New technology critical for oil exploration and revisiting wells (page 1 of 2)

The oil and gas sector is among the biggest IT spenders in the region, with economies heavily reliant on hydrocarbon exports. Energy firms leverage IT across all core functions, but the most significant innovations are now in exploration and production.

Mark Walker, Research Director, Insights and Vertical Industry Practice with IDC MEA spoke to AMEinfo.com about the digital oilfield concept and the need for innovation:

"I think the key thing at the moment in oil and gas is the concept of a digital oilfield. Adoption is very good. The challenge is that the oil and gas sector is very complex, right from the procurement and purchasing side of things, from a business perspective, right through to the actual extraction, exploration, refining and distribution."

"If you look at places like Dubai Petroleum or Saudi Aramco, especially in this region, there's not a lot of 'new, new' oilfields being found. So the existing reservoirs have to be mapped and tapped that much more effectively.

As technology improves, more oil wells are being revisited with new, more sophisticated extraction and mapping techniques. The technology used 30 years ago couldn't see well enough - they couldn't get enough detail and now this enables it."

Drilling software can make sure extraction is done in the most reliable and efficient way possible. "You can't just stick a drill in the ground and let it gush," says Walker. "As the resource becomes less then we have to find more efficient ways to extract what is there. You also maximize what you don't leave behind."

BP poll reveals Digital Oilfield concept will create greater value

A recent BP poll indicated that digital oilfield concepts will prove valuable in delivering higher levels of automation and integration, The Maritime Executive has reported. 100% of the 2,000 or so industry experts at the SPE Intelligent Energy International 2012 (IE2012) were confident of greater value and efficiency.

BP cited its options for the next phase of digital oilfield development at IE2012, drawing on experience from its Field of the Future programme, established 10 years ago. Steve Roberts, VP of the programme, claimed at the event: "BP has a clear vision of how we see the concept of the digital oilfield developing in years to come, and the significant role it will play in enhancing value."

This key advancement in oil and gas right now is actually more of an umbrella technology. The concept of a digital oilfield is quite broad as it essentially consolidates upstream, downstream and midstream oil and gas environments; computerises them and processes information. There are many elements, but previously updating tech in one area, led to disconnects between the various facets within the industry.

ICT integration crucial as oil and gas sector sees loss of staff experience

Technology is replacing experienced labour by necessity and not design, as ageing employees retire with valuable engineering skills, according to IDC experts. Staffing remains a big issue for CIOs as the 'digital oilfield' model is adopted by national oil companies (NOCs).

IT use ranges from the use of seismic sensors, digital oilfield mapping and analytics for critical decision making. The industry is poised to enter the next stage of IT adoption, but with new opportunities come new challenges, says Walker:

"Staffing remains a key issue, which is heightened in the oil and gas sector because of the ageing expert population.