Drilling operations are very expensive. String of oil pipes cost $1 million or more. The problem is that the pipes can remain in good position for short period, because the oil wells screws them easily with turns and twist. These can damage and weaken the pipes. In the hole of the oil drill machine temperature is varied from 400 degree Farenheit to - 320 Farenheit and the pressure can be more than 20,000 pounds per inch square. If one piece of drill machine broke, it would be very expensive to repair it, because the entire string should be replaced.
The Merrick system design the drill string with the help of computer.The string consists of various size of drills and joints. The tags is important not only for tracking the status of pipes and drillers, but determine the geological position of the both equipments and record the hole angle of drillers.
Source: http://www.rfidjournal.com/article/view/4095/2
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