Gas Technology Institute (Field Demonstration of an Existing Microhole CTDrilling Rig, Kent Perry) This very successful project is complete. Twenty-three project wells were drilled in the shallow Niobrara Chalk play in Western Kansas and Eastern Colorado at an average cost 29% below comparable rotary costs. As the program progressed, wells were being drilled at a rate of one per day, faster than they could be permitted. In all, the rig drilled 220 wells, 300,000 feet of hole, in 2005. A number of obstacles were overcome to achieve acceptance of the well design of 4 ½-inches with 2 7/8-inch production casing.

Schlumberger (A Built-for-Purpose Coiled Tubing Rig, Bart Patton): This project has had a significant shift in direction. Due to a shortage of engineering and manufacturing resources and time constraints, the plan to engineer and construct the rig from the preliminary design was shelved and an existing rig, built by Foremost, was purchased from Pioneer Resources. The controls and injector will be updated to allow underbalanced drilling. The trailer will be examined and possibly modified to transport 6,000 ft. of 2 3/8-inch coil. There has been some industry interest in the rig availability, but no definitive plan has been set for the field testing.

Ultima Labs (Microhole Coiled Tubing Bottomhole Assemblies, Don Macune): The objective of this project is to develop the main instrumentation subassembly and instrumented bit subassembly more suited to shallower, lower pressure and temperature wells likely drilled as microholes, hence less expensive than today's 3 1/8-inch tools (which reside for the most part only in Alaska). The main instrument sub consists of two sections—probe-based directional sensors, batteries and mud pulser, and collar-based propagation resistivity. The near bit subassembly gathers information such as inclination, gamma ray, weight on bit, torque, pressure and shock, and transmits the data to the main instrument sub above the mud motor via a half-duplex wireless communications link. Two prototypes will be ready for field testing in the second quarter of 2007.

Western Well Tool (Microhole Downhole Drilling Tractor, Bruce Moore) (see Figure 3): The objective of this project is to produce a downsized version of the tractor Western provided to set the coiled tubing well intervention record of 30,000 feet at Sakalin Island. This will be the 5th generation of this technology. The prototype is 23 feet long with a gripper 3