Production Operator Oil Gas
Vladimir Putin recently said, “It is extremely dangerous to encourage people to see themselves as exceptional, whatever the motivation.”
Apparently, he thinks the world would be better off if we all saw ourselves as hopeless lackeys.
However, there is a certain amount of delicious irony in this statement, because the reality is that the whole story of the US unconventional oil and gas industry is about American Exceptionalism.
It’s about those operators in our industry that aren’t afraid to push the envelope. The operators that understand the risks AND rewards, and challenge the status quo with regards to what is and is not possible.
Not all Operators are Created Equal
We recently examined several thousand wells and extracted a variety of geological and petrophysical parameters to build a geological model across the Eagle Ford play to replicate the methods we employed in the Barnett and the Bakken. We then analyzed the over 7, 000 wells that are producing today to reference against these to find out what things that are actually driving results in these shale plays.
There are a handful of operators that are starting to challenge what the others are doing and thinking. These operators demonstrate that in unconventional oil and gas, these shale reservoirs are not the same beasts for everyone. There are companies that do it more right, and there are companies that are doing it more wrong.
Not surprisingly, the companies doing it right are booking large reserves and seeing exceptional returns – both in terms of new production and new investments into the company. So a great divide exists between those operators that are willing to invest in the knowledge, analytics and technology you need to be successful in plays like the Eagle Ford Shale, and those operators that are crossing their fingers hoping for the best.