In the upstream oil and gas sector, understanding recovery factors is essential for optimizing production and maximizing reserves. Recovery factors vary significantly across fields due to differences in geology, fluid properties, and development strategies. A 20% recovery might be a success for one field but suboptimal for another.
A 2017 McKinsey study highlighted that offshore platforms operate below their potential. This underperformance underscores the need for benchmarking and leveraging analogues to assess a field’s true performance. Advanced analytics, such as performance benchmarking, can quantify these gaps and reveal opportunities to enhance efficiency and maximize recovery.
Analogous fields provide critical insights into best practices and recovery optimization. This is particularly useful when data is scarce, a common issue in oil and gas. Early-stage projects rely on limited exploration and appraisal data, leading to uncertainties in reservoir characteristics and production forecasts. In contrast, mature fields often have outdated or fragmented data, complicating decisions on enhanced recovery techniques.
By combining advanced analytics with analogue datasets, benchmarking helps identify underperformance, highlight effective management strategies, and maximize a field’s potential throughout its lifecycle.
Predictive benchmarking forecasts a field’s expected recovery factor based on specific descriptors. This process involves creating a benchmarking equation that incorporates key parameters like reservoir and fluid quality data. At Belltree, we refer to this as the Field Quality Index (FQI). Comparing predicted performance with reported recovery factors helps identify underperformance and potential improvement areas.
The difference between reported recovery factors and the FQI is the “value gap,” expressed as a percentage or volumetric difference. These benchmarks indicate whether recovery aligns with expectations or if further analysis is needed to unlock untapped potential.
Benchmarking provides data-driven insights to assess project viability at any stage of field development. It helps with:
Establishing a reservoir’s technical limits
Validating production forecasts and identifying reserves growth opportunities
Evaluating reservoir management programs
Screening development scenarios and enhanced oil recovery (EOR) options
Comparing assets against global analogues builds confidence in production estimates and recovery factors by revealing the key drivers of reservoir performance.
As part of Vision 2035, the Oil and Gas Authority (OGA) aimed to increase production in the UKCS. Belltree applied its bMark™ benchmarking methodology to analyze over 400 fields in the UK Northern and Southern North Sea. The project began by structuring and verifying the national database for consistency and accuracy. Custom benchmark algorithms tailored to OGA’s data enabled seamless deployment through bMark™ software.
Using bespoke FQI algorithms, Belltree identified underperforming fields (Figure 1) and quantified their upside potential. A ranking system prioritized assets with the greatest improvement potential while excluding abandoned or minor upside fields (Figure 2). This analysis helped the OGA understand portfolio performance and pinpoint optimization opportunities.
Figure 1: FQI plot highlighting portfolio spread, highly uncertain fields, and underperformance
Further analysis using bMark™ insights led the OGA to identify 26 high-potential oil fields with significant room for improvement. The study revealed an estimated upside of over 900 MMstb recoverable reserves, presenting actionable opportunities for enhanced recovery and optimized field management. These findings guided the OGA in prioritizing efforts to improve performance across the UKCS.
Recovery factor benchmarking is a crucial tool for the upstream oil and gas industry. It deepens field performance understanding and informs strategies for production improvement. Belltree’s systematic approach not only identifies recovery enhancement opportunities but also supports industry-wide goals like Vision 2035. As the sector evolves, leveraging data-driven insights will be essential for maximizing oil and gas resources sustainably and profitably.
Recovery factor benchmarking report published: https://www.nstauthority.co.uk/news-publications/recovery-factor-benchmarking-report-published/
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