16
1. Algeroy J, Morris AJ, Stracke M, Auzerais F, Bryant I, Raghuraman B, Rathnasingham R, Davies J, Gai H, Johannessen O, Malde O, Toekje J and Newberry P: “Controlling Reservoirs from Afar,” Oilfield Review 11, no. 3 (Autumn 1999): 18-29. Bratton T, Edwards S, Fuller J, Murphy L, Goraya S, Harrold T, Holt J, Lechner J, Nicholson H, Standifird W and Wright B: “Avoiding Drilling Problems,” Oilfield Review 13, no. 2 (Summer 2001): 32–51. 42 Oilfield Review Lifelong Asset Management Using the Web Mike Bosco Mark Burgoyne Michael Davidson Mike Donovan Ken Landgren Paul Pickavance Keith Tushingham Jon Wine Houston, Texas, USA Steve Decatur BP Houston, Texas Shane Dufaur Austin, Texas Jon Ingham Gatwick, England For help in preparation of this article, thanks to Lester Bayne, Caracas; Paolo Censi and Carolyn Turner, Houston; George Karr, Austin; Rod Laver, Gatwick, England; Denny O’Brien, Sugar Land, Texas; Christoph Ramshorn, Cambridge, England; and Nick Swinstead, London, England. CADE Office, CoilFRAC, DecisionPoint, Drilling Office, ECLIPSE, FieldView, Finder, FMI (Fullbore Formation MicroImager), FracCAT, GeoFrame, iCenter, InterACT, LiveQuest, LiveQuest Inside, MindShare, OBMI (Oil-Base MicroImager), OFM, PERFPAC and VirtualProspect are marks of Schlumberger. ISO-AllPAC is a mark of ExxonMobil; the technology is licensed exclusively to Schlumberger. IP Anywhere is a mark of Wireless Matrix. Lost time means lost opportunity and reduced cash flows. Using the World Wide Web to communicate and collaborate shortens cycle time, while increasing the amount of information immediately available from a company’s knowledge bank. A new system of information solutions provides secure, reliable interaction tools for all stages of the exploration and production cycle. The exploration and production industry faces mounting pressures to reduce finding and pro- duction costs, increase recoverable reserves and maximize asset value. The industry must discover and develop new reservoirs and improve recovery percentages for existing reservoirs from the tra- ditional average of 35%, to 60% or better, while controlling costs. Yet, new prospects tend to be in deep waters and remote areas where costs and risks are high and field developments increasingly are more complex. Efficiency and productivity improvements are essential. Each 1% increase in recovery equals one year’s consumption at current demand. As operators focus on their core business of explo- ration and production (E&P), they are outsourcing other activities, redefining the traditional roles between operators and the service industry. This focus on core activities has led many E&P companies to develop less technology in- house. Instead, they establish a competitive advantage through joint developments or by using available technologies in innovative ways. High-definition seismic interpretations, new log- ging measurements and improved reservoir mod- eling and simulation provide tools to optimize reservoir performance. Monitoring production and reservoir data from permanent sensors linked to control equipment is changing produc- tion management. 1 Gilberto Lopez Petróleos de Venezuela S.A. (PDVSA) E&P Tia Juana, Venezuela Alessandro Madrussa David Seabrook Luanda, Angola Hugo Morán Gilberto Segovia Ojeda, Venezuela Romer Morillo Caracas, Venezuela Rodulfo Prieto Petróleos de Venezuela S.A. (PDVSA) E&P Caracas, Venezuela Internet Explorer and Windows are marks of Microsoft Corporation. Netscape Navigator is a mark of Netscape Communications Corporation. UNIX is a registered trademark of The Open Group in the United States and other countries.

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1. Algeroy J, Morris AJ, Stracke M, Auzerais F, Bryant I,Raghuraman B, Rathnasingham R, Davies J, Gai H,Johannessen O, Malde O, Toekje J and Newberry P:“Controlling Reservoirs from Afar,” Oilfield Review 11, no. 3 (Autumn 1999): 18-29.Bratton T, Edwards S, Fuller J, Murphy L, Goraya S,Harrold T, Holt J, Lechner J, Nicholson H, Standifird Wand Wright B: “Avoiding Drilling Problems,” OilfieldReview 13, no. 2 (Summer 2001): 32–51.

42 Oilfield Review

Lifelong Asset Management Using the Web

Mike BoscoMark BurgoyneMichael DavidsonMike DonovanKen LandgrenPaul PickavanceKeith TushinghamJon WineHouston, Texas, USA

Steve DecaturBPHouston, Texas

Shane DufaurAustin, Texas

Jon InghamGatwick, England

For help in preparation of this article, thanks to LesterBayne, Caracas; Paolo Censi and Carolyn Turner, Houston;George Karr, Austin; Rod Laver, Gatwick, England; Denny O’Brien, Sugar Land, Texas; Christoph Ramshorn,Cambridge, England; and Nick Swinstead, London, England.CADE Office, CoilFRAC, DecisionPoint, Drilling Office,ECLIPSE, FieldView, Finder, FMI (Fullbore FormationMicroImager), FracCAT, GeoFrame, iCenter, InterACT,LiveQuest, LiveQuest Inside, MindShare, OBMI (Oil-BaseMicroImager), OFM, PERFPAC and VirtualProspect aremarks of Schlumberger. ISO-AllPAC is a mark ofExxonMobil; the technology is licensed exclusively toSchlumberger. IP Anywhere is a mark of Wireless Matrix.

Lost time means lost opportunity and reduced cash flows. Using the World Wide Web

to communicate and collaborate shortens cycle time, while increasing the amount of

information immediately available from a company’s knowledge bank. A new system

of information solutions provides secure, reliable interaction tools for all stages of

the exploration and production cycle.

The exploration and production industry facesmounting pressures to reduce finding and pro-duction costs, increase recoverable reserves andmaximize asset value. The industry must discoverand develop new reservoirs and improve recoverypercentages for existing reservoirs from the tra-ditional average of 35%, to 60% or better, whilecontrolling costs. Yet, new prospects tend to bein deep waters and remote areas where costsand risks are high and field developmentsincreasingly are more complex.

Efficiency and productivity improvements areessential. Each 1% increase in recovery equalsone year’s consumption at current demand. Asoperators focus on their core business of explo-ration and production (E&P), they are outsourcingother activities, redefining the traditional rolesbetween operators and the service industry.

This focus on core activities has led manyE&P companies to develop less technology in-house. Instead, they establish a competitiveadvantage through joint developments or byusing available technologies in innovative ways.High-definition seismic interpretations, new log-ging measurements and improved reservoir mod-eling and simulation provide tools to optimizereservoir performance. Monitoring productionand reservoir data from permanent sensorslinked to control equipment is changing produc-tion management.1

Gilberto LopezPetróleos de Venezuela S.A.(PDVSA) E&PTia Juana, Venezuela

Alessandro MadrussaDavid SeabrookLuanda, Angola

Hugo MoránGilberto SegoviaOjeda, Venezuela

Romer MorilloCaracas, Venezuela

Rodulfo PrietoPetróleos de Venezuela S.A.(PDVSA) E&PCaracas, Venezuela

Internet Explorer and Windows are marks of MicrosoftCorporation. Netscape Navigator is a mark of NetscapeCommunications Corporation. UNIX is a registered trademarkof The Open Group in the United States and other countries.

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At the heart of this transformation in the E&Pbusiness is creating the ability for anyone, any-where to immediately access reliable, validateddata and knowledge required to make informeddecisions. This requires new information tech-nology (IT), new workflows and highly skilledindividuals. The service sector must provide morethan traditional products and services; informa-tion is key to the future. New solutions are basedon real-time data and technical collaborationwithin and between companies.

Much of the E&P industry lacks the infrastruc-ture to classify, verify, interpret and translate thecurrent profusion of data into information, knowl-edge and, ultimately, well-founded decisions.Operational and financial success hinges on acompany’s ability to make effective decisions andtake corrective actions. Knowledge-managementsystems based on best practices help to reduceerror repetition and enhance quality consistentlyin global operations.2

Web-based tools have matured to the pointthat many parts of reservoir management can beeffected over the World Wide Web. The Webenables collaboration and access to real-time andarchived data. Knowledge-management tools canmine information that a company already has onhand, providing a competitive advantage.

The recent demise of so many “dot.com”companies illustrates the importance of under-standing an industry’s fundamental business pro-cesses for success on the Internet. Schlumbergerhas years of experience providing service to theE&P industry, giving it a profound understandingof industry business processes. Its worldwidepresence means it has connectivity where hydro-carbons are found and produced. Schlumbergerwas the first company in the industry to use anInternet-based client data-delivery system.3

Schlumberger Information Solutions (SIS), anoperating unit of Schlumberger Oilfield Services,provides a unique combination of elements toproduce an effective, integrated, global informa-tion solution for the oil and gas industry:• information technology to connect users to data • information management for handling and

manipulating massive quantities of data• decision-making software tools to transform

data into useful information for analysis• expert consulting services to help oil compa-

nies focus on core activities.This article describes these SIS tools for

improving lifelong management of a reservoir.Starting with licensing rounds and acquisitionsand continuing through prospect evaluation,drilling and reservoir management, interactiveWeb-based collaboration tools are streamliningthe way the E&P industry works.

Acquiring a Property: Virtual Data RoomsThe life cycle of a reservoir often begins when anowner of mineral rights in an area grants E&Pcompanies permission to explore. In most partsof the world, companies compete for explorationrights in government-managed licensing rounds.Licensing agencies typically provide technicaland economic information about the blocks orleases to qualified companies. E&P companiesanalyze opportunities and submit proposals tothe government agency, which, in turn, awardsexploration licenses to the successful bidders.

Instead of obtaining properties through gov-ernment licensing rounds, a company may buydirectly from another company wishing to sellproperties. The acquisition and divestiture (A&D)process traditionally has been slow and cumber-some. When an oil company had properties to divest, either they or a broker gathered theinformation necessary for bidders to evaluate the technical and economic condition of a prop-erty. A limited amount of information about theproperty was compiled in a brochure and mailedto an audience selected by the company orbroker. Interested parties signed a confidentialityagreement to gain access to a set of binders,termed a data book, often containing hundreds ofpages of technical and economic informationabout the property.

Those still interested after examining thedata book were given access—one company at atime—to a data room containing boxes or filecabinets full of detailed technical and financialinformation. These parties submitted bids and,after negotiations, the offering company signed acontract with the winning bidder. Often, furtherdue diligence preceded closing the deal. Thiswhole process could be lengthy (below).

If deals are completed faster, cash is gener-ated faster. The Web introduces possibilities fornew efficiencies to speed this process.IndigoPool, a Schlumberger company, publishesinformation on licensing rounds and A&D dealsthroughout the world. The IndigoPool.com Website serves as a platform for buyers and sellers tocommunicate large volumes of complex technicalinformation and provides a secure, neutralworkspace for oil- and gas-property A&D orlicensing, data sales and service.

Authorized users can evaluate potentialopportunities on-line from anywhere in theworld. Using either graphical or search-basednavigation, a buyer can immediately see thecoverage of speculative seismic and other explo-ration data from the vendors—currently about20—that publish this information on theIndigoPool.com site. The Web site takes theplace of the brochure, physical data book and

44 Oilfield Review

Inve

stor

s

Time

Web site listing

Confidential data book

Secure on-line data room Physical data room

Brochure mailed

Information memorandum

> Shortening the acquisition and divestiture (A&D) process with on-linetransactions. The traditional A&D process (red) requires time to prepare and send materials to prospective investors. Access to the physical dataroom is limited to one investor at a time. In the new process (green), theIndigoPool.com Web site is secure, yet more widely accessible. Multipleinvestors can view the confidential data simultaneously. Deals can be completed more quickly using the Web site.

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Winter 2001/2002 45

data room. The information is available to manymore interested investors worldwide (right).

As part of the evaluation process, the buyerhas the opportunity to acquire additional data asappropriate to the evaluation. The IndigoPool on-line A&D data book and data room are pow-erful means for exposing these opportunities to aglobal audience (below right). The on-line databook provides summary asset information—similar to the set of binders submitted in the traditional A&D process—such as productionreports, key logs and structure maps.

The physical data room containing boxes oftechnical information has been replaced with an on-line data room. This part of the sitecontains extensive well data, production andoperational data, financial reports, geologic andgeophysical interpretations, and land and legalagreements. Superior data organization andwider data access give a large pool of potentialbuyers a clearer picture of the value of the asset.Multiple prospective investors can access thisinformation simultaneously using IndigoPool,significantly reducing the time from offering tosigning the deal.

IndigoPool can provide direct marketing ofassets through targeted e-mail messages. Forexample, an announcement about offerings by amajor E&P company for properties in Australia,Egypt, Trinidad and France generated traffic from600 different recipients the same day it was dis-tributed. Broadcasting offerings through theIndigoPool service helps reach more prospectiveinvestors than a company’s internal marketingorganization normally can contact.

Since IndigoPool.com began operations inApril of 2000, daily user traffic has steadilyincreased. At the end of 2001, between 600 and900 users were accessing the site daily.

2. Amin A, Bargach S, Donegan J, Martin C, Smith R,Burgoyne M, Censi P, Day P and Kornberg R: “Building a Knowledge-Sharing Culture,” Oilfield Review 13, no. 1(Spring 2001): 48-65.Brown T, Burke T, Kletzky A, Haarstad I, Hensley J,Murchie S, Purdy C and Ramasamy A: “In-Time Data Delivery,” Oilfield Review 11, no. 4 (Winter1999/2000): 34–55.

3. “Schlumberger Data Management,” in Outsourcing:Creating Value, a supplement to Oil and Gas Investor(April 2001): 16–17.

> Navigation on the IndigoPool.com site. Users can access information eitherby selecting locations from a map or by searching text fields.

> Data book and data room. High-level information is provided in the data book (left). Interestedinvestors can obtain access to property details, such as this well log (right), in the on-line data room.

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Prospecting AlternativesAfter its merger with Amoco and takeovers ofARCO and Vastar, BP had a strong concentrationof acreage in the US Gulf of Mexico continentalshelf, but insufficient exploration staff to fullyevaluate these holdings. BP feared some of theleases could expire untested. The potential prob-lem was solved with the VirtualProspect on-linesystem, a joint development of BP and IndigoPool,that exposes the data to a broad audience ofexternal consultants. The VirtualProspect programwas initiated in late 2000. Consultants examinedthe on-line information and submitted proposalsfor developing prospects. BP awarded contractson 42 prospects in five Gulf of Mexico propertiesbased on these proposals.

Following the interpretation work by theselected consultants, BP bought the rights to 10 ofthe prospects for about $300,000 US. BP esti-mates that collectively they could contain over 1 Tcf [28 billion m3] of gas. This represents 200Bcf [5.7 billion m3] of risk-weighted resources.The net present value of the risked reserves is

between $50 and $100 million US, assumingstandard terms and prevailing costs for Gulf of Mexico development. If the prospects aresuccessful, the consultants stand to receive addi-tional bonuses. Prospectors whose proposalswere not accepted by BP may obtain additionalcompensation by farming out the prospects onbehalf of BP.

BP has conducted two additionalVirtualProspect rounds. Many of the consultantswho were involved in the first round also partici-pated in subsequent rounds. The VirtualProspectsystem allowed BP to fully evaluate theseproperties in less than one year—a dramaticacceleration over what might have beenachieved internally.

Another Path to Evaluation ToolsCompanies perform extensive evaluations onproperties and prospects, requiring a variety ofhardware and software components. Someapplications, particularly seismic interpretationsoftware, are designed to run on high-end work-stations using the UNIX operating system. Many

economic-analysis and production-engineeringapplications run only on a desktop or laptop PC.An engineer or geoscientist may need two com-puters to run the software required for a job.

If software applications are used infrequentlyor are available only on a computing platform notused by a company, they may be prohibitivelyexpensive to acquire. Even when purchase is jus-tifiable, maintaining a company’s software andupdating to the latest releases can be daunting.

The evolution of the Web as an interactiveworkspace has introduced a new kind of busi-ness, the application service provider (ASP).Essentially, an ASP leases software use toclients on a periodic-payment or a pay-per-useplan. The Schlumberger ASP is called theLiveQuest service. A client may choose to con-nect to a LiveQuest center on a dedicated line orthrough the Internet, needing only a browsersuch as Netscape Navigator or Microsoft InternetExplorer software.

46 Oilfield Review

Data managementProject managementAdditional services

LiveQuest services

Backup Data loading System administration

LiveQuest ASP

Compute server Database server Applications server Web server

LiveQuestASP firewall

Clientfirewall

PC or Workstation

Localplotter

> LiveQuest service provision. Users sitting at their desktop PC or workstation access the LiveQuestASP interface using a Web browser. The LiveQuest service center maintains the data and appli-cations and performs computations. Results are pushed back to users as Web pages, on whichthey can view and plot results. Communications and data are secured by both the client firewalland the LiveQuest firewall.

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The LiveQuest ASP solution gives easy accessto oilfield software, including the following:• geophysical and geologic software, including

most of the GeoFrame suite • reservoir-management tools, including ECLIPSE

software• Merak economics and risk-analysis software• production-management tools, including

FieldView and OFM software• data-management tools, including the Finder

system• Drilling Office integrated drilling software.

The LiveQuest offering is continually updatedto the latest version of supported applications.

The data used in LiveQuest projects are keptsecure in the same location as the application,eliminating the need to transfer large data setsto run applications. The applications run onstate-of-the-art hardware at Schlumberger DataCenters in Calgary, Alberta, Canada; Houston,Texas, USA and Aberdeen, Scotland, with otherlocations planned. Schlumberger experts aroundthe world provide interpretation support andassist with the use of LiveQuest applications.

The LiveQuest secure interface pushes infor-mation to a user’s desktop computer (previouspage). Users see the same displays through theASP interface as they do when using a local ver-sion of the software. Since the application resultsare rendered on a standard desktop computer,

screen images easily can be cut and pasted intoword-processing or presentation software.

Companies buying the LiveQuest service havethe flexibility to quickly increase or decrease thenumber of authorized users and the softwareaccessed as business opportunities arise. Userscan be in any location that has an Internet con-nection, simplifying project collaboration. Evenlocations with slow modem access can set up and start jobs or check the results from many applications.

Some companies want to maintain close con-trol over their data, or companies may not beallowed to take data outside of some countries.In such instances, an alternative to multipledesktop computers is the LiveQuest Inside appli-cation, with servers, applications and datastorage maintained within the company intranet.

LiveQuest ASP services are available throughIndigoPool. Waterous & Co., a global, indepen-dent investment bank, recently divested severalproducing properties in the Middle East for aclient, using the IndigoPool.com site. The bankprovided a link to the LiveQuest service, allowingpotential bidders to analyze information in theon-line data room using the OFM suite of produc-tion-management software.

Waterous specializes in financial-advisoryand agency services for the energy industry. Thecompany has a technology joint venture withIndigoPool to develop comprehensive Web-based

access to key technical information, data and a variety of evaluation tools to fully support theon-line buying and selling of oil and gas assets.

Knowledge Capture and Collaboration Not long ago, the first stage of any field-development project involved finding old paperreports and data. Even then, much work wasredone, many times almost from scratch.Knowledge management in the industry hasmatured to the point that results from one studyoften can be put into later ones. Company or ser-vice company data centers and tools, such as theSchlumberger Finder system, help operatorsmanage information, archiving the final versionof data and interpretations.

The new MindShare tool improves knowl-edge capture and streamlines informationsharing and reporting. The unique database-driven architecture enables secure, global,multiuser access to project content. Almost any kind of project information can be stored,including word-processing documents andspreadsheets, images, presentations, e-mailmessages, seismic-section snapshots, drillingplans and simulation results. The information isavailable on user desktops with hyperlinks toproject information details. All authorized userscan view and edit the same sources, which arestored in a common location.

Designed specifically to support E&Pmultiplatform interpretation workflows, theMindShare application has the same interfaceand level of user friendliness on a UNIX platformas it does on Windows systems. The MindSharetool allows drag-and-drop functionality for allplatforms—common on PCs but not in the UNIXenvironment. Images on user screens can be cap-tured and dropped into the project easily.Changes to the stored information are reflectedimmediately on other users’ computer screens(left). With certain options enabled, multiplecopies of a data set can be maintained and per-sonalized to different users without affecting theoriginal version.

Since the MindShare tool is database-driven,and users can organize data during a project,progress and summary reports can be createdeasily. These reports automatically updatethemselves as information is added or changedelsewhere in the project. Report templates canbe customized for special purposes. With thehigh mobility of E&P personnel, the MindSharetool provides an essential evergreen repositoryfor project work.

> Sharing MindShare project information. When a user, such as a drilling engineer, changes informa-tion in the MindShare system (top), all linked pages are instantly updated. In this case, the driller’ssummary information is linked to a project status page. The new information refreshes automatically,even for viewers who are currently connected (bottom).

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Today, members of a project team often workin different locations and for different E&P or ser-vice companies. Firewalls maintain security buthinder sharing information between companies.In the MindShare application, access to eachstored item is designated independently for eachuser or group of users, secured by their loginnames and passwords. This system provides anideal balance between accessibility and security.There is no need to maintain multiple copies of aproject record tailored to different purposesbecause the same source can feed multiple uses.

The information also is available to regis-tered users through a Web-browser interface.They can view any information for which theyhave clearance from any computer connected totheir network.

Schlumberger used the system in Luanda,Angola, to provide support for a major interna-tional E&P company. The MindShare systemreplaced paper files containing seismic loadingparameters and scaling plots, allowing rapidretrieval of digital images and monthly reports. A contact information page for each member of the support staff was accessible from thesame interface.

A separate MindShare archive records infor-mation for a production data-managementsolution currently being developed for the sameE&P company. This archive captures the knowl-edge gained by the implementation team fortransferal to the client.

The Luanda office also implemented aMindShare application to track data forSchlumberger use. The system has importantdetails about the quality, health, safety and envi-ronment programs, including tracking physicalexaminations for the staff, driving policies, localpolicies and organization charts.

Personalized Portals The information environment within the E&Pbusiness has become both rich and complex. Avast array of asset data is stored in a company’sknowledge bank. Real-time data and updatedproject information, perhaps organized usingMindShare software, flow in continually. Datacan be analyzed using either local or remoteLiveQuest ASP applications.

Specialized data formats exist for seismicsurveys in two and three dimensions, drillingreports, well logs, reservoir-characterizationstudies, production data, reports to governments

and economic data. The same data may be usedin slightly different formats for different purposes.Similar information can be stored at varioustimes, but are the most recently stored dataalways the most accurate? Combining Webconnectivity and a specialized suite of data-management tools helps capture, store anddistribute validated data to users.

Information is an asset. Proper managementof this asset can have a positive impact on acompany’s operational efficiency and financialresults. A petrotechnical IT staff with experienceloading and managing data sets for the E&Pindustry is critical to maintaining data quality and validity. Schlumberger has many years ofexperience converting data between formats andcontrolling the quality of geophysical and engi-neering data. Schlumberger Data ManagementCenters, located in every region of the world, pro-vide data-management services ranging fromcontract assistance for a company’s internal sys-tems, through service-alliance projects, to com-plete outsourcing solutions. These centers make up the backbone of the Schlumbergerintranet joining 75,000 users at 800 sites in 100countries (below).

48 Oilfield Review

> Schlumberger intranet connectivity. The original (red) network has been augmented by additional connections (blue) and enhanced bandwidth to coveroil- and gas-producing regions around the world (green dots). Satellite dishes indicate locations of Earth stations for satellite communication.

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Schlumberger designed the Finder integrateddata-management system to capture, store,archive, access and deliver corporate E&P infor-mation. The system reflects years of softwaredevelopment and practical data-managementexpertise. This system makes the best availabledata accessible for studies and reports. The nextstep in the evolution of information-managementsolutions is coming in a joint development by SIS and Statoil. The new technology providesscaleable systems that are Web-enabled,integrate with interpretation workflows andinterface seamlessly with software from a vari-ety of vendors. This conduit for quality, real-timedata will help ensure that the right information isavailable to the right people at the right time.

Storing data intelligently is only the first stepin data management. Geoscientists and engi-neers must know information exists, and be ableto find it, in order for it to be useful. Good searchfacilities must be combined with logical arrange-ment to optimize accessibility. A library patronmay use an electronic card catalog to find aspecific book, but while browsing the stackscontaining that book, may find a related, unex-pected treasure shelved nearby.

This same concept applies for properly orga-nized and indexed petrotechnical data. Usersshould be able to quickly find all relevant data,even if they were unaware of the informationbefore accessing the database. The technical dif-ficulty is creating a system that is flexible enoughto gather the information needed for a variety ofend users, regardless of data format, withoutmaking something so cumbersome that it isimpossible to maintain.

One solution, the enterprise information por-tal (EIP), goes beyond the features contained inWeb portals or home pages offered by manycompanies to the general public. When users goto a standard Web portal for information on suchitems as stocks, television shows, weather andtravel conditions, the information flows in onedirection to the users. In contrast, the EIP extendsbidirectional access between users and sourcesof information, applications and knowledge.

Schlumberger combined the EIP technologywith data-management services, software andE&P industry expertise and created the newWeb-based DecisionPoint solution. This digitalworkspace enables faster, more successfuldecisions at all operational levels and providespersonalized access to the following:• information in structured formats, such as

financial, operational, logistics and productioninformation, seismic surveys, and well data

• information in unstructured formats—e-mailmessages, presentations, desktop files and

special reports—categorized and cataloged forefficient searching

• information and services from the Internet,including industry portals, public and govern-mental Web sites, and regulatory resources

• applications through on-demand use ofLiveQuest ASP software

• knowledge banks, including corporate directo-ries providing searchable access to personnel,repositories of best practices and lessonslearned, and learning resources, mentors anddiscussion groups.

Much of this information can be categorized andcataloged for efficient searching.

MindShare information can be accessed asanother component on a DecisionPoint portal. If amanager is monitoring several projects, each canhave a hyperlink from the portal directly into pro-ject working files, or a tailored status report canbe pulled from those files.

Both standard and EIP portals share oneimportant attribute: personalization. Each usercan decide what information will be displayed ona personal portal. Providing users with tens ofindividual components means they can createmillions of combinations for personalized portal

pages, which makes for essentially unlimitedchoice in design.4 Unfortunately, that could alsomean that converting data from their native for-mats to any possible user’s format could requiremillions of data translations.

A portal is simply a doorway. The data sideand the user side of the doorway can be han-dled independently. This simplifies the problemof translating the native format of every possi-ble component into a personalized Web site. Onone side of the door, data are converted fromtheir native format into a format common for theportal (above). On the other side, an informationrequest is translated from that common formatinto the one needed by the user for display, visu-alization or analysis. By treating the portal as atranslation device, the millions of designchoices can be provided with relatively few con-version routines.

4. Personalization permits many variations with a set ofreusable components. For a case in which users canchoose from 60 portal components, and are allowed sixcomponents per page, the number of combinations isgiven by the binomial coefficient, 60! / (6! (60-6)! ) =50,063,860.

Main page Search Workflow LearningCollaboration tools

Data access middleware

E&P data objects

E&P portalcomponents

Connectors

E&P informationstores

>Web-portal middleware. Connectors convert data from E&P information stores into a common for-mat used by the portal’s middleware software. Users configure individualized screens using E&P portal components. User-side connectors convert the data objects—production and well-test data,well information and drilling reports—from the middleware format into the format necessary for display or analysis.

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Personalization allows each individual toemphasize specific, critical information tailoredto each job and workflow. Everyone in the orga-nization can collaborate on the same validatedinformation and data analysis. Information isavailable to everyone as soon as it is posted,decreasing cycle time on virtually any process inthe E&P workflow.

A company in South America had a complexfield with an aggressive drilling schedule. Thegeneral manager wanted to track key perfor-mance indicators for drilling and business-unitfinances. The solution included optimizing pro-duction planning using the Finder database and aDecisionPoint portal, with links to the key indica-tors (left). The system optimized informationflows needed to determine those indicators. TheDecisionPoint service reduced bottlenecks ininformation flow and availability, allowing moreeffective decisions.

An exploration manager’s portal wouldcontain some of the same indicators as the oneused by a general manager, but would focusmore closely on the goals of the explorationdepartment. Each group of geoscientists, engi-neers or financial analysts in the company canhave a portal that focuses on different items.The DecisionPoint process gives all users themost current validated information. Communi-cation among groups involved in drilling a well,for example, can be optimized. The nonproduc-tive time between one group completing a taskand another group receiving the informationneeded to begin the next task is decreased. Bykeeping validated information in a databank,delays in transmitting reports from rigsite tooffice are eliminated. Regulatory requirementscan be tracked easily and made available to theproject team.

A DecisionPoint portal explicitly links toprocesses that drive business performance,reducing or eliminating information bottlenecks.Immediate access to data, information, applica-tions, people and marketplaces empowerseveryone to make important decisions any time, anywhere.

Performance OptimizationOptimizing field operations has a direct influenceon a company’s cash flow. The process can beviewed as comprising a long-term, reservoir-recovery optimization loop and a short-term,production optimization loop (left). After field discovery, the outer, long-term loop starts withinitial reservoir evaluation and development.After producing for a while, reservoirs are often reevaluated, including large-scale

50 Oilfield Review

Main page Search Workflow LearningCollaboration tools

Main page Search Workflow LearningCollaboration tools

> Types of portals. An asset manager’s portal (left) provides high-level summary information aboutongoing projects. A technical portal, in this case for a production engineer (right), provides a graphicallink to a production unit. Portals can also provide information such as crude oil prices and links to theInterACT server. The tabs at the top provide access to other DecisionPoint pages with search enginesand workflow-management, collaboration and learning tools.

Productionoptimization

(days to weeks)

Reservoirperformanceoptimization

(months to years)

“Fast loop”

“Slow loop”

Reservoir operations

Time-lapse data monitoring

Model reservoirPlan field development

Implement in fieldMonitor reservoir

Production operations

High-rate data monitoring

Update models and planIdentify driversExecute plan

Monitor results versus plan

> Reservoir and production optimization. Production operations are optimizedcontinually, with day- to week-long cycle times. This impacts the reservoirmodel, but major optimization projects are done less frequently, often onlyevery few years. Maintaining an optimal condition requires both high-ratedata monitoring and longer time-lapse data monitoring in the reservoir.

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surveillance such as time-lapse 4D and multi-component-seismic studies and new reservoirmodeling. Cycle time for a major model updateranges from months to years, but reservoir andproduction data are used continually to revisereservoir models and guide decisions on correc-tive steps to improve production.

The outer loop includes a production loop rep-resenting daily decisions and actions to keep theasset operating at peak performance. Ideally,feedback time is hours or days. Surveillancedata, like bottomhole pressures and flow rates,can be obtained frequently and should be

analyzed, interpreted and acted upon quickly.Unfortunately, quick evaluation is often difficultto achieve because data may not be accessible ina timely fashion. In such cases, opportunities andmoney are lost.

The process can be divided into four distinct,but related elements. First, hydrocarbon reser-voirs provide a primary source for generatingvalue. Second are the wellbores, constructed tooptimally access hydrocarbons and placed toensure efficient, cost-effective recovery. Thirdare the production systems and handling facili-ties for process and transport to a point of sale.

Finally, but not least important, are the monitor-ing and data-transmission systems. The entiredomain must be seen as a single system, witheach link vital to success.

In the past, data transmission has been abottleneck for getting information to engineers.Now, the Schlumberger InterACT remote-communications service provides secure, real-time, bidirectional access to oilfield data(above). This on-line collaborative workspacegrants access to project information via theInternet or an intranet to authorized personnel,

> Real-time InterACT data transfer. Information from field operations—including completions operations such as fracturing, drilling, permanent downholesensors and surface facilities—is transmitted in real time to a secure InterACT server. Communication links include satellite or microwave links, intranetsor the Internet, or cellular phones. These same communication links connect from the InterACT server to users at home or in their offices, iCenter meetingrooms or personal digital assistants.

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promoting teamwork in the decision-making pro-cess. The system delivers all types of data in anyformat, such as drilling reports, directional-drilling information, mud records, wireline andlogging-while-drilling logs, well-stimulationdata, processed log data, electronic photographsand a vast array of production data. The InterACTdata-cataloging architecture allows companiesto access and manage data from both local andremote operations.

InterACT data-delivery service is a user-friendly, intuitive system that does not requireinstallation of specialized software. Data can bestreamed from the rig, wellhead, boat or truck toa secure Web site hub using the InterACT system.

Wellsite data can be transmitted through anyexisting connectivity channel, even over a cellu-lar telephone. State-of-the-art digital technologyand unique transfer protocols enable theInterACT system to reliably complete transfers,even with poor connections typical of remotelocations. Flexible update options refresh data atpredetermined intervals—as frequently as everysecond. User-configurable thresholds can be setfor specific operating conditions or events. Whena prespecified condition occurs, a flag is gener-ated and stored in an individual’s profile.

Using an InterACT connection, a team ofexperts can access information and collaboratein the decision-making process from practicallyanywhere, improving efficiency while reducingtravel and rig costs. Data access in offices orhomes requires no modifications or changes in acompany’s firewall settings. After logging intothe InterACT Web site through a browser, userslocate data by browsing a well or by searchingthe site. Data security is maintained by best-in-class encryption, robust user authentication andtight access controls. Reports, logs and real-timeproduction rates can be streamed live andviewed on a desktop or a hand-held personaldigital assistant (PDA). Data files also can beproduced for import to other local applicationsfor further manipulation.

The InterACT service provides real-timedrilling and measurement information. WITS(Wellsite Information Transfer Specification) orWITSML (Wellsite Information Transfer StandardXML) data, which are industry standards for well-data formatting, are loaded through a secure linkto a database on the server. The InterACT systemsupports more than real-time drilling decisions.Any WITS or WITSML data can be loaded to thedatabase and viewed at a later time; experts donot have to be on-site or on-line at all times.

Interactive displays allow users to view real-time and historical data in graphical and numericdisplays. Logs can be viewed using a time ordepth basis. Well trajectories or directional plotsand a representation of a driller’s console trackdrilling progress. The InterACT system was thefirst in the industry to remotely display a logging-while-drilling resistivity or nuclear image log in real time.

A wellsite wireline engineer can uploadgraphical or digital logging data to the InterACTspace. Remote users can analyze or manipulatelogging-while-drilling and wireline data in realtime, or later, using the embedded log graphicviewer. During operations such as reservoir

sampling, experts at different locations using thereal-time data can make immediate decisions oncritical issues.

The InterACT system is integrated with theSchlumberger FracCAT wellsite acquisition sys-tem to monitor well-stimulation jobs remotely.Stimulation data published to the server becomeavailable for display in real time on an embeddedgraphical and numeric display.

During the production phase, well problemscan be flagged by looking for changes in tubing-head pressure, bottomhole pressure, andproduction-manifold pressures and tempera-tures, for example. Normally, this information is

52 Oilfield Review

iDrilling

iWitness

iVision

iProduction

iGeology iProject

Visitor rooms

Reception

Servers

Lounge ormeeting area

> Houston iCenter complex. The central iVision theater contains state-of-the-art visualization equip-ment and software for meetings of about 35 people. Satellite rooms also contain modern visualizationequipment outfitted especially for tasks in the E&P workflow.

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transmitted every few hours, as specified by theoperator. However, if there is an out-of-tolerancereading, the system can be set to increase thefrequency of transmission to capture importantdata. The InterACT system can send alarmsthrough an Internet connection or to a presettelephone number, a useful feature in remotelocations without a fast data connection.

Collaborative Visualization Environment When the first high-powered 3D graphicsworkstations appeared in the early 1990s,geoscientists would gather around a computermonitor in someone’s office to rotate and trans-late displays of seismic sections. The power ofdata visualization made it an important tool forexploration and later for reservoir development.By the late 1990s, rooms specially designed forvisualizing complex data had been developed byseveral major E&P companies and service com-panies. Within the past couple of years, theability to link remote visualization rooms hasimproved opportunities for collaboration.

As facilities improved, the uses for visualiza-tion expanded from seismic interpretation toalmost any aspect of the E&P business.Schlumberger developed several locations forvisualization, called iCenter collaborative envi-ronments. The center in Houston is a hub forinteractive field management (previous page).This fit-for-purpose facility includes a large the-ater, the iVision room, capable of accommodating up to 35 people. It was created for 3D visual-ization and collaboration sessions andvideoconferences with other Schlumberger andclient locations.

Screens that use bright light-output projec-tors are easy to see in a lighted room; partici-pants can take notes or use other materials whileviewing displays. A rear-projected flat screenallows discussions to take place next to thescreen without disrupting projection.

The display can be configured for viewingstereo images using glasses with left and rightlenses polarized in different directions (right).This “passive” stereo system is less fatiguing forthe viewer, and unlike an “active” display doesnot require interaction between each set ofglasses and a control unit.

Flexibility is an essential component ofiCenter connectivity. Real-time communicationand collaboration between rig-based or remotepersonnel and the iCenter facility are availablethrough an intranet, the Internet, by cable orsatellite. The room is wired to the Schlumbergerintranet, and participants can log in to their owncompany systems through the Web. No longer do

critical decisions have to wait until someonereturns to a remote office to obtain information;information retrieval and decision-making can beimmediate. The Houston center is available 24hours a day, seven days a week.

Additionally, the Houston facility containssatellite rooms around the iVision theaterdesigned specifically to accommodate thedomain expertise of client teams andSchlumberger. The rooms are configured toaccess real-time data streams through theInterACT system and then process, format anddisplay information critical for making decisions.Some of the workflows include the following:• seismic reconnaissance• reservoir simulation• mechanical earth model construction• well planning

• well construction • well completion and production optimization.

In the iWitness room, personnel can communi-cate with a rig, deliver and receive real-time data,and develop fracture-analysis recommendationsusing CADE Office software for well construction,well production and well intervention. Since itsinception in August 2001, the iWitness room hasbeen used for 55 jobs that required InterACT datatransfers. The room has been popular for offshorecompletions, because it eliminates the need forengineers to travel to remote locations to monitorcritical treatments.

Drilling teams plan wells and interface with No Drilling Surprises operations in theiDrilling room.5 Engineers monitor real-time well

5. Bratton et al, reference 1.

> Stereo viewing in Stavanger. A geologic model is viewed using specialpolarized glasses, which convert the passive stereo image into a three-dimensional representation. The console (foreground) controls the video-conference display on the main screen.

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and field data in the iProduction room, controllingoperations from the room to optimize perfor-mance. The iGeology area is set up to interpretborehole-image data from devices like the OBMIOil-Base MicroImager (see “A Clear Picture inOil-Base Muds,” page 2) and FMI FullboreFormation MicroImager tools on a large projectedimage, making interaction with clients easierthan when using a small computer screen. TheiProject room provides a large workspace formultidisciplinary teams to work together andmake joint decisions as they integrate workflowson complicated oilfield projects. Reservoir simu-lation tools, such as ECLIPSE software, are avail-able in the iProject room.

The iCenter facility contains the latest hard-ware and software technology coupled with theexpertise of in-house personnel. When combinedwith real-time data transferred from wellsitesusing InterACT remote-communications software,these visualization and collaboration tools helpclients make more informed decisions. Multi-disciplinary teams can communicate through acommon visual language, cutting through many ofthe complexities of the E&P business.

The iCenter environments can be scaled todifferent sizes and uses. Collaborative iCenterfacilities are designed for geophysical interpre-tation, reservoir management and project

planning. Facilities similar to the Houston iVisionroom are presently available in Stavanger,Norway; Ridgefield, Connecticut, USA; andCambridge, England.

With ergonomics, usability and collaborationthe prime requirements, Schlumberger IndustrialDesign developed a communications iCentervideoconference concept that uses multiwindowscreens to facilitate information sharing andremote collaboration. These centers can belinked with client videoconference rooms toexchange real-time data and information. Theyhave been installed in the Schlumberger corpo-rate offices in New York, New York, USA, andParis, France, and in the Oilfield Services facilityin Sugar Land, Texas.

With a collaborative iCenter installationrecently completed for Amerada Hess inAberdeen, Scotland, Schlumberger IndustrialDesign currently is working on collaborativeiCenter facilities for Schlumberger in PortHarcourt, Nigeria, and Gatwick, England, and forSonatrach in Hassi Messaoud, Algeria.

Innovations in Venezuela Petróleos de Venezuela S.A. (PDVSA) is a pioneerin using information management to improveoperations. In the late 1990s, PDVSA formedalliances with Schlumberger to effect severalchanges in its IT operations.

PDVSA recognized opportunities to improveoperational efficiency by organizing and archivingexploration and exploitation data. Schlumbergerand PDVSA worked together to successfully pre-serve a large volume of new data and to transferboth old and new information to the Finderdatabase-management system and a newlydesigned archival databases, known withinPDVSA as the Ambiente Integrado, or IntegratedEnvironment. This is the largest outsourced E&Pdata-management project in the world. Using thissystem, PDVSA estimates its savings in time andin lost data amounts to $314 million US per year.This data-management alliance is discussed in“Integrated Data Environment,” page 56.

PDVSA formed a separate alliance withSchlumberger called PRISA (Perforación yRehabilitación Integral con Servicios en Alianza,or Alliance for Integrated Services in Drilling and Workover) to improve production from the Costanero Bolívar field in Lake Maracaibo(top left). The contract called for Schlumberger todrill 90 wells per year and perform workovers on250 wells during the 10 years of the agreement.Within PRISA, PDVSA supervises all operationswhile Schlumberger designs and executes them.Schlumberger focuses on reducing operations

54 Oilfield Review

V E N E Z U E L A

C O L O M B I A

Maracaibo

LakeMaracaibo

Costanero Bolívar field

C a r i b b e a n S e a

> The Costanero Bolívar field in Lake Maracaibo, Venezuela.

01999 2000 2001

50

100

150

Num

ber o

f wel

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250Drilling and completionsWorkovers

> Drilling and workover activity on Lake Maracaibo for PRISA in CostaneroBolívar field.

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time, while PDVSA concentrates on increasingproduction. Teamwork between operator andcontractor has been important to the alliance’ssuccess.

The Costanero Bolívar field has undergoneintensive exploitation both offshore and inlandover the past 70 years. This highly complex fieldcomprises depressurized reservoirs that stillcontain significant amounts of oil; remainingreserves are estimated at 2.5 billion barrels[397 million m3]. Because of the field complexityand low formation pressures, state-of-the-arttechnologies are needed to produce theseremaining reserves profitably.

PDVSA had five goals for the Schlumbergeralliance in the Costanero Bolívar field:• 30% reduction in operations times• 20% decrease in well-operations costs• constant and strict environmental-conservation

measures, including zero discharge into Lake Maracaibo

• maximum hydrocarbon recovery in low-pressure reservoirs

• implementation of technological innovations to achieve the desired goals.

The field has a large number of planned andexisting wells requiring drilling and workoverunits that can be easily moved between wells.Specially commissioned, multipurpose rigsdesigned by Schlumberger first arrived inVenezuela in 1999.6 The units, which are light andmodular, can incorporate leading-edge technol-ogy to address the specific field needs. Currently,

the PRISA project operates six multipurpose units on Lake Maracaibo, which have addedproduction of about 125,000 barrels [19,870 m3]of oil per day through new wells and work-overs (previous page, middle).

Within the PRISA agreement, new technolo-gies may be introduced only when they areexpected to increase reservoir productivity. Onehundred new technologies have been applied,many for the first time in Venezuela, and some forthe first time anywhere in the world. Theseinclude the following applications:• gravel packing in horizontal wells7

• reentry in short-radius wells in the LagunillasLake area

• mud containing stabilized air microbubbles—aphrons—for prevention and mitigation of lost circulation

• single-trip perforating and packing usingPERFPAC sand control8

• CoilFRAC, ISO-AllPAC and screenless completions.9

The alliance has shown quantifiable improve-ments in production—more than 6000 barrelsper day [950 m3/d] beyond the forecast made byPDVSA before the project began. Synergybetween Schlumberger and PDVSA improvedsteadily as the strengths and responsibilities ofeach team were established. During the project,PRISA reduced operations times far beyond the30% target. In some wells, the 10-year objec-tives were met in just two years.

Some of the improvement in operationalefficiency came from communications and infor-mation technologies. Schlumberger created aWeb site for PRISA that is based on theKnowledge Hub, which is the browsable index ofthe Schlumberger intranet. This secure interfaceallows access by PRISA personnel to selectedPDVSA and Schlumberger proprietary sites.Project data are available, including well-construction programs, final well reports, drillingreports, completion and stimulation programs,technical papers developed during execution of the project, and presentations from PRISAtechnology forums. A daily report also is pub-lished on the site.

At the heart of the system is theSchlumberger InterACT interface connectingwellsites and offices. This technology makes thePRISA Hub a source of real-time operational dataand a true knowledge-management system. Thegoal of the PRISA Hub is integrating 3D reservoirseismic and geology data with well-drilling andworkover operational data.

PDVSA and Schlumberger presented opera-tional results from the PRISA project at aninternal technology forum in March 2001. A pro-totype of a PRISA Virtual Room was unveiled at this meeting. Similar to an iCenter facility, this room combines access to information fromseveral technical domains in one environment. Itwill provide 3D visualization of reservoir, seismicand well data and real-time data during opera-tions. With this system, geologists and engineerscan observe key operations without traveling to the field.

The prototype demonstration included real-time monitoring of a gravel-packing operation asit was conducted on the PRISA-112 workover rig.During this operation, the InterACT system trans-mitted pressures and flow rates to a workstationin the office about 2 miles [3.3 km] away (aboveleft). Ongoing operations from all wells being

6. Adamson S, Cupello F, Hicks J, Keenleyside M, Formas D,Gabillard C, Gamarra F and Sanchez A: “MultipurposeService Vessels: Versatile Toolkits for Well Intervention,”Oilfield Review 8, no. 3 (Autumn 1996): 34–43.

7. Foxenberg B, Troncoso J, Tiffin D, Steven B, Ripa G,Pitoni E, McPike T, Godwin K, Cooper S, Price-Smith C,Parlar M, Bixenman P, Bennett C, Dickerson R, Ali S andDesroches L: “High-Productivity Horizontal GravelPacks,” Oilfield Review 13, no. 2 (Summer 2001): 52–73.

8. Behrmann L, Brooks JE, Farrant S, Fayard A,Venkitaraman A, Brown A, Michel C, Noordermeer A,Smith P and Underdown D: “Perforating Practices That Optimize Productivity,” Oilfield Review 12, no. 1(Spring 2000): 52–74.

9. Degenhardt KF, Stevenson J, Gale B, Gonzalez D, Hall S,Marsh J and Zemlak W: “Isolate and Stimulate IndividualPay Zones,” Oilfield Review 13, no. 3 (Autumn 2001): 60–77.

5000

4000

3000

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sure

, psi

2000

1000

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Time17:58 18:5818:28

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ppa4

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6Treatment pressureAnnular pressureSlurry rateSurface proppantconcentrationDownhole proppantconcentration

> Real-time monitoring of a PRISA gravel-packing job. Conditions at the rigsite were monitored fromthe PRISA office as the job was performed. The slurry pump treating pressure (red) indicated a screenout at about 17:20 so slurry pumping stopped (magenta). The rig pumps (parameters not shown)backflushed to remove excess sand; the test at about 18:20 indicated a good gravel pack had beenachieved. Annular pressure (gold) was zero throughout this job, confirming the packer maintained itsseal. There is a time lag between surface (green) and bottomhole (blue) proppant concentration.

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drilled and repaired also were shown using thedrilling and workover consoles. The real-timedata were compressed and sent via satellite.Once the data arrived at the Virtual Room, theinformation was decoded, processed and dis-played (above).

The PRISA alliance used the proprietarySchlumberger InTouch repository of best prac-tices, lessons learned and other knowledge toobtain answers to operational problems. In addi-tion to the on-line database, the InTouch systemis supported 24 hours a day, 365 days a year, by a Schlumberger center in Houston. The center uses a global community of experts toanswer questions raised in Schlumbergerprojects anywhere in the world. For urgent prob-lems, solution-response times can be as short asone hour.

The InTouch system helped PRISA overcomethe low productivity of Well LL-648, ReservoirLGINF-05, in the Lagunillas Lake area. An assess-ment of root causes for poor well performanceused field-wide well information. Prior formationdamage likely was due to extensive workoversover the past 30 years, including five squeezestimulations using sand in an oil-base slurry,

seven gravel packs and use of lake water duringwell-control operations. Poor-quality sands, and,in some cases the wrong zones, had been perfo-rated. The worldwide database of best practicesof the InTouch system provided several recom-mendations for these problems:• Recover gravel-pack completion hardware and

clean out with 2- to 3-micron filtered fluid. • Run new gamma ray and resistivity logs and

redefine perforating intervals.• Identify the oil-water contact using the new

gamma ray and resistivity logs.• Analyze the possibility of performing a stimula-

tion job before gravel packing. This project provided three new lessons to

include in the knowledge-management database.First, when the original resistivity and gamma rayor spontaneous-potential logs are old, considerthem unreliable for correlating with perforationdepth. If there is not a reliable correlation log,analyze whether to run a new log before perfo-rating. The second lesson was to check intervalsto be perforated with correlation logs, and reportany differences to the workover engineer incharge. Finally, remediate formation damagebefore any gravel-pack job.

Integrated Data EnvironmentPrior to the creation of the Ambiente Integrado,PDVSA had data spread over a large number ofunlinked databases. Ambiente Integrado createda unified source for a wide variety of data types:well data, seismic data, geochemistry and fluid-properties data, map and environment data,technical reports, and project data from inte-grated studies.

Schlumberger staffs the PDVSA DataManagement (PDM) organization, which createdthe Ambiente Integrado system. PDM supportsmore than 2800 users in PDVSA and a portfolio ofmore than 100 specialized applications, with cus-tomer service and support desks in 16 PDVSAoffices in 14 cities. The organization supports dailyoperations and includes a special-projects groupto develop applications, extend and integrate datamodels and provide technical leadership.

PDM ensures that PDVSA has access to thelatest technologies available within the industry.Several technologies have been developed in thisSchlumberger and PDVSA alliance:

56 Oilfield Review

> Virtual Room display of rig operation. Current operating parameters can be calledup from the PRISA office for any drilling and workover rig in the Costanero Bolívar field.

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• a system for visualization, query and manage-ment of satellite images

• an integrated system to manage surface-facilities data for oil and gas fields

• a Web interface to provide direct access todata in the Ambiente Integrado system

• a custom-built reserves system for estimating,accounting, reporting and managing all typesof company reserve data (oil, gas and bitumen)

• a Web-based system for sharing project infor-mation called Project Net.

The success of Project Net led Schlumbergerto develop the MindShare collaborative envi-ronment. This tool allowed PDVSA to managelarge, complex projects while sharing the infor-mation among the project staff and companymanagement using a Web browser across thecompany’s intranet.

In its first test, Project Net was used in a pro-gram to examine 24 opportunities in Venezuela,which led to eight prospect areas. Project Netorganized all information related to this project,including maps, interpretations and final reports.Participants documented best practices andlessons learned for future projects. The projectstaff could access relevant information from acentralized digital archive.

Summary data screens helped managementtrack the key performance indicators of the pro-ject, such as planned and actual expenditures(above). More complete details were available ona second level of screens. For example, progressof each element of the project was tracked andmanaged. Team members quickly could see thestatus of important items using a system ofgreen, yellow or red “traffic” lights. Project Nethelped foster a cooperative environmentthroughout the project execution.

Transforming WorkflowsThe Schlumberger Information Systems toolkitprovides many new options for managing theE&P business. Changes already are under waythroughout the industry to accommodate the newinformation-centric paradigm, but there are clearneeds to be fulfilled before the industry can real-ize the benefits of this new way of working.Many locations lack a powerful IT infrastructure.Broadband connectivity to remote locations isstill a rarity. Getting more information, morequickly, from wellhead to decision-makers is keyto optimizing performance. Although bringing olddata sets into a powerful database such as the

Finder system may be an enormous task, theinformation and lessons from the past containedwithin those data must be made accessible.

Dealing with the conflicting problems of datasecurity and data accessibility is an ongoing job.Efficient collaboration requires accessibility, butwithout the proper software, corporate firewallsmake sharing difficult. Systems must have robustauthentication for security to assure confidential-ity. Smart-card technology is a solution that isalready available.

New Web-based technologies and applica-tions soon will be an integral part of everydaybusiness. They will permeate every aspect ofexploration and production, eventually becomingso essential and obvious that no one noticesthem. Then the transformation to the digitalenterprise will be complete. —MAA

> PDVSA project management. Schlumberger developed Project Net software to help PDVSA manage projects such as this “Project for Generation ofProspects and Opportunities.” The left side of each screen is a navigation bar. The top-level screen (left) tracks the physical progress of the project and thebudget from January to August in 1999. The traffic lights at the bottom indicate status of key indicators for the project. One detail-level screen (right) breaksthe critical elements for one of the prospects, Lago Central, into finer points, including the traffic-light warning system and space for comments.

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