Reducing Non-Productive Time Through AI-Powered Drilling Insights

An upstream operator leverages a next-generation data platform augmented with GenAI, to reduce NPT and transform well delivery workflows.
Company Profile
A US-based upstream operator with active drilling across shale plays
Industry
Oil and Gas, Upstream
Region
North America
About the Client

The company is a US-based operator with active drilling across major shale basins. The opportunity lies in improving drilling performance, reducing invisible lost time, and making smarter and faster operational decisions based on data they already have. The company is looking for practical, results-driven and ready-to-scale solutions that deliver measurable performance gains.

With thousands of daily drilling reports (DDRs) stored across assets, the team can turn this underused data into a reliable source of insights without affecting the team’s current workflow. The goal is to drill more efficiently, optimize rig utilization, and reduce Non-Productive Time (NPT) through better analysis of historical events.

$4.2M
Reduction in drilling costs with AI/GenAI
One
Full month of rig time saved
30%
Increase in engineers productivity

Challenge

The oil drilling process requires large capital investments and managing operational and Health, Safety, and Environment (HSE) risks. Well drilling involves rig mobilization, executing complex well plans, and making critical real-time decisions during the drilling process under tight safety and efficiency constraints.

NPT remains one of the most persistent and financially significant inefficiencies, accounting for up to 25% of total rig time. Daily drilling reports contain detailed information about NPT events and reasons, but they are typically written in unstructured text and vary in format, making for time-consuming manual reviews.

The client recognized an opportunity that would enable their organization to automate report analysis and discover new opportunities to optimize NPT.

Solution

To help the client gain deeper insights from historical drilling activities, Provectus designed and deployed a comprehensive enterprise solution, combining an Integrated Energy Data Platform (IEDP) with a custom GenAI application built on top. Recognizing the fragmented nature of upstream data across SCADA systems, Excel logs, and other siloed sources, Provectus developed a foundational data layer aligned with OSDU principles. This advanced IEDP enabled seamless ingestion and unification of diverse, structured and unstructured data at scale, which allowed the client to easily access and apply AI & GenAI-driven insights across the organization, unlocking a new level of drilling intelligence for the operational planning process.

With this architecture in place, Provectus moved to implement the GenAI capabilities in close collaboration with domain experts. At the core of the GenAI solution was a domain-specific large language model (LLM), carefully selected through the testing process, to process legacy drilling reports without disrupting existing reporting workflows.

Our work entailed:

  • Calibration and validation of the model outputs together with drilling experts, ensuring operational credibility and eliminating noise.
  • Automated event extraction from unstructured DDR text using a GenAI engine calibrated for 13 drilling risk categories (e.g., stuck pipe, circulation losses, equipment failure)
  • Insights generation that enabled cross-well trend analysis and detection of recurring inefficiencies.

Reducing Non-Productive Time Through AI-Powered Drilling Insights

The Workflow Diagram illustrates the key stages of the LLM-driven analysis. The process began with the collection of historical DDRs, which served as the core data source for model training and validation. These reports were then cleaned, segmented, and structured into machine-readable units, unifying abbreviations, inconsistencies, and NPT-specific language.

Next, the preprocessed dataset was used to fine-tune the domain-adopted LLM. The initial outputs, including tagged events, durations, and root cause annotations, were reviewed by the client’s drilling engineer experts. Their feedback was incorporated into an iterative loop to further calibrate the model and improve tagging precision. The system processed over 1,500 DDR entries, with more than 94% alignment to expert-labeled classifications.

Once validated, the model was used to run full-scale classifications. It automatically identified the dominant NPT categories, as well as their duration, frequency, and context across wells or campaigns. The final outputs were used to support drilling performance reviews and planning decisions for the next drilling campaign, transforming static retrospective reports into a dynamic decision-support asset.

The solution was delivered as a highly scalable, cost-effective platform, designed and built using a range of AWS services. It enabled the client to accelerate drilling analysis workflows while storing produced outcomes and recommendations in a unified, cloud-based data warehouse for future use.

Outcome

The solution demonstrated high technical and operational value, enabling the detection of previously unreported NPT events, revealing inefficiencies that would have remained hidden and under vague descriptions like “operations” or “standby” using traditional reporting methods. This enhanced visibility delivered a new level of drilling intelligence, allowing fast and precise evaluation of NPT per well. A process that previously required weeks of manual analysis by engineers was accomplished in under two hours. As a result, the root causes of NPT were systematically evaluated, enabling more informed and optimized drilling decisions for subsequent wells, which led to overall cost savings while maintaining production targets.

Financial impact highlights:

  • Operator horizontal well cost: ~$4 million
  • Typical NPT is 10-15%, with most operators targeting <10%
  • AI-discovered NPT: 7% of the reported NPT, equivalent to $42,000 per well

Drilling campaign highlights (100 wells):

  • $4 million in drilling cost savings
  • One full month of rig time saved
  • Staff reallocated to high-value analysis instead of manual data review

Provectus delivered a production-grade Daily Drilling Report analysis platform within months. This established a scalable system capable of transforming years of free-text drilling logs into a structured, queryable foundation, and supporting campaign-level benchmarking, risk analysis, and continuous performance optimization.

$4.2M
Reduction in drilling costs with AI/GenAI
One
Full month of rig time saved
30%
Increase in engineers productivity
Working with Provectus has been a game changer for us. Their AI & GenAI-powered solution turned what used to be weeks of manual report reviews into a matter of hours. We’re now able to quickly identify the root causes of Non-Productive Time across our wells, make smarter drilling decisions, and save millions in operational costs. It’s given our team the confidence and clarity to plan each campaign with greater precision and efficiency.

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