Cloud-Based Oilfield Software Reduces Capex Sharply Best Practices Trigger Hands On Alternatives for Production

Cloud-Based Oilfield Software Reduces Capex Sharply: Best Practices Trigger Hands-On Alternatives for Production

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Oil and gas companies need to free up core IT services to focus on upstream functions. To keep it alive and kicking using practical measures for remote rig operations are vital. In adopting future enterprise solutions like compatible oilfield software, the engineers have flexible and manageable resources. Cloud-based offerings are known to reducecapex sharply and arethe most hands-on approach for deriving maximum price per crude oil barrel.

Oil and gas software has come a long way since automation was introduced in the energy sector. To reduce capex, cloud-based software clears space for maintaining complex hardware systems. It is time for new production hacks.

A Quick Look at the Best Practices and Alternative Solutions:

There are three things that matter before selecting trending oilfield software solutions. Presuming that as part of business expansion you already have adopted a few best practices to amplify the production capacity, some practical changes can boost the business functions.

Engineering experts &IT division can identify:

  1. The need to create modification in the oil and gas software or better still use a system that bridges gaps.
  2. Competencies a system should possessfor coordination between different departments.
  3. Best ways to introduce processes to reduce capex, implement it andscale operations.

Are your field operators trying to manage records using multiple processes? They may also be using overlapping some systems and wasting time. Such a futile exercise will not even provide a full picture of vital requirements to betteroperations. Oil and gas companies use SCADA, but it does not provide total value to analyze datavolumes being produced. This is another indication to review the current oil and gas softwarein the drilling cycle. It could also be a strong reason for the production team not being able to match their data with that of the admin. As real-time data is isolated, there is no communication between various departments to take a call on what has to be done.

If your assets performance is not being recognized, it is time to invest in a new solution and not just customization of the existing functions.

Field Operators Need To Take Charge

Automation is increasingly being implemented by upstream companies. Using cloud-based technology releases operators from sagging production capabilities that no longer add value. The new oilfield software solutions are designed to visualize onsite requirement in advance. Mechanization via cloud computing brings data under control for an ongoing project. The site engineers can optimize operations with real-time analysis. If there is a need to integrate or even isolates any function a call can be taken at once and communicatedremotely to the management. Having all these facilities on a single platform for the field operatorsis an excellent way to reduce capex and other important company resources.

Why Spend More On Software Customization?

The new generation of oilfield software is well recognized for its potentialusage in different departments to coordinate with each other. If you have already spent time and money on customization and not benefitted much then make a switchto other alternative systems. For instance, is configuration time consuming and delaying software implementation?  This problem often occurs when energy companies try to combine the same automation for different ventures related to oil production.The use of joint accounting mars the prospects of efficiency and continuous IT deployment. It takes a bad turn when joint accounting is clubbed with procurement processes, vendor management, and cost allocation. An upstream company doing global trade must have a dedicated system for transactions that fit in multiple currency exchange for easy calculations. Such a function cannot be merely customized in existing software.

Streamline Reporting

When a project is started, reporting on various production wells is mandatory at various stages. Streaming the financial reports before the start of operations and continuously monitoring it is required. This is also tied up with other reporting that puts the spotlight on capex. It includes collection of reports from management, local statutory requirement, billings associated with joint ventures, AFE, and taxation. Filing and organizing them all on a unified ledger allows everyone associated with it to know what is going on. Oil and gas software that can provide an independent coding structure can be useful. This way the reports can be configured for the benefit of operators and the admin. The software also makes it possible to convert the reports into different formats for other departments for review and analysis.

An ideal system has the following features that an upstream company will relate to:

  • Cost statements, billing with joint ventures, and raising invoices accordingly.
  • KPIs related to lifting costs or margins for per BOE
  • Per barrel prices
  • Report on performances like drilling per meter
  • Providing margin analysis of each pipeline
  • Conversions of currencies
  • Tracking system to authorize cost expenditure
  • Record of inventory and movable assets

Are you now ready for the shift to bring value to the new drilling project?

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