National Oil Companies in Africa -

Best Practices for

Sustainable Performance Improvements

Emmanuel Emielu

Regional Marketing Manager

Landmark Graphics Sub-Saharan Africa

NOT AN OFFICIAL UNCTAD RECORD

Beginning with the End….

The ability of a NOC to meet its founding objectives is strongly tied to its ability to manage the national hydrocarbon information base effectively.

Information Management holds the key to attracting investments!

The better the national information is managed,

the more attractive the national hydrocarbon assets are to investors,

the more control the NOC has of its resources and exploitation of same

The good news is that technology and innovation has made scalable

solutions both possible and available

Software Technology

Consulting Services

Integrated Solutions

Create and Evaluatethe Hole

Create Infrastructureto Flow Fluids

Locate andManageHydrocarbons

OptimizeProduction ofHydrocarbons

Drilling andFormationEvaluation

FluidsProduction

Optimization

Halliburton -Organizing Around Our Customers Business Processes

Landmark

Landmark Division

Software/Technology

Consulting & Services

Integrated Solutions

What is the Value of an Oil Company?

“The value of our company is based on its reserves, its barrels of oil equivalent.

They are all ‘virtual.’ We cannot count them, they are a projection of our data.

Which really are our assets -- barrels of oil equivalent, or the data describing the barrels we think we have?”

“Quiet Revolution,” CERA, 1996, p. 5

African NOCs - Aspirations

Access to Investment Capital

Independence and Control

Access to Global Business Standards

In-house Capabilities & Competencies

Long-term Asset Optimization

National Development

Political Success

What is a National Data Bank?

A two-stage definition:

An operational, central and secure facility for the management, quality control and storage of a nation’s petroleum related data assets (“The National Dataset”),

which provides ease of access to these data in the “National Data Bank” for all stakeholders as authorised by government policy.

Secure access, and stakeholder buy-in are two key success factors for a a national data bank

High level components of a national data bank

Data deliveries

Bulk datamanagement

On-line catalogue

Data management

service

Bulk data management

Data management

service

Sub-domain Sub-domain

Portal

Data submissions

Sta

ndard

s &

Pro

cess

Govern

ment P

olicy

Operations

Benefits to the Petroleum Sector

The benefits of the introduction of a National Data Bank into the Petroleum sector are both private and public in their nature;

some will accrue to the government and their agents, others directly to the private sector and the participating oil companies.

Shared Value Model

The Value - Government

Focal point for attracting investments:

Providing a source of quality assured data for potential IOC’s moving into a region (Nigerian bidding round)

Reduced cycle times for investment decisions

Managed risk for investors

Basis for monitoring regional exploration and production:

Forecasting and planning

Managing the exploitation of hydrocarbon assets

Easing the reporting of performance

Drive cost out of the system

The Value – Operating Companies

Addresses key data challenges directly:

Finding and accessing the right data, of the appropriate quality, quickly

Sharing data with partners

Meeting regional operational prerequisites: Data submission and release Reporting

Provides basis for effective management of costs:

Total data management costs

$/TB metric

What a National Data Bank Is Not

A low value data storage project,

which costs money to run and,

delivers little or no operational benefits.

• 8 hosting centers• 7 client data centers• 1100+ global

petrotechnical consultants

Houston

London

Stavanger

Perth

Aberdeen

Brazil

China

Indonesia

Moscow

Pakistan

Calgary

Kazakhstan

Sakhalin

India

Nigeria

Data & Applications Hosting Centres

Client Data Centres

National Data Banks - around the world

Brazilian National Data Bank

Problem

Petrobras data represented 100% of E&P Brazilian data

Data was deteriorating and difficult to find

Government wanted to attract foreign investment and was poised to change the monopoly rules

Brazilian National Data Bank

Benefits

Legacy data recovered, organized and quality controlled renewing the data asset value for the future

New investments in Brazilian E&P sector as a result of improved access to quality controlled and secure data

bidding processes prepared more quickly and efficiently thereby improving return on investment for all parties

Brazilian National Data Bank Data content

Tapes

Documents

950,000 tapes

1,000,000 pages

Logs

17,000 logs

Seismicsurveys 600,000 km

• 8 hosting centers• 7 client data centers• 1100+ global

petrotechnical consultants

Houston

London

Stavanger

Perth

Aberdeen

Brazil

China

Indonesia

Moscow

Pakistan

Calgary

Kazakhstan

Sakhalin

India

Nigeria

Data & Applications Hosting Centres

Client Data Centres

National Data Banks - around the world

Project Overview

Master Data Bank location

• Principal data loading site• Catalogue• Near-line digital set• Off-line (tapes) set• Master backup set• Media delivery• Electronic local delivery

Satellite Data Bank location

• NDS catalogue• Near-line digital set• Backup set• Media delivery• Electronic local delivery

Physical storage location

• Off-line (tapes) set• All physical data• Media copying• Transcription/remastering

Lagos Facility

8th Floor, NCR Building, 6 Broad Street, Lagos Island.

Driven by Secure Technology!

Physical & electronic security

Physical integrity

Audited network security

Data security

Shared data versions

Comprehensive item level entitlement

Disaster recovery

Systematic tape integrity management

Secured centre backups

Mirrored centre operations

In the Beginning….

The ability of a NOC to meet its founding objectives is strongly tied to its capabilities to effectively manage the national hydrocarbon information base.

Information Management – The key to attracting investment

The better information is managed, the more attractive the asset is to investors, the more control the NOC has of its resources and utilisation

Availability of scalable solutions