Asset Tracking for the Oil & Gas Services Improves Profits
What is Asset Tracking?
Asset tracking is the tracking of an item that is considered a resource owned by a company that has economic value that can be measured and expressed in dollars. Asset Tracking differs from inventory tracking in that asset tracking is the process of monitoring the value of items owned by a business, along with pertinent details on each item regarding its: location, ownership, and maintenance schedule. The oil and gas service industry benefits from asset tracking from site planning to well reclamation is equipment intensive as a result service companies can benefit from asset tracking.
The Advantages of Tracking Assets for the Oil & Gas Service Industry
Increase Visibility of Physical Oil and Gas Equipment Assets
The most obvious benefit of an asset tracking solution is to provide reliable monitoring of physical assets. This is achieved by creating a fixed asset dataset allows owners to keep close track of items as they move throughout the workplace and between sites. Equipment that can be tracked in the oil and gas industry could be used for site planning, drilling, completions, production and reclamation.
Improve Data Accuracy with Asset Tracking
Accurate data holds the keys to unlocking the full potential of asset tracking for the oil and gas service. Whereas using error-prone spreadsheets to collect information about oil and gas assets for site preparation, drilling, completions, production and reclamation can be troublesome; tracking tools provide the platform to increase accuracy.
Automate Inventory Management and Improve Data Accuracy with Asset Tracking
Asset tracking for oil and gas inventory management can be a time-consuming and costly operation for most oil and gas service companies. With asset tracking oil and gas service companies no longer are required to complete manual inventory counts.
Identify and Remove Ghost Assets and Improve Data Accuracy with Asset Tracking
A ghost asset is a physical item that has been lost or stolen when in the field, but can still reflect on inventory records. The most efficient way to eliminate ghost assets is with the use of asset tracking tools. Having an accurate list of oilfield equipment ensures the service company can meet customer expectations for service delivery.
Reducing Costs Associated with Loss and Theft in the Oil and Gas Industry Improve Data Accuracy with Asset Tracking
The cost of replacing lost and stolen assets has a direct impact on oil and gas service companies bottom line. This occurs in the oil and gas industry as stock, spare parts, equipment, and tools are moved around the property without being monitored. The oil and gas industry is prone to lost equipment due to the remote nature of the business. Effective tracking tools help to eliminate this problem and reduce costs associated with replacing assets.
What Oil & Gas Service Companies Benefit Most from Tracking Assets?
The benefits of greater visibility, accuracy, and efficiency of equipment can be used across the entire well site life cycle from site planning to reclamation.
- Site Planning and Asset Tracking – The trend in site planning is focused on well pad sites. A well pad allows multiple wells to be drilled from one surface lease, thereby reducing the total surface area required for oil and gas development. Equipment used for well pad construction includes tractor dozers, tractor backhoes, and road graders of various sizes are used for road and well pad clearing and construction. Asset tracking for the equipment used in well pad construction will save operators money and improve the site planning process.
- Drilling and Asset Tracking – Drilling an oil well typically includes the coordination of 10 to 30 different service companies. With all of the crews and equipment involved, it can be difficult to know where they are located and what they are doing. Drilling rigs, drilling fluids and well cementing.
- Well Completions and Asset Tracking – Well completion is the process of making a well ready for production (or injection) after drilling operations. Services that are required to complete a well include fracking, coiled tubing, fluids, tools and artificial-lift systems. Fracking is a process where fluid is injected into a deep oil or gas bearing formation at a high pressure to create and prop open cracks in the rock to allow oil or natural gas to flow to the surface. Service companies providing completion services can benefit from asset tracking by having visibility of your asset and inventory.
- Well Production and Asset Tracking – Production is the process of extracting the hydrocarbons and separating the mixture of liquid hydrocarbons, gas, water, and solids, removing the constituents that are non-saleable, and selling the liquid hydrocarbons and gas. Equipment needed by the operators include processing and separation systems, production chemicals, and working with a midstream company. Asset tracing systems will improve the productivity of field operators.
- Wellsite Reclamation and Asset Tracking – when a wellsite is done producing the site must be reclaimed so that the land returns to how it looked and was used (or similarly) before oil and gas development took place. This may involve recontouring the subsoil, replacing the topsoil, and re-establishing the vegetation. Similar to site planning the process will require well service companies and tractor dozers, tractor backhoes, and road graders of various sizes are used to complete the process. Asset tracking for the equipment used in well pad construction will save operators money and improve the site planning process.
Asset Tracking for Oil and Gas Summary
The oil and gas service industry benefits from asset tracking from site planning to well reclamation is equipment intensive as a result service companies can benefit from asset tracking. The benefits of asset tracking for service companies include Increase Visibility of assets, asset data accuracy, inventory management and reducing theft.