AI applications can significantly impact operations in the oil and gas industry, and firms are already investing in AI technology, coupled with long term strategies and goals.
FREMONT, CA: The oil and gas industry is not typically seen as an Artificial Intelligence (AI) innovator. AI is assisting the oil and gas industry in charting its future. Artificial intelligence has a number of potential applications in the oil and gas industry, from surveying to planning and forecasting, and facility management to safety. Here is an analysis of major AI applications in the industry.
• Drilling and Mining
Drilling and mining raw hydrocarbons for generating fuel and other energy resources is a major operation for oil and gas firms. The challenge involved in this venture is to find and dig into precise spots to obtain raw products. Moreover, drilling operations involve high risks of oil spills, accidents, and fires. AI enables the firms to guide drills on landmass and ocean floor with higher precision. The advanced AI algorithms used for the above cause are trained with historical data of drilling operations.
• Streamlining Production Process
Oil and gas firms always aim to streamline their processes to improve production. The firms can train AI systems through a large volume of raw data, which will enable automatic pattern recognition and segregation of the refine production data for generating analytics. Using analytics, AI systems can build estimation and prediction models.
• Managing Reservoir Processes
Oil reservoirs form the fundamental of running an oil and gas business. Such reservoirs need to be maintained to ensure the longevity of the production cycle. Against conventional solutions involving significant manpower, oil and gas firms can train AI systems with historical data over geological information, seismic surveys, and production technicalities. AI’s capabilities will not only optimize the reservoir processes but also reduce the costs involved.
In conclusion, early adopters of AI in the industry will likely develop a significant competitive advantage.