IoT connectivity solutions as a driver of productivity
Connected devices can be leveraged at any stage of an oil and gas assets’ life cycle, from geology interpretation to field optimization. More importantly, the benefits offered far outweigh the required investment, ensuring long-term business sustainability.
Below, we will discuss each of these benefits in detail.
IoT for drilling management
Drilling safety and efficiency depend on many factors, from workers’ competence to seismic activity. Neglecting or misinterpreting any of these factors can lead to unfortunate consequences. Studies of offshore rig disasters conclude that most accidents could have been prevented if more data had been available. For instance, using seismic sensors for drilling site mapping reduces errors during the planning stage. When drilling is in progress, sensors help rig operators get the most precise measurements of the subsurface and continue the process safely.
This indicates that organizations need to invest more in well management and optimization. Once an oil and gas company builds an IoT connectivity platform, it can reduce operational costs by 25% per barrel.
Digital twin technology for data and project management
Implementation of IoT connectivity is an important step in field digitalization that can be followed by the development of a digital twin. As a complete virtual replica of a physical field, it has the following use cases:
Remote real-time tracking of field assets. This means not only collecting separate metrics but staying on top of the entire functioning system. If there are interdependent components, like valve control defined by a flow rate in another location, it is reasonable to monitor them concurrently. Any changes detected in one area of the system can be instantly transmitted to make proper adjustments in another area. This secures system stability.
Building predictability models
An unlimited number of metrics provided by connected sensors is a powerful base for calculating benchmarks. This makes operational teams aware of platforms’ performance capabilities and helps streamline field projects and avoid bottlenecks.
Better project management
IoT connectivity solutions improve collaboration between teams in the oil and gas industry. Fast data transmission enables engineers to provide prompt recommendations to on-premises staff. Meanwhile, the staff have a deeper understanding of real-time conditions in the field and can share their observations to improve data interpretation.
Remote condition monitoring for proactive maintenance
Traditional maintenance based on a predefined schedule is becoming outdated. Manually collecting data from each part of the pipeline system is time-consuming. Moreover, the maintenance schedule does not always match the actual need. Sometimes, it is done when everything is functioning at its best, and no check is needed. In this case, a company spends employees’ working time without any measurable outcome. Or some parts of the equipment collapse without waiting for the time of maintenance to come. And a company must deal with the consequences.
Conversely, with IoT connectivity, no manual measurements are needed. Instead, condition-based monitoring is put in place. This means that sensors collect pressure, temperature, and flow rate data in real time. Predictability models described above provide performance benchmarks, and once there is a deviation, operators can quickly step in and deal with it before it causes considerable damage. In this way, companies can prevent accidents and save resources (workforce, time, and costs). Remote condition monitoring and data analysis can bring oil and gas companies an average $17 million improvement in the bottom line.
IoT for offshore and cargo shipping
Cargo shipping is a sensitive part of a business. It takes place in severe conditions, where the internet connection is unstable. Ship personnel cannot access all parts of a ship, and therefore, they are often doing their job blindly. IoT can use a low-powered wide area network (LPWAN) to monitor the equipment and the cargo itself. Numerous detectors connected to one central point collect key measurements and send alarms in case of emergency. This helps secure the cargo and minimize threats to shipping personnel.
Connectivity for responding to ethical challenges
Apart from improved productivity, connected sensors and technologies help the industry deal with ethical questions that concern the government and society.
Connected sensors for safer work environments
The National Safety Council estimates that every seven seconds at least one US employee suffers a workplace injury. Potentially dangerous environments, like drilling stations or offshore platforms, put employees’ health and lives at risk. Organizations that prioritize safety should invest in technologies that reduce these risks.
An IoT connectivity platform has two benefits in this context. First, sensors monitor the state of the equipment, and on-premises staff do not have to perform manual work in hard-to-reach places. Second, connected devices check if temperature, pressure, or air quality meet the standards acceptable for a human body. If employees are provided with personal wearable devices, they also check if a person is in a good working state and prevent exhaustion. As a result, a company benefits from lower insurance and corporate liability.
IoT management for environmental responsibility
Considering the latest decarbonization plans, reducing carbon emissions should become the focus of the energy sector. With IoT connectivity and a responsive energy network, platforms can consume exactly the volumes of power they need to operate. If there is excess, it can be stored for future use. This reduces the carbon footprint during oil drilling and production.
Intelligent sensors can also be used to activate cooling and heating systems due to weather conditions instead of relying on a certain schedule. This means more efficient resource management, which is both cost-efficient and eco-conscious.
Key takeaways
To meet the ever-evolving energy industry landscape challenges, companies need to understand the potential benefits of these changes. IoT connectivity and big data analytics help oil and gas providers improve their productivity. This includes more efficient drilling management, maintenance, and field optimization.
Additionally, they are beneficial to the oilfield workforce and environmental safety. Connectivity helps strike a balance between productivity and a conscious attitude towards the planet. This creates a positive outlook for the industry, as it aligns with the world’s digital leaders, delivering value to businesses and the economy.