It is generally accepted that good analysis of oil and gas data results in actionable insights, which in turn leads to better profits and growth. With today’s advancements in technology and processing power, more data and better analysis are easily achievable but will require the right EIM (Enterprise Information Management) foundation to make “all” data available and “analyses-ready”.
The evidence of those analytics are clear and ubiquitous. In an article in JPT (Journal of Petroleum Technology) by Stephen Rassenfoss, “Four Answers To the Question: What Can I Learn From Analytics?”, Devon Energy concludes it is possible to increase production by 25% by drilling the lateral toe-up in Cana-Woodford Shale. Range Resources, responding to a different question and with Machine Learning (ML) analysis, concluded more production in the Marcellus is associated with wells fracked with as much sand volume as the reservoir can handle.
All Data All The Time = More Studies More Return
Looking closer at the article, both studies were based on a relatively small data set; Devon Energy and Range Resources only used 300 and 156 wells respectively. Both companies stated that a larger data set would help their respective studies. So, why some studies rely on a small population of wells when there are thousands more that could have been included to reach a deeper understanding.
While the answer depends on the study itself, we find two key data”preparation” problems that may contribute to the answer a) data findability/ availability b) data readiness for analyses. In some E&P companies, data preparation can consume over 50% of total study’s time. This is where I believe EIM can make a difference by taking a proactive role.
Three Strategic EIM Initiatives to Turbocharge Your Organization’s Analytics
Information preparation for exploratory analytics like the above, require Oil and Gas companies to embrace a new paradigm in EIM. The traditional “data management” has its applications but can be rigid and limiting because it requires predefined schemas.
We share our favorite three EIM strategic initiatives to deliver more, trustworthy and analyses-ready information:
- Strategic and Selective Information Governance Program – A strong data governance model ensures data can be trusted, correlated and integrated, this is a foundational step and will take standardizing, and mastering key entities and attributes. Tip: key enabling technology is Master Data Management (MDM)
- Multi-Stream Data Correlation – Together with the MDM, “Big Data” technology and processes enable the inclusion and further correlation of data from a variety of streams, without the prejudice of predefined data schema.
- Collaborative Process and Partnership – From years of lessons learned, we’ve noticed that none of the above will move the needle much at all if implemented in isolation. A collaborative process with the sole purpose of fostering a close partnership between IM engineers/ architects, data scientists, and the business, is what differentiates success from failure. As the organization finds new “nuggets of insights,” the EIM team’s role is to put the necessary structure in place to capture the required data systematically and then infiltrate it into the organization’s DNA.
New analytics are positively changing how we produce and manage oil and gas fields. Companies that invest in getting their EIM foundation right will lead the race among its competition.
For help on defining and implementing EIM strategy please contact us.
With Petroleum Engineers, Geoscientist, Data Scientists and Enterprise Information Architects on the Certis team, we help companies design and implement EIM solutions that support their business goals. for more information on our services please email us at firstname.lastname@example.org.