Improving Asset Performance in Oil & Gas industry using Predictive Analytics
Most Oil and Gas Companies has two core areas of activity: Oil Exploration and Production. The Drilling and production of oil and gas are high risk activities with many uncertainties that could adversely affect business. To mitigate risk, companies mainly invest in a lot on the assets (equipment’s) required for exploration and production. Hence they look for maximizing the asset performance for getting a better return on investment.
During this process, the operators operate the equipment’s in a harsh environment (sub-sea environment) and over exploits them to maximize productivity. As a result, the operator damages the assets, leading to loss of productivity and investment.
So what is the solution for avoiding such asset failures?
The answer is ‘PREDICTIVE ANALYTICS’. Predictive Analytics is a tool which extracts information from past data and predicts trends and patterns for making smart decisions. To predict an asset failure, companies should have a predictive analytics system which extracts real-time data from sensors and other acquisition techniques along with historical data to predict potential asset failures, and enables the move from reactive (break-fix) to proactive (preventive) maintenance.