Q5: (20 Points) An 8% inch hole will be drilled from the kickoff point of 4,000 feet to a TD of 10,000 feet. The well is to build inclination to 25 and maintain the inclination to TD. The build rate is 2/100 feet. For the land operation, the daily operating cost for the rig and other equipment is $290/hour. The daily operating cost on the offshore rig is $1,450/hour. The operating cost per hour for the steerable system (MWD, motor, etc.) is $325/hour on land and $400/hot offshore. The operating cost for drilling with a rotary system and single-shot surveys is $50/hour on land and $75/hour offshore. The cost of making a motor correction is the same as the steerable system. From offset well data, a steerable system will make it to TD with only one bit change (two trips). To drill with a rotary assembly will require three motor runs. The first motor run is used to build inclination, and the other two are correction runs (six trips). The correction rms will drill 500 feet, one starts at 7,500 ft and the other one starts at 9,000 ft. The rest of the section will be drilled with a rotary assembly The average penetration rate is 35 ft hr with both systems. Assume the bit costs will be the same at $20,000 well. The trip time is 1 hours per 1,000 feet. Determine the cost per foot to drill with both systems on land and offshore.