Exploration Insights September 2019 | Page 4

4 | Halliburton Landmark Exploration Insights | 5 120 40 20 2010 2011 2012 2013 2014 2015 2016 2017 2018 Year Figure 1 > Global reserve replacement ratios for conventional oil and gas, calculated as the difference between yearly production and discovered reserves, and expressed as a percentage. (Source: Rystad Energy, UCube, version 2019-08-07) TRADITIONAL SCREENING resources to use this digital revolution to its full advantage. Screening is a commonplace workflow in which areas are assessed for their hydrocarbon potential across a range of scales. At a global scale, the geology of basins may be analyzed to estimate yet-to-finds and recoverable resources. These estimates are then considered alongside additional economic and political factors. At the regional to basin scale, the goal is typically to high-grade the most prospective areas for particular plays, often in relation to an upcoming licensing round. The main objective in any scenario is to assess the balance between the potential for economic discoveries and exploration risk, prior to making further investment decisions. The combined challenges of undertaking frontier exploration with reduced resources and ever- increasing volumes of data speak to a need for faster, better-integrated, and more rigorous screening of exploration opportunities. This article explores how cloud-hosted geoprocessing technologies can be applied to typical, early- stage exploration screening workflows, enabling geoscientists to assimilate and upscale geological content rapidly, to answer key exploration questions. These efficiencies allow geoscientists to test numerous play concepts or consider many scenarios with the click of a button. By removing laborious data collection and processing from a geoscientist’s workload, more time can be spent understanding key risks and making better-informed decisions. A typical exploration screening workflow for a region or a basin can take weeks or months for a geoscientist to complete. Initially, a significant proportion of time is spent collating and assimilating data into a common framework, so that it can be interpreted. This process is often complicated by the varying formats in which both proprietary and vendor datasets are stored. Once collection and assimilation are complete, data are loaded into a desktop GIS (Geographic Information System) or spatial ETL (Extract, Transform and Load) software package, which allows the geoscientist to utilize geoprocessing tools and algorithms to map the extent of petroleum system elements and assess their effectiveness against a depth framework. Finally, a series of common chance maps are constructed to assess total play potential and highlight key exploration risks (Figure 2). ? Collect and interrogate data Manually edit input maps Process and stack input maps Add vendor and proprietary data Manually assess presence and effectiveness Single Play CCM Output Weeks Figure 2 > Traditional screening workflow performed by geoscientists to determine the hydrocarbon potential of a region. (CCM= Common Change Map). As global exploration begins to recover from one of the deepest downturns in history, explorers are facing significant challenges in the landscape it has left behind. Firstly, discovered volumes reached historic lows during the downturn, with many companies failing to replace their produced volumes for several consecutive years (Figure 1). To address this deficit, exploration must regain confidence and venture back into frontier regions. However, such basins continue to be high-risk and, understandably, many companies remain cautious. Secondly, in regions that have yielded disappointing results to date, the pressure is on to identify creative new play concepts in order to revitalize exploration. Finally, while the ongoing digitalization of the industry is providing more data than ever before, exploration teams remain reduced in size and often lack the 60 Source: Rystad Energy Ucube, version 2019_08_07 Image https://www.flickr.com/photos/159124985@N05/37845654022 Wallace Pratt, 1952 80 0 By: Marcus Wiltshire and Mike Treloar “Where oil is first found, in the final analysis, is in the minds of men. The undiscovered oil field exists only as an idea in the mind of some oil- finder. When no man any longer believes more oil is left to be found, no more oil fields will be discovered, but so long as a single oil-finder remains with a mental vision of a new oil field to cherish, along with freedom and incentive to explore, just so long new oil fields may continue to be discovered.” 100 The Impact of Cloud-hosted Technologies on Global to Basin Screening