IMPLEMENTING A NATIONAL DATA REPOSITORY IN NIGERIA

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IMPLEMENTING A NATIONAL DATA REPOSITORY IN NIGERIA DPR IMPLEMENTING A NATIONAL DATA REPOSITORY IN NIGERIA Department of Petroleum Resources Lagos, Nigeria www.dprnigeria.com 22nd September, 2004 5th NATIONAL DATA REPOSITORY MEETING, Reston, Virginia, USA 21ST – 23RD SEPTEMBER, 2004 Department of Petroleum Resources

Department of Petroleum Resources OUTLINE FUNCTIONS OF DPR CURRENT SITUATION IN INDUSTRY LEGISLATIVE ISSUES BACKGROUND OF THE NIGERIAN NDR OBJECTIVES OF THE NDR STAKEHOLDERS GOVERNANCE STRUCTURE BUSINESS MODEL DATA BANK CONFIGURATION NDR COMMUNICATIONS INFRASTRUCTURE INSTITUTIONAL CO-OPERATION WITH NPD LESSONS LEARNT Department of Petroleum Resources

THE DEPARTMENT OF PETROLEUM RESOURCES (DPR) The Present day DPR, has evolved over the years. Its regulatory and supervisory role in the Petroleum Industry has been performed as far back as the early fifties with the objectivity of ensuring that National goals and aspirations are not thwarted and that oil companies operate in accordance with International Oil Industry Standards & Practises + 1100 Employees (Engineers, Geoscientists, Environmental Scientists, IT, Economists, Accountants and Administrators) 18 offices across the country Department of Petroleum Resources

Department of Petroleum Resources FUNCTIONS OF DPR Supervising all Petroleum Industry Operations in order to ensure compliance with regulations and in line with good oil field practise. Enforcing safety and environmental regulations and ensuring that those operations conform to national and international industry standards Keeping and updating records on Petroleum industry operations, particularly on matters relating to petroleum reserves, production and exports of crude oil, gas and condensate. Advising Government and relevant Agencies on technical matters and policies which may have impact on the administration and control of petroleum. Processing all applications for licenses so as to ensure compliance with guidelines Monitoring Government Indigenisation policy to ensure that local content philosophy is achievable. These functions cover all activities in petroleum operations; upstream and downstream, as well as petrochemicals Department of Petroleum Resources

Department of Petroleum Resources CURRENT SITUATION NO OF CONCESSIONS/LICENCES: OPERATIONAL 145 OPEN 143 NO OF OPERATING COMPANIES 49 NO OF PRODUCING COMPANIES 17 NO OF FIELDS DISCOVERED 1183 TOTAL NO OF WELLS DRILLED 6436 DAILY PRODUCTION 2.42 M BOPD RESERVES: OIL & CONDENSATE 34 MM BBLS GAS 176 TSCF Department of Petroleum Resources

LEGISLATION -Data Reporting Section 54 of the Petroleum(Drilling and Production) Regulation 1969 specifies that the licensee : shall submit to the Director, DPR copies of every log or bore-hole survey and seismograms, copies of all geological records, seismic surveys, seismic maps May be directed by the Director, DPR to keep the records in his custody Render a report to the Director, DPR upon termination of lease Keep accurate geological and subsurface plans, maps and records Section 55 empowers any persons authorised by the Director, DPR to enter into the relevant area : To inspect and make abstracts or copies of any logs, records, maps, accounts or other document which the licensee or lessee is required to make or keep in accordance with these Regulations Section 56 specifies that all records, reports, plans, maps : Required to be furnished under the Act shall be supplied at the expense of the licensee or lessee Department of Petroleum Resources

HISTORY OF THE NIGERIAN NDR Arising from the legislative provisions of Petroleum (Drilling & Production) Regulation 1969, the concept for the Nigerian NDR was conceived to enable the Government gain control over the increasing quantum of E&P data Open tender for the establishment of the NDR floated in Aug. 2000: 20 Companies responded, 3 were pre-qualified Industry consensus was cultivated through a Data management workshop held with technical support from Norwegian Petroleum Directorate (NPD) in 2001 Workshop was a rewarding exercise as the foundation for the Nigerian NDR was established : NDR project to be jointly funded by the Government and Industry Two Industry committees which shall be responsible for the establishment of the project were set-up In Nov 2002, further investigations of the NDR technologies proposed including similar implementations of NDR around the world was carried out by an Industry study group. Arising from the legislative provision of Petroleum (Drilling & Production) Regulation (1969), the idea for the Nigerian NDR was conceived in the late ’90’s to preserve and maximize the value of all E&P Data assets Department of Petroleum Resources

HISTORY OF THE NIGERIAN NDR The findings of the group set-out the road map for the Nigerian NDR: Data Preparation Communications Business Model Legislative provision for public release of data Landmark/IDSL Consortium awarded contract to establish and operate a National Data Repository and the associated Communications Infrastructure in June 2003. Contract agreement executed in December 2003. The contract period is for a five year period from Dec. 2003 – Dec. 2007. Department of Petroleum Resources

OBJECTIVES OF THE NIGERIAN NDR Government’s Perspective Preserve, maintain the integrity and promote the National E&P data assets with improved quality, efficiency and accessibility in the most rapid, secure and reliable manner Improve the management of National Exploration and Production activities so as to Optimise the National Hydrocarbon potential Provide source of digital data required to give Nigeria a competitive advantage in attracting new investors in the Oil & Gas sector, through licensing rounds. Strengthen Government Agencies’, DPR and NAPIMS in performing their monitoring and supervisory roles in the Industry Provide the basis for public data release practise Department of Petroleum Resources

OBJECTIVES OF THE NIGERIAN NDR Oil Company Perspective Improved regulatory reporting process Source of readily accessible data of known quality Promote sharing of data amongst stakeholders and their partners in the most rapid, reliable and secure manner Reduced lifecycle costs of data management practises Department of Petroleum Resources

Department of Petroleum Resources STAKEHOLDERS GOVERNMENT AGENCIES INDUSTRY OPERATORS Department of Petroleum Resources

Department of Petroleum Resources GOVERNANCE STRUCTURE NSC National Steering Committee Industry Committees/ Workgroups DPR Dept. of Pet. Resources Technical Working Committee Work Implementation Well Workgroup Seismic Workgroup Industry Stakeholders LANDMARK/IDSL NDR Operator Department of Petroleum Resources

Department of Petroleum Resources DPR BUSINESS MODEL Establishment Costs - one-off funding Running Costs - Subscription & Transaction Fees LANDMARK/ IDSL NDR Petrobank On line access to all entitled data Loading & Unloading of entitled data Secured Quality Control Data Entitlement Set On line access to Company entitled data On-access to Cultural Data Loading & Unloading of Company data Department of Petroleum Resources

Department of Petroleum Resources NDR CONFIGURATION Off-Site Tape Storage BENIN Cultural Data: Well headers, Concessions & Pipelines Cultural Data: Well headers, Concessions & Pipelines Synchronisation Well Data: Well logs, Well Path Data,Mud Data, Reports & Images Well Data: Well logs, Well Path Data,Mud Data, Reports & Images Seismic Data: Navigation, Seismic, Pre-stack meta data & reports Seismic Data: Navigation, Seismic, Pre-stack meta data & reports Production Data: Reconciled Production figures Production Data: Reconciled Production figures NDR Master Site NDR Secondary Site LAGOS PH Department of Petroleum Resources

NDR COMMUNICATION NETWORK 2 Mbps VSAT 8 Mbps 2 Mbps Fibre ABUJA 2 Mbps VSAT 2 Mbps 2 Mbps VSAT WARRI 10 Mbps Fibre link 100 Mbps Fibre link Synchronisation 2 Mbps 8 Mbps Microwave 2 Mbps DSL LAGOS PORT HARCOURT Department of Petroleum Resources

Department of Petroleum Resources NDR STATUS NDR Infrastructure for the Master Site (Lagos) configured IBM pSeries 650 Server, IBM eServer Blade Servers Tape Library – IBM 3584-L32 Robotic Tape Library; 70TB Tape Drives: IBM 3590-B11, IBM 3590-E11 DLT 8000, 8mm Exabyte IBM TSM – Tivoli Storage Manager Cultural/Administrative Data Assembled about 75% of historic data Constructed Data model for the Cultural Data Established Cultural Database Quality control of Data on-going Target date for loading in NDR :- 1st week of November, 2004 Department of Petroleum Resources

Department of Petroleum Resources NDR STATUS (Contd) Well Data loading: Well logs,reports, images etc Target date :- 3rd Quarter 2005 Production Data loading: Reconciled monthly Production data Target Date:- 3rd/4th Quarter 2005 Seismic Data loading: Post-Stack Seismic trace data, Pre-stack Metadata Target Date :- 4th Quarter 2006 Point-forward data loading:- 2nd /3rd Quarter 2005 Department of Petroleum Resources

Department of Petroleum Resources STANDARDISATION Seismic and Well data workgroups constituted in April 2004 to develop standards for well and seismic data Separate projects for loading of historic data and point-forward data New standards will apply to point-forward data Naming Conventions: Unique Well Identifier - DPR issued well Names Well Logs – POSC standards being considered Unique Survey Identifier Reporting Formats Input Reporting format: Well Data: LIS, DLIS, lAS, ASCII, SPWLA & SEG-Y Navigation: UKOOA P1/90 Seismic Data: SEG-Y (32 bit) Pre-stack meta data : ASCII Reports: PDF Images: PDF, TIFF, PDS, CGM, JPEG Output Format Post sack seismic data : SEG-Y, Open Works & Geoshare Seismic geometry and acquisition data: UKOOA P1/90 Reporting Media: 3590, DLT, 8mm, CD Department of Petroleum Resources

INSTITUTIONAL CO-OPERATION WITH NPD Department of Petroleum Resources Co-operation between DPR and NPD dates back to late ’90s and has progressed steadily NPD shared their experience of running a successful NDR with an Industry forum in Nigeria, in August 2001. These efforts led to the establishment of an effective governance structure for the NDR project which include the participation of major stakeholders in the Industry In April 2002, the DPR was enlightened on the best practices for cultural data collection and setting-up of enabling policies for the release of public data at a workshop organised with technical support from NPD Department of Petroleum Resources

Department of Petroleum Resources INSTITUTIONAL CO-OPERATION WITH NPD Contd. The DPR and NPD formally entered into an institutional co-operation agreement in 2004 to establish a base for the further transfer of knowledge and experience in Data Management, Resource management and amongst others. The co-operation is being funded by NORAD. More technical assistance has been received from NPD in the area of data modeling and establishment of Cultural(Administrative) Database. On-going efforts towards the development of a draft legislative framework for the public release of data . Department of Petroleum Resources

RELATIONSHIP WITH THE INDUSTRY Speculative Companies Oil Marketing Companies DPR NAPIMS Operating Companies Joint Venture Contract Production Sharing Contracts Sole Risk NDR Service Contract Department of Petroleum Resources

Department of Petroleum Resources Lessons Learned Data Locating historic data is a great challenge Adopt a phased approach for loading data Set realistic target dates for loading of data Quality control is important else users will not have confidence in the data set Management and Organisation Regulatory Agency must play a leadership role and demonstrate total commitment to the project Stakeholders must be fully engaged in the project Data bank should be managed by the professionals Department of Petroleum Resources

THANK YOU FOR YOUR ATTENTION Department of Petroleum Resources