This provision is for an Agreement where there is the expectation that one or more horizontal wells may be drilled within the Contract Area. This section addresses the drilling of Horizontal Wells and that they shall remain the sole property and information of the Operator
Oklahoma Proprietary Technology Horizontalel— - Restriction on Disclosure: Oklahoma's oil and gas industry has been revolutionized by proprietary technology, specifically in the realm of horizontal well drilling. Horizontal well technology allows for the efficient extraction of oil and gas reserves located in unconventional formations, enhancing productivity and profitability. This advanced drilling technique involves the deviation of a well bore at a certain depth, creating a horizontal section that intersects with the natural fractures within the reservoir. The proprietary technology used in Oklahoma's horizontal well drilling is a closely guarded secret by many companies operating in the region. Due to the competitive nature of the industry, strict restrictions on disclosure have been put in place to protect the innovative techniques, software algorithms, and equipment designs employed in the extraction process. These restrictions ensure that the intellectual property remains confidential, granting the respective companies a competitive advantage in the market. There are different types of proprietary technology and techniques used in Oklahoma's horizontal well drilling, each with its unique features and methodologies. Here are a few notable ones: 1. Hydraulic Fracturing (Fracking): Hydraulic fracturing is a crucial component of horizontal well technology, enabling the extraction of oil and gas from low-permeability formations. This technique involves injecting a high-pressure fluid mixture, usually consisting of water, prop pants (e.g., sand), and chemicals, into the well bore. The fluid fractures the rock, creating pathways for hydrocarbons to flow more freely. 2. Seismic Imaging: Seismic imaging technology plays a vital role in accurately mapping subsurface geological formations. By using sound waves and their reflections, seismic imaging generates detailed images of the rock layers, helping identify potential reservoirs and optimize well placement. 3. Drilling Materials and Equipment: Proprietary drilling materials and equipment are essential for efficient horizontal well drilling in Oklahoma. These technological advancements include specialized drill bits, drilling mud systems, and automated drilling systems, allowing companies to drill longer horizontal sections faster and with minimal downtime. 4. Enhanced Oil Recovery (FOR): In some cases, proprietary technology in Oklahoma's horizontal well drilling focuses on enhanced oil recovery techniques. These methods, such as the injection of CO2 or steam into the reservoir, aim to maximize oil recovery by improving the fluid flow within the rock formations. The restrictive nature surrounding the disclosure of proprietary technology in Oklahoma's horizontal well drilling serves to protect the substantial investments made by oil and gas companies in research and development. By safeguarding these advances, Oklahoma's oil and gas industry can continue to innovate and thrive in an increasingly competitive global energy market.
