Business Case for Well Planning – Benefits of Well Lifecycle Management

Wellcycle Well Plannign Process Diagram

Common Challenges Oil Companies Face in the Well Planning Process:

  • The people who perform specific parts of the process (permitting, land leases, drilling plans, etc.) know their job extremely well
  • Often the company can’t articulate their process from end-to-end, concept to production
  • Operationally, all departments typically work independently: Resource Development, Geology, Regulatory, Land, Facilities, Construction, Drilling, Completions, Production
  • Hand-offs are not consistent or efficient. Each group depends on deliverables from other groups to kick off or complete their tasks. Often necessary notifications, planning, and communication do not happen in a timely manner, causing unnecessary project delays
  • Each department separately tracks a series of task dates in the process that are important to them, but often these are not coordinated across departments
  • The same task dates are often tracked by different departments. They may call the tasks different names and the dates are often not the same
  • Each department has people allocated to staying on top of the progress of other departments. This information is often gathered by making calls or sending emails. This is a very time consuming and human resource rich process that is replicated in all departments
  • Often formal sign off points are missing in the process
  • Departments begin working based on what is believed to be final information, only to find later that there have been changes and they must rework their efforts

WellCycle Well Planning Software Provides a Solution:

  • WellCycle Planning provides an ability to manage all Wells through a consistent workflow
  • The process is governed through consistent stage gates
      Examples: Proposed, Ready to Schedule, Well Clearance, Clear to Build, Construction, Clear to Spud, Approved to Drill, Drilling, Completions, Production
  • At each stage gate approvals may be required so that the Well cannot advance to the next gate without the proper sign-offs and authority
  • Data fields may become required fields at specific phases to assure that necessary data is captured and available in the central repository at each stage in the process
  • Each Pad/Well has a single task schedule to track tasks along the process such as Geo Progs, Abstracts, Title Opinions, Permitting, Construction, Facilities Installation, etc.
  • The Pad/Well schedule is tightly integrated with the Drilling/Rig schedule so that impacts, such as changes in rig assignments or priority in rig lines, are immediately available to all departments involved in the upstream process
  • All departments provide their updates to this common Pad/Well schedule so status is easily accessible in a consistent format

Results / Benefits:

  • Repeatable process – Implement a consistent workflow that is followed for all wells and pads
  • Single integrated schedule – All departments work off a single integrated schedule that is tightly integrated with the Drilling and Completions schedules
  • Enforce Governance – Implement a governed workflow to assure that proper sign-offs are occurring throughout the process – reducing rework.
  • Eliminate Delays – Transparency along the process facilitates smooth hand-offs, improving the process to expedite production and increase profitability
  • Continued Process Improvement – Opportunities for improvements to the process can be easily identified

Contact WellCycle for more information