Page 55 - Industrial Plants

Of course, analytics are not new to oil and gas. Unlike
other industries, which have only recently leveraged
data analytics and artificial intelligence, energy
companies have long depended on massive amounts
of data to improve reservoir and production modeling.
Having said that, most companies have not reached full
potential due to the lack of actionable insights or more
effective decision making.
That will change as oil and gas companies upgrade
their digital capabilities and improve the way they
connect these insights to their operating model (see
figure 1). We expect to see dramatic cost savings and
significant improvements in productivity and revenue,
as much as 10% to 12% earnings growth across the
value chain, with most of the cost savings in upstream.
For example, one integrated oil company managed to
save about 10% on unit costs by digitizing a remote
offshore operations center. Another one reduced
operating costs per barrel by about 10% and improved
recoverability of reserves by applying selective
applications in intelligent oil fields through collective
computing and sharing real-time information at all
company levels.
In such context, the Italian value chain has started to
adapt to the new digital era. Among EPCs, Saipem has
declared to double budget for innovation in 2017 (from
30 M€ to 60 M€), while opening an “Innovation Factory”
n this global context, how should Italian in Marghera and sealing a partnership with Siemens to
industrial companies address digital cooperate on subsea control system technology.
opportunities? Among Service and Equipment providers, ABB Italy
Although most oil and gas companies are closely – besides the wide application of its own digital
focused on preserving margins to weather the technologies in its Italian factories – has enlarged its
Ilow-price storm, many are also looking ahead Smart Lab in Dalmine, unique structure where ABB
and thinking about how digital technologies and data tests and demonstrates a wide range of innovative
analytics will transform the industry. solutions for the power and industrial sectors.

In the energy sector significant digital disruption coming
from operators and service providers

• Standardise equipment to O&G clients
• JIP to standardise subsea processing
SOPHISTICATED
STANDARDISATION • Standardise OCTG portfolio
1
• Standardised approach to modifications
• FPSO solutions for efficient offshore development
• Reliable BOP system to reduce drilling NPT
DESIGN TO COST
2 • New generation subsea pump
• New fracking methods for enhanced oil recovery
• New reservoir mgmt. solutions
Figure 1: Digital
• Real-time 3/4D reservoir mapping addresses the main
BIG DATA/
3 AUTOMATION • Cloud technologies challenges and
priorities the Energy
• Solutions for capital projects industry is currently
facing
This information is confidential and was prepared by Bain & Company solely for the use of our client; it is not to be relied on by any 3rd party without Bain's prior written consent LON BC Digital Slides 1
INDUSTRIAL PLANTS - May 2017
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