The Newsletter of The American Association of Drilling Engineers Dallas/Fort Worth Chapter 1 ST VP..DAN LOCKWOOD

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The Dallas/Fort Worth Driller Volume 19 Issue 1 The Newsletter of The American Association of Drilling Engineers Dallas/Fort Worth Chapter January 2009 The President Speaks By Jerry Gilley The AADE DFW Chapter awarded scholarships in the amount of $50,000 in December to 26 students at 10 universities. The scholarship fund is supported by the Sporting Clay and Golf Tournament annual events. The AADE DFW Christmas social was December 6 at the Mandalay Hotel and was attended by 268 people. I was unable to attend due to the flu, but understand the social was a very successful and enjoyable evening. Thanks to Steve Davis and Jay Degen for planning and managing the event. The AADE National Technical Conference and Exhibition is scheduled March 31 April 2, 2009, in New Orleans. A conference bulletin is in this news letter. At the November meeting, Louis Romo with New Tech Engineering, presented a program on Advancement in Drilling Arkoma Basin. These abrasive, high compressive strength, high bed dip formations were successfully drilled by monitoring real time mechanical specific energy, using powered rotary steerable systems, and redesigned PDC bits to reduce down hole vibration. Impregnated bits run on turbines have recently been utilized to obtain 3000 laterals in one run. Our next meeting is the Operator s Forum on January 21 in Dallas. John Bell with EnCana and Doug Park with Cimarex will make presentations. Gary Allen (Smith Services) and John Richards (EnCana) are working to finalize the programs for 2009. A letter requesting volunteers for program presentations is included in this news letter. Please contact Gary or John if you are willing to make a presentation. January begins a new membership year. A membership application form is in the newsletter. You can fill it out and bring to the next meeting or mail in with the $20.00 payment to the address on the form. We encourage you to invite a business associate to attend the January 21 meeting. Reservation instructions are in this news letter. Reservations instructions on page 2 2008-2009 DFW BOARD OF DIRECTORS PRESIDENT JERRY GILLEY..214-978-8728 1 ST VP..DAN LOCKWOOD. 817-885-8548 2 ND VP.JAY DEGEN.972-437-6792 SECRETARY..ALAN McNAUGHTON...214-363-8000 TREASURER.J.P. HERZOG.972-490-4300 NAT L REP HOSS SMITH 972-239-3666 STEERING COMMITTEE BOB MILLER (Chairman)...972-739-7759 JOHN RICHARDS 214-987-7141 STEVE LIMKE.214-580-5211 STEVE DAVIS..972-418-3246 GARY ALLEN..214-987-1800 MATT SCOTT..972-418-3240 TERRY SMITH.........972-418-3206 JIM VERNOR 972-450-4508 BILL MOORE 972-772-3377 MARK PRESTRIDGE (EX-OFFICIO).817-344-1126 MEMBERSHIP JUNE ALLEN.817-366-4427 NEWSLETTER MATT SCOTT....972-418-3240 http://www.aade.org/ 99sponso.wpd

Making Reservations New Reservations Policy We are trying to phase out the call in system, and go to an email system. For reservations, email your reservation to: aadereservations@newtecheng.com. When making your reservation by email, give the name/s and company of each attendee. Often times the voice messages are hard to understand. Going digital should help eliminate discrepancies in the spelling of names, and generally aid us in meeting preparation and record keeping. To use the call in number, dial 800-221-4826. When you get the main recording, push *, then 3778, then # leave your name and company after the AADE announcement. IADC Rotary Rig Report January 21 February 18 Upcoming Meetings & Events Operator s Forum John Bell EnCana; Doug Park - Cimarex Contractor/Service Company Forum MEMBERSHIP RENEWAL For 2009 Renewal time is here! Now is the time to renew your AADE Chapter Membership for 2009. Feel free to renew during the monthly meeting or by completing the form included in this newsletter and mailing it in with your $20.00 to the address on the registration form. Please contact June Allen if you have any questions concerning your membership. June can be reached at 817-366-4427 or by e-mail at: mjunebugg@tx.rr.com. Rotary Rigs Actually Making Hole As reported to IADC by Baker Hughes For Week Ending 09 Jan 2009 Country This Week Week Month Year USA 1589 1623 1790 1744 Canada 360 230 390 515 International Rotary Rigs Running Monthly Avg. for December 2008 Region Current Month Change From Previous Month Europe 101-6 Middle East 279-1 Africa 67 8 Latin America 389-8 Asia Pacific 242-11 We need presenters/speakers for upcoming 2009 meetings. See the attached letter in this Newsletter. January Meeting Date: Jan. 21, 2009 Speaker: John Bell - EnCana Doug Park - Cimarex Time: 4:30PM (4:00PM registration) Topic: Operator s Forum Social Hour/Dinner to follow Place: Las Colinas Country Club Cost: $30 with reservations 4400 N. O Connor Blvd. Irving, TX $35 without reservations 99sponso.wpd

AMERICAN ASSOCIATION OF DRILLING ENGINEERS MEMBERSHIP APPLICATION DATE: Chapter Affiliation (please check one of the following) : Dallas/ New West Permian Mid- Anchorage Fort Worth Houston Lafayette Orleans Coast Denver Basin Continent Alaska $20.00 $20.00 $15.00 $15.00 $15.00 $25.00 $15.00 $25.00 $15.00 Name First Name MI Company Title Business Phone Address Fax City St. Zip Code Business Type: (Please circle one) (10) Oil and Gas Producer (20) Engineering/Operations Consulting (30) Environmental (40) Equipment/Service Supply Company (50) Consumable Product/Service Supply Company (60) Drilling Contractor (70) Governmental or Regulatory Agency (80) Other Job Function: (Please circle one) (A) Management (B) Engineering (C) Operations (D) Technical Support/Service (E) Research and Development (F) Field Service/Technician (G) Training (H) Purchasing (I) Marketing/Sales (J) Other E-Mail Address AADE FORM No. 020 (8/94) Rev. 10/05/2006 NEW ORLEANS: LAFAYETTE: HOUSTON: DALLAS/FT. WORTH: WEST COAST: DENVER: PO Box 51929 PO Box 80023 POBox 940069 PERMIAN BASIN: POBox 51038 MID-CONTINENT: ALASKA: PO Box 214322 PO Box 9953 Attn: Pat Lawson - c/o M-I/Swaco - 410 17th St. #1000 POBox 720992 POBox 93538 Member No. Mail Form and Payment direct to appropriate Chapter(s). CHAPTERS: New Orleans LA 70151-1929 Lafayette LA 70598-0023 Houston TX 77094-7069 Dallas TX 75221-4322 Bakersfield CA 93389 Denver CO 80202 Midland TX - 79710 Oklahoma City OK 73172-0992 Anchorage AK 99509-3538 AADE NATIONAL HEADQUARTERS: (Do not mail Dues Payment to this address) P.O. Box 940069, Houston, TX 77094 281-293-9800 Fax: 281-293-9800 bfreeman@smith.com

12/17/2008 The Board of Directors is currently planning the calendar for the upcoming year and we need your help. As in the past, we will not have meetings in four of the months next year - March (Spring Break), August (Sporting Clays Tournament), October (Golf Tournament) and December (Annual Christmas Party). The three events are typically fully booked with waiting lists. The remaining eight months have been more challenging. This is where your help is needed. The meeting in January will be the Operator s Forum and will be made up of 3 or 4 of the most active operators within the Dallas Fort Worth area presenting a brief overview of their activity for the upcoming year. If you are an operator, please consider this opportunity. More information on the participants and agenda will be provided later. Representatives from different Contractors and Service Co s within our Industry will be making presentations at the Drilling Contractors Forum in February. As you can see, there are several opportunities for one of you to help. It would be nice to see the operators well represented in 2009. What successes excite you? What failures could you share that might help one of us avoid the same pitfalls? The sharing of information and experiences is the real benefit of AADE in my opinion. If you can help, send me or Gary Allen an email. Keep in mind that business and personal obligations can change our plans on short notice. It may be necessary to reschedule and ask another volunteer to fill in on short notice. If you would be willing step in at last minute change, let me know. Thank you for your consideration. Regards, John Richards Encana Oil and Gas Gary Allen Smith Services (gallen@smith.com)

March 31 to April 2, 2009 - Hilton Riverside Hotel - New Orleans Technical sessions will occur over a three-day period, intermixed with plenary sessions and keynote speakers. Session topics include (but are not limited to): Leadership in Today s Demographic Environment What s Hot: US Play Types & Challenges Economics / Futures Pricing of the Oil & Gas Industry New Technology Applications, Case Studies Proposed Schedule: Monday, March 30th Short Courses (Continuing Edu. Credits), 12:00 4:00 pm Tuesday, March 31st Technical Sessions & Exhibition, 9:30 am 5:00 pm Wednesday, April 1st Technical Sessions & Exhibition, 8:00 am 5:00 pm Thursday, April 2nd Technical Sessions & Exhibition, 8:00 am 11:00 am Conference Award Ceremony, 11:00 am 12:00 pm AADE Fin, Feather, Fur Food Festival, 12:00 2:00 pm (Sponsored by New Orleans AADE Chapter) For More Information, Contact: Nicole Baird, 2009 Conference Chairperson. Nicole.baird@shell.com Lisa Grant, Technical Content. Lisa.Grant@shell.com Paul Vining, Exhibitors / Sponsorship. paul.vining@hudsonservicesinc.com Benny Manuel, Student Member Liaison. bmanuel@offshorees.com