During the preceding prolonged Oil boom with Crude near $100/bbl the Unconventional Oil & Gas industry emerged and grew rapidly. The focus at that time was to maximize the production growth by maximizing number of wells drilled and completed rather than looking to optimize well construction and completion to maximize production of individual wells. This has led to a high degree of maturity in setting up and documenting drilling processes. However, in the current paradigm where achieving profitability is paramount, the focus has to shift to maximizing production from existing wells and to minimize the overall operating cost/bbl. While reducing headcount and other cost cutting measures can tactically reduce costs, achieving a sustainable outcome will require developing and documenting best in class processes to ensure that production operations are not impacted by the cuts, and additionally will benefit from an effective process for continuous improvement.
White paper sponsored by Wipro.