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A New Idea of Exploration under Low Oil Price in Jilin Oilfield

2017-05-25 11:53

 Jilin Oilfield after more than 50 years after mining, although the remaining oil and gas resources are large, but the quality is low; resource utilization rate decreased year by year, exploration costs continue to grow, the benefits of increasing storage and sustainable stability is more and more prominent ...


In the face of the deterioration of resource quality and the persistence of oil prices, the Jilin Oilfield has achieved a series of effective mechanisms such as autonomous operation, market operation and integrated management. In the oil and gas exploration business, it is not only the cost reduction, Level reserves task, to achieve significant results.

Jilin Oilfield in the oil and gas exploration and management of innovation, to enter the development of the late oil field of the benefits of development, a useful exploration.

Seeking a breakthrough - taking advantage of the market

After more than half a century of "picking thin", the original resource endowment is not very good Jilin oil field, into the bottleneck of development, more than half of the remaining oil reservoirs are like whetstone, extremely dense, relying on conventional means simply can not be produced oil.

Jilin oil field through years of research, the formation of advanced horizontal well drilling and volume fracturing new technology to achieve compact oil technology is feasible. But the cost of new technology is too high, in order to benefit more difficult to exploit, as the leading oil and gas exploration work again into the "riding a tiger" dilemma. How to move from the technical feasibility of the economy, and thus the effective use of residual oil?

In 2014, a big good news came. The company analyzed and developed the situation and the dilemma faced by Jilin Oilfield, and listed it as one of the first batch of pilot units to expand the autonomy reform of the operation, giving policy support. First, the internal transaction price fell, and second part of the exploration project can use the social construction team, which is undoubtedly Jilin Oilfield benefits exploration to open two doors, more sustainable development provides a new opportunity.

Jilin Oilfield in the deepening of the reform and expansion of business autonomy in the process, with the support of the Group's policy, well tubing related transaction investment fell 20% overall, long troubled by the oil field of the transaction price problems solved. Part of the exploration project can use the social team construction, but also for its "screen chaff picking valley" to benefit reserves to add vitality. Jilin Oilfield began to take advantage of the occasion, brewing market ideas.

Measures of "Integration" to Support the Marketization

The market is invisible hand, the most effective allocation of resources. But the premise is that the organization, the mode of operation are in line with the laws of the market in order to achieve the most effective regulation.
Jilin Oilfield in the full implementation of the expansion of operating autonomy reform pilot policy under the premise of innovation "integration" management tools, geological engineering, both sides of a series of the original "war" situation was broken, the system professionals around a goal Measures, no longer one-sided pursuit of production and workload, but the cost and production and workload to take into account, follow the laws of the market, to achieve seamless links, into more economic indicators.

In order to establish a "new and old system separation, independent operation, complete market operation" model, Jilin oil field exploration system formed dense oil, dense gas two integrated project department. Cumbersome approval process, the complexity of the organization is the project department of the shackles of market operation, but also affect the "integration" model play.

Jilin Oilfield first set up "power" to the organization, through the flat management to simplify the process, special decentralization plan, market management, price budget, tender selection, material procurement, engineering acceptance of six aspects of 20 power, approval process savings in half. Scientific and simple management process, from the market closer to one step.

Exploration and construction, management, drilling engineering, geological engineering, oil production, ground engineering, production and operation to achieve the "integration". In this way, horizontal, vertical professional barriers to be broken, "their own" into a "combination of attack", pre-exploration, evaluation, capacity-building depth of integration, exploration results have been greatly improved.

In 2015, in the G flat 2 wells and other shallow oil in the construction of shallow wells, due to thin reservoirs, fast change, both sides in accordance with the best program, all use near the drill bit geological guidance equipment. During the construction phase, the two sides strictly control the influence of the drilling fluid on the geological logging, and set up the trajectory adjustment scheme reasonably, improve the drilling rate of the horizontal section and realize the integration of the horizontal well guidance technology. According to the characteristics of the strata in different regions, the two sides jointly studied and developed the drilling speeding scheme, and successfully implemented the nitrogen drilling in the three wells of De Shen 14 well. The footage was 1185.5 meters and the average mechanical speed was 5.87 m / h.

The rules are broken, "integration" organization and management, has become a market operation to smooth the implementation of a strong promoter. Under its support, the drilling efficiency is improving, the exploration cycle is shortening, and the investment cost is decreasing ...

In 2016, the "integrated" mode of operation of the Tighter Oil Project Manager was fully mature. The project department implemented 41 horizontal wells through three rounds of bidding and one general contracting, with an internal rate of return of 8.6%. In the same year, the dry oil in the dry area of ??the implementation of three hundred tons of reserves of 100 million tons, the use of reserves of 13.59 million tons, the implementation of horizontal wells 57, construction of 10.26 million tons, 260 tons of daily oil, all self-spray production, ladder oil prices to achieve yield 8% The design goals. In 2017, Jilin Oilfield will be lean oil management experience, extended to the intensive gas exploration work, is expected to achieve the use of dense gas.

Out of the trick - forced to force out of the market

Low oil prices in winter, so Jilin Oilfield has bid farewell to "yield is the benefit" concept, to the market to benefit, no benefit of the oil drop does not move. Establish the "bottom line thinking", innovation cost down algorithm, the use of forced to push down the cost of the system, the real market to become the leading.

In the process of exploration of hard oil and other difficult blocks, under the current ladder oil price, Jilin Oilfield will be 8% of the internal rate of return as whether the construction conditions with the bottom line, under the constraints of the bottom line indicators, reverse all exploration costs. According to the level of oil prices can be found how much reserves, push down the cost of playing each well, and then broken down into the various processes, accounting for affordable costs. According to the above principles put down the end of the price, can bear, benefit on the tender, or never construction. This directly contributed to drilling investment fell 35%, fracturing investment fell 20%, to ensure the use of dense oil reserves to achieve effective use.

Since 2014, in reducing the investment in related party investment policy support at the same time, Jilin Oilfield to further play the market competition mechanism, the workload of the transaction outside the use of confusing mechanism, through the bottom of support, to achieve market-oriented bidding.

- To develop a reasonable bidding strategy, to determine the bargaining price, for different projects to choose different bargaining price. On all the bargaining price in the historical price on the basis of the overall reduction of more than 20%, through market competition, but also cut a certain proportion, so that exploration costs dropped significantly. From 2014 to 2015, Jilin Oilfield drilling project average down about 25%, fast drilling bridge plug, geological guidance and other down are close to 50%.

- to strengthen the strategic cooperation with the strategic partner units, tender to a single source of business projects to discuss the work of the company to collect similar projects within the winning price, strategic partner unit price is not higher than the company's similar projects within the winning price. In 2015, Jilin Oilfield and the oil logging company, Eastern geophysical exploration, the Great Wall drilling business negotiations carried out according to this, Jilin oil field provides a strong support and protection, but also reasonable and effective control of the cost.

- to strengthen the management of the tender project, so that prices decline, but the technical standards, quality requirements do not fall, more stringent management. This is to achieve a combination of tender and business negotiations to ensure that the lowest price selection of the best team. In 2015, Jilin Oilfield organized a total of 34 exploration project bidding and business talks project, saving effect is considerable.
Daobao mechanism to break the geographical constraints and the internal system of the cage, to achieve the advantages of resource integration. In 2016, Jilin Oilfield continued to strengthen the bidding work, deep exploration wells down 35%, medium and shallow exploration down 15% to 20% of the tender, the effective control of investment costs. In order to further reduce the cost, Jilin Oilfield also gradually expand the scope of the project tender, the earth project also included in the tender.

Demonstration of Marketization

3 years, reform - try - harvest. Jilin oil field with the market "weapon" to achieve contrarian breakout.

And the implementation of four major reserves of 20 million tons of beneficiaries; the Fuyu reservoir of dense oil to implement the use of geological reserves of 13.59 million tons, the implementation of horizontal wells 57, construction of 10.26 million tons; deep gas exploration and efficient implementation of the Wang Fu and Fulongquan 2 benefits production block ... ...

The comprehensive cost of drilling engineering decreased year by year. In 2016, the comprehensive cost of drilling engineering decreased by 23% compared with that in 2013, and the drilling workload was over 6 years and the drilling capacity was 16,000 meters.

Jilin Oilfield Exploration Department Manager Zhang Yongqing said that as the first batch of pilot units, Jilin Oilfield had the honor to participate in and practice the expansion of business autonomy reform. Exploration work in the reform, the challenge of the traditional, breaking the conventional, bold use of market means to achieve the double the amount of efficiency. The market for exploration makes it clear that every penny is rewarded and that every well is to achieve the desired purpose. Each process and technology must solve the specific problem. Funds to maximize the effectiveness of the realization of the multi-exploration, more wells, an increase of the new district breakthrough found. The following are the same as the "

In 2017, Jilin Oilfield "three years" reform war drums have been loud, continue to increase efficiency exploration efforts to stimulate the mining momentum, to provide more favorable reserves for the group to deepen reform and make greater contributions.

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