Stress Analysis - Central AlbertaTertiary, Cretaceous, Jurassic and Triassic Reservoirs

100 km

N

Limit of Cordilleran Deform

ation

0

Digital Frac Pressure DataOther Frac DataAll Data

T. 80

T. 25

CanadianDiscoveryLtd.

AJointVenture,Multi-ClientStudywithMarketed by

The Hunt for Permeability: Stress•Tectonics•Hydrodynamics•Petrophysics

16

15

17

16.4

16.2

18

15.8

15.6

15.4

15.2

16.6

14.8

16.8

17.217.417.6

17.818.218.4 18.6

18.8

14.6

19.219.4

19.820

14.4

1414.2

20.220.4

21 20.6

21.2 21.4

14.8

15.6

15

14

14.6

16.8

15.4

14.2

15.8

14.4

17.2

14.6

17.6

20

16

17.8

17.6

14

16.6

16.8

14.417

14.8

18

17.4

17.2

16.2

14

15.2

14.8

17 16.6

17.4

16.8

14.614.6

14.4

Erosional Surface

Land Surface

Upper Belly River

Cardium

Jura

ssic

Viking

Lower Belly River

Middle Belly River

Lower EdmontonUpper Edmonton

Lower Colorado

Lower Mannville

Upper MannvilleUpper Colorado

16

15

17

16.4

16.2

18

15.8

15.6

15.4

15.2

16.6

14.8

16.8

17.217.417.6

17.818.218.4 18.6

18.8

14.6

19.219.4

19.820

14.4

1414.2

20.220.4

21 20.6

21.2 21.4

14.8

15.6

15

14

14.6

16.8

15.4

14.2

15.8

14.4

17.2

14.6

17.6

20

16

17.8

17.6

14

16.6

16.8

14.417

14.8

18

17.4

17.2

16.2

14.4

15.2

14.8

17 16.6

17.4

16.8

14.614.6

14.4

Erosional Surface

W

E

Land Surface

Sea Level

21

20

19

18

17

16

15

14

Stress Gradient (kPa/m)

Upper Belly River

Cardium

Jura

ssic

Viking

Lower Belly River

Middle Belly River

Lower EdmontonUpper Edmonton

Lower Colorado

Lower Mannville

Upper MannvilleUpper Colorado

West-east cross-section illustrating the relationship between post-Laramide erosion, current day land surface and measured minimum principal horizontal stress gradients. Note the lower stress state in the Deep Basin as well as the lack of Laramide induced compressive stress in the west.

Stress Analysis - Central Alberta

Introduction

CanadianDiscoveryLtd.ispleasedtopresentthisintriguing,joint-venture geotechnical study, conducted by Rakhit Petroleum Consulting and BJ Services. The study has compiled the largest frac pressure database in the world. This database has been used to estimate the minimum principal horizontal stress from

instantaneous fracture closure pressure data. This field measured data is then compared to passive boundary

stress conditions calculated through the modification of the Biot equation by adding terms for temperature,

pressure, fluid phase/density and overburden removal. Further integration of potential field

data, geothermal gradient mapping, basement tectonics, paleogeography and digital

elevation models has created a robust study with applications for

geoscientists and engineers.

Why Study Stress?

Unconventional gas trapped in microdarcy sands, organic rich shales and coalbeds represents a potential resource well in excessofalltheWesternCanadaSedimentaryBasin’s(WCSB)conventional gas. Exploration for this resource is best described as a hunt for permeability, where economic exploitation relies heavily on the design and execution of well completion and stimulation. So how does one improve the chances of finding permeability, and develop more successful frac designs?

The relationship between stress, diagenesis and permeability has been well established in the literature. Our premise for conducting this study is that:

a) areas of lowest minimum principal horizontal stress are less likely to suffer diagenesis and more likely to maintain open fractures, and

b) areas of highest differential stress are most likely to have induced fracture development.

The correlations developed by this study between current day stress, areas of pervasive gas saturation, tectonics and associatedpost-Laramideerosionprovideuniquetools

for highgrading areas for unconventional gas exploitation.

Stress Analysis study area map showing BJ and client frac data distribution.

Stress Analysis study area map showing petrophysical wells.

One of over 700 interpreted well logs including sand/shale, pore pressure, Sv, Shpb, ESR and compaction curves.

Tertiary, Cretaceous, Jurassic and Triassic Reservoirs

The Study

The main components of the study include:• Minimum principal horizontal stress (Sh) and stress gradient maps for 15 geological units from the Triassic to the Tertiary• Calculatedpassiveboundarystress(Sv, Shpb) and effective stress ratio (ESR) maps for 15 geological units• Overburdenremovalestimationfromsandstonecompaction curves• Investigationofthegeologicalcontrolsthatmaycause variances in stress state such as pore pressure, temperature, basement tectonics, reef trends and subcrop edges

Data

1. BJ Services instantaneous fracture closure pressure data (15,098 tests)2. Highgradedleak-offtestdata(3,152tests)3. Clientdonatedfracpressuredata(395tests)4. Petrophysical control well data with compaction curves, pressure profiles, Sv, Shpb, and ESR calculations

Digital well data provided in Microsoft Excel format.

Crowsnest Volc.

Bla

irmor

e G

roup

Spr

ay R

iver

Gro

up

Sulphur Mountain

Fern

ieG

roup

Whitehorse

Nordegg

Poker Chip ShaleRock CreekHighwood Shale

Grey BedsGreen Beds

Passage Beds

Elli

sG

roup

Koo

tena

yG

roup

Morrissey

Mist Mountain

Elk

Man

nvill

e G

roup

CadominGladstone

Calcareous Mbr

HomeBea

ver M

ines Beaver Mines

Mill Creek

Jumping Pound

Cardium

Chungo

Bla

ckst

one

Wap

iabi

Alb

erta

Gro

upB

raze

au

Belly River

Bearpaw

St. Mary River

Willow Creek

Porcupine Hills Paskapoo Porcupine Hills

Willow CreekSt. Mary RiverBlood ReserveBlood Reserve

BellyRiver

BellyRiver

Bow Island

Fish Scales

2nd WhiteSpeckled

Sandstone

Cardium

Col

orad

o G

roup

Col

orad

o G

roup

Laurentide andCordilleran Drift

Sawtooth

Rierdon

Swift

DetritalTaber CutbankSunburst

OstracodGlauconitic

Upper Mannville

Cypress Hills

Ravenscrag

FrenchmanBattleWhitemudEast End

Bearpaw

OldmanForemost

Basal Colorado

Barons

2nd White Speckled Shale 2nd White Speckled Shale

ColoradoShale

Medicine Hat1st White Speckled Shale 1st White Speckled Shale

Milk RiverPakowki

Paskapoo

ScollardBattleWhitemud

Edm

onto

nG

roup

Horseshoe CanyonBearpaw

VictoriaBrosseau

Lea Park

ColoradoShaleCardium

Fish Scale Zone

VikingJoli Fou Basal Colorado

Upp

er

Upper Mannville

OstracodGlauconitic

Clearwater

Ellerslie (Basal Quartz)Detrital

Fern

ie G

roup

Grey Beds

Rock Creek

Poker Chip Shale

Nordegg

Laurentide Drift Laurentide Drift

Sch

oole

rC

reek Baldonnel Boundary Lake

Charlie Lake

Halfway

Doig

Montney

SouthernPlains

AlbertaSouth Central Mountains

and Foothills Central PlainsAge

Ribstone

Lowe

rMan

nvill

e G

roup

U

pper

Lowe

r

Upp

erLo

wer

Cre

tace

ous

Terti

ary

Tria

ssic

Jura

ssic

Middle Edmonton

Lower Edmonton

Middle Belly RiverUpper Belly River

Lower Belly RiverUpper Colorado

Lower ColoradoCardium

Doe Creek/Dunvegan

Viking/Paddy/Cadotte

Upper Mannville

Lower Mannville

Jurassic

Upper Triassic

Lower Triassic

Map Unit

Stratigraphic chart showing the 15 map units used for the study.

www.canadiandiscovery.comSACA-V04-2012.03.08

Contact Cheryl Wright300, 706 – 7 Avenue SW, Calgary AB, T2P 0Z1 T 403.269.3644 E cwright@canadiandiscovery.com

CanadianDiscoveryLtd.

Stress Analysis - Central Alberta

Deliverables

This comprehensive study includes over 150 maps, provided in both PMF (ArcReader) and PDF (Adobe Acrobat). ArcGIS and ESRI Shape files are also available, allowing full integration with G&G project workflow.

For each of 15 map units:• VerticalPrincipalStress(Sv) Distribution Map• Calculated Horizontal Passive Boundary Stress (Shpb) Map • CalculatedPorePressure(Pp) Map • CalculatedEffectiveStressRatio(ESR)Map• Minimum Principal Horizontal Stress (Sh) Distribution Map • Minimum Principal Stress Gradient Map• StructureContourMap(RPCLpicks)• MinimumPrincipalStressDistributionMap(fracdataby quality code)• IsothermMap• Correlation of Isotherm and Minimum Principal Stress Map

One-of maps:• StressOrientationMap• FractureDataDistributionMap-Over700testswillbe tied to interpreted well logs via PMF interface• WellDataDistributionMap• GeothermalGradientMap• Basement Tectonic Domain Map from Potential Field Data• GravityField(MagneticIntensity)Map(2)• Post-LaramideErosionMap,CalculatedfromCompaction Curves• Erosion Estimates from Coal Reflectance (Moisture Content) - for Issler, Bustin, Nurkowski & Study (4)• StructuralTrendsMapfromRemoteSensingData• PublishedMinimumPrincipalStressGradientMap

In addition to the maps, an in-depth illustrated technical report is provided in hard-copy and PDF format. A web-based interface ensures ease of navigation across the study.

Report to include:• Introduction,Theory,Methodology,DiscussionbyMap Unit, Conclusions and Recommendations• SupportingGraphs(stressversusdepthplots,histograms, regressions, sensitivity tests, etc.)• TechnicalIllustrations• Data