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Gazprom Neft awarded licence for its own bespoke oil-production management IT system

Gazprom Neft has registered its own bespoke software for monitoring oil production with Russia’s intellectual property agency, Rospatent, securing a registration certificate in respect of the company’s “Field Data and Well Control information system”, as well as its well-equipment operation control module, “Monitoring and Analysis of the Operation of Mechanical Resources (Mechfond)”.

The Field Data and Well Control information system allows all essential well data, including daily production rates, pressure, water-cut, and other key performance indicators (KPIs), to be stored in a single database. The validity of all data is checked prior to it being entered into the system. Prior to this system being implemented daily production rates and other KPIs were displayed on a special table, known within oilfields as a “Checkerboard”. The considerable difficulty of this process meant data quality was limited, with no single repository for well data across all fields. The new system, as well as allowing the collection, verification, confirmation and storage of field data, means well-operation practices can be modelled over a specific period, with any deviation therefrom monitored, potential estimated and those wells requiring repair or process optimisation exposed. A separate module — the Mechfond data system — maintains records on the operation of all run-in-hole (RIH) equipment in the well, signals any deviation or breakdown, and maintains reliability ratings. More than 600 Gazprom Neft specialists are already using the system, as well as the majority of the company’s production enterprises. The system is expected to begin implementation at Gazprom Neft Orenburg by the end of 2015.

The Field Data and Well Control information system and Mechfond module form part of Gazprom Neft’s bespoke IT system for monitoring oil production, implementation of which has been ongoing since 2013 as part of the company’s “Electronic Asset Development (EAD)” initiative. This production control system is necessary to automate the processes of collecting and analysing KPIs, as well as operational planning and decision making to improve efficiency in oil production. Registration of software developed by the company is handled by its Scientific and Research Centre.

Konstantin Kravchenko, Head of Gazprom Neft’s IT, Automation and Telecommunications Department, commented: “Oil companies’ activities are, today, ever more focussed on the use of IT and innovation. For that reason we are striving to develop, implement and, subsequently, monetize those of our own bespoke IT solutions that allow us to improve efficiency in oil exploration and production, and in the processing and sale of petroleum products. In this work, we draw on the experience of those industry leaders that have demonstrated how oil companies have to move from exclusively resource-based to resource- and technology-based business models, directly engaging in the creation of cutting-edge technologies, and launching these on the market.”

* Gazprom Neft’s “Electronic Asset Development (EAD)” project is a strategy for the development of IT initiatives in exploration and production, covering all key areas of activity including geology and geological prospecting, drilling, development, production, and field construction. Under implementation since 2012, the EAD initiative became part of the company’s Technology Strategy in 2014, and is now a key area of focus. The company’s Technology Strategy was recently updated in line with new production and business objectives of various Gazprom Neft subsidiaries.