Unconventional Resources

We help clients optimize their business to capture the potential of tight gas, shale gas, and light tight oil. Unconventional developments have achieved enormous technical success, yet their economics remain challenging. Well productivity is declining as prime locations are drilled out and operators move to less productive basins. Drilling performance and costs vary widely within the same asset and even the same operator, revealing substantial scope for improvement.

In an environment where improving efficiency and reducing costs are paramount, some of the biggest opportunities we have identified lie in eliminating waste and variability in fracking, materials logistics, drilling, and rig mobility processes; integrating planning across the field to optimize materials management and resource use; and ensuring that information on well productivity flows to the people who need it. We support clients every step of the way, helping to coach the front line, manage change, implement new ways of working, and embed continuous improvement. Many of our consultants are former oil and gas professionals and have years of experience in operations, including designing and executing operational-improvement projects.

Optimizing Contracts and Portfolios

We help clients review their contract strategy and renegotiate terms to improve project risk/return ratios and optimize sourcing portfolios. To enhance trading activity, we work with clients to identify improvement opportunities, redesign risk procedures, and create new organization structures to support their strategic objectives. We help clients develop distinctive insights into opportunities and risks, craft strategies, evaluate asset and contract portfolios, define their regulatory stance, build capabilities, manage talent, and achieve operational excellence. We serve top oil and gas companies, generators, pipeline operators, distribution utilities, traders, and industrial buyers.

Attaining Operational Excellence

We design individually tailored programs to improve assets and resources, identify technical solutions, and empower teams to transform entrenched processes. We help clients identify best practices, set ambitious targets, design effective progress-monitoring systems, and engage their people in performance dialogues to cultivate a best-in-class mind-set that endures long after a program ends.

Proprietary Tools and Approaches

While many organizations rely on a few publically available forecasts—which are often incorrect or based on assumptions that are not fully transparent—we use a scenario-based approach to planning. This approach helps companies identify the conditions under which their strategies will be most successful, and the likelihood that those conditions will become reality. In the process, clients get a better understanding of the key drivers of their success. Scenario-based planning requires detailed insights about how prices are linked along different parts of a value chain, across multiple value chains, and across regions.

Climate and Energy Economics

To respond to the need for objective and timely climate policy analysis, the Economic Studies program at Burk has developed the Climate and Energy Economics Project. Our purpose is to develop and promote environmentally sound, economically efficient approaches to reducing human-induced risks to the earth’s climate. We focus on the economics of potential domestic cap-and-trade approaches and how U.S. commitments might play into a global agreement. 

 

Related Practices

We help oil and gas companies craft strategies to pursue growth and create value in an uncertain and volatile environment.

Mr. David Solomon

Mr. David Solomon

How can we help you?

We help clients optimize their business to capture the potential of tight gas, shale gas, and light tight oil.

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