Rapid and comprehensive understanding of reservoir conditions with CoViz 4D visualization software fosters better communication and timely decision-making.
Streamlining Data Analysis During Hydrocarbon Exploration
Accounting for Issues During Hydrocarbon Field Development
Factors That May Increase Field Development Urgency
- Short-term leases: Leased oil/gas fields have some of the harshest deadlines. Leases could have an expiration date that allows the owner to revoke all mineral rights if operators fail to produce from the territory in the given time frame. For example, if a company is granted a three-year lease for an offshore oil field but fails to produce assets from the field—due to issues that arose from lack of resources to properly analyze data—the rights revert to the owner after the three-year period. The company ends up losing millions of dollars in upfront costs from the acquisition of the lease.
- Infrastructure needs: Engineers must also consider the certain infrastructure needs to commence efficient drilling strategies. There are times when new infrastructure is needed, which can be costly and time-consuming. Such infrastructure as pumps, pipelines, and storage tanks can amount to hundreds of millions of dollars, which must be recovered with the added requirement of profit margins. Additionally, drillers might be operating in regions where infrastructure is minimal, necessitating the need for new energy frameworks. If operating in another country, for example, companies will likely deal with additional factors that present even more uncertain outcomes due to political instability.
- Political instability: If a company has drilling rights in a place that may be experiencing political upheaval, it’s important to work as quickly as possible before shifting politics have a chance to potentially impact development. An energy company could also face stringent or changing regulations from an incoming administration, which could also increase production costs. Political instability of any kind can also affect oil prices, which is another factor that changes the nature of production.
- Fluctuating market: When there is a fluctuating oil market, companies must consider how oil and gas prices will affect profits. Changing oil prices are one of the more devastating variables because of the long-term ramifications. Slumping oil prices over long periods have the ability to reduce innovation and increase layoffs as the energy companies struggle to cope. That’s why operators need to produce within a lucrative timeframe as a safeguard against a volatile global economy.
How Oil and Gas Data Management Software Leads to Increased Production
The best oil and gas data management software should provide a detailed analysis of geological models and reservoir simulation, with additional features that assess nearby fields to explore additional opportunities.
CoViz 4D, a data visualization analytics software from Dynamic Graphics, Inc., gives geologists, geophysicists, and reservoir engineers the ability to easily access and combine all relevant data associated with subsurface environments. Powerful analytic capabilities enable users to explore data relationships, analyze the accuracy of depth conversion of 3D seismic, and visualize seismic well ties and velocity models to facilitate decisions that positively impact profit and reduce operational risk. To learn more about CoViz 4D, contact our team.