Oil & Gas Production Capacity Digitalization – A Strategic Approach to Production Deferment Management

Abstract

Deferred production is a common occurrence in the E&P industry particularly for mature assets, usually accounting for significant volumes to an assets total production. As a result, E&P companies are continually pursuing innovative ideas and leveraging the latest technologies to support earlyidentification of underperforming wells to minimize production loss and maximize asset recovery. This paper focuses on Oando Energy Resources (OER) in-house development and operationalization of a Production Capacity Digitalization solution. A continuous business process improvement initiative geared towards enhancing the management of the company's portfolio of shut-in wells and reporteddeferred volumes. The digital solution is designed to guide senior management towards strategic planning and achieving cost-effective production restoration by integrating time, budgetary and economic factors in a single platform for shut-in volumes classification. The digital platform integrates multi-disciplinary asset data, deferment management processes withorganizational structure and leverages petroleum engineering workflows (validation, diagnosis & analysis) for systemic understanding and collaboration of stakeholders, to make informed decisions on volumes restoration efforts, ensure the technical team is chasing the "right" volumes forrestoration and focus on high priority assets with critical production capacity. This paper describes the production capacity workflow, implementation, development strategy, valueproposition and benefits of the solution to OER on her quest for improved business performance management and operations excellence in order to maximize value for all stakeholders.