According to our CEO Survey, 80% of global oil and gas CEOs say they agree or strongly agree AI will significantly change the way their companies do business in the next five years. What’s more, 65% said they plan to implement or have already implemented some aspects of AI in their operations.
- Remote well-site monitoring: An intelligent visual monitoring platform that creates alerts and reports based on the data gathered from field devices is finding wide acceptance with more than 30 oil and gas companies, mostly in Western Canada. Operators report the technology has reduced routine well-site visits by 50% by using the site-inspection tool.
- Artificial lift and well-optimization technology: A major Canadian producer launched a three-month pilot, installing sensors remotely connected to an optimization system on 60 wells. The pilot resulted in around CA$1.50-per-barrel savings in operation costs. The producer has since implemented the technology across the field and is looking to use it in other areas across Western Canada.
Blockchain is quickly finding uses in the oil and gas industry. In early 2018, a company and its partners performed the first blockchain transaction for freehold royalties in Alberta. The company expects to be using blockchain for all freehold royalties by the end of 2019 and has set its sights on transforming its accounts receivable next. Several other large Canadian oil and gas producers report they’re testing blockchain, with the goal of implementing it in the near future.
Digital twins, drones and virtual reality
Large Canadian operators are using digital twins to help manage high capital costs. Nearly 90% of large oil and gas projects go over budget. And they experience an average 17% schedule delay and 30% cost overruns, according to the Construction Owners Association of Alberta. This leads to unplanned on-site rework, as parts and equipment don’t fit as expected.
The technology provider documented a digital “site reality” using drones and laser scanners. It then digitally matched project components like blueprints with that site reality, so fit errors could be detected and communicated to the fabrication shop or the engineering team.
What is a digital twin?
A digital twin is a continuous learning system of digital copies of assets, systems and processes that can be automatically queried for specific outcomes, letting you predict asset behaviour and the capacity to deliver within given parameters and cost constraints.