PDVSA $165 million data management contract claimed as largest ever. (January 1998)

Petroleos de Venezuela SA (PDVSA) has awardeda three-year, $165 million contract to GeoQuest to manage PDVSA's exploration andproduction (E&P) integrated applications and data environment.

The agreement was effective January 1, 1998. Technical data from PDVSA's Exploration and Production Divisions will be consolidated in a corporate database compliant with international standards enabling PDVSA's E&P personnel to process, analyze and interpret data and information through commercial applications. Within this integrated environment, GeoQuest will deliver specialized services to PDVSA's E&P personnel to enable them to effectively and efficiently use these data and information. "As a strategy to support the Apertura (Opening) process of the Venezuelan oil industry, since the beginning of this year PDVSA has begun implementing a radical organizational transformation. This reorganization replaces the vertically integrated affiliates with a functional structure in which PDVSA E&P has assumed all the responsibilities for upstream activities," said Marco Rossi, chief information officer of PDVSA E&P. "An E&P integrated environment," continued Rossi, "managed by a world-class corporation such as Schlumberger GeoQuest, is a fundamental step to strengthen the new entity technologically. In addition, this environment will substantially increase the staff's productivity and provide a common technology platform that will enable the adoption of best practices and, in general, enhance the organizational learning process of the newly created corporation."

By integrating technology and specialized services, PDVSA takes a step toward its goal of increasing production capacity to more than six million barrels per day by the year 2006. "As a strategic partner, GeoQuest's and PDVSA's visions for the future are closely aligned," said Alberto Nicoletti, GeoQuest vice president of Latin America. "Our corporate objectives are to improve the quality of the decision-making process and reduce the cycle time in E&P activities. Better data quality, advanced technology and ongoing training are key to making that happen."