A private, independent company (the “Company”) focuses on developing assets in the Pinedale Anticline and Jonah Field. The Company currently holds a position of over 104,000 net acres and a total operated well count of over 3,000 wells following the completion of a successful acquisition in April 2021. The Company has plans for additional acquisitions over the coming years but faces scalability issues with its current system landscape made up of a complex “homegrown” IT platform with integration and reporting that evolved through years of development by its extensive IT department.
READ MORE: Upstream: Transactional Due Diligence & Software Implementation/Integration: Delaware Basin Acquisition
While the Company utilized a commercially available software for accounting and land activities, P2 BOLO, they custom-built a robust system to manage all operational, production, environmental and additional operations-related functions and advanced reporting. Additionally, the client built peripheral applications to assist with AFE preparation, ARO accounting, and AP workflow. The custom platform resulted in the development of disparate access databases rather than relying on the ERP. Despite the robust nature of the custom solution, the support required to maintain the systems would not be able to keep up with the anticipated growth of the Company. Additionally, management wanted to return to more mainstream, vendor-provided solutions to avoid risks associated with custom solutions and their long-term support needs.
Opportune was engaged because of its extensive experience with program management, system selection, and implementation projects, as well as its extensive relationships with upstream software vendors. Following an accelerated software selection effort, the Company selected new production allocation, well and site data capture and reporting, and environmental reporting applications. The Company selected new reporting applications that would integrate with its existing accounting and land application, BOLO, and its new production system. Additionally, the Company selected Opportune’s ARO accounting system, Assent 143.
Once selections were made, timelines for implementation were defined and work got underway immediately. Priority was given to the production allocation and well and site data capture applications due to their criticality. The environmental reporting systems implementations were planned but not started immediately due to reporting timelines necessitating all 2021 reporting to be done out of the legacy systems. Another layer to the implementation of new systems was that the Company needed to re-establish P2 BOLO as its system of record, which required extensive data reconciliation and cleansing. The Company identified champions corresponding to the system implementation effort and coordinated and parallel implementations began in mid-summer 2021 with the expectation go-live would be achieved by end of the year 2021.
Opportune added value to the Company’s effort to replace its legacy custom systems and streamline its business processes due to our experience with system implementations, our vendor relationships, as well as our in-house application, Assent 143. Opportune provided project management to coordinate all parallel implementations, as well as expertise in implementing new systems. Opportune also provided P2 BOLO expertise to refresh the BOLO environment’s data and define new processes to align with the new system landscape.
READ MORE: Upstream: Transactional Due Diligence: Acquisition Data Integration
Technology touches every element of the energy industry. Opportune has deep and broad experience across the energy supply chain—from asset development and production to processing, transportation and markets. Due to our extensive energy industry experience, we take pride in our ability to improve E&P and first purchasers’ back-office processes through the implementation of best practices and modern cloud-based technology platforms, including Quorum, Enertia, Peloton, P2 Energy Solutions, and W Energy. Opportune brings expertise in M&A integration, land administration, field data management, operational accounting, revenue accounting, and both regulatory and financial reporting. For more information, CLICK HERE.