A wise well log analyst at a major logging company once told Ms. Ruffini when she asked about a subcontractor she was using if he knew what he was doing, “Suzanne, there are some people who can find oil, but can’t get it out of the ground. Then, there are others who can get it out of the ground, but never find any. Your guy can do both.” And in a nutshell, that is the recipe for a successful oil company.
This becomes especially true with our approach to the business. Researching production methods and problems gives us insight into what the previous operator missed. For example, years ago one of our subcontractors was offered ½ a well if he could make it produce. He reviewed the information and told the operator to simply set a tool between a water pay and oil pay. They said they had tried that and it didn’t work. A bit more questioning and he discovered they had not cleaned out the well properly and after doing so, he set the tool and the well which previously made 6 bopd and 95 bwpd made 35 bopd and 20 bwpd.
Many times it is experience that separates those who make the profits from those who don’t. We employ several third parties to review well logs, production data, well site equipment and additional technical data to formulate a workable plan on each well before we spend the first dime in the field.