Oil Patch innovation
eLynx's Internet system boosts efficiency
By Russell Ray ,World Staff Writer
It's 4 p.m. and a compressor at one of your oil wells breaks down, stopping the
production of valuable crude.
The problem goes unnoticed until the next day, when the operator arrives at the
site to measure the oil and check the equipment. By that time, nearly a day�s
worth of oil production has been lost.
Oil and gas companies can avoid such setbacks thought the use of an
Internet-based monitoring system designed by Tulsa-based eLynx Technologies.
Using the eLynx system, producers and pipeline operators can monitor and
control operations via the Internet. The system also provides real-time data on
each well and alerts the operator when a problem occurs.
"We're not a software company coming to the oil and gas business," said John C
Powers, vice president of business development for eLynx. "This system was
developed by operators for operators."
ELynx is a subsidiary of American Central Gas Technologies Inc. of Tulsa.
American Central, a gas pipeline operator and processor, created the monitoring
system for its own operations three years ago Powers said. After implementing
the system, the company�s operating expenses dropped 30 percent to 50 percent.
"It made us more efficient against our competition," Powers said.
The system monitors data from about 1,000 wells, Powers said. Subscribes of the
eLynx technology include Devon Energy, Enron, Exxon Mobil and Samson.
The Web-based service allows lease operators, also known as Pumpers, to check
wells and measure production without leaving the office. Normally, Pumpers
drive hundreds of miles every week to check each well. "A pumper usually
handles between 40 and 60 wells," Powers said. "He drives to every single
well."
The eLynx system can cut a pumper�s driving time substantially by eliminating
the need to visit each well.
Potential problems automatically are highlighted, which means the operator can
respond faster to complications that could impact production. The information
is available 24 hours a day.
"We�re seeing a 3 percent to 10 percent production increase" at wells linked to
the system, Powers said.
"It starts with the field operations and it goes to every piece of the
company," he said "All this data can be put into any reporting system or
accounting software."
But, the technology eLynx provides isn't new. Some companies have spent
millions of dollars developing and maintaining their own monitoring systems.
Now, energy companies have the option of outsourcing such services through
companies such as eLynx. Outsourcing the technology is far less expensive than
building and maintaining your own system, Powers said.
"This isn't their core business," he said. "Producers drill for gas and oil.
That's what they get paid for."
ELynx has gone to great lengths to make sure the collected information is safe
from hackers and competitors, Powers said. The data is protected by a 128-bit
encryption program, which requires a password to access the information.
"We've got the best security there is on this system," Powers said. "No one can
trace it. No one can track it. We've got all the bells and whistles."
Russell Ray, World business writer, can be reached at 918-581-8380 or via
e-mail at Russell.ray@tulsaworld.com