Planning for an Oil & Gas Operation Well Life Cycle Framework
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The document outlines a well life cycle framework for oil and gas operations, emphasizing the importance of integrated data management and collaboration among departments to enhance decision-making and financial returns. It suggests creating a roadmap and a detailed plan to clarify business goals and engage employees, leading to improved operational efficiency and accountability. Furthermore, it highlights the necessity of solid processes to minimize errors, enhance communication, and drive towards a unified operational goal.
Planning for an Oil & Gas Operation Well Life Cycle Framework
- 1. www.totalstream.com Planning for an Oil & Gas Operation WELL LIFE CYCLE FRAMEWORK
- 2. A system for putting together the people, processes, and technology that fuel the best decisions and the maximum return on investment along the life cycle of an oil and gas asset. What is a Well Life Cycle Framework? Q: A:
- 3. PROACTIVE RATHER THAN REACTIVE INFORMATION FIT FOR PURPOSE IMPORTANCE OF STRATEGY All information and data that enables navigation toward your business goals must follow efficient paths to reach their destinations accurately and timely. A company asset / well master strategy will enable your asset-based data to be positioned for use across departments and disciplines and will facilitate collaboration among company team members. A Well Lifecylce Framework methodology approach to your business details will ensure the technology and supportive process is in place to achieve maximum data and information discipline success. It makes your success intentional instead of reactionary. Guiding Principles of Oil & Gas Operational Business Intelligence
- 4. Drilling / Wellwork Rig Scheduling Production Accounting Profit / Loss Reporting Product Marketing Accounting Forecasting / Planning AFE Management Material Transfer / Equipment Issues with Siloed (Un-integrated) Data It is common for E&P companies to use multiple vendors for different aspects of the well life cycle. But when data from those systems is not integrated, it can result in (among other things): • Budget overspending • Under-spent capital can’t be reinvested • Multiple data entries (resulting in errors) • Inaccurate or dated reporting • Delays in the form of work stoppages or cross-departmental challenges • Reporting that has to be manually compiled
- 5. AFE Management Forecasting / Planning Accounting Material Transfer / Equipment Production Accounting Profit / Loss Reporting Product Marketing Drilling / Wellwork Rig Scheduling Data Integration is Key Data that has a single point of truth empowers your operation across all departments. It allows you to react to operational problems quickly, avoid errors and bottlenecks, and identify and exploit profitable opportunities. Total Asset Manager™ integrates with your designated oil and gas applications—including spreadsheets—and establishes a central repository of information. Data can then be pulled from these applications. From there, it is configured into useful business intelligence, performance metrics, and reports that are displayed on the dashboard. This gives the ability to readily share information across disciplines and departments. Updates and allocations are automatically performed as soon as data becomes available, making reports up-to-date and accurate.
- 6. Creating Vision for a Well Life Cycle Framework
- 7. Realistically define the benefits of working with the right technology, people, and processes. Here are a few benefits to get you started: • Higher return on invested capital • Better use of team skills to execute decisions • Information in real-time for tighter controls in costs and revenues • Improved use of human resources through defined processes • A team rallied around a vision with passion always gets better results • Flexibility to make rapid decisions 1
- 8. Create a road map to execute the vision. 2 Make a detailed plan that will allow you to arrive at your goals. Here are some questions to ask yourself: • What makes your business work? • Why does it exist? Solicit employee input. • What do you want in the next 3 to 5 years? Do you want to improve employee retention, grow your company, increase profits, give back to community, improve environment, etc.? • What will it take to get there? Be specific. Put your plan in writing and make sure that you can measure what you aim for. Say who is going to do what and set a time line.
- 9. Build the team to travel the road map to its success.3 Having unity for your vision across your operation will allow all personnel to feel confident and eager in their roles, and build solidarity in striving for the same level of excellence. • Delegate key personnel to lead the charge in supporting your vision. These people will keep everyone involved through the entire process and following a common goal. • Select the right team carefully. Make sure they have the skills for the job in hand and a mixture of people with different abilities. Together they should represent all the skills you will need. Make sure they have the ability to get along well with others. • Clearly define your expectations for chain of command, responsibilities, and reporting structures at the onset. Delegate tasks to the right person and make it clear who has the authority in that task. • Make sure your goals are clearly understood. Set early goals that are achievable to empower your team. • Communicate... Cooperate... Communicate... Cooperate
- 10. Sustain success through solid processes. 4 The processes you create will help ensure a reduction in errors, increased communication (and availability of information), reduce downtime, increase productivity, and help you address all situations quickly and decisively.
- 11. Consistency in collecting data Clarity in every piece of data captured Continuity in technical and human processes Collaboration across disciplines and departments Which leads to... With your plan and processes in place, you will experience
- 12. Driving toward a single point of truth. CONFIDENCE
- 13. GAIN INSIGHTS THAT WILL MAXIMIZE YOUR PRODUCTION AND OPERATIONS. Our staff of experienced professionals is happy to consult with you about data management practices and solutions. Feel free to contact us with any questions you may have. info@totalstream.com 888-554-5777 www.totalstream.com