In the increasingly environmentally-conscious day and age, oil and gas companies are finding it more and more difficult to maintain production and output, especially now that renewables and sustainability have become the key focus points of numerous leading governments around the world. Add to that the fact that the oil and gas industry is also shaped by the prevailing socio-economic as well as geopolitical trends, and you’ll quickly come to the conclusion that companies need to rethink their processes if they are to stay afloat in the years to come. The biggest problems oil and gas companies face is, of course, their impact on the environment.
The green revolution is taking place in every industry in the world, and much like the transportation giants are rapidly adopting green solutions and initiatives, oil and gas companies are increasingly turning towards a sustainable mindset in order to ensure stability and growth in the new age. Let’s take a look at the five solutions that can make oil and gas safer for the environment.
Leveraging industry data and analytics
Having the right information at the right time can mean all the difference in such a rapidly-changing sector such as oil and gas, which is why business leaders in the field need to focus on big data analytics and AI-driven forecasting. In recent years, technology has advanced enough to make AI-powered big data a reality, allowing companies in the oil and gas industry to make accurate predictions and detailed forecasts in order to make better long-term business decisions. The same method can be employed to make better eco-conscious decisions in the future, and even figure out new ways to capitalize on the green revolution.
Using big data analytics allows offshore oil platforms, inland rigs, and oilfield machinery to run at their highest capacity, instead of running at 60 or 70 percent. By understanding the oil drilling as well as the production processes in general, companies can scale their resources and optimize performance for minimal waste and downtime.
Focusing on higher social responsibility
There is a lot that the oil and gas industry can achieve by controlling the narrative and increasing its social responsibility through concrete solutions as well as transparency and honesty. Much of the current distrust and dissatisfaction that the public feels towards the industry has been shaped through years of misinformation and bad press, and even though some of it was well deserved, it’s important to note that oil and gas companies can use social responsibility and transparency to elevate their reputation in the eyes of the public.
However, good PR is not enough. Instead, companies need to take concrete action and allocate financial resources towards creating healthier work environments, supporting relevant charitable causes and funding green initiatives, and most importantly, they need to be transparent about the impact their production is having on the environment.
Implementing state-of-the-art tools and machinery
Technology is the key driver behind a long-term change in almost every industry in the world. This makes it all the more important for growth-oriented oil and gas companies to adopt innovative technologies and utilize better oilfield equipment in order to increase efficiency, reduce downtime, and ultimately improve output. Nowadays, this is achieved through the eCommerce marketplace, as more and more companies in the field are trading products online.
With the ability to purchase industry-leading tools and machinery from anywhere in the world, companies are able to improve long-term efficiency by utilizing better tools, like the new drill collar that allows single oil platforms to tap into numerous wells without the need for additional drilling and asset consumption.
Investing in industry-leading technologies
Speaking of technology, it’s also important to note that innovative tech such as artificial intelligence and automation have the potential to greatly improve operational efficiency and to ensure long-term savings across the board. The key is to automate as many processes as possible in order to reduce the overall workload and minimize the risk of human errors such as oil spills. What’s more, advanced technologies are also able to make recycling a viable business strategy for forward-looking oil and gas companies, which will greatly contribute to business sustainability.
Shifting focus towards renewable energy
While the oil and gas industry is unsustainable in nature, the reality is that companies operating in this field can employ sustainable practices to make their processes greener in the long term. The focus should be on renewable energy and employing solar or wind power to generate the energy needed for fuel drilling, extraction, and production in a more environmentally-friendly way. The result is a cleaner operation that leads to a more sustainable sector.
Even though oil and gas could never become environmentally-friendly across the board, that doesn’t mean that the industry can’t make significant changes to its operations in order to make its processes more sustainable than before. This is especially important now that the world is still heavily dependent on the extraction of natural resources.