical well bore. Directional drilling is the controlled drilling of a wellbore to a prescribed bottom hole location. Both horizontal and directional drilling includes the use of downhole motors (powered hydraulically by the drilling fluid to allow for the rotation of the drill bit with little or no rotation of the drill string) to alter the course of a wellbore to hit a specified drilling target. Horizontal and directional drilling operations require three distinct, separate systems to steer the drill bit below the earth's surface to a pre-determined target - a positive displacement mud motor, measurement-while-drilling "MWD" technology and occasionally a gamma ray system.

• Benefits of Horizontal and Directional Drilling

Greater Productivity: The use of horizontal and directional drilling equipment allows for previously unattainable bottom hole targets to now be accessed. In addition, horizontal and directional drilling is used when it is necessary to reach a specific subsurface target that is not accessible using conventional vertical drilling practices.The desired target zone is located directly beneath an extremely complex surface obstacle such as a mountain, lake, river and swamp or, in some instances, towns or environmentally sensitive areas.

Increased Economic Performance: The economic performance of horizontal and directional drilling results in a significant advantage over conventional drilling in environments of low permeability or in situations where producers want to accelerate production from a reservoir. Increased production results with the increased exposure of the reserves to the producing wellbore. Hence, an increased net present value of the well is realized due to the more efficient production of available reserves.

• Horizontal and Directional Drilling vs. Conventional Drilling

Currently, the majority of drilling occurs by vertical (conventional) drilling. When drilling a vertical well, the wellbore is drilled straight down until the oil or natural gas reservoir is reached. Vertical drilling is most efficient when reservoir pressure is high and the formation has high permeability. Conventional drilling is not always the most economic approach given factors including, restricted surface access, geology, reservoir pressure and present value considerations. Horizontal and directional drilling does not compete with or take the place of conventional vertical drilling rig operations. By virtue of the increased productivity and economics associated with horizontal and directional drilling techniques, conventional drill rig utilization levels are actually enhanced.