Endeavor Management announces shale completion best practices JIP

HOUSTON -- Endeavor Management has opened participation in its latest joint industry project (JIP)—Best Practices for Shale Completion Operations.

With the price of oil teetering around $43/bbl, Endeavor Management is of the opinion that shale production is very close to becoming a very attractive investment again in North America. For many operators, the difference in economics is found in the inefficiency of their drilling and completion operations processes and the resulting cost differentials they are burdened with.

Given the apparent lack of consistency among shale operators in executing operations and in collecting operational data, Endeavor believes this is the time to pursue solutions to the most pressing issues facing shale operators’ completion practices.

For this JIP, Endeavor has broken the shale operational areas down into six distinct study areas for data collection, observations, analysis, and benchmarking:

1. Site preparation
2. Hydraulic fracturing
3. Zone isolation
4. Drill out
5. Flowback
6. Economic analysis and impact of benchmarking

Endeavor has appointed Subject Matter Experts (SME) to lead each of these six investigative areas. Endeavor’s SMEs average 20 years of experience in the oil and gas industry, and come with both operator and service sector experience. Endeavor SMEs are experienced with both typical and emerging technologies in the shale basins. In each of these areas, Endeavor will ask the participating companies to nominate an SME to assist with the collection of their company’s data, with the logistics around observations, and to participate in the discussions, conclusions and recommendations of the program.

The JIP will consist of:

1. The formulation and chartering of the Endeavor and participating company SMEs for the purpose of producing the study report.
2. The collection of the participating companies current data and information around shale completion operational practices.
3. Nomination of the shale basins to be considered and observed.
4. The observation of operational practices within each participating company’s current shale operations.
5. The aggregation and analysis of the documented and observational databases on all participating company’s shale operations along with any other data that may be obtained through public sources.
6. The creation of a cost efficient, benchmark standard for shale operations, by basin, for the basins identified by the participating company SMEs. These standards will be created in collaborative meeting environments with Endeavor and participating company SMEs.
7. The final report will include detailed economic modeling of the estimated cost savings and detailed recommendations for each participating company to implement in their operations, as well as the actions necessary to achieve the benchmarked operational practices.

Michael Shook, executive V.P. of Endeavor Management, stated, “The challenges facing shale operators and service companies are significant in the present environment. With this JIP, we expect to find the best approaches to completing and operating shale wells in many different environments.”

Click here to view the JIP proposal.