Rigs

THE CHALLENGE:

The client had well servicing costs in current production fields which were rising per unit of output. These costs were the result of work conducted by third party contractors (drilling companies) which do the well servicing work on current production wells. While the work was necessary the client felt there was opportunity to reduce the costs without negatively affecting production. Without a formalized system to control these costs the client could not confirm this opportunity and was unable to control / reduce it. This opportunity was confirmed and quantified during the analysis conducted by PVA.

THE RESPONSE:

To work with local management to develop and install a customized Management Operating System, including a problem resolution mechanism that would increase the involvement of client and contractor personnel in the process. In addition, training and in-the-field coaching would be provided to the Rig Technicians and Rig Consultants to improve the effectiveness of their management skills. Some specific actions that contributed to the results were:

• Enhanced Roles and Responsibilities for client personnel involved with well servicing management.
• More infield visits by the “Rig Technicians”
• Daily focused communication between the “Rig Technician” and the “Rig Consultant” on expectations, progress, and issues
• Development of standards to understand and measure job progress
• Development of tools to calculate “pay-back” of well servicing work
• Better coordination between client personnel and the rig crews (contractors)
• Implementing a climate of continuous improvement throughout the operations

PROJECT RESULTS:

Some of the results that our Client achieved were:

• Rig Technicians now prioritize well jobs to provide the greatest added-value
• Increased accountability of the “Rig Consultants” and ultimately of the actual Rig Crews
• Improved well work-over performance
• Reductions in rig servicing expenses in total and by individual well
• Reduction of third party contractor costs
• Improvements in production levels due to proper prioritization of jobs

PERPETUATION OF RESULTS:

Collaboration continues between PVA and this Client as other areas are being brought into scope. In the areas completed, PVA is conducted audits in order to support their Management Operating System compliance and a successful implementation of their Continuous Improvement Program.