Abstract

Reports state that the world industry is using its proven oil and natural gas reserves faster than it can replace them. The oil and gas industry needs low cost, high quality exploration concepts to re-invigorate domestic and international exploration. A non-traditional exploration technology has been applied to the evaluation of the Shipp field, Lea County, New Mexico. This approach utilizes remote sensing and unique subsurface mapping techniques for the strategic and technical evaluation of the hydrocarbon potential of a prospect. Application of these exploration techniques allows petroleum exploration to be more successful and cost effective. The success rate associated with these methods promotes the more effective use of exploration capital. Application of these techniques reduces the average finding cost to between $0.05 and $0.10 per barrel found.

Evidence is provided to suggest that the 1980’s marked a significant turning point in domestic exploration. If, as suggested, traditional exploration methodology has matured and become less effective, then non-traditional methods will become more prominent. Historically, the oil industry has had good success in adapting new exploration technologies to the search for oil/natural gas. After adapting the technology, there is a period of 10 to 25 years in which it can be used to develop viable prospects.