Management of oil and gas resources and reserves has always been complex process as the company’s portfolio consists of resource and reserves volumes with varying degrees of uncertainty and maturity levels of projects. Some of the hydrocarbon volumes are from resources that are highly uncertain and require technology imprevoments or breakthroughs. However, for strategy formulation of the country/company needs consideration of all hydrocarbon volumes that can generate value in the future. The prioritization of development strategies for its reservoirs based on rigorous technical and economic assessments while protecting the national interests is a challenging task.
Kuwait Oil Company (KOC) has been using multiple systems for both asset and business planning processes that is not optimized for faster turnaround. The proposed integrated and automated reserves management solution provided a structured environment for systematic economic evaluation and portfolio optimization. It facilitates the visualization of key reservoir parameters delivering full understanding of the forecasted reserves, production and economic potential of the entire company. It indentifies gaps between reserves and detailed development plans based on technical and commercial criteria. By Optimizing the project timing and economics results in reduction of budgetary expences, increase in portfolio revenue and greater confidence for the company. Ranking the investment opportunities helps in allocating resources appropriately amongst different projects in a systemic manner to ensure profitability of the company. This approach provides ease to KOC in modeling complex scenarios and quickly evaluate a wide range of different development strategies catering for risk and uncertainty
This paper describes current industry challenges in resource and reservoir management, and an integrated approach to reserves, economics and portfolio management envisioned for Kuwait Oil Company (KOC) which will assist in identifying optimal reservoir development options to meet any defined strategic goals. The results and benefits gained after deployment of pilot will also be explained in the paper. This integrated approach for optimization of Asset Action Plans is a unique solution and would prove beneficial for our industry.