SR2020’s HD borehole seismic clearly images thin sands missed by surface seismic illuminating targets for well completion and future drilling. Our high definition, advanced seismic imaging is the foundation for detailed reservoir characterization.
The following case study is an example of how investing in Reservoir Scan HD can reduce the degree of uncertainty associated with developing a complex geological play and drive significant business value by reducing dry hole costs and accelerating production results.
A small North American operator pursuing a localized oil play drilled a successful initial discovery well based on a prospective channel pattern interpreted from a sparse network of 2D seismic lines. D&C costs for the well were $1 million, the well came on at 150 bopd with an 18%/yr decline. Encouraged by their initial success they drilled another three wells based on their initial interpreted channel information. The next three wells were dry holes and led to the abandonment of the play. The resulting total cumulative net cash flow was $1.7 million over the first 2 years.
In this alternate scenario, the operator acquires a 3D borehole seismic survey following the drilling of each of the first three wells and uses the resulting Reservoir Scan HD imagery to identify the actual location of the channel, prior to selecting subsequent well locations. Each of these surveys cost $500k to acquire and provide an HD image with a radius of 2500 ft surrounding the wellbore. The resulting cash flow was positive after just 8 months and the total cumulative net cash flow was over $9 million dollars; a value addition of $8 million more than the dry hole scenario over a two year period.