The oil and gas industry is one of the largest and most important industries globally, measured by revenue, production, and reserves. Oil and gas are the fuels driving the modern world. Even with all the talk about moving away from fossil fuels by harnessing solar and wind power, oil and gas are still employed in massive amounts to power our world, travel, and keep us warm. However, it is a fact that these are difficult times for the oil and gas industry leaders as the cost of doing business is escalating higher and higher. Moreover, the pandemic has hit the industry hard.
Oil and gas IT solutions have come as a saviour. They are pivotal in changing the current oil and gas landscape positively. Recent advancements in technology have led to various processes for the oil and gas industry, such as drilling operations management, fleet management, energy trading, risk management, etc., and oil and gas IT solutions are needed to reduce costs, as well as, downtime associated with these processes.
Let’s explore the importance of IT solutions for the oil and gas industry.
Oil and gas companies need to remain viable to stay relevant and continue operations. For this, it is important to cut down on operating costs. Digital Oilfields are a simulation of entire oilfields, backed by modern computational tools and fast processing systems. When combined with the wealth of data, such digital oilfields allow engineers, geophysicists, and geologists to find the most optimal spots for oil extraction. This leads to lower drilling costs and maximum output in extraction. Here, big data analytics reduces the need to hire large numbers of data operators, reducing the staffing costs and enhancing the overall efficiency of the industry.
Finding and Accessing New Oil Resources
Before the industrial revolution, there was a time when oil was available in abundance. Oil wells were easily accessible, and drilling them wasn’t an uphill task. However, the current scenario is far from the then scenario. The industrial revolution led to an increase in the usage of oil and other fossil fuels, and the oil reserves are depleting faster than ever. In such times, oil and gas technology solutions combined with powerful computers and a vast pool of data can help us find oil reservoirs that we could not have found a decade ago.
Increased Access to Remote Sites and Workers
Oil and gas technology solutions empower companies to move towards offshore drilling without establishing elaborate bases in remote locations. This is becoming an increasingly popular trend as the oil wells near cities and ports are drying up quickly. Due to rapid advances in technology, it is now possible to diagnose and treat remote workers in oil fields without transporting them to doctors in the cities when an emergency strikes.
Oil and gas technology solutions being used for exploration and extraction can also discover and extract other minerals that are not harmful compared to hydrocarbons. The expected usage of automobiles running on electricity will mean wide power usage derived from sources like wind turbines. This will cause an increased demand for rare metals, which can only be fulfilled by adopting IT solutions and practices in the oil and gas industry.
The prices of the oil and gas industry seldom stay consistent. With increased demand and fluctuations in prices, the oil and gas industry needs to be profitable to stay relevant and competent in the digital age. For this, it is imperative to adopt IT solutions for the oil and gas industry.