ASSETS of SUNSTONE TECHNOLOGY, LLC

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SunStone
SUMMARY OF INTELLECTUAL PROPERTY
The mission of SunStone Technologies is to develop tools and procedures that are
required to employ “non-damaging reservoir drilling” as a completion technology for oil
and gas wells. The effort within the company is primarily focused on new technology to
improve the process of using multilateral underbalanced short radius horizontal drilling
as a completion method in conventional and unconventional reservoirs. The following is
a list and a brief description of the intellectual property, trademarks and hardware.
U.S. Patent
5,950,744 • METHOD AND APPARATUS FOR ALIGNING DRILL PIPE AND
TUBING • 1999
» This patent describes a new way to build an imaginary scribe line in
drill pipe to orient downhole tools. The splined connection first plugs together in only
one orientation and is held together with an independent coupling. When manufactured
a reference point on the box (splined) end is aligned with the same reference point on
the pin (slotted) end of the connection thus creating an imaginary straight line. When a
string of pipe is run into a well the reference point on the connection can be viewed
from the rig floor after the string has been reciprocated to remove any torque allowing
the driller to determine which direction the bottomhole drilling assembly is pointed.
This simple manual technique eliminates the need to run a gyro to orient the BHA or
whipstock. A 3½” connection has been successfully tested for torque, tensile, pressure
and fatigue. Other advantages to this connection include being able to rotate left and
replacement of the coupling when it begins to show wear.
U.S. PATENT APPLICATION
12/695,569 ● TAPERED SPLINE CONNECTION FOR DRILL
PIPE, CASING, AND TUBING ● 2010
»
This patent claims a new tool joint that has
numerous advantages over conventional pipe connections. It can be described as a
splined union connection. Like patent the above patent it uses an independent coupling
to secure the two tapered splined ends after they have been plugged together. Torque
is now transmitted through splines and not through threads making the connection 30%
stronger than the pipe body itself. The splines also transmit the same torque when
rotating to the left. One spline can of a different size to create a drill string that can
orient downhole tools as described in the above patent. The coupling can also be a
centralizer that can be replaced thus extending the life of the drill pipe. It is also safer
SunStone
to run because only the coupling is turned during make-up, not the entire stand of drill
pipe.
U.S. PATENT
5,941,321 • METHOD AND APPARATUS FOR DRILLING A PLANAR
CURVED BOREHOLE • 1999
»
This patent describes a new “point the bit” low cost
short radius (75°/ 100’) rotary steerable bottom hole drilling assembly for both jointed
pipe and coiled tubing. It is able to steer a roller cone, PDC or hammer bit from vertical
to horizontal. The BHA is able to drill in a single plane without any steering corrections
because tool face is independent from reactive torque.
U.S. PATENT 7,373,995 • METHOD AND APPARATUS FOR DRILLING CURVED
BOEHOLES • 2008
»
This application provides for several improvements to the short
radius rotary steerable patent 5,941,321 which is described above. The primary change
involves a different design for the internal sliding tube. Instead of using a reduced
internal dimension that allows fluid to push the tube to the disengagement position,
instead a seal has been added to the outside dimension of the sliding tube making it a
piston that shifts from an increase in pressure. The benefit to the tool is an increased
internal dimension through the tube. Two bottom hole assemblies (BHA”s) have been
designed and manufactured by TIW Corporation and are ready for field testing.
U.S. PATENT
6,877,571 • DOWNHOLE DRILLING ASSEMBLY WITH INDEPENDENT JET
PUMP • 2005 » This patent describes a new technique to induce underbalanced drilling
conditions without using compressors and nitrogen membrane units. The method
dramatically lowers the cost of drilling underbalanced because the underbalanced
condition is created by using artificial lift technology to lower the hydrostatic weight in
a well using a jet pump to pump return fluid from a well while drilling. (see SPE paper #
91595) The jet pump can also be used as a dual gradient system to manipulate ECD in a
managed pressure drilling operation. A jet pump assembly and running gear has been
designed and is ready to be manufactured.
SunStone
U.S. PATENT APPLICATION
12/778,342 • EXTERNAL JET PUMP FOR DUAL
GRADIENT DRILLING • 2010 » This patent claims the use of a jet pump while drilling that
is mounted externally to a riser to manipulate equivalent circulating density (ECD). The
use of the jet pump in this application creates a dual gradient drilling system. Unlike the
patent described above it is not used to induce an underbalanced condition. It is employed
as a managed pressure drilling (MPD) technique to maintain slightly overbalanced
conditions.
U.S. PATENT 6,745,842 • CONCENTRIC CASING JACK • 2004
» This patent describes
a device that can raise and lower a string of casing such as a tie-back liner or concentric
string to actuate downhole tools such as a “sub-surface safety control” valve. The
ability to shut-in a live well downhole during underbalanced drilling operations is
important for safety reasons and will lower the cost of underbalanced drilling. The
casing jack and sub-surface control valve together eliminate snubbing which is a costly
and dangerous procedure to remove drill pipe from a flowing well.
U.S. PATENT
6,666,274 • TUBING CONTAINING ELECTRICAL WIRING INSERT • 2003
» This patent describes a means to install wires for data and/or power on the inside of
pipe. This has lead to three individual products such Smart Drillpipe with a single wire
for data transmission, Power Smart Drillpipe which contains power wires to drill with an
electric motor and a data wire and Power Production Tubing that contains power wires
to run an ESP without an external cable. The connection can be plugged together in
multiple orientations thereby allowing more than one wire to be installed. There is no
signal loss or power loss across the connection since the wires are plugged together.
U.S. PATENT
7,226,090 • ROD AND TUBING JOINT OF MULTIPLE ORIENTATIONS
CONTAINING ELECTRICAL WIRING • 2007
»
This patent describes an alternate way to
install wires in tubing and drill pipe using the splined differential connection that is
claimed in patent 6,666,274. It also claims a splined differential connection for sucker
rods making the connection 30% stronger. This is advantageous for rotating progressive
cavity pumps by allowing them to work at greater depths.
SunStone
U.S. PATENT 6,769,498 • METHOD AND APPARATUS FOR INDUCING UNDERBALANCED
DRILLING CONDITIONS USING AN INJECTION TOOL ATTACHED TO A CONCENTRIC
STRING OF CASING • 2004
» This patent describes an injection tool that is attached to
concentric string of casing that is commonly used in underbalanced drilling. The tool
allows nitrogen to pass from the outer (injection) annulus to the inner (return) annulus.
The compressed nitrogen travels through the tool and exits at an angle thereby inducing
a vortex with the return fluids. The swirling action reduces friction and improves hole
cleaning by organizing multiphase fluids thereby reducing compression costs. Two
vortex generators have been built and are ready for field testing.
U.S. PATENT 7,380,590 • ROTATING PRESSURE CONTROL HEAD • 2008
»
This
patent describes a new design for a rotating blowout preventer that is expected to
achieve a working pressure rating of 5000 psi. It is also half the height and cost much
less to manufacture compared to the other rotating pressure control devices. It should
become the rotating head of choice for “managed pressure drilling” (MPD) applications
because of the increased safety factor due to its higher pressure rating for the same
rental day rate.
U.S. PATENT
• 2010
7,743,823 • FORCE BALANCED ROTATING PRESSURE CONTROL DEVICE
» This divisional patent is an improved version of the above described rotating
pressure control device. This new design uses external hydraulic pressure that is applied
to the top section of the RCD to reduce the pressure differential across the element and
bearings. Pressure balancing the bearings will reduce heat and eliminate the need for a
separate hydraulic cooling system. Hydraulic pressure can be acquired from the BOP
accumulator.
U.S. PATENT 7,537,062 • FLAPPER VALVE AND ACTUATOR • 2006
»
This patent
describes a new sub surface safety control valve that is actuated with the earlier
described “casing jack”. Using the casing jack to raise and lower a concentric string or
tie-back liner makes the opening and closing of the valve “worm proof”. The unique
design of the flapper also allows for some differential pressure to exist across the
flapper while opening. This feature is important because other sub surface safety valves
cannot open with any differential pressure across the flapper.
SunStone
U.S. PATENT 7,468,173 • METHOD FOR PRODUCING NITROGEN TO USE IN
UNDERBALANCED DRILLING, SECONDARY RECOVERY PRODUCTION OPERATIONS AND
PIPELINE MAINTENANCE • 2008
» This patent claims a new way to generate 99.9999%
nitrogen on location that does not use membrane, pressure swing absorption or
cryogenic technology. It is a rather simple process that uses no new technology. The
process requires a source of hydrogen such as an electrolysis machine that splits the
water molecule into hydrogen and oxygen. The oxygen can be shipped to sales and the
hydrogen (≈10%) is mixed with air (≈90%) before it passes into a catalytic converter
where the hydrogen reacts with the oxygen in the air to form water leaving nitrogen as
the by-product. Its potentially biggest application is in field pressure maintenance and
coalbed methane EGR projects because the nitrogen is generated on-site eliminating
the need for a pipeline. Another benefit of nitrogen is the gas is inert and does not
cause corrosion like carbon dioxide.
U.S. PATENT
7,137,945 • UNDERGROUND TREATMENT OF BIOWASTE • 2006 » This
patent describes how to properly drill a biowaste injection well and how to prepare the
biowaste for injection. Over the years there have been a number of patents issued
regarding the injection of biowaste into sub surface formations. None of the patents
addressed how to drill the injection well or how to prepare the waste for injection so
that the target formation will continue to accept the biowaste for many years to come.
This patent claims the use of underbalanced drilling techniques to protect the
formation from plugging and comminuting the waste material to a size that is smaller
than the pore throats or fracture apertures in the receiving formation.
U.S. TRADEMARK “RPCH” • ROTATING PRESSURE CONTROL HEAD • 2005
U.S. TRADEMARK “UBHD” • UNDER BALANCED HORIZONTAL DRILLING • 2005
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