The Prospect Quality Team (PQT), Exploration Excellence ( XX ), Explor ation Review Team (ERT ), Risk Consistency Team ( RCT ), Risk Normalization Team (RNT ), and the Gang of 8 ( G8) are all pseudonyms for groups of people who came into existence in the 1990s in response to declining drilling success rates, declining field sizes, the rising costoffailure, and low oil prices.

Their responsibility was to review, evaluate, and assign risk an d resource values to opportunities in their respective companies. Many of these groups have been highly successful, increasing wildcat percentage success rates from the mid- teens to the high sixties. However, some considered their affect to have stifled creativity, made geolo gists and geophysicists risk a verse, reduced wildcat drilling activity, led to staff reductions, and all but shut down true frontier exploration.

As one of those “evil naysayers” for the last 17 years, I truly believe that the “risk police” do add significant value when they are recognized, utilized, and empowered to act in the appropriate fashion. The ability to challenge assumptions, identify gaps, focus technology, and discuss openly the strengths and weaknesses of each and every opportunity helps management to make better decisions. If implemented properly, these groups can overcome the barriers to success, enhance the technical capabilities of all staff, and have a very positive effect on company performance.

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