Report reveals insights into oil, gas asset performance and risk management decisions

48093319626 176d0f242e zDespite the age of big data, 71 per cent of organisations still rely on a single data source to analyse asset performance and risk management – instead of drawing information from multiple sources for a more comprehensive view, according to a report published by construction engineering company Lloyd’s Register at Gastech

The report, ‘Oil & Gas: Achieving operational excellence in uncertain times’ reveals the technologies US oil and gas companies currently use to manage and maintain their assets, and the methods they plan to adopt in the future.

Tim Bisley, a senior vice-president, Software at Lloyd’s Register, commented, “Although organisations often collect vast amounts of data, they remain challenged as to how to use it. Predictive maintenance is reaching new levels thanks to AI, 3D digital twins and machine learning, which derive actionable insights from huge volumes of data. The report, however, indicates the industry has been slow to adopt this type of technology, in spite of the efficiencies it brings.”

The results show that only 39 per cent of asset managers are already implementing advanced digital maintenance and risk management methods, of which 26 per cent use risk-based inspection (RBI) and 13 per cent use reliability centred maintenance (RCM).

“Achieving operational excellence is as important as ever for US businesses as they look to find ways to maintain growth in the face of any future volatility.

Extending asset life, reducing unplanned shutdowns and maximising productivity remain top priorities for asset owners - from the production platform to the refinery. Organisations should use this period of relative price stability to digitalise and if necessary, re-evaluate their approach to asset risk and performance management if they want to unlock new levels of insight,” Bisley continued.

With increasing operational complexity leading to greater operational risk, combined with continued uncertainty over the long-term stability of the industry, organisations are faced with a drive towards a new operating environment. One balancing safety, cost and efficiency, while protecting themselves from any future price fluctuations.

Despite the findings, big data, AI and machine learning are the top digital technologies most likely to be considered by asset managers seeking to transform their asset performance and future proof of their operations in the oil and gas sector.

According to data collected by Lloyd’s Register from its customer base, asset performance management systems such as AllAssets have been shown to reduce failure risk by 80 per cent and achieve operational cost savings of up to 50 per cent. Their impact could be transformational if companies can embrace advanced digital systems to provide a robust and adaptable option for the future of their assets.

About 100 asset managers in the US participated in the survey. The respondents represent a cross-section of organisations across the oil and gas industry, with 58 per cent from midstream and the rest split equally between upstream and downstream.

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