Alcoa Aluminum Alloy Drill Pipe Helps Brunei Shell Petroleum Navigate Complex Offshore Drilling Well

August 8, 2012

SERIA, Brunei & NEW YORK–Alcoa (NYSE:AA) announced that its Alcoa
Oil & Gas
business has successfully deployed 1800 meters (5,905
feet) of Aluminum
Alloy Drill Pipe (AADP®)
in the Iron Duke Well C offshore Seria,
Brunei. Alcoa partnered with Brunei Shell Petroleum Co. Sdn. Bhd. (BSP),
the largest oil and gas producer in Brunei, and AMRTUR Corp., Alcoa’s
service partner, on the project.

The well is considered among the most complex and deviated in the BSP
system, with three “S” curves and a long horizontal section of
approximately 5,000 meters, or about 3 miles long. It was successfully
drilled to a total depth of 7,485 meters (4.6 miles) in about 60 meters
(197 feet) of water.

“The Alcoa Aluminum Alloy Drill Pipe, which is produced in 30-foot
(9.1-meter) aluminum tube sections and joined together using standard
steel connections, is about 40 percent lighter than all steel pipes and
has the potential to significantly reduce drill string hook load and
related drilling torque and drag,” said Jay Grissom, Alcoa Oil & Gas
Marketing Director.

Alcoa’s innovative and proprietary drill pipe starts with a tapered,
high strength, aluminum alloy tube. This tube is coupled with a steel
tool joint using a proprietary thermal connection technology that allows
steel tool joints to be attached to the aluminum pipe body. Alcoa
produces the aluminum tubes at its Lafayette, Indiana, facility and
assembles the finished drill pipe at its Oil & Gas facility in Houston,

“We are constantly challenged to push the drilling envelope further to
maximize recovery and minimize cost,” said Shayne Dustin, BSP’s Senior
Well Engineer. “Light alloy pipe was listed as a performance opportunity
to help us tackle some of the challenges we face with reduced cantilever
loading, high torque, high drag, high sideforce, and casing wear
concerns. Without a light alloy alternative, the furthest reaches of the
platform would require a modification to well design.”

Brunei Shell plans to use AADP® on additional wells in Brunei. Shell is
also planning a drilling project using AADP® in New Zealand.

AMRTUR led the staging, inspection, maintenance, and deployment of the
aluminum drill string. “The rapid deployment of the Alcoa Alloy Aluminum
Drill Pipe with BSP is an excellent example of the technology and
service advantage AMRTUR can bring to its clients. I look forward to
working with Alcoa and BSP to expand the use of the drill pipe in
Southeast Asia and the Pacific region,” said Lieutenant Colonel (ret.)
Mahmod “Max” Yakop, Managing Director of AMRTUR.

About Alcoa Oil & Gas

Alcoa Oil & Gas is a division of Alcoa, the world’s leading producer of
primary and fabricated aluminum, as well as the world’s largest miner of
bauxite and refiner of alumina. The company produces lightweight,
high-strength aluminum alloy drill pipe in 4-1/2”, 5”, 5-1/2”, 5-7/8”
and 6-5/8” diameters. In addition, Alcoa Oil & Gas manufactures subsea
riser components and assemblies, casing, core barrels and down hole
tubular products, conveying pipe, extruded tubing and shapes, and offers
large-scale closed-die forging capabilities.

About Alcoa

Alcoa is the world’s leading producer of primary and fabricated
aluminum, as well as the world’s largest miner of bauxite and refiner of
alumina. In addition to inventing the modern-day aluminum industry,
Alcoa innovation has been behind major milestones in the aerospace,
automotive, packaging, building and construction, commercial
transportation, consumer electronics and industrial markets over the
past 120 years. Among the solutions Alcoa markets are flat-rolled
products, hard alloy extrusions, and forgings, as well as Alcoa® wheels,
fastening systems, precision and investment castings, and building
systems in addition to its expertise in other light metals such as
titanium and nickel-based super alloys. Sustainability is an integral
part of Alcoa’s operating practices and the product design and
engineering it provides to customers. Alcoa has been a member of the Dow
Jones Sustainability Index for 10 consecutive years and approximately 75
percent of all of the aluminum ever produced since 1888 is still in
active use today. Alcoa employs approximately 61,000 people in 31
countries across the world. More information can be found at

About Brunei Shell Petroleum Co. Sdn. Bhd. (BSP)

BSP is a dynamic, world-class company and one of the largest energy
companies in Asia. The company has a long history in Brunei of more than
80 years and is at the leading edge of oil & gas technology. BSP places
safety and the environment at the heart of everything it does, and
actively invests in the people and community of Brunei.

About AMRTUR Corporation Sdn. Bhd.

AMRTUR Corporation Sdn. Bhd was founded in 1996,
incorporated on 2nd December 1998, and is fully owned by BRUNEI
BUMIPUTRA entrepreneurs. AMRTUR’s main objective is to provide
Integrated Service Solutions with the primary focus of nurturing
advanced technologies. This focus has led to the company’s invention of
the first Zone 1 splicer for the oil and gas industry. The company’s
success over the years has resulted from this orientation towards
advanced technology and its ability to provide a wide range of products
and services.