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2003 Press Releases
FOR IMMEDIATE RELEASE: October 7, 2003

BAROID TECHNOLOGY PROVIDES HIGH-PERFORMANCE ALTERNATIVE TO SYNTHETIC-BASED FLUIDS

DENVER, Colorado and HOUSTON, Texas - The Baroid product service line of Halliburton Energy Services (HES) has developed a high-performance alternative to synthetic-based fluids with its new PerformaDril™ water-based fluid system. HES is a business unit of Halliburton (NYSE: HAL).

The PerformaDril water-based system was used to drill highly reactive smectite and mixed layer clays on a North Sea well in the Kristin field. Where zero discharge regulations apply to the use of synthetic-based fluids, as they do in this area, the excellent inhibition and drilling performance demonstrated by the system provide another option for achieving wellbore stability.

Using the PerformaDril system, a 1,360 meter (4,462 feet) interval was drilled in one bit run. The PerformaDril system helped eliminate bit balling, tight hole, slow penetration rates, and poor hole-cleaning conditions typically associated with the use of water-based drilling fluids in the area. Dilution rates were extremely low, running approximately two-thirds below the average rates observed on offset wells. Torque levels were approximately 50 percent lower than anticipated and no differential sticking or losses occurred while drilling. The PerformaDril system delivered excellent lubricity, comparing well with synthetic-based fluids. Cuttings integrity was excellent and drilled solids were removed from the system very efficiently by shakers equipped with a 200-mesh screen. Large volumes of the fluid could be re-used on subsequent wells, reducing both cost and environmental impact.

The PerformaDril system is one of several high performance water-based fluids developed by Halliburton to meet challenges faced in various areas of the world, including temperature issues, hard rock and abrasive formations, reactive clays and environmental concerns.

Halliburton Energy Services provides products, services, and integrated solutions for oil and gas exploration, development, and production. Capabilities range from initial evaluation of producing formations to drilling, completion, production enhancement, and well maintenance - for a single well or an entire field. With more than 300 service centers in over 100 countries, Halliburton possesses the global perspective that is increasingly important for energy exploration and production.

Halliburton, founded in 1919, is one of the world's largest providers of products and services to the petroleum and energy industries. The company serves its customers with a broad range of products and services through its Energy Services Group and Engineering and Construction Group business segments. The company's World Wide Web site can be accessed at www.halliburton.com .



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