The oil industry is shifting towards the digital oil field to better and less expensively extract and use oil from existing fields.
FREMONT, CA: Many people see the digital oil field as a sophisticated technology hub, complete with numerous flashing screens and a couple of hushed experts sharing notes. It is better defined as a concept covering data streaming from far-flung wells and the processing, integrating, and analyzing that data in various physical frameworks.
In other words, it's taking the knowledge gained by many non-oil companies during their digital transformations and applying them to the oil industry. Using technology to enhance business processes, increase communication across the organization, and assemble and mine data for insights to improve operations.
This necessitates automation in the digital oil industry. Productivity is boosted by removing humans from routine tasks, and the expert is allowed to focus on more challenging, analytical work. Combining a large number of drilling operations, like remotely steerable down-hole and integrate-while-drilling instruments, results in significant amounts of real-time data being produced across various disciplines.
Many in the Oil Industry are Slow to Adapt Despite Payoffs
That seems reasonable. The oil sector has been reluctant to adopt digital technology in the past, making the creation of a digital oil field extremely difficult. According to an article about digital oil fields, 60 percent of oil executives surveyed stated that resistance to change was the main barrier to reaching the full potential of the digital oil field. Oil and gas is a traditional industry that has tried to cling to tried-and-tested techniques rather than adopting disruptive innovations.
Oil corporations that have been serious about employing technology to construct digital oil fields, on the other hand, have reaped significant rewards. The worth of its 'Smart Fields' deployment, according to estimates, was $5 billion over five years. Within the first full year of implementation, enterprises might see a 25-percentage reduction in operational costs, an eight percentage increase in production rates, a 2–4 percentage reduction in project expenditures, and a 6-percentage increase in resource recovery with digital oil fields.