Aupec - News

Dec 2011

Aupec celebrates 25 years in business

Aupec, the respected authority in energy sector economics and benchmarking, is celebrating 25 years in business this month. The company, originally Aberdeen University Petroleum Economics Consultants, was established in 1986 to commercialise the skills of the university’s Economics department. Now global specialists in petroleum economics and IT benchmarking for the sector, Aupec has worked with a vast range of clients all over the world, from the super majors to national oil companies and governments, and continues its links with the University of Aberdeen to this day.

Aupec was co-founded by world-renowned petroleum economics and tax expert Professor Alex Kemp OBE. Currently a Board Member, he commented on the success of the company: “Since founding Aupec 25 years ago, I have seen the company go from strength to strength, building on our expertise in petroleum economics and developing new service offerings for the oil and gas industry around the world. I am extremely proud of Aupec’s success and enjoy continuing my connections with the company – thanks to the tireless work of many long-serving staff members, Aupec has become a by-word for authority in oil and gas economics and analysis.”

David Rose, Aupec’s first employee, fellow co-founder and Director of Benchmarking, and his team are celebrating the 25th anniversary along with another landmark - the 20th year of the annual Global Upstream IT Benchmark. This unique benchmark was established in 1991 with pump-priming funding from Shell Expro to focus on IT spending and resourcing for companies operating in the North Sea. Other companies soon joined to benchmark their IT efficiency and effectiveness on an annual basis, and now up to 20 upstream organisations participate in the benchmark every year. Our future is bright, with recent successes including the signing of a landmark strategic agreement with several of the world’s largest integrated oil companies to provide IT benchmarking and analysis on an ongoing basis. Aupec works closely with these integrated companies to develop and execute benchmarking models and deep dive studies, which complement the company’s ever-expanding dataset. The scale of our dataset means that benchmarks can be provided to clients on a bespoke basis.

A new benchmark for 2011, focusing on the toolkit of IT applications used by subsurface teams in oil and gas companies, has proved to be one of Aupec’s most successful ventures, with 17 oil and gas companies across the globe participating in its first year. The Subsurface Applications Benchmark is a collaboration with NDB (New Digital Business - www.ndbteam.com), while another upstream petroleum benchmarking project focusing on the relationship between IT capability maturity and IT spending is planned for next year in collaboration with IVI (Innovation Value Institute - http://ivi.nuim.ie/ ). These partnerships are key to our future growth plans, as they expand the specialist expertise that can be offered to our clients.

Over the last 25 years, our Economics division has worked with governments around the world, to advise on oil and gas economic policy, tax and regulation, including in Alaska, Angola, Australia, Azerbaijan, Greenland, Kazakhstan, New Zealand, Nigeria, the Russian Federation, Sao Tome and Principe, Tanzania, Trinidad and Tobago, the United Kingdom and others. We have been working with the Ministry of Finance in Angola for over 5 years and we assist in developing the skills of Angolan citizens to build capacity there. Aupec is also involved in providing courses for the Oil and Gas Enterprise Management MSc course at the University of Aberdeen.

Aupec’s Managing Director Donald Mackay commented: “On behalf of the Aupec team, I would like to thank all of the company’s clients over the last 25 years for their support and input. We are looking forward to working on new challenges in the future with clients and partners old and new.”