Technology in a Vacuum Omar Khan & Chris Josefy Op,miza,on Ma4ers Conference 2015 April 23rd, 2015 FOR DISCUSSION 1 Tradi,onal IT engagement models have piHalls that make it more difficult to execute a successful project A LESS THAN PERFECT ENGAGEMENT MODEL • Business comes up with pressing issue…and provides fully formed solution • IT engaged only as order taker and lagging “partner” • Office based view vs. field based view FOR DISCUSSION 2 The “Oilfield of the Future” program began with a broad business objec,ve to achieve greater produc,on from exis,ng wells by improving field opera,ons PROGRAM OBJECTIVE • Had business objective, not technology objective • Wanted to get more value from how we manage our oilfields • Did not start with answer in mind FOR DISCUSSION 3 The “Oilfield of the Future” program began with a broad business objec,ve to achieve greater produc,on from exis,ng wells by improving field opera,ons PROGRAM OBJECTIVE • Had business objective, not technology objective Physical Assets • Wanted to get more value from how we manage our oilfields • Did not start with answer in mind FOR DISCUSSION 4 The “Oilfield of the Future” program began with a broad business objec,ve to achieve greater produc,on from exis,ng wells by improving field opera,ons PROGRAM OBJECTIVE • Had business objective, not technology objective • Wanted to get more value from how we manage our oilfields • Did not start with answer in mind People FOR DISCUSSION 5 The “Oilfield of the Future” program began with a broad business objec,ve to achieve greater produc,on from exis,ng wells by improving field opera,ons PROGRAM OBJECTIVE Process • Had business objective, not technology objective • Wanted to get more value from how we manage our oilfields • Did not start with answer in mind FOR DISCUSSION 6 The “Oilfield of the Future” program began with a broad business objec,ve to achieve greater produc,on from exis,ng wells by improving field opera,ons PROGRAM OBJECTIVE • Had business objective, not technology objective • Wanted to get more value from how we manage our oilfields • Did not start with answer in mind Data FOR DISCUSSION 7 The “Oilfield of the Future” program began with a broad business objec,ve to achieve greater produc,on from exis,ng wells by improving field opera,ons PROGRAM OBJECTIVE • Had business objective, not technology objective • Wanted to get more value from how we manage our oilfields Technology • Did not start with answer in mind FOR DISCUSSION 8 The “Oilfield of the Future” program began with a broad business objec,ve to achieve greater produc,on from exis,ng wells by improving field opera,ons PROGRAM OBJECTIVE Process • Had business objective, not technology objective • Wanted to get more value from how we manage our oilfields Physical Assets Technology • Did not start with answer in mind Data FOR DISCUSSION People 9 The team selected to work on this project was cross-‐func,onal in nature, and weighted towards fresh eyes, with a demonstrated ability to innovate EQUIPPING A TEAM • Mostly Operations Engineers, Managers & Consultants Team members had to be comfortable thinking about: • Demonstrated ability to innovate and be visionary “How should we be doing this?” • IT involvement started as “informed participant” FOR DISCUSSION 10 Ini,al opera,onal assessments conducted in the field found gaps across EPE’s different assets SAMPLE GAPS FROM ASSESSMENTS • Well Management not frequent or granular enough • Front-‐line Operators did not have well targets • Wasteful double-‐ entry of data FOR DISCUSSION • Pump-‐Off Controller (POC) cables down 25% of Eme • Standards & checklists not documented, training inconsistent • Daily morning meeEng wasteful 11 To build momentum for the program, and quickly demonstrate value to the field organiza,on, the team undertook a series of small projects QUICK WINS TO BUILD CREDIBILITY • Distribute well targets to Front-‐line Operators • Integrate SCADA & eVIN to eliminate unnecessary double-‐ entry, save ~30 minutes/ day for each Lease Operator FOR DISCUSSION IT Projects • Fix broken POC cables to improve pump operaUon and longevity • Eliminate morning meeUng to give ~30-‐60 minutes/day back to each Lease Operator 12 The first phase of the larger transforma,on program focused on impac,ng the most important elements, People and Process FIRST PHASE CHANGES • Weekly Route Reviews established FOR DISCUSSION • Training series & Lease Operator Handbook rolled out 13 The second phase of the transforma,on sought to use the understanding the team had developed over the first several months and IT, to add to the gains SHAPING THE SECOND PHASE • Conducted targeted “Brainsteering” workshops in Corporate and Field offices to elicit ideas for Technology Roadmap • Big need was Data Access & Visibility FOR DISCUSSION 14 Data and technology integra,on work set the stage for a more innova,ve technological solu,on to address the big need: Data Access & Visibility STAGE SET FOR INNOVATION • View into data from different systems: • Well history • Production • Targets • Real-time info • Artificial Lift Optimization tools for Engineers FOR DISCUSSION 15 Because Technology followed Process, People and Data, “Well 360” plugged into the organiza,on very easily PIECES FITTING TOGETHER, WORKING TOGETHER FOR DISCUSSION 16 WELL TEST AND PRODUCTION ALLOCATION HISTORY FOR DISCUSSION 17 ARTIFICIAL LIFT OPTIMIZATION – PUMPING WELLS FOR DISCUSSION 18 ARTIFICIAL LIFT OPTIMIZATION – GAS LIFT WELLS FOR DISCUSSION 19 WELLBORE DIAGRAMS – DOWNHOLE EQUIPMENT FOR DISCUSSION 20 WELLBORE DIAGRAMS – FRAC STAGE DETAIL FOR DISCUSSION 21 WELLBORE DIAGRAMS – SURVEY CHARTS FOR DISCUSSION 22 ARTIFICIAL LIFT OPTIMIZATION – ESP WELLS FOR DISCUSSION 23 REAL-‐TIME SCADA DATA FOR DISCUSSION 24 WELL-‐SITE EQUIPMENT & MAINTENANCE FOR DISCUSSION 25 WELL HISTORY – OPENWELLS EVENTS FOR DISCUSSION 26 WELL HISTORY – LEASE OPERATOR COMMENTS FOR DISCUSSION 27 WELL HISTORY -‐ DOWNTIME FOR DISCUSSION 28 Over the course of our project we’ve iden,fied several factors that were a part of our success OVS IMPLEMENTATION KEY SUCCESS FACTORS • OVS knows companies like ours, we started the soluEon design with their hypotheses • From the beginning have a diverse group involved • Keep a core group of users in-‐touch with the soluEon during the build Have a cross-‐funcEonal team working to remove obstacles for OVS Generate buzz around halls with early demos to different groups • Plan on different levels & modes of training • Track usage paSerns and talk to users who should be more acEve • Maintain flexible processes before idenEfying and encouraging best pracEces • IdenEfy pain-‐points and problems & address them quickly FOR DISCUSSION 29 To make any of this happen you must focus on founda,onal data management ini,a,ves first POSTSCRIPT: DATA MANAGEMENT PRECURSORS Examples of data management enablers IT put in place before the project began: • A robust integration framework that allows for rapid development of reusable integration between systems • A data quality framework that automates data validation, provides real-time visibility to data stewards, and provides continuous measurement of data quality metrics • A defined well identification standard agreed to by the business and implemented into all transactional systems that capture well data FOR DISCUSSION 30 Contact Information Chris Josefy (chris.josefy@epenergy.com) (713) 997-2799 Omar Khan (omar.khan@epenergy.com) (713) 997-5799 FOR DISCUSSION 31
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