Operators report plans to increase expenditures for intervention services in 2017.
A recent study conducted by Kimberlite Oilfield Research based on interviews with 244 operators worldwide reveals that:
Deferred maintenance by operators during the past two years has resulted in a backlog of wells requiring investment and intervention services.
Operator sentiment is above 50 for all major geographic segments evaluated worldwide.
Offshore operators plan to decrease spending for drilling of new wells in 2017 versus 2016 and international land operators plan to keep expenditures for drilling of new wells in 2017 similar to 2016. Both groups, however, report plans to increase spending in 2017 for intervention services reflecting the economic attractiveness associated with reworking existing wells to restore production versus drilling new wells.
The backlog of wells requiring intervention is reported to be higher in Africa, Latin America and Asia Pac. North America operators however report that approximately 16% of their wells will require intervention over the next 12 months.
Corrosion, deposit control, casing and tubular leaks/failures, water breakthrough, sand and equipment failure are the most commonly reported problems affecting the productivity of operator’s oil and gas wells worldwide.
The intervention services (diagnostic and mechanical) reported to be most heavily used for 2017 include:
Operators cite that improvements in new technology and innovation are needed to reduce the frequency of interventions and associated costs in the following areas:
Sand and gas tolerant downhole pumps
Integrated production chemical and artificial lift systems optimized for well productivity
Thru tubing solutions to reduce and eliminate the need for expensive rigs
Improved intervention tool reliability and designs to reduce time and costs
Pipe evaluation technology capable of seeing through multiple strings of pipe