Drilling Operations – HNA Oil and Gas

The Drilling and Production Process

Landowners may quickly find themselves immersed in the drilling and production process of a well and must be prepared for what to expect. This process includes numerous and complex stages that can take months of planning. At HNA, we believe that the more our landowners understand this process, the better their experience will be.

The drilling process starts well before the rig arrives on-site. We work hard to ensure the process moves as quickly and efficiently as possible while maintaining a safe environment for everyone involved. Here’s a brief overview of the general process once a drill site is selected:

Approaching Permit to a Well Location

Selecting potential drill sites involves our Permitting team and an attorney to identify mineral interest owners and any title defects.

The attorney also identifies potential issues with the tracts that should be resolved before drilling.

Curative

The title attorney often finds issues with the title that require additional documentation.

This may involve our Contract team contacting you again for assistance or signing other necessary documents.

Site Survey

Drill site locations are determined by our Exploration staff, including geologists, reservoir engineers, and land and legal representatives.

They review all geological and geophysical data and off-set well information to determine each potential drill site.

Our Drilling Supervisor examines potential drill sites to ensure they are suitable for drilling and equipment, then creates a construction plan considering the geological and geophysical parameters. A licensed surveyor performs the land survey in compliance with regional or state permitting regulations. The Drilling Supervisor ensures site construction conforms to state regulations.

Drilling Process

Our Drilling Supervisor works closely with our drilling contractor to schedule equipment arrival. Once the rig is on-site, drilling runs 24/7 until completion. Drilling may be completed in 10 days, but if problems arise, it can take up to a month or more.

Completing these operations promptly without compromising safety is in everyone’s best interest. The rig moves to the next site upon completion.

HNA Drilling Dynamics is a proprietary, physics-based drilling optimization approach developed by HNA engineers to reduce inefficient rig energy, improve drilling rates, and lower well costs in both conventional and unconventional operations.

Completion Process

A service rig prepares the well for oil and/or natural gas production, ideally within 3 days, performed during daylight hours. If problems occur, it may take longer. This stage determines if the well can produce oil and gas in commercial quantities.

Initializing Production

Once completed, our Supervisor works with various Departments to determine the location of production facilities. Construction includes pipelines, production units, tanks, and meters, and possibly electric and/or telephone lines. Oil and water produced from the well are stored in these tanks, and gas is transported through pipelines to the domestic market.

Reclamation

Whether the effort results in a producing well or not, the drill site will be reclaimed according to regulations established by the Myanmar Oil and Gas Enterprise. The reclamation process can vary based on weather conditions and work schedules.

HNA Myanmar Oil & Gas Ltd.

Sustainable & Affordable Energy for A Better tomorrow

Mahar Nawarat Condo

+95 09777 005 219

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