Estimated Ultimate Recovery (EUR) Done Fast, Done Right
Thursday May 5, 2016
Evaluating new opportunities is always a high-stakes process for E&P companies.
Expensive decisions must be made quickly, but without sacrificing accuracy. A mistake could cost millions of dollars in losses or opportunity costs. But speed and accuracy can be especially difficult when an operator is evaluating opportunities in a new area with no proprietary data available.The typical process when evaluating opportunities in new areas involves forecasting remaining reserves or estimated ultimate recovery (EUR) of a well or type curve using decline curve analysis. Based on this information, a reservoir engineer could predict whether a single well or series of wells would be a positive investment.
The traditional method of forecasting EURs for new areas includes collecting public data that is often incomplete and imperfect, importing it into a modeling platform, and then manually selecting a decline curve model. The decline curve model selected may or may not be the best fit, which leaves plenty of room for error. After running the decline cure analysis, the result is a single output – one EUR estimate that doesn’t provide any indication of the reliability of the prediction or the potential for error.
Doesn’t this seem like a risky way to make such expensive decisions? At Drillinginfo, we thought that there had to be a better way to forecast reserves and make decisions about new opportunities – a more innovative, technologically-forward way that would let the data drive these decisions. A one-stop shop so customers can complete the entire EUR forecasting process – from data selection to results – on a single platform. So we came up with a suite of tools to help make faster, more accurate EUR estimates that minimize risk and maximize confidence in important decisions.
Let’s see how it works:
