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Data-Driven Oil Fields 2017

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JANUARY 2017 | DATA-DRIVEN OIL FIELDS | EPMAG.COM 2 OVERVIEW Moving Oil and Gas Industry Manufacturing from Analogue Embracing digital from reservoir to refi nery and from design through operation will help the industry meet rising demand through increased productivity, effi ciency and fl exibility. By Jody Markopoulos GE Oil & Gas A s the oil and gas industry heads into 2017, the mindset of a "lower-for-longer" environment has become fully ingrained. Predictions about the oil price made by analysts including the World Bank are increasingly optimistic; however, it is unlikely that triple-digit barrel prices will return any time soon with current estimates at $55/bbl. While there has been a cloud over the industry for more than two years, this trying period has introduced exciting opportunities for the industry to collaborate and innovate together to drive operational effi ciency and productivity. It is not only this industry that must consider new ways of work- ing; industries across the globe are feeling the pinch and moving into more technologically advanced spaces to reduce costs and optimize working practices. Across multiple sectors, businesses are reshaping their plans and building strategies around digitization, embracing Big Data and automation to create new effi ciencies. It's not for nothing that these new ways of working have been dubbed the Fourth Industrial Revolution. Digital enhancements are having a major impact not only on how data are collected and read but how it is used to create effi ciency in the manufacture of products. This is particularly true in the oil and gas industry. 'Digital thread' Digitization and innovation have long been at the heart of GE Oil & Gas' strategy, and despite the current industry downturn the company continues to signifi cantly investment in developing and introducing manufacturing innovation. Embracing digital from reservoir to the refi nery and from design through operation will help the industry meet rising energy demand through increased productivity, effi ciency and fl exibility. GE Oil & Gas has focused its manufacturing strategy on com- bining advanced manufacturing with the industrial internet, which has increased capability for software development, secure data storage and data analytics. This approach to improved manufacturing operational effi - ciency relies on the creation of a "digital thread" throughout the product life cycle, from the moment an order is received. Three-di- mensional models of the solution are created to translate how it will be manufactured. Information is collected throughout the entire manufacturing process, and by the time its ready to ship there is an "as-built" model that can be compared with its performance in the fi eld to optimize performance. Called "Digital Twins," they allow each piece of machinery to be continually tuned and upgraded with more value in a scalable, adaptable way. Real-life examples GE Oil & Gas has been making quality improvements through the release of disruptive technologies in its manufacturing fa- cilities across the globe, particularly in Aberdeen and Bristol, U.K. Improvements have been attained through a number of technological innovations. Automation has increased productivity benefi ts hugely. In some testing processes several thousand hours of productivity have been realized, and fi rst pass yields have been increased by 15%. New welding technologies and robotics also mean that clad- ding operations are conducted seven times faster than previous conventional techniques and with less defects. Through advances in 3-D modeling the company is able to design and manufacture to signifi cantly higher standard; for exam- ple, with industrial steam turbines, 3-D modeling has allowed the industry to reduce its cost of production and improve quality. With gas turbine nozzles 3-D modeling helped reduce manufacturing work streams down to a single lean line, sensor-enabled with and enhanced by robots to reduce lead time by 25%. $30 million cost reduction To eliminate defects and improve effi ciency GE validates product designs using virtual reality tools to immerse engineers into near- full scale virtual assemblies to ensure parts and tools fi t correctly. In addition to bringing safety benefi ts, this is expected to result in up to $30 million of cost reductions in the company's Subsea Systems and Drilling division alone. The use of laser inspection technology to validate the accuracy of large subsea frames and other assemblies can provide further cost

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