David Archer

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• David Archer
• POSC
• Shell
• 11 March 2002

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Web Reference Service
OC-1
OC-2
OC-3
OC-4
Oil Portal
eProcurement
APP1
APP2
App3
POSC Web Reference Service
SC-1
static
middleware
OFS Portal
dynamic
SC-2
db2
db1
DModels
XML
SC-2
PIDD
PWLS
technical apps
RefVal
Registry
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What is POSC?

• International not-for-profit industry membership
  organization
• Established in 1990 by 5 oil companies
• BP
• Chevron
• Elf
• Mobil
• Texaco

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Directors

• David Archer, POSC
• Peter Breunig, ChevronTexaco
• Bertrand du Castel, Schlumberger
• John Gibson, Landmark
• Jim Honefenger, Veritas
• Gary Lore, US MMS
• Stefan Nowina, BP
• Iain Percival, Shell
• Bill Ragosa, ExxonMobil
• Stewart Robinson, UK DTI
• Liu Zhenwu, CNPC

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about POSC

• Global membership
• Oil, OF service, software, government, academic
• Worldwide
• Offices in Houston London
• Neutral forum for collaboration
• Global network
• Best known for
• Epicentre integrated data model
• Reference data library
• Interoperability specifications
• XML exchange specifications
• POSC products are being used directly or as the
  information reference in applications across the
  entire industry

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Mission POSC

• To identify and develop, through an open process,
  a vendor neutral publicly available set of
  specifications for a petroleum upstream technical
  computing environment (1991) Epicentre
• Improving EP business performance by leveraging
  Internet technologyin the integration of oil and
  gas business processes (2000) XML eStandards

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POSC today

• Focus on Energy eStandards
• information exchange and interoperability
  agreements in support of eBusiness for the energy
  industry
• XML exchange specifications
• Technical
• Business
• Regulatory
• Training Conferences
• XML Web services
• Energy eStandards
• Member meetings
• For more information see http//www.posc.org

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Upcoming events ...
See http//www.posc.org
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POSC DNA

• People
• Many former POSC staff and participants are now
  holding key roles in major companies service,
  oil and government
• Processes
• Regional data stores (GeoBank, CDA, )
• Corporate data stores (Statoil, TFE, )
• Open process has been adopted by other groups
• Technology (Energy eStandards)
• Epicentre reference data in wide usage
• Directly
• By reference
• Interoperability specs.
• XML definitions/vocabularies
• Units of Measure/Coordinate Transformations
• Web services

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Epicentre Data Model
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POSC in 3 words

• Connect
• Connect players in the industry through meetings,
  workshops, networking events, discussion forums
• Communicate
• Encourage communication via newsletters,
  articles, white papers, web sites
  meetings/conferences, face-to-face and remotely
• Collaborate
• Enable collaboration across the industry in a
  neutral forum

connect, communicate, collaborate
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Connecting, collaborating sharing information
INFO. technical business regulatory
connect, communicate, collaborate
To reduce costs To reduce cycle times To make
better decisions
Productivity
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• Standards provide a consensus-driven path for the
  IT industrys future growth
• .. with our industrys increasing pace of change,
  it is one of the few stabilizing influences left.
• Source Carl Cargill (Sun Microsystems)

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EP eStandards landscape
W3C ISOC ISO OMG OGC TOG WS-I ...
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A view of Standards Space
Business Domain
Technical Domain
Decision Performance
Finance ERP
Technical Applications
Applications
Middleware (Business Objects)
(ERP Vendors)
Data Model/ Exchange
(ERP Vendors)
Reference Libraries
(ERP Vendors)
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Cooperation

• POSC PPDM
• Common reference data pilot
• Memorandum of Understanding drafted
• POSC PIDX
• Joint participation in work groups including
  ComProServe
• Memorandum of Understanding drafted
• POSC OFS Portal
• Membership
• POSC WITSML
• Discussions regarding publication and ongoing
  support of the results
• XML Summits .. WS-I
• Standards bodies are recognizing that
  interoperability will not happen unless they work
  together

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Whats the problem?

• Roll your own -- reluctance to give up turf,
  hidden agendas, and lack of trust among standards
  organizations
• Differing scopes and processes -- incompatible
  operating processes, varying scopes of standards,
  different origins and missions of standards
  groups
• Lack of perspective -- failure to see the need
  for multiple groups contributing to e-business
  standardization, tunnel vision/inability to see
  the big picture
• Lack of awareness of other groups -- lack of
  knowledge of the existence of other groups, as
  well as their goals, missions, activities lack
  of time and energy to keep up with standards
  world, lack of basic technical understanding
• Lack of common vocabularies -- both industry and
  natural languages, as well as lack of
  international outlook

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Energy eStandards inventory

• Units of Measure
• Epicentre 3.0
• WellHeaderML
• WellLogML
• WellPlotML
• PWLS (Practical Well Log Standards)
• Zonation
• OpenSpirit
• XML
• XML architecture
• XML Objects Components
• Pef XML
• See Bobbitt ( XML Trends, Nov. 2001 )

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Content Standards

• Consistent, unambiguous content is the key to
  information sharing
• We need standards that allow those who use the
  information to understand both its meaning and
  usage format

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Outline

• XML
• XML in EP
• XML Guidelines
• Web Services
• EP information exchange
• Conclusions

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Connecting, collaborating sharing information
INFO. technical business regulatory
To reduce costs To reduce cycle times To make
better decisions
Productivity
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What is XML?

• XML is a framework for developing an unlimited
  number of special-purpose data languages
• XML allows people sharing a common data exchange
  problem to work out an open solution to that
  problem
• XML is a standard framework for making agreements
  about communication

Source IBM
. . . ltCurveInformationgt ltCurve name"RILD"
uom"OHMM" mnemonic"RILD "gt
ltnullValuegt-99999.0000lt/nullValuegt
ltcurveDescriptiongtDeep Induction
Resistivitylt/curveDescriptiongt lt/Curvegt
lt/CurveInformationgt
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XML for EP information exchange

• Define use XML vocabularies that
• are based on industry usage
• e.g. PIDD, Epicentre,
• preserve context
• use tags consistently across related domains
• Learn from efforts of other industries and
  standards groups
• Financial industry
• Oasis, XML.org, RosettaNet
• OpenGIS Consortium
• Development requires both a knowledge of XML
  technology and the domain of interest

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XML in EP

• POSC MLs
• WellLogML
• LogGraphicsML
• ProductionML
• WellSchematicML
• GeophysicalML
• eosML
• WellHeaderML
• WellPlotML
• XML Components
• POSC Projects
• MMS Pilot
• BLM Pilot

• Others
• Wellogix - WellXML
• Landmark - DEX
• Oilfield Systems
• Oilware
• Baker Hughes
• BizTech4Energy
• PIDX
• PetroXML
• UK DTI Production
• NPD/PetroData
• WITSML
• OFS Portal
• OGC - GML

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POSC XML Resources

• POSC eBiz Pages
• http//www.posc.org/ebiz
• XML Guidelines Link

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Web services

• Web services are applications that can be
  published, located, and dynamically invoked
  across the Web.
• Web services perform functions ranging from
  simple requests to complicated business
  processes.
• Once a Web service is deployed, other
  applications and other Web services can discover
  and invoke the deployed service.

Source OGC
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Web services technology stack- based on standards
Core
Emerging
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The Web services triangle
Service Registry (UDDI)
Find
Publish
Requester
Bind
Provider
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Web services provision

• Define and specify the Web service
• Implement and deploy the service
• Register the service

3.register
UDDI registry
WSDL/SOAP
2. implement
1.define
Service Java class SOAP
WSDL Service Description
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Web service invocation

• Find a Registry that provides the service
• Identify services that can satisfy the request
• Decide which service will be used
• Invoke the service

1. find
UDDI registry
WSDL/SOAP
2. identify
3. decide
4. invoke
SOAP
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A closer look
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Business events and
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XML documents drive
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corporate data are converted
business events
to XML documents
Company A
Company B
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XML documents move securely
via Internet standards common vocabulary (SOAP
Messaging)
COM
CORBA
app
app
Web Services Zone
SAP
Message
Internet
Internet
R/3
broker
middleware
middleware
adapter
adapter
Information and transactions flow both ways
SourceForrester
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Web service registries
UDDI
ebXML
BizTalk
RosettaNet
EnergyIndustry
Oasis /XML.org
CDA
OtherIndustries
POSC
Oil-A
Svc-A
Oil-B
Gov-U
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Web services

• Regulatory reporting pilot with
• Shell, UK DTI, IBM, POSC
• Real eBusiness Web Services Workshops
• Oct(UK), Nov(US) 2001
• Apr(UK), May(US) - 2002
• Model for workshops on this and other topics for
  the future
• We see Web services as a promising architecture
  for enabling (in an incremental manner )
  information exchange and interoperability

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Web services .. An example

• Problem
• Get WellHeaders for all the wells in a region
• Whats involved?
• Create and register Web service to find all wells
  in the region
• Operators create Web services and register their
  ability to provide WellHeader information in a
  standard form (given appropriate
  security/authentication)
• Invocation of the services via process or GUI
• Processing of the returned XML .. In a browser,
  database, etc.
• Similarly for other data Production, etc.

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OilGas Industry registers their businesses and
shared applications
UK e-government requesting data from
oilgas companies
SHELL
Register business and services
business registry
Enquiry about available reports
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Request data reports via GUI
Operating Units
Company Data
2
Secure exchange over the Internet
Well header data
Request data reports through automated processes
Well production data
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POSC Web Services an example

• PWLS Practical Well Log Standards
• Service
• Java-based
• Apache Tomcat 4.0
• Publication
• WSDL published on IBM POSC UDDI
• Client
• Java-based GUI available for downloadLink
• Perl scripts for use with SOAPLite

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POSC Web Services proposals

• JV-Reporting
• Regulatory Reporting
• Operational Reporting
• To include Production, Drilling, etc.
• Daily Drilling Reporting Link

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Traditional Trading Approach
Total Cost nn Total Transactions nn Cost
per Company n/2
Seller A
Buyer A
Buyer B
Seller B
Buyer C
Seller C
Buyer D
Seller D
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Trading Hub Approach
Total Cost n Total Transactions nn Cost per
Company 1
Seller A
Buyer A
Buyer B
Seller B
Buyer C
Seller C
Hub Cost
Buyer D
Seller D
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Standards Approach ??
Total Cost n Total Transactions nn Cost per
Company 1
Seller A
Buyer A
Buyer B
Seller B
Buyer C
Seller C
Buyer D
Seller D
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Web services approach
Total Cost n Total Transactions nn Cost per
Company 1
Web Services Standard XML Vocabularies
Standard Protocols Business Registry
Seller A
Buyer A
Buyer B
Seller B
Buyer C
Seller C
Buyer D
Seller D
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Web services Where to begin?- Some suggestions
from John Hagel John Seely Borwn (HBR, OCT2001)

• Build on existing systems
• Look at Web services as an add-on to existing
  systems, not an immediate replacement
• Expose functionality so that it can be accessed
  in the WS architecture
• Start at the edge
• Focus on customers partners supply chain
• Create a shared terminology (standards)
• Both definitions and context are required
• Grow adapt vocabularies organically

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Common terminology the key to exchange

• If the product plans for successful projects in
  this area (inter-enterprise information exchange)
  were to be analyzed, the finding would be that
  considerable time is spent not so much in
  defining interfaces but in classifying and
  providing common terms for the business aspects
  in that domain.

Source Cutter Consortium
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WellLogML What and Why?

• Standard for exchange of Well Log data over the
  Web
• Enables visual analysis of Log data in Web
  browsers
• Human readable data with Definitions and Values
• Open, non-proprietary data exchange format
• XML supported in Common Software Applications
  becoming de facto standard for data exchange

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WellHeaderML What and Why?

• A project to cut costs resulting from
  inconsistent, poor quality, basic Well
  Information
• Improve quality and consistency of basic Well
  Information
• Improve efficiency across most EP business
  processes
• Reduce remedial costs of poor basic Well
  Information
• Provide consistent basis for well identification
  in EP eBusiness

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The evolving situation
Costs
Seller A
Buyer A
Buyer B
Seller B
?
Buyer C
Seller C
Buyer D
Seller D
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Web Reference Service
OC-1
OC-2
OC-3
OC-4
Oil Portal
eProcurement
APP1
APP2
App3
POSC Web Reference Service
SC-1
static
middleware
OFS Portal
dynamic
SC-2
db2
db1
DModels
XML
SC-2
PIDD
PWLS
technical apps
RefVal
Registry
50
Web Reference Service

• Reference data
• Well Log Standards (PWLS)
• Units of Measure
• Coordinate information
• Activity codes
• Dictionaries, Data Models, specifications
• PIDD
• Epicentre
• XML DTDs and schema
• Cross-references

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Web Reference Service

• Registries
• Web Services (UDDI)
• Yellow and white pages (businesses people)
• Sample code and examples (source and/or
  executables)
• Visualization examples (LogGraphicsML)
• Usage examples (MMS pilot)
• Standards development environments
• XML configuration management and development
  tools
• Data model evolution tool (incremental Express)

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• Standards provide a consensus-driven path for the
  IT industrys future growth
• .. with our industrys increasing pace of change,
  it is one of the few stabilizing influences left.
• Source Carl Cargill (Sun Microsystems)

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eStandards Value Proposition

• Potential industry value creation opportunity is
  about 10 Billion (US) annually (Goldman Sachs)
• Assume development, deployment, support, and use
  of standards contributes 5 to the value creation
  500 million
• Existing funding for petroleum industry Standards
  Bodies is lt 5 million
• Under those assumptions.
• return COULD BE gt 1001

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Some lessons learned

• Standards development is relatively easy
• deployment and maintenance are the hard parts
• This takes time, patience and persistence
• establishment of a standard is not a one-shot
  event
• Cooperation oil companies, service companies,
  governmental bodies, standards organizations is
  necessary through all phases of the standard
  lifecycle
• Those who found standards groups frequently
  ignore the ongoing cost in and effort
  required to keep it up to date
• Standards can come from open or proprietary
  processes

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Conclusions

• Open Standards (such as XML-based exchange
  formats) are at the heart of an effective
  eBusiness environment
• Web services are a powerful new technology that
  enables
• loose integration of applications and data
• dynamic, on-demand information capture and
  exchange
• The prize enabled by industry-wide information
  exchange standards is very significant this
  will require a serious industry commitment to the
  adoption and implementation of of the standards

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Role of POSC

• One of POSCs roles is to facilitate the
  development of industry specific information
  management and exchange standards
• Most recent achievements have been in XML area
• New technologies are emerging, and POSC sees Web
  services as a significant opportunity
• An objective for today is
• To determine whether and how the industry can
  channel its combined efforts in exploring and
  adopting Web services through POSC projects

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Questions/Comments?
David Archer archer_at_posc.org 1 (713)
267-5142 http//www.posc.org POSC - Energy
eStandards http//www.posc.org/darcher
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