OPERATION AND MANAGEMENT
BAI Jian, XIAO Yun, WU Xiaowei, TANG Weidong, WEN Jing
As a part of internal audit in petroleum companies, the audit of investment risk control is conducted in unconventional gas exploration and development to not only strengthen the audit supervision on oil and gas production domains but standardize and boost the large-scale beneficial development of unconventional gas resources. So, a referential audit methodology has been innovatively presented for drilling and completion in unconventional gas wells, which is conducive to this audit with effect. Results show that (i) in addition to some similar problems (e.g. insufficient and unthorough efforts in well locating before drilling, unsuccessful bidding in intensive and competitive manners, and unrealistic field workload) commonly in conventional gas wells, the drilling and completion in unconventional ones also face with unique issues very often, such as unclear definition of responsibilities and irrational compensation for shutdown in case of downhole complexities, as well as irresponsible storage and insufficient management of suppliers' materials. All these problems and issues may lead to numerous risks and challenges, including high investment cost, lower-than-expected return on invested capital, and unsatisfactory profitability. Therefore, it is essential to make the audit of investment risk control in unconventional drilling and completion; (ii) by way of lateral correlation, survey, benchmarking, component proportion analysis, early warning analysis & hypothesis testing, and verification with available data, some key investment benefit control points, for example pre-drilling platform-based benefits, investment in new drilling technologies, sand fracturing cost, on-site suppliers' materials, clean production process, settlement change, and claim verification, are examined to achieve effective audit supervision to further achieve objectives; and (iii) for the first time in 2022, a special audit was conducted for investment risk control in unconventional drilling and completion. During this audit, a total-factor analysis was made for the unconventional gas wells settled in 2020-2021 in order to figure out key factors affecting cost control and benefit creation by cost reduction. In addition, feasible suggestions on management were proposed to improve the investment management of unconventional gas wells.