NADET Institute, MIT E40-481, 77 Massachusetts Avenue, Cambridge, MA 02139

A -- ADVANCED DRILLING TECHNOLOGIES SOL 0001. DUE 040896. Contact Point, Dr. Carl R. Peterson, (617) 253-5782. The National Advanced Drilling and Excavation Technologies (NADET) Institute announces solicitation of prospectuses for advanced drilling technologies with primary interest in concepts relevant to geothermal drilling. NADET Institute is a research and development consortium supported by government and private funds that is administered by the Massachusetts Institute of Technology (MIT). Initial funding for NADET research has been provided by the Geothermal Energy Division of the U.S. Department of Energy. In order to exploit abundant geothermal energy resources, it will be necessary to reduce substantially geothermal well drilling costs. The ultimate goal of this advanced drilling program is to reduce all drilling and excavation costs by 50 percent or more. That very ambitious goal cannot be achieved in a short time or by a narrowly focused program. While this solicitation focuses on relevance to geothermal drilling, clearly, advances in this area will be of benefit to many other drilling activities. This solicitation is intended to be the opening round in a multifaceted and sustained effort that, with funding from a wide variety of sources, can indeed achieve its goal of reduced drilling and excavation costs. Present geothermal practices typically employ holes ranging in diameter from about 26 inches at the surface to 6 inches at depth, with depths from 5,000 to 10,000 feet. Hard rock (relative to oil-bearing formations) is typical, and fractured rock is often encountered. Bottom-hole temperatures typically range from 150 degrees C to 350 degrees C. Future operations may go to much greater depths and exploit higher temperatures, if enabling technologies can be developed. Although geothermal drilling now uses drilling technologies and equipment adapted from the oil and gas drilling industry, at least six factors distinguish geothermal drilling and contribute to its higher cost. They are: 1) harder rock or interbedded hard and soft rock, 2) higher temperatures, 3) more frequent lost circulation, 4) increased corrosion and erosion of components, 5) larger hole diameters, and 6) remote, inaccessible drill sites. Drilling cost reduction within the range typical of geothermal drilling conditions is a function of many variables in addition to the instantaneous rate of penetration as determined by the drilling element. Thus, responses may address any or all of the above listed factors, singly or in combination. In any case, however, proposed work must be viewed within the context of a complete drilling system. This solicitation seeks innovative, even revolutionary, approaches to the reduction of drilling costs. With limited initial funding and with the objective of identifying innovative approaches, a two-stage proposal response will be used. This announcement solicits brief, five-page (double-spaced, 12 pt. font) prospectuses consistent with the ultimate goal of drilling cost reduction. These prospectuses will be promptly evaluated by a review panel of technical experts, and a lesser number of full proposals will be invited in keeping with available funds and the development of an effective initial program. Approximately $1 million dollars is expected to be available for first year programs and, depending upon proposal quality, six to ten grants are anticipated. This announcement solicits prospectuses from individuals, universities, corporations, government, national, and private laboratories and other qualified entities. Prospectuses must be received at the NADET Institute by 5:00 pm EST, on Monday April 8. They will be promptly screened and invitations to submit full proposals will be issued to those projects that appear best suited to program goals. We will notify all submitters as to the status of their prospectus when the review process is complete. However, no review comments will be made available. Grants are expected to be awarded in July, 1996. Both short- and long-range projects may be proposed, but the availability of funding beyond the initial grant cannot be guaranteed at this time. Joint proposals and cost-shared projects are encouraged, but a single principal investigator should be identified for overall contractual responsibility. Each prospectus should include, within the five-page double-spaced limitation, the following material: 1) title and description of the proposed work, 2) a brief description of the total system within which the proposed concept will function, although it is not necessary to propose work on an entire drilling system, 3) an estimate of the project budget on an annual basis, including any cost sharing from other sources, 4) an indication of the potential cost/benefit of a successful concept, 4) the name, address, telephone, fax and e-mail of a contact person, and 5) very brief credentials of the proposed principal investigator and any other key personnel. In addition to the availability of funding, continuation of projects beyond the first year will depend upon first-year progress of each project. Reimbursement for cost overruns will not be available. First-year deliverables include a complete technical report and participation in an advanced drilling symposium scheduled for July, 1997. The report should include a thorough evaluation of the concept's potential, an outline of the remaining program and cost to bring it to commercial fruition, and an indication of additional parties, if any, interested in participating in commercial development. Information and descriptions contained in the prospectuses will remain confidential. For further information, please contact the NADET office by phone at (617) 253-5782, by email at nadet@mit.edu or by mail at the address below. Please be advised that only procedural questions can be answered by the NADET office. No additional technical information beyond this solicitation will be made available. To submit a prospectus, please send five copies to: (US Mail) The NADET Institute, MIT E40-481, 77 Massachusetts Avenue, Cambridge, MA 02139 (Overnight) The NADET Institute, MIT Energy Lab E40-481, 77 Massachusetts Avenue, Cambridge, MA 02139. Submittal by fax or e-mail is not allowed. (061)

Loren Data Corp. http://www.ld.com (SYN# 0001 19960304\A-0001.SOL)