The 2008 P2 Energy Solutions International

Conference

Sharm El Sheikh, Egypt

November 11-12th

Who We Are

Newfield is growing. We are an independent oil and gas company with a balanced program of exploration, production and acquisitions. We are traded on the New York Stock Exchange under the ticker “NFX”.

THE FACTS

Proved Reserves: 2.5 Tcfe, 75% natural gasEnterprise Value: ~$9.7 billionOffice Locations: Houston, Texas (Headquarters), Tulsa, Oklahoma; Denver, Colorado; Kuala Lumpur, Malaysia; Beijing, ChinaAreas of Operation: Onshore Gulf Coast, Mid-Continent, Rocky Mountains Gulf of Mexico, offshore Malaysia and China Employees: ~1,000

Our Assets

M A L A Y S I A

C H I N A

INTERNATIONAL AREAS

T E X A SLOUISIANA

N E W M E X I C O

O K L A H O M A

U T A H C O L O R A D O

M O N T A N A

W Y O M I N G

ROCKYMOUNTAINS

MID-CONTINENT

SOUTH TEXAS

VAL VERDE BASIN

EAST TEXAS

GULF OF MEXICO

N O R T HD A K O T A

S O U T HD A K O T A

WE HAVE A DIVERSIFIED ASSET BASE

NFX PROVED RESERVES

What We Have Done

0

400

800

1200

1600

2000

2400

2800

1998 2000 2002 2005 2006 *2007

RockiesMid ConInt'lOnshore GCGOM

* NFX Sold Nearly 400 Bcfe in 2007

190 Bcfe 232-239 Bcfe

2007 PRO FORMA 2008e PRODUCTION

PRODUCTION

What We Have Done

Int’l10%

Mid-Cont.33%

GOM8%Rockies

18%

OnshoreGulf

Coast31%

Int’l

4%

Mid-Cont.45%

GOM4%

Rockies

28%

OnshoreGulf

Coast19%

>22% Growth!

The Challenge

Data

Information

Decisions

Value

Data… Systems … Data … Systems

Silos of Data

OperationsDaily Drilling reportsDaily ProductionWork Over ReportsFailure AnalysisSafety SystemsArtificial lift Analysis

EngineeringReservesWell Test AnalysisReservoir SimulationNodal AnalysisEconomic EvaluationWell Test Analysis

GeoscienceSeismic DataWell logsGeo-StatisticsVelocity SurveysWell locationsDirectional Surveys

FinancialLOE/LOS BudgetingGeneral LedgerContractsP&L StatementsAccounts Payable

Limited Data Integration

End Users must go through a series of systems to integrate data– Integration is Typically by Department– Time Consuming– Difficult

Operations Geological

Engineering

Financial

Fully Integrated Data

Better Information Better Decisions Better Value

Must be easy to Access

How did we accomplished this at Newfield

Developed and communicated a simple to understand Model that described how we would run and implement our ERP

Designed IT Goals which promote the use of integrated data within IT and the company

Leveraged the P2ES Hierarchy

Added industry standard keys– UWI – Location information

Newfield ERP Model

…

Prod DM

ProdReporting

L-1

L-2

L-0: Core NFX Financial database (Transactional)

L-1:Datamart reporting tables (Read Only)

L-2: End User Interface Layer (multiple interfaces)

Land DM

AFE DM Hierarchy

Fin DM LOE DM

GISSystem

LandMapping

LOEReporting

AFESystem

ReserveReporting

BudgetSystem

ECMSystem

OLAP

OracleP2ES

L-0

Senior IT Goals

“Bench Strength”

Exploit current systems.

“Evergreen”

Audit and design processes to continually maintain current data.

Focus on retrieving value from existing systems.

• ECM• GIS• Production

Evolve today for tomorrow

• Training• Build

Knowledge

Keys are the Key

10 Business Unit

20 Team

30 Area95 Departments

40 Field 41 Prospect

56 Lease 50 Well 54 Land Lease

60 Completion 64 Land Tract

74 Land Depth

P2ES Hierarchy

Keys are the Keys

P2ES Hierarchy was used to relate all internal data– Internally developed systems– Purchased 3rd party systems

Industry Standard Keys– UWI Used to access Public and industry information– Evergreen process to assure accuracy

– Latitude/Longitude Used for Spatial representation

Results

The Rules worked– A brief look at 3 systems– Turning Data into Value

– Daily Production System

– Corporate GIS

– ECM (Enterprise Content Management)

Production

GIS – Well Data

Newfield Corporate Web GIS

Geographical ERP Menu

GIS – Land Data

ECM

Predefined Folder Taxonomy

P2ES HierarchyInherited Metadata from ERP

Google Style File Search

What we Learned

Technology was not the problem– Used standard off the shelf technology– Oracle Materialized Views – ESRI Suite– Microsoft .Net

Data Keys were the Key– Leveraged the P2Es Hierarchy – Used industry standard keys

Education and pushing the IT staff to work outside of their comfort zone was essential

Once Data integration is understood it is contagious

Change Management is extremely important

Systems must not be complicated

The Challenge

Data

Information

Decisions

Value

Questions

Thank you for your time and

I look forward to answering your questions.