(1) Growth Oil and Gas, Richardson, TX
Abstract: The global independent: A career for the 21st Century
Although an average well outside the United States produces almost 15 times more oil per day than an average domestic well, the median size of an international discovery is only approximately 10 MMBO. This size target is generally too small for majors and large independents to pursue internationally. With the recent mergers, consolidations and advent of "supermajors", the typical target size for large companies is only apt to increase.
This environment provides an excellent scenario for the small independent to seek opportunities on a global basis. With their low-cost structure and efficient use of technology, small independents can profitably target small discoveries. Such projects can be especially profitable if a multiple of such "small" targets can be combined together. Key success factors in such an environment are: A global outlook, multidisciplinary expertise, local contacts and a lot of patience.
In many cases, even the most "mature" basins in other parts of the world have drilling density orders of magnitude less than the "mature" basins in the United States. Technologies such as three-dimensional seismic, horizontal drilling, enhanced oil recovery and low-cost production systems have become almost "routine" in the United States for targets of all sizes. However, these technologies have hardly been applied in most other basins internationally. Similar to the domestic mature basins, field rejuvenation, field extension, and exploration for deeper targets should yield significant new reserves outside the United States as well.
AAPG Search and Discovery Article #90914©2000 AAPG Annual Convention, New Orleans, Louisiana