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Customer Snapshot

Managing Data
40,000 Feet Under
the Sea

Global oil reserves are estimated to be

1.2

trillion barrels

 

Pacific Drilling believes the greatest opportunities in the offshore oil and gas industry will be in ultra-deep water. To effectively focus on this segment of the drilling market, they are turning to SAP to help support a unique, specialized fleet of drill ships through optimized maintenance, operation, inventory, and supply chain processes.


Company

Pacific Drilling S.A.

Headquarters

Houston, Texas

Customer Website

www.pacificdrilling.com

Revenue

US$638 million

Number of Employees

1,200

Implementation Partners

SAP Services, Hewlett-Packard, Deloitte Consulting, Capgemini Consulting

Line of Business

Sustainability, Asset Management, Supply Chain, Information Technology

Industry

Oil & Gas

Featured Products

SAP for Oil & Gas, SAP Business Suite powered by SAP HANA

History

A big investment in ultra-deep oil

Pacific Drilling is a young company with global ambitions. Created by oil and gas industry veterans and venture capitalists in 2006, the company combines modern drilling technology with the latest safety practices to effectively meet complex operating requirements at remote locations in deep water.

  

  • 2006Pacific Drilling was founded.
  • 2008 Company selected management team; construction of first four drill ships began at Samsung Heavy Industries (South Korea).
  • 2010Signed contracts with two major oil companies; secured US$1.8 billion in financing (which wins Marine Money’s “Export Credit Deal of the Year” award).
  • 2010 The first rig, Pacific Bora, was delivered. Three more rigs were delivered the following year.
  • 2011Private stock OTC sales began in Norway in March. Public stock became available on the NYSE in November.
  • 2012Drilling commenced from the Pacific Santa Ana on a 5-year project in the Gulf of Mexico for Chevron using dual-gradient drilling (DGD), which increases drilling efficiency while lowering mechanical risk and well costs.
  • 2012Closed separate $300 million and $500 million unsecured bond offerings, and signed two more drilling contracts with Chevron; ordered seventh drill ship from SHI for delivery in 2014.
  • 2013 Ordered eighth drillship from SHI for delivery in March 2015.

Success Strategy

Powerful IT powers the push for deep oil

Pacific Drilling is using data to gain the speed and flexibility they need to become the world’s pre-eminent deep-water drilling company.

The Challenge

Real-time data to deliver the edge

A global company with multiple locations, including remote offshore drilling sites, Pacific Drilling believes they can transform their management style from reactive to proactive by harnessing real-time data and analysis. Doing so will give the company the edge needed to compete against larger, more established competitors, and to achieve the goal of doubling their fleet in three years.

Enter SAP

Partners with SAP from day one

SAP solutions have been critical to the success of Pacific Drilling since the company was founded. Specifically, Pacific Drilling has used SAP ERP for Oil and Gas as they have grown from a company of fewer than 100 employees to more than 1,200 employees and five deep-water drill ships deployed worldwide.

The SAP Experience

An unparalleled tech team

With help from partners SAP Services, Hewlett-Packard, Deloitte Consulting, and Capgemini Consulting, SAP and Pacific Drilling were able to deploy SAP ERP powered by SAP HANA in 60 days. The implementation allows Pacific Drilling to conduct both transactions and analytics in the same IT environment, saving time, and money, and establishing a technology foundation that can scale as the company grows.

 

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Shorter time-to-value cycles

Running Better

Simplify, simplify

Simplifying the IT landscape greatly reduces the costs of operations throughout Pacific Drilling, from payroll, to procurement, to supply chain management. It also helps reduce the overall database size, which simplifies management and improves data availability and transparency.

 

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Improvements on every level

Benefits

Optimized supply chain management

So far, Pacific Drilling has sped up the time required for both payroll and material requirements planning (MRP) by up to 50%. The solution is also expected to maximize the uptime of their drilling rigs while reducing maintenance costs and optimizing inventory levels throughout their global supply chain.

 

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Improvements… and more improvements

Today

Data directly from the drill

Currently, the Pacific Drilling team is investigating the benefits of importing mission data from sensors on equipment on each of the rigs. By using SAP HANA Live for SAP ERP, Pacific Drilling hopes to analyze the data in real-time and provide actionable information to the users. For example, real-time data collection would allow rig operators to detect and appropriately react to downhole pressure changes while drilling, which can enhance the safety and efficiency of deep-water drilling operations.

 

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Knowing what’s happening at the drill point

Journey Ahead

Rising faster and drilling deeper

Pacific Drilling continues to look for other ways to use SAP solutions to improve business performance, operational excellence, and safety. IT executives say SAP Business Suite powered by SAP HANA positions the company for at least the next five years, as the company is expected to double their staff to more than 2,000 people and increase annual revenues to more than $1 billion.

 

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A platform for innovation

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