We sure did have a blast at Winter NAPE! We hung out with drilling companies, geologists and geophysicists, vendors, bankers, landmen – smart, good-looking people all around!
Our booth was a big hit (check out this time lapse of the build-out) and we ran through hundreds of personal demos of our DI Pro and Transform Essential Predictive Decision Platforms. Bunches of folk got to experience our Subsurface Theater Virtual Reality Experience (I ran through it a few times, myself).
One of the big highlights was our exclusive NAPE kick-off networking party at Minute Maid Park on Wednesday! 500 of our closest friends gathered together to break the ice (it was cold, now that I remember) and Allen Gilmer gave a predictably great presentation on the Future of Oil & Gas E&P. Check out some highlights in this video:
Historic Shift in Oil & Gas E&P
The Oil and Gas Industry has typically been a follower – what we do with software is not much different than what we did in 1950 with pencil and paper. We’re not taking advantage of the computers – we’re not taking advantage of what’s happening in the digital world to work on this data to give us insights that we didn’t have before.
A typical company today has about 3.9 million gigabytes – 7800 laptops worth of data – and most of it is lost. We’re not doing anything with that – it’s just recorded. And here’s the problem: half of a percent of this has been analyzed and when I say analyzed I mean looked at in order to create actionable value. So what we’re trying to do here at Drillinginfo, we’re trying to build the iron man outfits for everyone. We’re working on these entirely new classes of applications that use all the data there is to help drive decisions.
A Look Ahead
We have more proven producing undeveloped locations to be drilled than we’ve ever had as an industry in the history of the world. There are 50 to 100 experiments taking place at any one time in which people are going out to look to see if certain kinds of rocks will produce that we never thought would produce before. It changes not the value of just that location it changes the value of whole pieces of acreage.
Underperforming on Prime Acreage: Why?
What we’ve been able to determine with the unconventionals is the difference between the best operator in an unconventional play and the average operator is about 30%. That means the best operators are producing about 30 or 35 percent more from the same quality of rock than the average operator, and they’re producing 3 times as much as the worst operators. There’s never been a bigger differential before. Anyone who’s on the right is going to be acquiring companies on the left. This kind of benchmarking makes it easy to see what’s happening in the industry at all times and make it part of our decision-making.
Watch the rest of Allen’s presentation here.
We had a great time, and know you did as well.
What do you think? Did you come to our party? What was your Winter NAPE highlight? Leave a comment below.
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