Speaker: Bill Haskett, Haskett Consulting
Presented at the 2019 DAAG Conference in Denver. Case Study Session
Abstract: Ecstatic over a discovery, a management team of A-Company wrestles with the appropriate timing and path to production. Offsetting parcels are operated by industry competitors and an arm of the entity that grants production permission for the discovery. These competitors could delay the granting of a production license and force the discoverer to drill additional, expensive (and "useless”) wells to prove their acreage would not be drained. There is both internal and external conflict that clouds the issue. A-Company CEO has been unable to get the management team to create and execute a unified plan due to distrust, passive aggressive behavior, and back-door politicking. Relationships with competitors and the licensing body have been strained for many years which on occasion resulted in raised emotions.
From this starting point a plan had to be developed that achieved objectives including minimized time to development, maximized the knowledge of the full block, created management unity, and provided options and BATNAs for the significant threat points.
Keywords: strategy development stratdev, competitors, negotiations, game theory