American Oil and Gas Reporter - March 2017 - 38

SpecialReport: Data Mining & Analysis
Technology plays an important role in
increasing efficiency.
At the same time, he notes that workers
have become very familiar and comfortable
with mobile technologies. As a result,
they are more willing to adopt smart
phones, tablets and portable computers
in their everyday workflows.
"Historically, companies have adopted
technologies in the back office to manage
production, accounting, engineering, land
and other data, but the field and backoffice systems often were separate silos
that had to be updated manually and were
disconnected from each other," observes
Hill. "Increasingly, producers want to analyze data regardless of where a dataset
is stored, and they want it in real time."
Achieving that requires data integration,
through either migration into a next-generation system, or real-time connection
between existing silos, he goes on. "When
data are difficult to gather, production engineering may struggle to even know how
wells are running," Hill states. "With full
end-to-end integration, they can move beyond merely checking well status to begin
predicting well production and failures."
Hill says he also sees analytics playing
a larger role as pattern recognition technology
helps turn unstructured data into intelligence.
"There has been such a rapid change in
pattern recognition technology that it is
now capable of analyzing large volumes of
photos, maps, scanned documents, and
other unstructured data," he says.

New Level Of Insight
Rock Creek Oil LLC uses remote
monitoring and control to quickly identify
production issues and address them early.
As a small operator with high-water-cut
wells, Rock Creek sees great advantage
in automating for improved efficiency.
"We now can see in a week, downward
trends that used to take a month to spot
and diagnose," affirms Travis Teague,
Rock Creek Oil's general counsel.
The benefits of automation are immediate and obvious, says Teague. Using
Bluetick Software's remote monitoring
and control solution, data are available
in real time and are collected consistently,
he notes. "We now collect data at the
same time in the same way every day,
which gives us the confidence to take action faster when an issue arises," Teague
says, adding that field technicians spend
more time on higher-value work and resolving issues, and less time driving
around looking for issues.
Any employee at Rock Creek can access field data for trend analysis, regulatory
compliance, and interfield effects. They
can predict maintenance requirements
based on production rate changes, optimize
electrical costs by monitoring torque, and
monitor the effects of a well shutdown
on surrounding wells, Teague observes.
Specific changes in data trigger alerts.
For Teague, the value comes down to
reducing the margin of error in spotting
issues. "Remote monitoring and control

Remote monitoring and real-time data analysis are giving Rock Creek Oil LLC new operational insights and the ability to optimize production and quickly identify potential issues.
Shown here is a screen shot of a trending report for one of the company's leases using
Bluetick Software's remote monitoring and control solution.

38 THE AMERICAN OIL & GAS REPORTER

give us insight at a whole new level," he
states. "It is like the difference between
calculus and simple math."
Better Data Management
Rig counts continue to climb across
the United States, but 40 percent all of
the active rigs are drilling in the Permian
Basin. The development of high-value
horizontal resource plays across the basin
has fanned the need to better manage
land and production data, says Mike
Mills, president of Bluetick Inc.
Operating companies and brokers alike
need to keep up with permits, leases, division orders, maps, and many other
records that are managed best in a single
Web-based package, Mills says. As fields
go into production, well data are added
to the collection and production data can
be tracked at all oil and gas sales points.
"Any authorized individual can get instant
access to all assets," he says.
According to Mills, field teams can
assess situations quickly and ensure they
are maximizing production. Data are
immediately available, allowing operators
to make more timely decisions. Data
also can be reported and graphed to understand production trends. Pumpers can
use a mobile application to manage well
activities on the go and capture data
from noninstrumented well sites, he relates. At the same time, he says, "Reservoir engineers can use well data to analyze the reservoir without traveling to
the site."
Once field data become available, the
information can be tied into a land management system or accounting package.
"For example, production data can be
tied to land data, making it easier to
manage lease expirations and shut-in notices 30, 60 or 90 days out," Mills states.
"Operating companies can share project
data with brokers for greater collaboration,
while fencing off unrelated data."
Moreover, producing and service companies can monitor safety-related conditions, including hydrogen sulfide, giving
them a better chance to avert exposure,
Mills continues. If there is exposure,
safety teams can determine the exposure
level and promptly notify personnel while
using the information to create and update
their regulatory reports. Leak detection
and repair regulations make it economi-



American Oil and Gas Reporter - March 2017

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