Significant innovations have taken place in drilling into the tight-oil and shale-gas reservoirs. Longer laterals are being drilled at increasing speeds. Factory drilling processes have streamlined planning and supply chain management, not only to drill one good well but many wells back to back.
In 2017, companies are looking to increase their production and continue to trim costs beyond what they have already achieved in 2015-16.
Drilling continues to be a large part of the capital budget for oil companies and, therefore, the pursuit of lower cost wells has not ended. In addition, of equal concern to E&P operators is producing a high-quality well that is landed in and stays within reservoir sweet spots, thereby increasing the potential for maximum hydrocarbon recovery.
Progressive operators, are now thinking of drilling not as a necessary cost but as a data-gathering tool to enhance their completions designs and plan for the life of the well after drilling.
Our scouting and research is focusing on emerging technologies, solutions and vendors that are enabling operators to drill high-quality wells at low cost and to capture and process critical information during the drilling process to maximize their productivity and economic value.
As companies continue to unlock value during this downturn, technological innovation will have the most lasting impact. These innovations will create for adopters truly sustainable value and competitive strength.
The challenge is knowing which ones to pursue.