Important Points You Should Learn From Oil & Gas Analytics Experts
What Do Experts say about the Oil & Gas industry?
Oil & Gas industry is foreseen to be very demanding and fastest growing industry coupled with rapid expansion due to the tremendous adoption of technological advancements happening around us. The oil & gas industry mainly comprises of crude oil, natural gas, natural gas liquids, oil refineries, petrochemical plants, distributors of petroleum products, retail outlets, gasoline, diesel, lubricants, amongst others.
Major factors which have triggered the growth of oil & gas industry is the rapid adoption of technological advancements happening across this industry which includes increasing usage of various drilling equipment’s, optimizing costs, oil & gas analytics and so on. An ever-increasing dependence on energy sources and its increasing demand is also foreseen to drive the growth of this industry.
Expert Insights about Oil & Gas Analytics?
Nowadays, analytics is set to perform a major role in every industry. Similarly, analytics is playing a major role even in the oil & gas industry. Industry experts say fluctuating prices, cost escalations and operational processes requires oil & gas analytics which will create a new scope of operational efficiency within the industry and will also help to save efforts, time and reduce costs. Adoption of oil & gas analytics has enabled the oil & gas industry experts to identify the performance gap of their labors as it is labor-intensive industry. It also helps to identify the operational complexities of production and the processing facilities.
Oil & gas analytics is a tool which is helpful in providing real-time and accurate decisions for the business. It even helps in reducing financial risk, operating cost and enhance productivity.
What does Industry Experts Elaborate about Oil & Gas Analytics?
1. Market Dynamics
Increasing demand for oil and gas products coupled with the rising adoption of technological advancements in this industry to lower their operational and maintenance cost is driving the growth of oil & gas analytics. Focus by oil and gas industry professionals on handling a huge amount of data, price sensitive data to understand the market demand, as well as customers’ needs, are compelling the end users of this industry to adopt oil & gas analytics.
Industry consultants say that the primary industry insights factors which are restraining the growth of oil & gas analytics are the price volatility of the oil and gas products, harsh climatic conditions and stringent government regulations.
Willingness amongst the industry experts to adopt the technological advancement and ongoing development in the advanced analytics solutions in the oil & gas companies along with the introduction of digital oil fields and cloud analytics in this industry is anticipated to create huge growth for the oil & gas analytics.
Ongoing depletion in the reserves of oil and gas coupled with an aging workforce across this industry is considered a major challenge for the growth of the oil & gas industry. Lack of awareness and skilled workforce is foreseen to hinder the growth of this industry.
2. Major Applications of Oil and Gas Analytics
Industry experts apply oil and gas analytics across all the sectors of oil and gas industry which includes upstream, midstream and downstream sectors. The upstream sector comprises of search underground natural gas fields, drilling of exploration wells and drilling into established wells to recover oil and gas. The midstream sector focuses on transportation, storage, and processing of oil and gas products. Whereas, the downstream sector focuses on filtering the raw materials which are obtained in the upstream sector.
By the survey conducted by our oil and gas industry research analyst, upstream sector is the major area of application in oil & gas analytics and is foreseen to be the fastest growing segment due to its key function areas which includes asset maintenance, risk assessment, product optimization and increasing demand of crude industry which is enabling the rapid expansion of this segment.
3. Importance Of Oil & Gas Analytics
The most important aspect of deploying oil & gas analytics by the companies is to optimize their production cost due to the highly fluctuating behavior of the prices of oil and gas. Oil & gas analytics helps the industry experts to develop an advanced level of analytical capabilities and new tools which will enable their producers to capture real-time data at a lower cost and boost their plant performance. It also helps to monitor the operational inefficiencies, price fluctuations, enhance productivity and also find the core reasons for production losses along with monitoring the performance of employees. Companies can also solve the issues pertaining to unplanned downtime and understand the profitability and opportunities created through varied products offered across regions and to their customers.
4. Market Scenario
The oil & gas industry is considered to be one of the most powerful industries in the world economy. Due to the increasing population across the globe, there is a tremendous increase in the consumption of oil and gas. Thus, the meet the demand and supply and meet the operational complexities of the business industry experts are deploying oil & gas analytics.
According to research and analysis of ExpertsConsult, the global oil & gas analytics market was is foreseen to reach a value of USD 47.49 bn by 2024. The Middle East & Africa region accounted for the highest market share in 2018 is foreseen to be the fastest growing region for oil & gas analytics because Saudi Arabia is the largest producer of oil in the Middle East region.