As a member of the oil and gas industry, you've probably heard of the many advancements being made in the industry. Truth be told, the industry has seen huge changes thanks to today’s digital innovations. Unlike other industries that have opened up, the sector has been lagging behind for several years now.
ContentsUnderstanding the Oil and Gas Supply ChainChallenges in the Oil and Gas IndustryTechnology AdvancementsAutomationScalable LogisticsFleet Management TechnologyIoT (Internet of Things)Communication SolutionsCloud Computing SolutionsConclusion The potential brought by the information revolution has been duly noted and, in some industries, actualized. This potential fuels the oil and gas sector, tackling issues such as environmental pollution and global warming. Any oil and energy company in the sector that effectively leverages the power of the digital revolution will gain a major competitive advantage over its competitors, and you are no exception to this. You can also check digitaloilgas.
This article details the challenges and technological advances in the oil and gas sector while defining how these elements have contributed to the digitization of the industry. Enjoy!
Crude oil undergoes a long process when it is transformed into various products that it willingly represents. The oil and gas supply chain is divided into five parts;
Due to the unique nature of the oil and gas industry, the challenges in operating such a business are vast and unique, as we are sure you will can testify to that. In fact, it would be an understatement to conclude that the oil and gas industry is unlike any other. A multitude of unique issues and concerns emerge, including:
Robotics and other digital systems have advanced to the point that they can perform high-risk tasks like pipeline pigging more efficiently than humans. Automated drilling, for example, would reduce overhead, improve employee safety and make drilling on smaller sites economically viable.
The automated factory also plays an important role in safety and compliance concerns. To maintain production efficiency, you only need to purchase and install pressure vessels, heaters, storage tanks, trunnion ball valve pumps, compressors, among other equipment for your automated refinery. After that, the automated system will do the least safe job for you.
There are inefficiencies in every aspect of the supply chain that can be fixed. A company has created a rig that uses an automated injection system to prevent the formation of hydrates, making extraction more efficient. Other research indicates that the use of metal-organic structures in oil and gas transportation could fundamentally change the industry by removing the need to evacuate hazardous materials during travel.
It has never been easier to monitor employees and equipment. Important data can now be captured and viewed almost instantly, even in the most remote areas, thanks to GPS monitoring. An organization will always know where all their expensive equipment is and will be notified if something is missing.
Machines that are always connected have the most recent information. This will help oil and gas companies predict equipment failures and minimize downtime.
Since a single pump failure can cost a company hundreds of thousands of dollars, knowing the status of pumps in real time allows replacements to be prepared for those that are considered vulnerable to failure. Real-time data like this would help the management team make smarter, more informed decisions.
For both onshore and offshore teams, effective communication plays a key role in a company's productivity. With the introduction of online communication platforms for video conferencing, work and equipment tracking, audio communication, etc., productivity has increased. This made it possible to keep only the necessary employees in one place.
The capability of the internet cloud has been touted for years for data-driven businesses, but the oil and gas industry has only just caught up. Here are some of the potential benefits of cloud computing in industry:
It's no wonder the technology has become more mainstream over the past decade. According to the World Economic Forum, a digital revolution in the oil and gas sector could unlock $1.6 trillion in value for the industry and its customers. So whether you're a long-time player in the oil and gas industry or just starting out, the technology guarantees improved efficiency at scale.
