Calgary Q3 Data Management Luncheon September 10, 2014

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1 PROFESSIONAL PETROLEUM DATA MANAGEMENT ASSOCIATION Venue And Food & Beverage Sponsor Calgary Q3 Data Management Luncheon September 10, 2014 Well Identification and the NEW Canadian Well Identification Standard Featuring: Troy Davis (Devon Energy), Sean Udell (geologic Systems), Peter MacDougall (IHS), and Ingrid Kristel (PPDM Association) 1 9/10/2014 Copyright 2014, PPDM Association. All Rights Reserved

2 Professional Petroleum Data Management Association The place where data management professionals go for participation in a global community of data managers, access to a body of knowledge, and for professional development opportunities. The PPDM Association is a not-for-profit professional society dedicated to the recognition of: Standards and Best Practices: Member driven, business oriented standards Data as a critical industry asset Data management as a professional discipline Professional development Body of Knowledge Certification: Petroleum Data Analyst Building Community Training: Standards, Data Management Foundations: The journal for data managers Events: 30+ Conferences, Workshops, Lunches Copyright 2014, PPDM Association. All Rights Reserved

4 PROFESSIONAL PETROLEUM DATA MANAGEMENT ASSOCIATION The Canadian Well Identification System Standard Troy Davis, Senior Systems Analyst, Geological and Geophysical Solutions, Devon Energy Sean Udell, Vice President, Operations & Technology, geologic Systems Peter MacDougall, Director Client Solutions, IHS 4 9/10/2014 Copyright 2014, PPDM Association. All Rights Reserved

5 WHAT IS THE UNIQUE WELL IDENTIFIER? UWI design for Canada 1970 s Used by Regulators Variants in use Used in Software / DB Often is the primary identifier We Written on documents Logs, tour sheets the UWI! 5 9/10/2014

6 THE ROLE OF AN IDENTIFIER Data capture and storage Data access / delivery Data use Many systems Long timeframe Well, Land, Financial, HSE Find the data Integrate systems Reconcile differences Reports, filings, maps BI tools Decision making 6 9/10/2014

7 INDUSTRY HAS CHANGED DIFFERENT WORLDS. DIFFERENT WELLS THEN NOW 7 9/10/2014

8 AND THE UWI DID NOT KEEP UP Surface location c d c d Bottom location 93 H 92 H How many wells? a b a How are the wellbores tied to the wellheads? c d c d 83 H 82 H 94 I 9 8 9/10/2014

9 COMPLEX WELLS = COMPLEX PROBLEMS Oil Sands Road Allowances Water Sources Filing Rules c Pad 93 H d a c 92 H d 3 Wells: unique surface locations 11 Wellbores: unique bottom locations c d c 83 H 82 H 94 I 9 9 9/10/2014

10 THE MISSION Work Group Mission Create a new Well Identification system that can be applied to all Wells, and adopted by all Stakeholders. Every Wellbore can be uniquely recognized and the exchange of well information is unambiguous. Support the existing UWI legacy 10 9/10/2014

11 THE PARTICIPANTS Industry Apache Baker Hughes BP Canada Cenovus Energy Chevron ConocoPhillips Canada Devon Energy Encana geologic IHS Energy Nexen Energy Shell Canada Talisman Energy XI Technologies Governments & Regulators British Columbia Alberta Saskatchewan 11 9/10/2014

12 THE EXPECTATIONS Continuity and reliability through transition Efficiency (time, cost, certainty) Cost/benefit value of adopting CWIS Realistic costs for software and regulations Business stability through implementation period Coordination among stakeholders (including regulators) Training effectiveness for the staff of all stakeholders 12 9/10/2014

13 DEFINITIONS: WIAW DEFINITIONS 13 9/10/2014

14 DESIGN PRINCIPLES Every ID is unique and permanent Every ID is assigned only by the relevant Authority The number in the ID has no temporal order or meaning Every Well has a only one Well ID Re-entry into the same Well Origin has the existing Well ID Every Wellbore has a Wellbore ID Every Well Reporting Stream has a Well Reporting ID 14 9/10/2014 Every Wellbore ID & Well Reporting ID is associated with a Well ID

15 MEET THE BUSINESS REQUIREMENTS CWIS delivers these requirements The Well ID identifies a Well A Well has a unique Well Origin (fixed surface location) Data filed and retrieved according to the well it came from The Wellbore ID identifies a Wellbore Downhole measurements and construction, including logs, tests and completions, within the wellbore (depth, time) The Well Reporting ID identifies any Well Reporting Stream for which the Authority requires information Management of all the information about a well's productivity: entitlements, zones, volumes, dates, etc. 15 9/10/2014

16 DON T TOUCH MY UWI!! WHAT ABOUT THE UWI? The Standard addresses the UWI challenges without removing the UWI from the Canadian scene. The UWI is expected to persist for all wells, and to co-exist with the new Identifiers. 16 9/10/2014

17 ONE WELL, THREE IDENTIFIERS Wellbore Wellbore ID Constructions, activities and measurements by depth and time Well Well ID Well Origin (surface location) Well Reporting Stream Well Reporting ID Entitlements, volumes, dates, fluids, allocations, status, etc. 17 9/10/2014

18 CWIS CONSTRUCTION Province / Territory Well Code Comp Type Comp Value Example Well ID AB AB Wellbore ID Well Reporting ID AB B 001 AB V 001 AB B001 AB V /10/2014

MANY EXAMPLES 19 9/10/2014 Canadian Well Identification System

THE SPECIFICATION DOCUMENT http://wellidentification.

20 THE SPECIFICATION DOCUMENT org/canada Review and comments are due September 30, /10/2014

21 21 9/10/2014 EXAMPLE: MULTIPLE WELLBORES

22 22 9/10/2014 EXAMPLE: BYPASS

23 23 9/10/2014 EXAMPLE: SKIDDED WELL

26 26 9/10/2014 EXAMPLE: COMMINGLED PRODUCING

27 27 9/10/2014 UPCOMING EVENTS

28 PROFESSIONAL PETROLEUM DATA MANAGEMENT ASSOCIATION Venue And Food & Beverage Sponsor Calgary Q3 Data Management Luncheon September 10, 2014 Well Identification and the NEW Canadian Well Identification Standard Featuring: Troy Davis (Devon Energy), Sean Udell (geologic Systems), Peter MacDougall (IHS), and Ingrid Kristel (PPDM Association) 28 9/10/2014 Copyright 2014, PPDM Association. All Rights Reserved