Katch Kan Holdings USA, Inc. v. Can-Ok Oil Field Services, Inc.

152 F. Supp. 3d 595, 2015 U.S. Dist. LEXIS 175648, 2015 WL 9920810
CourtDistrict Court, N.D. Texas
DecidedAugust 3, 2015
DocketCivil Action No. 3:14-cv-2172-M
StatusPublished

This text of 152 F. Supp. 3d 595 (Katch Kan Holdings USA, Inc. v. Can-Ok Oil Field Services, Inc.) is published on Counsel Stack Legal Research, covering District Court, N.D. Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Katch Kan Holdings USA, Inc. v. Can-Ok Oil Field Services, Inc., 152 F. Supp. 3d 595, 2015 U.S. Dist. LEXIS 175648, 2015 WL 9920810 (N.D. Tex. 2015).

Opinion

CLAIM CONSTRUCTION ORDER

.BARBARA M. G. LYNN, UNITED STATES DISTRICT JUDGE

On April 14, 2015, with the consent of the parties,, the Court held a telephonic hearing to determine the proper construction of the disputed claim terms in United States Patent No. 6,666,287 (“the. ’287 Patent”).1 Having reviewed the claims, specification, prosecution history, and submitted extrinsic evidence, and having considered the parties’ .arguments and the applicable law, the Court issues this Claim Construction Order.

I. BACKGROUND OF THE ’287 PATENT

The claims of the ’287 Patent are directed toward a “Method and Apparatus for Enclosing an Oil Drilling Rig” to protect equipment, workers, and the environment from drilling mud and other contaminants that spill during the drilling, process. Because the parties dispute whether the term “oil drilling rig” includes certain equipment commonly used in the drilling process, some preliminary information about the drilling process is useful.

The drilling process begins by drilling a surface hole to a predetermined depth of several hundred or thousand feet. Dkt. No. 27 at 2.2 Stabilizers, drill collars, and heavy-weight drill pipe, all’of which are collectively referred to as the “bottom hole assembly’ (“BHA”) weigh dowmthe drill bit. Id. at 2-3. The BHA is in turn attached to hollow “drill pipes,” which are 3.5 to 5.5 inches in diameter, and up to 30 feet long. Id. at 3. The sections of drill pipe are threaded together to form what is known as the' “drill string.”3 Id. New sections of drill string are regularly added at the rig floor4 as the rig drills’ ahead in the formation' and the drill string progresses further below the surface. Id.

Hoisting equipment, including a traveling block, a crown block atop a drilling derrick, a drilling line, and a drawworks are used to lower the drill pipe into the well. Id. A drawworks is a large winch that spools heavy cable to lift and lower the drill string and other tubular strings used in the drilling process. Id. The traveling block and crown block form a pulley system to assist in lifting the drill string, and the derrick and substructure provide further support. Id. The substructure is the raised platform or base upon which the derrick is mounted, and may provide space for the wellhead and well control equipment.5 Id.

After the, surface hole is completely drilled, the hole is1 lined with steel -pipe [599]*599that is cemented in place in the wellbore to prevent the wall of the hole from caving in.6 Id. at 4. Then, a wellhead7 is welded at the surface onto, the first string of easing.8 Id. The wellhead is a permanent part of the well, and is generally not considered part of the oil drilling rig. Id. After the surface casing is set and the wellhead is in place, the blowout preventer (“BOP”) is put on top of the wellhead.9 Id. The BOP controls otherwise-uncontrollable pressures in the bore hole, and the BOP closes if high-pressure gas or liquid blows the drilling fluid out of the well bore, or the well “kicks.” Id. Plaintiff Katch Kan argues that the BOP is a critical component of the oil drilling rig because surface blowouts waste resources,' damage the rig, and hurt or kill people. Id. Therefore, Katch Kan contends, a BOP is required to safely drill wells. Id. at 5. Can-Ok counters that a BOP is well control equipment, and not part of the “oil drilling rig” in the claims of the ’287 Patent.

“Drilling mud” is a heavy drilling fluid that helps to contain naturally occurring pressures encountered as the well bore advances; it cools and lubricates the drill bit; and it transports cuttings10 back to the drilling rig where the mud is processed and recirculated for further use. Id. The mud is circulated, through the drill pipe down to the wellbore and drill bit, where it is then circulated through the casing and annulus.11 Id. The portion of the drill pipe above the annulus is, in open air, and extends above the surface through the BOPs, which are m.ounted atop the wellhead, and through the .“flow nipple,”- which is mounted atop.the BOPs. Id. at .6. The flow nipple is a piece. of pipe mounted on the BOP with a side outlet that directs the mud returns to the mud conditioning equipment. Id. The parties also dispute whether the flow nipple is part of the “oil drilling rig” in the claims.of the ’287 Patent.

After each portion of the wellbore is drilled, the drilling stops and the hoisting equipment pulls the drill string back to the drilling rig, a process known as “tripping out.” Id. at .7. Tripping out can be a [600]*600messy process because the drilling mud circulates through the inside and outside of the drill pipe as it is removed,from the wellbore, causing mud to spill every time a connection is broken and a joint of drill pipe is removed. Id. at 7-8. The drilling mud spills onto .the rig floor'and drips down into the substructure area, covering the equipment below, including the BOP and flow nipple. Id. at 8.

The invention claimed in the ’287 Patent is directed toward a method and an apparatus'for enclosing an'oil drilling rig that protects the rig from drilling fluid and other contaminants that spill out during the tripping process. Id. at 8-9. The lost drilling mud creates environmental risks, remediation expenses, and personnel hazards, and it costs operators time and money to replace the lost drilling mud and clean the rig and surrounding area.- Id. at 9.

The invention claimed in the ’287 Patent discloses securing a base to the oil drilling rig with a substantially taut covering that is secured at one edge to the perimeter of the base, and at the other end, is suspended from a frame or cables under the rig floor. Id. at 10. Katch Kan’s commercial embodiment is called the Adjustable Containment Enclosure (“ACE”). Id.

The relevant, disputed claims in the ’287 Patent are provided below:

1. A method of enclosing an oil drilling rig, comprising the steps of:

providing a base and a flexible sheet-form covering having a first edge and second edge;
securing the base to the oil drilling rig and securing the first edge of the covering around a perimeter of the base; and securing the second edge of the covering to the drilling rig in spaced relation to the base, thereby maintaining the covering in a substantially taut condition forming a tubular enclosure.

2. The method as defined in claim 1, the second edge of the covering being secured to a substantially planar peripheral frame.

5. The method as defined in claim 1, the base including an oil containment basin.

6. A method of enclosing an oil drilling rig, comprising the steps of:

providing a base with- an oil containment basin, a substantially planar frame, and ‘a'flexible sheet-form covering having a first edge and second edge;
securing the base to the oil drilling rig and the first edge of the covering around a perimeter of the base;

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Medegen MMS, Inc. v. ICU Medical, Inc.
317 F. App'x 982 (Federal Circuit, 2008)
Daiichi Sankyo Co., Ltd. v. Apotex, Inc.
501 F.3d 1254 (Federal Circuit, 2007)
Salazar v. Procter & Gamble Company
414 F.3d 1342 (Federal Circuit, 2005)
Vitronics Corporation v. Conceptronic, Inc.
90 F.3d 1576 (Federal Circuit, 1996)
Key Pharmaceuticals v. Hercon Laboratories Corporation
161 F.3d 709 (Federal Circuit, 1999)
Teva Pharm. United States, Inc. v. Sandoz, Inc.
135 S. Ct. 831 (Supreme Court, 2015)

Cite This Page — Counsel Stack

Bluebook (online)
152 F. Supp. 3d 595, 2015 U.S. Dist. LEXIS 175648, 2015 WL 9920810, Counsel Stack Legal Research, https://law.counselstack.com/opinion/katch-kan-holdings-usa-inc-v-can-ok-oil-field-services-inc-txnd-2015.