The easiest way to calculate burn rate

If you’ve ever wondered if there’s an easier way to stay on top of your burn rate, you’re not the only one.

Modern drill program management software can automatically calculate your burn rate for you and update it at the end of every shift to give you real-time visibility into your costs and what’s driving them.

Rather than spending half an hour or more plugging the numbers into your spreadsheet, all you need to do is log in. Straight away, you’ll be able to see what happened on the rig today, your real-time cost per metre, how the actual cost compares to your budget, and forecast future costs based on progress.

It works by matching drill plod data to your cost contract at the end of every shift, giving you immediate visibility into your drill production and costs for that day across every rig, the drill program to date - and even across your entire business.

Drilling data from any contractor can be entered into the system, so it’s easily scalable, even when drilling with multiple contractors.

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A tool for managing burn rate

Calculating your junior exploration burn rate is the easy part. What about managing it?

This is where data visualisation is your friend, and digital tools, like CorePlan’s drill program intelligence software, can automate this for you.

When data is displayed in the right way, it becomes a lot easier to identify patterns in your daily operations and track changes over time.

Colourful graphs and charts are a much easier way to communicate analyses and collaborate across teams in comparison to sharing spreadsheet data. You’re far more likely to spot discrepancies in a graph than scrolling through hundreds of data cells.

But it’s not just about displaying the data in the right way - it’s also about bringing the right data together to generate relevant insights so that you can take action to improve your burn rate and measure the impact of these actions. For example:

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Rig time activity breakdowns: see exactly how much time the bit is spending on the bottom versus other activities that could be blocking the rig’s progress.
Progress mapping: see which holes are being drilled, waiting to be drilled, finished drilling or delayed on a map. Track your estimated time to completion based on prior drilling.
Consumable and cost charts: see where costs are spiking and dive deeper into the reasoning behind these spikes or troughs.

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Because the data is entered into the system daily and your cost per metre is automatically updated, you’ll have real-time insight into whether or not actions taken based on reporting insights are having an impact on your bottom line.

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The power of fast cost per metre calculation

When you’re getting the data in real-time, you can make decisions based on the latest information. This allows you to plug budget leakage and follow up with your drillers as soon as the very next shift - not days or weeks later once everyone has forgotten what happened on the rig that day.

This process will also save you valuable time at the end of the month.

When you have quick access to that cost per metre metric, and you’re able to track it over time, you can have more confidence in your drillers’ performance, monitor the impact of any planned corrective actions and make better forecasts. All leading to an increased likelihood of a successful drill program.

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How to try it for yourself

CorePlan’s drill program management software is a cloud-based SaaS tool built to help exploration teams run better drill programs. See how it could help your team manage your burn rate and other aspects of your field operations in a free demo over Microsoft Teams or Zoom today.

Download the checklist here

Easy drilling burn rate management tool for Junior explorers

Download the checklist here

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