A Python package for analyzing monthly oil and/or gas production records that are provided by various state agencies, such as:
(And agencies in other oil/gas-producing states.)
The production records provided by the state agencies typically include the following data for each well:
- Quantity of oil produced each month (typically measured in barrels, or "BBLs")
- Quantity of gas produced each month (typically measured in thousand-cubic-feet, or "MCF")
- On how many days substances were produced from the well during each month
- The well's "status code" for a given month (e.g., shut-in, producing, etc.)
This package analyzes the records for one or more wells to look for periods of time when there is no production in any of the examined wells, and/or when the status code for the well(s) is "shut-in" (i.e. temporarily turned off but still capable of producing).
An "oil and gas lease" is a contract between a landowner and an oil company that lays out the terms for the company to drill wells on the land, the royalties they must pay to the landowner, etc.
A typical lease is negotiated to last a specific period of time (e.g., 1 year, 5 years, whatever gets negotiated) -- and then to continue indefinitely, for as long as oil and/or gas are produced from one or more wells on the leased lands. Without consistent production, the lease will automatically terminate. The lease will often specify just how consistent the production must be -- commonly allowing up to 90 consecutive days before expiration. It might also specify the quantity of oil or gas to be produced in order to extend the lease indefinitely. If sufficient production resumes soon enough, the termination timer is reset to 90 days (or whatever was negotiated).
However, it is not always obvious to either party when production has ceased and a lease has terminated -- especially when there are many wells to check, multiple leases to keep track of, and decades have passed. (When a lease termination isn't noticed, the company may need to negotiate some sort of resolution or face litigation, if production is resumed late or new wells are drilled without a valid lease in place -- and those risks and penalties may compound as time goes on.)
This tool quickly analyzes the production records for one or more wells to look for any periods of time when there might not be sufficient production, during which a lease might have terminated.
Currently, there are preset configurations for use in Colorado, Montana, North Dakota, and Wyoming (the states where I do most of my consulting).
from production_analyzer import ProductionAnalyzer
from production_analyzer.config import load_config_preset
colorado_cfg = load_config_preset(state='CO')
analyzer = ProductionAnalyzer.from_config(some_dataframe, config=colorado_cfg)
# etc.
But it can also be manually configured for whatever headers, etc. are put out by other states:
from production_analyzer import ProductionAnalyzer
analyzer = ProductionAnalyzer(
some_dataframe,
date_col='First of Month',
oil_prod_col='Oil Produced',
gas_prod_col='Gas Produced',
days_produced_col='Days Produced',
status_col='Well Status',
shutin_codes=['SI'],
)
# etc.
Check out the sample script, which generated a report that looks like this:
A production analysis report.
For records for the following dates:
>> First month: 1999-01-01
>> Last month: 2021-09-01
Considering the following wells:
>> 05-001-07727
>> 05-001-07729 (no records)
>> 05-123-08053
>> 05-123-09456
Gaps in Production (Shut-in does NOT count as production)
---- Biggest: 214 days ----
>> 2021-03-01 : 2021-09-30
---- All those that are at least 0 days in length. ----
>> 61 days (2 calendar months) 2002-05-01 : 2002-06-30
>> 30 days (1 calendar months) 2002-09-01 : 2002-09-30
>> 29 days (1 calendar months) 2016-02-01 : 2016-02-29
>> 30 days (1 calendar months) 2016-06-01 : 2016-06-30
>> 214 days (7 calendar months) 2021-03-01 : 2021-09-30
Gaps in Production (Shut-in DOES count as production)
---- Biggest: 0 days ----
>> n/a
---- All those that are at least 0 days in length. ----
>> None that meet the threshold.
Shut-In Periods
---- Biggest: 214 days ----
>> 2021-03-01 : 2021-09-30
---- All those that are at least 0 days in length. ----
>> 61 days (2 calendar months) 2002-05-01 : 2002-06-30
>> 30 days (1 calendar months) 2002-09-01 : 2002-09-30
>> 29 days (1 calendar months) 2016-02-01 : 2016-02-29
>> 30 days (1 calendar months) 2016-06-01 : 2016-06-30
>> 214 days (7 calendar months) 2021-03-01 : 2021-09-30
...and a graph that looks like this, highlighting in red the periods during which no production occurred in any of the wells:
