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How OVS helped Goodrich Petroleum to optimise production

Thursday, March 6, 2014

OVS worked together with Goodrich Petroleum of Houston, a company with working interests in 392 producing oil and natural gas wells located in 32 fields in eight states, and over 2000 leases, to help it optimise production, and bring data together from its financial, production, drilling and lease management software, to create streamlined workflows for surveillance and analysis.

Goodrich's data was of various ages, and supplied by different vendors, with different systems and database structures. Different data frequencies and standards.

OVS created a 'virtual data layer' on top of the systems, showing the information to the end users on intuitive dashboards. There is also a notification system for sending out alerts.

The basic system was deployed in less than 45 man days. The OVS 'Virtual Data Access Layer' means no new database is required. Users continue capturing key information in the same underlying systems for production, drilling and financials. The system then presents the virtual data on demand, configuring only once the 'Metadata' needed.

The principal data sources are Excalibur for financial and land management (commercial database); Rimbase for drilling (SQL server); and Procount for production data (SQL server). The 3 main systems and databases have different structures, run on different platforms and have different keys to connect them together.

Both Rimbase and Excalibur have AFE data; both Excalibur and Procount have well data.

The company was also developing a number of Excel spreadsheets for analysing the data, which was very time consuming, loading different data classes into separate Excel files and then later merging the data manually for reporting. Supporting the daily financial and production reporting required the attention of several technicians on a fulltime basis every day.

The company's goal was to find a system and architecture that could bring all of the systems together on a platform that allowed easy and quick analysis at multiple levels, and which was integrated across the disciplines of Production, Financial, Land Management and Drilling.

It wanted alarms to capture deviations from expectations, or when leases were about to expire, or if budgets were overspent.

There would be no new databases; intuitive dashboards; e-mail notifications and web integration for distributing main reports to management.

Benefits of the system include standardisation across the company, faster decision making, recognizing conflicts faster, exposure of data inconsistencies (eg between AFEs and costs), and having a system which can continue to evolve.

The following reports were high priorities in the initial implementation:

Main Solution Dashboard (All): Combines general information and analysis from a variety of existing systems including: Lease Management (Expiration Report), Production, and Financial and Drilling. The reports include such analysis as AFE vs. Cost comparison, and support alarms for the main financial accounts over budget.

Lease Expiration Report (Land Management): This report shows, by time categories, the Leases that need to get renewed, and includes a drill down capability that exposes all of the information available for the Lease. Available in the drilldown are such details as: the general lease information, tracks, remarks, acres, etc. It is continually leveraged by the Land Management team to manage lease expirations and opportunities.

Critical Wells (Production): Tracking of certain wells that the production and management teams need to follow. Included in this combined report are: daily production allocations, last well test, working interest, gross and net production, operational comments, engineering comments, etc.

AFE vs. Costs Reports (Financial): a set of reports and filters that allows the user to evaluate deviations between AFEs and Costs. Users can select wells by multiple filters: spud date, budget year, first sales, completion date, or names. Provides drill-down capability where the user can see tickets applied to the AFE.

Drilling Performance Report (Drilling): This is a compilation of data, including data that is not available directly in the existing systems, that supports a host of calculations for such analysis as casing operations cost (calculated using Goodrich rules).

Goodrich wanted all of its primary dashboards and charts available on over the internet, leading to access to the underlying data.

There are shared folders with relevant information, and external web sites are integrated together with it.

The data can be exported from the system into Excel when required.

The system can make 'smart reports' gathering together data from different places - for example drilling reports which take data from the drilling system, financial system and production system.

Calculations are made in a 'workflow layer'. For example, the system compares actual costs (from the drilling software / Rimbase) with budget costs (from the accounting software, Excalibur) and generates an alarm if the difference is more than 10%. It can show a list of accounts which are constantly over budget, ordered by how far they are over budget, or work out which accounts have been over budget more than 6 times.

It can compare production allocations with actual well test data.

A production report is sent twice a day in an HTML format to various phones and mobile devices. Key personnel are identified for the report and they get the information without needing to log into the system or be at their desks.

Weekly reports from different areas (financial, land management, drilling, and production) are sent in a similar manner to specific groups responsible for each of the various business functions.

A separate set of summary reports is compiled and distributed to management automatically as well. These notifications and distributed reports keep users informed of key business events while in the office, while travelling, or while they are in the field.



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