World’s first fully automated land rig drills first well for Exxon

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Nabors Industries Ltd. (NYSE: NBR), a leading provider of advanced technology for the global energy industry has announced its PACE®-R801 – the world’s first fully automated land drilling rig – has reached total depth on its first well, a horizontal well for ExxonMobil in the Permian Basin.

Combining Nabors proprietary Smart Suite of automated drilling software with Canrig® robotics on the PACE®-R801 creates an unmanned rig floor that removes crews from red zone areas and delivers consistent, predictable drilling performance.

Automation, Robotics and Digitalization to Drive Next Wave of Performance Gains

Similar to concept vehicles in the automobile industry, this particular configuration of PACE®-R801 is built to showcase Nabors technology and push the boundaries of industry performance and possibilities. The featured automation, robotics and digitalization technologies are available and operational across the Nabors fleet, and those of third parties globally.

Insights gained from PACE®-R801 have been and will continue to be used to innovate and advance the next generation of Nabors technologies which focus on safety, efficiency, and the environment. For example, recently deployed technology for Nabors SmartDRILL™ and SmartSLIDE™ drilling automation software was developed through the PACE®-R801 initiative.

Utilization of the full suite of Nabors drilling automation software – which includes SmartDRILL™ and SmartSLIDE™ – reduced drilling days for operators by four in the Permian and Williston Basins and has shown promise to reduce drilling emissions.

Crew Duties Change and Are Removed from Red Zone Areas

Crew size on the PACE®-R801 is similar to other Nabors rigs but the duties change. One driller is required to supervise the operations of the rig while others continue to perform essential tasks, such as service, maintenance, inspections and rig moves. Importantly, no longer are crews in red zone areas.

The advanced rig and technologies provide reskilling opportunities for Nabors employees and the broader industry workforce.

Partnering with ExxonMobil

XTO Energy, a subsidiary of ExxonMobil, contracted PACE®-R801 to drill three horizontal wells on a test pad in Midland County, Texas, as part of its own R&D efforts and commitment to safe, efficient and responsible operations.

This first well was drilled to a total measured depth of 19,917 feet. Consistent with the practices of drillers and operators on test pads, Nabors and ExxonMobil do not plan to publish performance data and results.

Jason Gahr, Operations Manager for Unconventional Drilling at ExxonMobil, said: “ExxonMobil’s collaboration with Nabors in deploying this automated rig in Midland demonstrates the ability to optimize drilling using the combined power of robotics, automation, computing, and data. This is a great example of enhancing the safety, efficiency and environmental performance of our operations through innovative technologies”.

Management Comments

Anthony Petrello, Chairman, President and CEO of Nabors, said: “There’s nothing else in the world like the PACE-R801 concept rig. Its combination of advanced automation, digitalization and robotics represents a trifecta solution for an industry pursuing the highest levels of safety, efficiency and environmental performance in order to attain ESG goals. Thank you to all our employees, partners and stakeholders that helped make this a reality.

“Successfully drilling with the world’s first fully automated land drilling rig marks the culmination of a five-year engineering journey for Nabors. The experience and insights gained from this concept rig will be used to forge the next generation of Nabors technology and to continuously improve the digital, automation and robotics solutions we already have in the field.”

Travis Purvis, Senior Vice President, Global Drilling, said: “Nabors is known as a technology leader and the PACE-R801 is an outcome of our commitment to innovating the future of energy. We couldn’t have asked for a better partner than ExxonMobil for this history making milestone. We share the same vision for safety, efficiency, sustainability, technology and innovation and want to thank ExxonMobil for their continued partnership.”

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