The document discusses maximizing the value of production and well work reporting software. It outlines 7 keys to success: 1) aligning information technology with E&P business goals, 2) selecting a scalable software platform, 3) leveraging software-as-a-service, 4) extending access to multiple devices and users, 5) integrating with the E&P application ecosystem, 6) co-owning success with the software provider, and 7) measuring value and calculating return on investment. The document provides examples and benefits of each key.

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MAXIMIZE THE VALUE OF PRODUCTION &
WELL WORK REPORTING SOFTWARE
© Copyright 2016, NeoFirma, Inc.

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Well Lifecycle Management 2
Drilling
WellCompany
Accounting System
Production & Operations
Economics
&
Reservoir
Analysis
Daily Reporting, Spending Well Interest, Performance
Partners/
Investors
PRODUCTION SOFTWAREWELL WORK SOFTWARE
DRILLING & COMPLETION WORKOVER FIELD DATA CAPTURE
Field Spending
by Category vs. AFE
Chart of Accounts +
AFE(s)
Production & Op Data
Events (Sales Runs)
Land
Other
Operator

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Benefits of Production and Well Work Reporting Software
The right software can help E&P companies improve cost
tracking, operational efficiency, and increase production.
PRODUCTION & OPERATIONS
1. Faster access to well information (real-time)
2. Complete, accurate, efficient capture and handling of production
3. Improved transparency of asset performance to partners
DRILLING, COMPLETION & WORKOVER
1. Real-time, field cost (with/without AFE) tracking
2. Standardized reporting
3. Improved transparency and ease of reporting to staff and partners
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4Getting the Most ValueFromYour Productionand WellWork ReportingSoftware Investments…
7 KEYS TO SUCCESS

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1)Align Information Technology with the E&P Business
• Goals of the IT department:
• Hardware & software cost reduction
• Hardware & software standardization
• Functional support, ERP, HR, etc.
• Goals of the E&P business:
• Find and produce hydrocarbons
• Buy and sell properties
• Health, safety, environment
• Digital Oilfield = aligning IT with E&P drivers to:
• Increase operational efficiency
• Maximize reserves and optimize production
• Make sound and safe decisions
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1)Align Information Technology with the E&P Business
• Digital Oilfield concept evolved in majors, now affordable
and being adopted by independents
• DOF “essentials” for managing well information and
documents
• Pick right tool for the job:
• Instead of Excel for data management and visualization
• Use field data capture and reporting software to reduce human error,
accelerate data analysis, and improve operational decisions
• Instead of managing well files over on local sources or paper
• Use electronic well file software to centrally store docs in oilfield taxonomy
and in context with operational data
• Instead of using e-mail and fax to share reports with partners
• Give investors and non-ops direct, real-time access to drilling and
production reports using secure, web-based partner portals
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2) Select a Scalable Software Platform
• E&Ps need software to support:
• Drilling, completion, workover maintenance
• Production accounting and AFE management
• Production operations and well economics
• Land, lease and mineral management
• Many software providers focused only on some workflows
• Problems using multiple vendors for different workflows:
• Different systems create silos of E&P information
• Multiple software licenses increase CAPEX and OPEX
• Increased training costs and time to learn multiple systems
• Look for software provider with a holistic platform that easily
and cost-efficiently scales as your E&P business grows
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AComplete Well Life–Cycle Solution 8
Software
Platform
Land
Drilling &
Completion
Production
&
Operations
Accounting
Economic
Modeling

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3) Leverage Software-as-a-Service (SaaS)
• Traditional software model:
• Purchase and maintain physical equipment, such as servers, PCs,
local networking, etc.
• Purchase and install multiple software products with recurring
maintenance fees
• Requires both capital expenditure and ongoing operating expenses
• Cloud computing model:
• Hardware is “virtual” and maintained by cloud service provider
• No server software to buy and maintain (e.g., Windows Server,
database software)
• Software delivered as a service (SaaS) with “pay as you go” pricing
• Zero CAPEX and low total cost of ownership (TCO)
• Digital Oilfield SaaS has recently emerged
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3) Leverage Software-as-a-Service (SaaS) 10
SOURCE: Albert Barron, Software Client Architect at IBM

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4) ExtendAccess to Multiple Devices and Users
• Web-based software apps are enabling a revolution in
software accessibility
• Bring your own device (BYOD) means users can access
E&P software from any web-enabled device
• The Web supports unlimited user licensing, improving team
collaboration from multiple locations
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5) Integrate with E&PApplication Ecosystem
• There is a large “ecosystem” of O&G applications.
• Very specialized and deep functionality apps for:
• Reservoir simulation
• Subsurface visualization
• Analytics and statistical analysis
• Complex production accounting
• Reserves and economics
• Your data can get trapped in these data silos
• Production and well work reporting software should “plug
and play” with your existing suite of O&G apps
• Easily integrate with your engineering and geoscience workflows
• Export data in application specific format to allow easy integration
with applications such as Tableau, TIBCO Spotfire™, etc.
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5) Integrate with E&PApplication Ecosystem
• For example, a mid-sized E&P operates 300 wells. The
company uses different software packages to manage:
• Well master data
• Chart of accounts
• cost data and budgets
• The E&P also uses Tableau™ to perform geospatial and
subsurface analysis
• The company selected a production and well work reporting
solution that integrated all its applications by:
• Connecting to software systems of record through web services
• Allowing users to export data from the reporting system for further
analysis in Tableau
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6) Co–own Success With Your Software Provider 14
• Customer service equally
important to get more out of
software investment
• Minimum ante up
• Product documentation
• Easy to contact, issues handled
promptly
• Onsite support
• Find provider who goes
beyond support
• Understands your unique situation
• Willing to co-own success/partner
with you to achieve E&P goals

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7) Measure Value and Calculate ROI 15
• Production and well work
reporting software can:
• Improve operational efficiency
• Improve decision making
• Reduce cycle time
• Optimize well production
• Need to get a good reading
on the value the software is
actually providing in order to
understand ROI
• Start by identifying clear and
quantifiable benefits

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Reduced well downtime, improved data handling efficiency, and
improved data accuracy are some real-world metrics you can use to
track ROI. Assume an E&P with 150 wells and an oil price of $40.
7) Measure Value and Calculate ROI 16
Challenge Improvement Value
10 Problem
Wells (m.)
Reduced response time from 16 to 6 hours,
resulting in 125 BOE optimized production
$5,000
Manual Data
Entry & JV
Sharing
Reduced data handling from 3.5 hours per day
to 30 minutes saving employee time at $40 per
hour and reducing human data input error
$2,400
Inaccurate
Production
Data
Reduced data correction events (requiring 20
minutes each from office staff and pumper) by
65 per month saving 43 hours of time monthly
$1,733
ROI = $9,133 / [monthly software cost]

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Maximizing Production and Well Work Reporting Software Value
Maximum
Value
Business
Alignment
Single
Platform
Cloud
Computing
Extended
Access
Application
Integration
Co–owned
Success
Measurable
Value
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About NeoFirma
NeoFirma is an energy software company that
empowers North America independent oil & gas
companies to improve the efficiency of their well
assets. The Dallas-based company provides an
easy-to-use, cloud-based suite of software solutions
to manage drilling and production operations.
• First/Only unified, cloud based Well Work &
Production
• Drilling, Completion, Workover, Well Repair/Maintenance &
Facilities Tracking
• AFE & Field Cost Estimate Management
• Field Data Capture
• Operated Production, Operations & Allocations
• Non-Operated Interest Management (Working, Royalty)
• Founded 2005, Headquartered in Dallas
• Backed by energy companies & industry leaders
• T. Boone Pickens/BP Capital
• 70+ Clients
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For more info:
info@neofirma.com
www.neofirma.com