Utilizing the Power of Big Data Analytics for Oil and Gas Industry

Data is gold for industries and the oil & gas industry is no exception. In this domain as well, there is a huge pile of crude data about the presence of the reservoirs, seismic data, and the like. You will be shocked to know that about 50% of the working hours of oil & gas industry engineers are spent on capturing the data.

The prevalence of data in the oil & gas industry is so high that a leading US oil group doubles up its database in almost 12-18 months.

Also Read: Future of oil and gas companies — Areas of Extreme Profit and Loss

Handling such an enormous data pool has always remained a headache for leaders of the oil & gas industry.  The intervention of big data analytics has proved a blessing for this industry. Let’s explore more about this topic.

  • Data Management Challenges That Oil & Gas Industry Faces
  • The giant dataset of the oil & gas industry is challenged with issues like:
  • Lack of visibility into tedious operational processes
  • Not churning out the proper results
  • Losing data in the process of migration and handling
  • Consuming a lot of time in data handling and processing

This industry is already bombarded with challenges like performance optimization, logistic complexity, ensuring the regulations at each level, and ensuring the equipment life cycle through and through. Above this, the complexities of the dataset are increased the operational burden on businesses operating in the oil & gas industry.

Also Read: Data Analytics and Business Intelligence: How to Make their Best Combinational Use?

Big Data Analytics – The Real Saviour for Oil & Gas Industry

Bringing big data analytics is the easiest way to deal with the complexities existing in geophysics, stimulation, production process, and cutting down the expenses of the oil production industry. Already, big data have entered this domain and a high tech-driven oil field is likely to handle 125 billion oil & gas barrels.

  • Data analysis is in real-time and pocket-friendly

We have already made it clear that the data volume in the oil & gas industry is colossal and is growing at a rapid speed. Handling such a huge amount of data, efficiently & effectively, is essential and imperative even if it is tedious and expensive. The high demand for perfection and real-time insights, derived from this dataset, increases the burden a little more.

The intervention of big data has helped oil & gas companies to achieve these operational goals without any compromise. The advanced AI of big data is competent enough to churn out real-time insights. As most of the tasks are automated, handling the data with fewer workforces is possible. Big data analytics can help oil & gas industries can pump up the production by 6-8%.

  • Better risk management and decision-making ability

Risks are endless for the oil & gas industry. For instance, the layers of rock, at the sea bottom, vary a lot in a region. It is not necessary that the strategy that applies to one region will hold similar significance for another. Therefore, a separate analysis of highly recommended.

Also Read: How can Big Data Boost the Revenue for Businesses?

Big data analytics is capable to perform as many analyses in a blink of an eye. Analysis of the same dataset from different prospective is also doable. Data scientists can derive multiple conclusions about a geographic area and spot the potential dangers beforehand. This helps keep the risks on the lower side and accuracy in decision-making on the higher side.

  • The highly managed upstream sector

The upstream sector of the oil & gas industry holds great significance as this is that area from where most of the information is gathered.  The usages of big data analytics have managed to attain perfection and seamless operations in this sector.

For instance, managing seismic data is now easy with big data analytics. Acquisitions of seismic data, it is processing, and locating the ideal area for drilling can now be performed with full accuracy. Companies can now have an accurate guess about the presence of oil reservoirs.

The use of big data analytics has helped the oil & gas industry to optimize the drilling processes by customizing the predictive models. Such highly customized predictive models can help businesses to predict probable equipment failures.

Improved reservoir engineering is also one promising benefit of using big data analytics in the upstream sector of the oil & gas industry. With its help, it is easier to design reservoir management applications that will deliver timely and actionable information regarding the change of temperature, pressure, and flow in the reservoir. These applications will provide real-time insights into the performance of the reservoirs and allow companies to assess their worth.

  • Properly managed logistic front

Managing the logistic front in the oil & gas industry is no less than a migraine as transporting petroleum safe & sound is a highly risky task. To accomplish this job safely, sensors and predictive maintenance are used. The use of these technologies makes early detection of pipeline & tanker faults is possible. One can figure out the cracks and corrosion present in the pipelines & tankers beforehand and can know about the seismic ground movements. Upon spotting a loophole in any of these, transportation can be avoided.

Also Read: Data is the real currency: Big data

  • Reduce the downtimes and maintenance

Using big data predictive analytics, the oil & gas industry can easily trim down the maintenance costs, demanded by refining equipment. Asset management becomes easier than ever. One can perform the analysis of historical & current operating data of the equipment and carry out the estimated performance of the equipment.

Use Case Scenarios: How to Leverage Big Data Analytics in the Oil & Gas Industry?

While Oil and Gas Sector still hesitates (to an extent) from utilizing the Big Data Analytics and its potential, there are several use cases that such businesses must pay attention to:

  • Surveying and Monitoring the desired Areas for Exploration

Businesses generally collect data manually and predict the presence of oil in several areas to begin exploration. However, the precision of such data is not very high.

On the other date, organizations in the Oil and Gas sector may perform seismic analysis to survey various areas. With the help of careful analysis of collected data, it becomes easier to predict whether or not the desired region has gas and oil deposits worth exploration. So, with the use of Big Data Analytics, you can determine if your chosen area is worth drilling or not.

While you utilize this practice, the precision of decisions is very high. This means, your efforts, resources and time, alongside the geographical regions, can be saved through it.

  • Increasing the life of your equipment

It is obvious that most of the equipment are damaged due to their unnecessary use, or overuse, or deployment in tough conditions. Most of the time, it leads to expenditure without any good profit. However, by collecting and making use of the sensor data, you can save your resources and money significantly.

Analyzing the drilling sites through advanced sensors can increase your machines’ life and reduce maintenance or re-purchasing costs big time. Alongside this, it enables you to drill for a longer time period and gain more profits. It is an established fact that big ventures could save more than $1 Million in a single project in a single location through the implementation of the sensor analytics alone.

  • Pre-estimation of Production

When a venture has to perform Big Data Analytics through Seismic data, it collects various datasets before digging a particular region.

For example, you will be using the optical fibers to measure certain values by inserting it into the well/land. Similarly, you will be creating 3D as well as 4D maps of oil and gas reservoirs. After all needed processes, Big Data Analytics is performed using artificial intelligence and other cutting-edge technologies.

In the end, you will be able to determine the approximate value of oil and/or gas production from your marked region. With such details in hand, you will be able to understand if the production data is big enough to invest time and resources in your selected region, or is it better to search for another reservoir instead.

  • Improving the Business and Logistics Capacity

With the right tools for forecasting the demand and production probability, your business can optimize its logistics capability for growing faster when Big Data and other cutting-edge technologies are being used optimally.

  • Go a bit environment-friendly

Every business wants to make progress in their field. However, it should not be at the cost of Mother Nature. You must focus on feasibly opting for sustainable business model and cut the carbon footprint wherever possible.

With the use of big data analytics in the oil & gas industry, it can be done to a great extent without compromising the convenience of working for your team. Isn’t it great?

Enjoy the Perks of Big Data Analytics

By involving big data analytics in the oil & gas industry, companies can make most of the capture datasets and take erudite decisions. Early detection of risks, better performance management, reduced operational costs, and lower loss of resources are some other notable takeaways.

Achieving success at all these fronts will have a huge positive impact on the revenue. Hence, if your oil & gas industry-related business is still deprived of the rewards of big data analytics till now then start now.

Having a tough time figuring out where to start? Take the help of a seasoned big data analytics team and get best-of-breed solutions.

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