Trends in Oil & Gas – Report Bundle (7 Reports)

‘Rapid innovation has the potential to improve corporate operations and integrate streamlined processes into them. It is likely that over the next few decades, the disruptors within the oil and gas industry will usher in a new wave of systemic calibration of processes. This will be a result born out of the changes that have already begun to show within the working capabilities of the industry. From digitization to the proposal of a “hydrogen economy”, the oil and gas sector will seek to disrupt the age-old conventions within it to pave the way for a new greener and sustainable process.’

As a part of this bundle, you will gain access to in-depth insights available in the following reports:

• Thematic Research: Digital Oilfield
• Thematic Research: Hydrogen in Oil & Gas
• Thematic Research: Gas Flaring
• Thematic Research: Renewable Power in Oil & Gas
• Thematic Research: Gas Hydrates
• Thematic Research: Carbon Capture & Storage
• Thematic Research: Subsea

Report 1: Thematic Research: Digital Oilfield

Digital oilfields enable oil and gas companies and oilfield service providers to remotely monitor and control critical activities at production facilities. These technologies aim to boost productivity and efficiency in exploration and production (E&P) by minimizing equipment downtime and improving hydrocarbon recovery. Digital oilfield technologies have gained momentum with the advent of the Internet of Things (IoT) as companies are looking to automate as many processes as possible to mitigate operational risks as well as labor risks. Technological innovations are the prime driving factor behind the increased pace of deployment in digital oilfields.

Digital Oilfield Applications

Report 2: Thematic Research: Hydrogen in Oil & Gas

Historically, hydrogen has been a key element in the manufacturing of several key industrial chemicals such as methanol and ammonia; but it is predominantly used as an ingredient in crude oil refining applications. The so-called ‘hydrogen economy’ seeks to disrupt these conventions and utilize hydrogen as a fuel. Several oil and gas companies are investing in the hydrogen theme to create alternative revenue streams in the energy sector. The oil and gas industry is the largest consumer of hydrogen, deploying it in refining and petrochemical processes. The industry can leverage this edge into becoming the prominent supplier of hydrogen fuel as envisaged in the hydrogen economy. The oil and gas industry is also investing in the development of hydrogen distribution networks and hydrogen fuel cells to capitalize on the prospective application of hydrogen fuel in the transportation sector. Sinopec and Shell lead the oil and gas sector in this field. There is also a growing network of hydrogen pipelines to expand the reach of hydrogen to prospective end users. Blending hydrogen in natural gas pipelines is also being pursued.

Report 3: Thematic Research: Gas Flaring

Excess gas that cannot be diverted into profitable channels is often flared off. This results in air pollution, waste of an energy resource, and accounts for 1% of manmade carbon dioxide emissions. Some companies have avoided any form of reporting of gas flaring in their sustainability reports. When flaring is disclosed, the metrics vary from company to company. There is a need for standardization of reporting methods across the industry. With increased pressure from regulatory bodies to curb flaring, the industry has found alternatives, including using gas for onsite power generation, processing gas into compressed natural gas (CNG) or liquefied natural gas (LNG) for transportation, or converting gas into liquids. Lately, global climate change agreements have paved the way for steps to reduce or eliminate flaring. Moreover, industry consortiums, such as IPIECA and OGCI are also working to do away with gas flaring.

Report 4: Thematic Research: Renewable Power in Oil & Gas

Following the 2015 Paris Agreement on climate change, many countries have pledged to reduce carbon emissions and set themselves emission reduction targets. 2030 is expected to be a benchmark year to evaluate carbon emission commitments of various countries. These commitments have resulted in a surge of investments in renewable energy projects because of their low carbon footprint. Many oil and gas majors, such as BP, Total, Shell, and others are actively restructuring their business models to incorporate renewable power capabilities in their portfolios. This will help the companies to reduce their carbon intensity and align with the changing energy mix in the long run. The majors are utilizing their cash resources to build a new paradigm shift in the energy sector through investments in renewable energy projects, especially solar and wind power. The oil and gas EPC vendors have taken up several projects all over the world to build renewable energy infrastructure. These vendors have leveraged their extensive experience in the oil and gas industry and its underlying supply chain, to cater to the growing demand for renewable energy.

Report 5: Thematic Research: Gas Hydrates

Various countries around the world have undertaken research programs for the exploration and potential recovery of gas hydrates over different timeframes. While some of them, like Japan, was able to obtain some outcomes from their experiments, others, like Norway were not so successful. The inconsistency in test results and lack of sufficient evidence over the presence of gas hydrates have discouraged some countries from exploring further. On the other hand, geological challenges and technological glitches have hindered the progress of those countries that seem to be keen on developing this natural resource. Blake Ridge in offshore North Carolina was one of the first major gas hydrate discoveries in North America. The deposit was first identified by BSR technique during a seismic survey of the Atlantic Ocean. However, methane concentration at this site was estimated to be quite low, which made it unviable to proceed with the extraction. Asian countries of Japan, China, and India have conducted extensive studies on gas hydrates exploration within their maritime boundaries. Their quest for this resource is largely driven by the need to replace coal with a low-carbon resource while also ensuring self-sufficiency in meeting their respective energy demands.

Report 6: Thematic Research: Carbon Capture & Storage

The high cost incurred in capturing carbon dioxide from industrial units is proving to be the major deterrent for deploying carbon capture & storage (CCS). CCS deployments in gas-fired power plants and petrochemical plants, too, have experienced similar cost issues. Hence, plant owners and technology providers are working on innovative ways to achieve cost reduction. The first CCS project came online in Texas, US, in 1972 to supply carbon dioxide for enhanced oil recovery (EOR) activities in the Permian Basin. However, since then, hardly 28 full-scale CCS facilities are operational globally, excluding demonstration projects. More than half of these have come online in the past decade alone. Swiss firm Climeworks and Carbon Engineering from Canada are leading technology providers in this segment, which is currently dominated by start-ups. Climeworks has deployed its technology at a pilot project in Iceland. Since 2019, oil major ExxonMobil is collaborating with the start-up Global Thermostat to commercialize the company’s technology in oilfield applications.

Report 7: Thematic Research: Subsea

Subsea equipment manufacturers have been working to reduce the cost of machinery installed on the seabed for deepwater production. Their efforts in streamlining material procurement, optimizing subsea architecture, and simplifying equipment installation have brought about an overall reduction in the complexity of subsea systems. Besides, engineering, procurement, and construction (EPC) contractors have managed to lower the project execution cycle time to further improve the viability of subsea developments. In one instance, TechnipFMC, a leading subsea contractor, cut the cycle time at Shell’s Kaikias oilfield in the US Gulf of Mexico by about six months using advanced equipment designs and an integrated project execution approach.