by Jason Skurcenski

Challenge

A state oil and gas commission requires heavy reporting from a major oil and gas producer before and during the fracturing process. This includes examining the effects on all vertical wells, water and aquifers within 1,500 feet of a hydraulic fracturing job before the fracturing process begins. The organization’s new extensive drilling plan brought to light that its manual use of spreadsheets to identify well parent-child relationships required hundreds of hours of manpower. It also exposed the process to a high potential for error due to the high number of manual entries, calculations and rework. The organization engaged Point B to lead an initiative to reduce the overall time required to complete the analysis and ensure timelier, accurate reporting to the state oil and gas commission.

Automated reporting goes live

The Point B team began by working closely with the organization’s business and IT teams as well as the client’s geographic information software system vendor to understand the desired vision, document the requirements and identify the project scope.

Based on this foundation, the Point B team established a realistic plan to achieve the targeted objectives. The plan leveraged our client’s existing GIS system and experienced GIS, business integration, and information technology staff.

With multiple internal teams assigned to the effort, the Point B team ensured that all participants worked cohesively to efficiently and effectively deliver a tool that provided the organization with a means to auto-generate an Excel report containing the required information that fell within certain predefined distances of a given input set of well bore laterals.

Saving weeks—and millions

With the help of Point B’s project leadership, the organization realized benefits across time savings, cost savings and data integrity.

The savings have been dramatic. The processing time of GIS data and analysis was reduced from 14 days to 10 minutes. Our client now realizes analysis savings of $1.2 to $3.6 million per month as well as oil drilling savings of $1.6 to $3.2 million per month as a result of removing 5-10 percent of wells within the "frac interval" buffer. Data integrity of the tool’s output has also improved by proactively identifying and correcting data issues in the client’s legacy systems.