Virtual Collaboration for G&G Professionals

1. 2006 Joint Conference Virtual Collaborationfor G&G Professionals Presented by: Yogi Schulz Sahar Al-Arami May 17, 2006

2. Yogi Schulz Biography Management Consultants • President of Corvelle Management Consultants • Information technology related management consulting • Project management and systems development • Computing Canada & Calgary Herald columnist • PPDM Association board member • Industry presenter: • Project World - 4 years • CIPS Informatics - 7 years • PPDM Association - several years

3. Sahar Al-Arami Biography • Awarded a 4-year scholarship by Nexen Inc. to study in Canada in 2002 • Graduated with an Honors Diploma from the Computer Technology program at SAIT in 2004 • Will be graduating in May 2006 with an Honors Bachelor of Information System Technology • Work experience: • Nexen Inc. as an intern since May 2005 • Co-op student withYemen Hunt Oil Company in 2004

4. Presentation Outline • Presentation Objectives • Virtual collaboration defined • Business drivers for G&G virtual collaboration • Enabling technologies for virtual collaboration • Example G&G virtual collaboration scenarios • Best practices for virtual collaboration • Conclusions & Recommendations • Questions & Discussion

5. Presentation Objectives • Describe new possibilities in thecollaborative work environment • Demonstrate collaboration related components • Illustrate how G&G professionals can benefit from virtual collaboration • Outline best practices for establishing and operating a virtual collaboration environment

6. Skills Technology Process Organization Virtual Collaboration Defined

7. Silos Individual knowledge Divisional focus Barriers to access information Face-to-face work Integration Team knowledge Cross divisional work Easy access to information Virtual collaboration Vision for Work in the Future Tomorrow Today Improved performance

8. Business Drivers for G&G Virtual Collaboration • More complex E&P assets • G&G talent is global and knowledge-based • Continuing demands for reduced cycle times • Availability of capable, cost-effective technology

9. Enabling Technologies for Virtual Collaboration • Converged Networks • Audio and video conferencing • Application and document sharing • Instant messaging • Discussion boards • Collaborative management tools

10. Example G&G Virtual Collaboration Scenarios • “Thin bed” Reservoir Reserves Estimation • Effective use of the Direct Hydrocarbon Indicators technique

11. “Thin bed” Reservoir Reserves Estimation • Scenario Description • A deepwater reservoir, characterized by thin beds, in the North Sea looks like it could be promising • The head office is not sure how to assess the net pay zone and estimate the reserves in place in the multiple thin beds of the reservoir • Objective of Scenario • Use the collective knowledge of the G&G Community to improve the reserves estimation process in an unusual situation, reducing the risk of: • developing a reservoir with inadequate reserves or • abandoning a project that is in fact economically viable

12. “Thin bed” Reservoir Reserves Estimation G & G Community G & G Community Q & A

13. “Thin bed” Reservoir Reserves Estimation “Thin bed” Reservoir Reserves Estimation A prospect that could have been marginal is determined to be economically viable. Geoffrey Moore Core Analyst, Core Lab Houston

14. Effective use of the Direct Hydrocarbon Indicators technique • Scenario description • DHI works well in some exploration areas but not others • The appropriate application of the DHI technique is important in assessing the proposed risk values during peer reviews • Objective of Scenario • Increase the knowledge of the G&G staff about: • characteristics of exploration projects where the DHI technique works well • appropriate use of DHI

15. Direct Hydrocarbon Indicators G & G Community G & G Community G & G Community Q & A Q & A Events

16. Direct Hydrocarbon Indicators G & G Community The G&G staffincrease their knowledge of DHI and agree on a consistent application of it. Helpful Tools

17. Best Practices for Virtual Collaboration • Understand the kinds of interactions that occur internally and externally • Understand the differentcomponents of collaboration • Build a team-oriented environment • Focus on people, not technology • Provide the right tools and support • Sustain the change

18. Conclusions • There are numerous business driversfor G&G virtual collaboration • Various technologies enablevirtual collaboration for G&G professionals • Virtual collaboration is well suited to how work of G&G professionals as demonstrated by the scenarios in the presentation • To achieve the most value from virtual collaboration, apply best practices

19. Skills Technology Process Organization Recommendations

20. Questions &Discussion Can you help us implementvirtual collaboration? Please fill out evaluation form

21. Virtual Collaboration for G&G Professionals 1800, 250 - 6th Ave. S.W. Calgary, Alberta Canada T2P 3H7 Phone: (403) 249-5255 E-mail: YogiSchulz@corvelle.com Web: www.corvelle.com Management Consultants Information technology related management consulting Project management and systems development Computing Canada & Calgary Herald columnist PPDM Association board member

22. Bibliography - 1 • CIO - A Travel Guide to Collaboration • http://www.cio.com.au/index.php/id;583358229;fp;16;fpid;0 • Collaboration Loop • http://www.collaborationloop.com/ • Collaboration Tools • http://www.virtualtools.co.uk/collaboration/resources.shtml • Collaborative tools - An independent guide to products and services • http://www.infoconomy.com/pages/b2binfrastructure-top-stories/group108370.adp • Collaborative Computing - White Papers, Web casts, and Case Studies • http://www.itpapers.com/search.aspx?scid=177

23. Bibliography - 2 • Future of Work • http://www.thefutureofwork.net/ • IBM Workplace Collaboration Service Tour • ftp://ftp.lotus.com/pub/lotusweb/workplacecollaboration/WorkplaceCollaborationServices_Tour.html • InnoVision Canada • http://www.ivc.ca/ • Kolabora Online Collaboration Resources • http://www.kolabora.com/index.htm • Mapping Collaboration Technology Requirements to Human Social Requirements to Human Social Structure • http://www.isr.uci.edu/events/Research-Forum-2002/presentations/poltrock.pdf

24. Bibliography - 3 • National Defense Research Institute • http://www.rand.org/pubs/monographs/2004/RAND_MG273.sum.pdf • The Subtle Power of Virtual Collaboration • http://www.accenture.com/Global/Services/By_Subject/Workforce_Performance/R_and_I/TheCollaboration.htm

25. New Discovery • Scenario description • Our drilling team has just struck a huge offshore discovery that requires a fast track development project involving expertise from other divisions • Objective of Scenario • Illustrate how expertise and lessons learned in other divisions can be leveraged to reduce risk and ensure success of a new project

26. New Discovery

27. New Discovery New discovery developed collaborativelyto accelerate development.

28. Collaboration Benefits • Benefits for employers • Benefits for employees • Social and economic benefits

29. Collaboration Impediments • Cultural challenges • Win-lose mentality and mistrust • Intellectual property issues • Resistance to change • Technical challenges • Lack of security • Lack of well-designed computing infrastructures • Technical integration obstacles