More and more, engineers are developing new ways to improve on the old way of doing things. As Hart Energy ramps up for its DUG Eagle Ford Conference to be held in San Antonio, Texas, Oct. 10-12, the question of how technology impacts unconventional resource development has become a major focus for the E&P editors.
Newer tools, such as rotary steerable systems and real-time acquisition devices designed specifically for horizontal applications (i.e. an average shale well), make headlines on a regular basis. Rig design, namely in the areas of automation, pad drilling, and smaller footprints, are a major focus for many operators and the companies that supply these rigs to market.
The debate looms large over whether or not the burgeoning unconventional resource sector requires an unconventional approach to rig design. This debate is compounded by the generation gap among all fields within the industry. As older, more experienced crews become exposed to newer, more advanced systems, there often is resistance to adopting these tools or even admitting that they sometimes work. The "old school" is often the only school when discussing the best methods to drill a well.
The expression "Nintendo generation" is sometimes used to refer to the newest generation of oil and gas workers. These engineers are characterized by a high level of computer literacy, a keen disposition to plug-and-play technology, and a tendency to lose interest in careers that do not consistently introduce more advanced technology at a rapid pace. The "new school," as it seems, will require different approaches to drilling technology, which is often set on doing things the old way. The difficult decision is for drilling contractors and their customers to determine exactly what tools and equipment are obsolete, which ones will be standard in the future, and what other technologies can have major benefits if adopted for the oil and gas industry. In an effort to define some of these possibilities, the E&P editors are currently organizing an in-depth workshop to look at this scenario as well as many others that have a direct effect on a company's bottom line. Namely, it takes more than just capital to drill a well. Having the right tools and the right people is a defining factor in overall drilling costs. By now, the industry has devised a number of innovative approaches that are proving themselves daily in shale plays throughout North America. New equipment is accepted readily if it drastically improves productivity; but in areas where the equipment "works just fine," the more important question is, "Are we using the right tools for today, or was it the right tool for 20 years ago?"
Recommended Reading
Crescent Energy Closes $905MM Acquisition in Central Eagle Ford
2025-01-31 - Crescent Energy’s cash-and-stock acquisition of Carnelian Energy Capital Management-backed Ridgemar Energy includes potential contingency payments of up to $170 million through 2027.
Petro-Victory Buys Oil Fields in Brazil’s Potiguar Basin
2025-02-10 - Petro-Victory Energy is growing its footprint in Brazil’s onshore Potiguar Basin with 13 new blocks, the company said Feb. 10.
Apollo Funds Acquires NatGas Treatment Provider Bold Production Services
2025-02-12 - Funds managed by Apollo Global Management Inc. have acquired a majority interest in Bold Production Services LLC, a provider of natural gas treatment solutions.
Report: Diamondback in Talks to Buy Double Eagle IV for ~$5B
2025-02-14 - Diamondback Energy is reportedly in talks to potentially buy fellow Permian producer Double Eagle IV. A deal could be valued at over $5 billion.
VAALCO Acquires 70% Interest in Offshore Côte D’Ivoire Block
2025-03-03 - Vaalco Energy announced a farm-in of CI-705 Block offshore West Africa, which it will operate under the terms of an acquisition agreement.
Comments
Add new comment
This conversation is moderated according to Hart Energy community rules. Please read the rules before joining the discussion. If you’re experiencing any technical problems, please contact our customer care team.