Here’s How the Plunge in Prices is Pushing Oil and Gas Companies to Invest in Big Data

With oil prices taking a massive hit in recent years, the many operational risks that oil and gas companies were already facing have amplified. One false move could cost oil and gas companies heavily in the face of massive uncertainties pertaining to purchase decisions and demand.

Such a scenario is forcing companies in the oil and gas sector to extract the value of the last dollar from their available resources and capabilities. The role of big data and analytics has consequently become important in the oil and gas sector, if recent trends are anything to go by. By implementing big data solutions, companies in the O&G sector are hoping to maximize revenue, scale down spends, and tackle risks better.

Here’s a snapshot of this trend:

• Hardware developers are leveraging their capabilities with sensors to formulate new solutions specifically for the oil and gas sector.
• Software vendors and developers are providing solutions that can swiftly glean through massive swathes of data to spot patterns that can be used for better decision making.
• Areas where big data and analytics are sought after in the O&G sector are optimization of resources for deployment to rigs, anticipating wear- and tear-related expenses, and forecasting recovery factors.
• Solutions that offer mitigation of risks that arise during production and exploration are also in demand among oil and gas companies. Technology can help anticipate risks such as equipment failure and events such as accidents.
• While some companies like Environmental BioTechnologies are combining their sensor development capabilities with seismic data analysis, others such as HiFi Engineering are providing products such as smart pumps and intelligent connected tools.

Companies have now realized that when faced with tough times, the use of big data and analytics can help them secure a competitive advantage. This factor will promote the use of big data in the oil and gas industry.