The dramatic plunge in oil price will be the impetus to transform our industry again. No segment of the industry has embraced innovation more than have unconventionals. At the core of this innovation has been an approach to solving complex problems that had no known solutions before the 2000s.
An opportunity now exists to further develop the way we solve problems by adopting agile work flows. Originating from software development in 2001, agile work flows will be a key part of driving the oil and gas industry to its next level of efficiency. Here are three reasons why.
Accelerated Delivery of Executable Program. Developing projects that are economical in a depressed oil price environment requires multidisciplinary problem-solving in an accelerated, time-efficient manner.
The traditional subsurface work flow that generates these projects experiences difficulty because typically it is designed for known problems (e.g., standard well designs) and requires many handoffs between functional groups, leading to extended project cycle times. Critically, the longer the accepted project cycle time, the less optimization can occur and the less the business can tolerate.
An alternate agile approach is to perform key steps of the project as multidisciplinary sprints. These are fast-loop, multidisciplinary activities that require active involvement of the customer and decision-makers—temporary, fully dedicated, empowered teams that aim to reach completion within a defined time frame.
Stability in a Time of Change. Maintaining frequent staff engagement is critical during a time when staff members are uncertain about their jobs and often are working remotely. Agile work flows that include daily check-ins or stand-up meetings are required to provide a regular cadence for staff members and allow for course corrections in response to a volatile market.
Flexibility. A flexible, fully committed work force is never more necessary than now. Agile and sprint work flows promote flexibility, directing staff to the task of highest priority and thereby maximizing staff utility. An agile culture promotes staff members who work beyond their traditional geographical or even functional areas.
When applied to unconventional-field programs, experience shows that project-generation cycle time can be reduced by 50%. This is more pronounced where problems are complex and have no known solution, because the dedicated agile team speeds up any optimization loops dramatically. This increases decision quality. Staff engagement and alignment increases as well be-cause each team member works together closely and becomes familiar with the whole rather than just their piece.
The industry is set to transform again, and it will be those who adapt quickly who will lead the way. Agile work flows will be key in achieving this.
If you have experience with agile work flows as applied to the unconventionals industry, join me to share our experiences on my LinkedIn account (www.linkedin.com/in/simon-chipperfield-25646723).
This Month's Technical Papers
Integrated Work Flow Optimizes Eagle Ford Field Development
Tectonically Influenced Regions See Complex Stress States, Casing Failures
Normalized Cumulative Production Curves Estimate Ultimate Recovery
Recommended Additional Reading
SPE 198138 Does the Choke Management Make a Difference in Ultralow-Permeability Gas-Condensate Reservoirs? by Siyavash Motealleh, BP, et al.
SPE 195344 Integrating Machine Learning in Identifying Sweet Spots in Unconventional Formations by Saurabh Tandon, The University of Texas at Austin
| Simon Chipperfield, SPE, is chief production engineer at Santos. During the past 20 years, he has held positions in petroleum engineering (drilling, completions, and stimulation), production engineering, and reservoir engineering. Chipperfield previously worked for Shell International Exploration and Production. He was awarded the 2007 SPE Cedric K. Ferguson Medal. Chipperfield has held a number of leadership positions and has authored or coauthored more than 20 technical publications in the areas of hydraulic fracturing, reservoir engineering, completion technology, and sand control. He holds a petroleum engineering degree with honors from the University of New South Wales. Chipperfield serves on the JPT Editorial Committee and on the SPE International Awards Committee. He also has served as a reviewer for SPE Production & Operations. |
