DeGolyer and MacNaughton: Company Profile

Background

DeGolyer and MacNaughton (D&M) is a leading independent petroleum consulting firm established in 1936 by Everette Lee DeGolyer and Lewis MacNaughton. Headquartered in Dallas, Texas, with additional offices in Houston, Buenos Aires, and Algiers, D&M has built a global reputation for providing unbiased and informed consulting services in the oil and gas industry. The firm's mission is to deliver insightful information that leads to intelligent decisions, blending energy economics, engineering, and earth sciences to assist clients worldwide in the exploration, recovery, and management of oil and gas resources.

Key Strategic Focus

D&M's strategic focus encompasses:

• Core Objectives: Providing independent, scientifically rigorous insights to the global energy industry, ensuring clients make informed decisions regarding exploration, development, and production.

• Areas of Specialization: Reserves assessments, prospective resources evaluations, unconventional resources assessments, reservoir simulation, production enhancements, competent person’s reports, engineering analyses, exploration and basin studies, petrophysical studies, geophysical studies, geological studies, and economic modeling.

• Key Technologies Utilized: Advanced technologies such as IBM, Microsoft Azure, and Tableau are employed for data analysis and reservoir simulation, enhancing the precision and efficiency of evaluations.

• Primary Markets Targeted: Serving clients in over 100 countries, D&M focuses on the global oil and gas industry, including independent oil companies, governmental bodies, and financial institutions.

Financials and Funding

D&M is a privately held company with estimated annual revenues ranging from $100 million to $500 million. The firm has not publicly disclosed specific funding rounds or investor details, as it operates independently without external funding.

Pipeline Development

As a consulting firm, D&M does not develop its own pipeline projects. Instead, it provides comprehensive evaluations and assessments for clients' pipeline projects, including reserves evaluations, economic modeling, and development planning.

Technological Platform and Innovation

D&M distinguishes itself through:

• Proprietary Technologies: Utilization of advanced software and analytical tools to enhance the accuracy and efficiency of evaluations.

• Significant Scientific Methods: Employing sophisticated reservoir simulation techniques, economic modeling, and comprehensive geological and geophysical analyses to provide detailed insights.

• AI-Driven Capabilities: While specific AI applications are not detailed, D&M's use of advanced technologies suggests a commitment to integrating innovative solutions in their consulting services.

Leadership Team

The leadership team at D&M includes:

• John W. Wallace: Chairman and Chief Executive Officer.

• Charles F. Boyette: President.

Both leaders have extensive experience in the petroleum consulting industry, guiding D&M's strategic direction and maintaining its reputation for integrity and excellence.

Market Insights and Competitor Analysis

The global petroleum consulting market is characterized by a demand for accurate and independent evaluations of oil and gas reserves, economic modeling, and development planning. Key drivers include the need for reliable assessments to secure financing, optimize field development, and comply with regulatory requirements.

D&M's primary competitors include:

• GaffneyCline: A global consultancy providing techno-commercial advice to energy producers, financial institutions, and governments.

• Ryder Scott Company: Specializes in petroleum reserve evaluations and consulting services.

• Netherland, Sewell & Associates: Offers independent evaluations of oil and gas reserves and resources.

These firms offer similar services, including reserves assessments and economic evaluations, contributing to a competitive landscape in the petroleum consulting industry.

Strategic Collaborations and Partnerships

D&M has engaged in significant collaborations, such as:

• SOCAR: In November 2024, D&M discussed potential opportunities with the State Oil Company of Azerbaijan (SOCAR) to work together on carbon capture and geothermal projects.

• PT Pertamina Hulu Energi (PHE): D&M has collaborated with PHE for the annual reserves and resources certification, reinforcing a long-term partnership in Indonesia.

These partnerships enhance D&M's market position and innovation capacity.

Operational Insights

D&M's strategic considerations include maintaining a strong reputation for integrity and technical expertise, which differentiates it from competitors. The firm's global presence and experience in various petroleum basins provide a competitive advantage in delivering comprehensive and reliable evaluations.

Strategic Opportunities and Future Directions

D&M's strategic roadmap focuses on:

• Expansion: Continuing to serve clients in over 100 countries, leveraging its global expertise.

• Innovation: Integrating advanced technologies and methodologies to enhance evaluation accuracy and efficiency.

• Sustainability: Engaging in projects related to carbon capture and geothermal energy, aligning with industry trends towards sustainable energy solutions.

These directions position D&M to achieve future objectives and maintain its leadership in the petroleum consulting industry.