Coiled-tubing (CT) rigs utilize continuous tubing to rapidly reel bits, motors, and other tools in and out of wells. They significantly reduce drilling, completion and work over costs in many areas and are ideal for underbalanced drilling since they can be reeled in and out of the well under pressure. CT has reduced squeeze cementing and work over costs by as much as 70 percent at Prudhoe Bay and other areas. A major limitation of CT drilling is the relatively low power output of the slimhole motors due to their small diameters. For example, a 6?-inch PDM motor delivers 130 to 170 horsepower compared to only 20 to 30 horsepower for a 2?-inch motor. On another recent DOE project, Maurer Engineering developed high-power PDM motors that deliver twice as much power as conventional motors and drill twice as fast. The goal of this CT project is to further increase the drilling rate of these high-power motors to significantly reduce slimhole drilling costs.