Baker Hughes, a GE company and C3.ai announce a joint venture agreement that brings together BHGE’s fullstream oil and gas expertise with C3.ai’s unique AI software suite to deliver digital transformation technologies that will drive new levels of productivity for the oil and gas industry.
AI in the oil and gas segment helps improve overall performance by ingesting massive quantities of data, becoming intelligent about specific operational environments and predicting problems before they occur so that operators can improve planning, staffing, sourcing and safety. This joint venture combines BHGE’s extensive oil and gas technology domain expertise with C3.ai’s unique AI software suite and solutions, creating new opportunities for the sector.
“The oil and gas industry is rapidly evolving, and digital technology is critical to achieving increased levels of productivity, efficiency and safety for ourselves and for our customers,” said Lorenzo Simonelli, BHGE chairman and CEO. “This agreement is a mutual recognition of the technology leadership we each bring to the table and a willingness to work in new ways that deliver the best possible outcomes for our customers. Integrating our strong digital capabilities and oil and gas industry expertise with C3.ai’s unique AI solutions, we will accelerate the overall digital transformation of this industry.”
“The oil and gas sector is undergoing a digital transformation to improve efficiencies and increase safety, while simultaneously reducing environmental impact,” said Thomas M. Siebel, CEO, C3.ai. “These changes will be driven through advanced AI use cases deployed across the entire oil and gas value chain. BHGE is a technology-first company with deep expertise, a global footprint and strong relationships across the industry. Combining its strengths with the unique industrial AI capability of C3.ai, we will deliver transformative change to one of the world’s most important industry sectors.”
The companies will immediately market and deploy C3.ai’s AI technology, including the C3 AI Suite and applications, into oil and gas businesses. BHGE and C3.ai will also leverage BHGE’s existing digital portfolio to collaborate on new integrated AI applications specific to oil and gas, and offer combined teams of oilfield and AI expertise deployed directly into customer environments to deliver AI solutions that meet specific business needs. Simplifying the approach to AI with this combined offering will help customers focus on what matters most – running their oil and gas business safely and efficiently.
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A 2018 McKinsey survey found that 84% of companies working in IoT are stuck in pilot mode, 28% of them for over two years. McKinsey refer to this phenomenon as languishing in “pilot purgatory.”
What is so different in the industrial and manufacturing sector that makes it difficult for digital IoT solutions to be scaled quickly? What leads most IoT projects that manufacturers are trying to scale to be stuck in pilot mode?
In a recent article, Industry Week outlines a few leading reasons for that:
1. Lack of willingness to conduct internal IoT pilots on their own asset basis to validate their assumptions and business cases prior to approaching prospective customers.
2. Failure to realize that industrial process might be structurally flawed or dysfunctional and a hope that good technology can fix outdated or inadequate manufacturing processes.
3. Variability in B2B manufacturing processes and maturity levels, including diversity in machine languages, manufacturing standards, age and origins of equipment, infrastructure design, automation level, etc.
4. Complexity of assets, which can vary from simple machines (machine tooling) to complex manufacturing lines the size of a football field (paper mills or float glass line).
5. Differences between B2B verticals and variability between end-use applications within verticals.
6. Complexity of organizational structures in global manufacturing environments, where some manufacturing leaders and plant managers have more spending authority than others.
7. Complexity in navigating complex buying centers and decision-making maps in matrix organizations, leading to longer project scaling (delays, missed targets, and failure to generate the desired ROI).
8. Fragmentation of sources of data that might be required for IoT solutions to scale.
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C3.ai, a leading enterprise AI software provider for accelerating digital transformation, announced it has been named a leader in IIoT platforms within the energy sector according to the IDC Marketscape: Worldwide Industrial IoT Platforms in Energy 2019 Vendor Assessment.
C3.ai software enables leading organizations to rapidly design, develop, deploy, and operate enterprise-scale AI, predictive analytics, and IoT applications. C3.ai’s growing list of customers includes 3M, Shell, Enel, New York Power Authority, the United States Air Force, Con Edison, and ENGIE.
The IDC MarketScape cited customer feedback that “C3 enables customers to build models and deploy applications in less time with limited risk. These tools have enabled C3 customers to capture value from proof of concepts quickly, with some customers reporting value in under three months.”
“By 2020, 25% of large oil and gas companies will have implemented a platform to develop, analyze, model, and simulate best practices in a cognitive-based continuous learning environment. Oil and gas companies are looking for new ways to reduce costs and improve performance as they respond to the impact of the commercial environment created by oil price levels,” said Kevin Prouty, Group Vice President, Energy and Manufacturing Insights, IDC. “This report recognizes C3.ai as a leader in the energy market.”
“C3.ai is becoming the standard as the enterprise AI and IoT platform across industries. This recognition by the IDC MarketScape is an important testament to the many dedicated and talented employees of C3.ai worldwide who tirelessly dedicate themselves to our customers’ success,” said Ed Abbo, C3.ai President and CTO.
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The Black Sea region in 2019 has a lot to offer to upstream investors, with new licensing rounds launching in Romania, Ukraine, and Georgia. In this article, we have summarized the latest information new licensing rounds in the Black Sea region that you need to know.
In Romania, the long-anticipated concession round is finally approaching. According to Florin Ciocănelea, a state advisor for PM Viorica Dancila, the National Agency for Mineral Resources will begin the 11th auction round providing 28 exploration areas for concession. Expectations are that 22 onshore Blocks and 6 offshore blocks will be included in the bid round. A Presidential adviser has announced that the license round documents will be submitted to the European Union, which will mean that the bid round could be gazetted as early as December.
This latest round has long been waited by upstream investors, as it opens up Romania’s upstream to new players and enhances the development of the sector.
The previous concession round was conducted 10 years ago, in the 2009-2010 period, when ANRM auctioned the concession of 30 petroleum perimeters, of which 12 offshore and 18 offshore (Business Review).
Perimeters are offered through a public call for tenders by the NAMR, and the list is published both in the Official Gazette and in the Official Journal of the European Union, with a subsequent post on the NAMR’s website (Kinstellar).
According to Drillinginfo, over the past 18 months, out of a total of 49 countries offering bid round acreage, Ukraine was among the Top 10 countries which dominated in the period.
This week, the results of the 3rd International Oil & Gas Licensing Round were announced, National company PJSC Ukrgasvydobuvannya took seven concession blocks with gross acreage of 1240 sq km for $3,5 million. Also, three more concession blocks will be e-auctioned by State Geological Service of Ukraine in September, 16.
The bidders for the Dolphin offshore block were announced as well. Dolphin offshore block covers a total area of 9,496 sq. km of the northwestern part of the continental shelf of the Black Sea. The minimum work program requirements include $55,5 million of investments, and 5+ exp.wells.
Four bids were submitted:
- Caspian Drilling Company – state-owned oil field service company of Azerbaijan, the main contractor of SOCAR
- Ukrnaftoburinnya – large private Ukrainian gas producer
- Frontera Resources – American energy firm, operating in Georgia and Moldova
- Trident Acquisition Limited – American blank check oil and gas investments company made a bid together with San Leon Energy, operating in five countries with current major production in Nigeria
On June 3, Andriy Bohdan, President Zelenskyy’s chief of staff, wrote the Cabinet of Ministers, urging a postponement of the tender, arguing that the two-month notice period was too short for major international companies to prepare bids. The Interdepartmental Commission received the bids on June 12. The winner is expected to be announced this summer. (UBN)
U.S. Trident Acquisitions Corp, which submitted one of the four bids in a tender to develop the Dolphin section on the Black Sea shelf under a product sharing agreement (PSA), has said that the company is ready to invest $1 billion.
“We proposed investment in the amount of $1 billion to Ukraine, the start of production in three and a half years if the reserves are discovered and the most experienced offshore fields development team”
On December 17th of 2018, The State of Georgia represented by the LEPL State Agency of Oil and Gas of the Ministry of Economy and Sustainable Development, announced an Open International Tender to obtain a License for the Use of Oil and Gas Resources on the following Contract Areas: VIIA license block, XIII license block, XIV license block, XIA license block and Contract Area comprising IXA, XIK, XIL license blocks (Tender Announcement).
At this point, there is no public information about the results of the licensing round. It is anticipated that international offshore Georgia bid-round will also be announced this year (Link).
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Uzbekistan’s Uzkimyosanoat (Uzbek Chemical Industry) and Samsung are planning to build a $600 million urea and ammonia production plant in Syr Darya (Sirdaryo) Province.
The enterprise is expected to produce 400,000 tonnes of ammonia and 600,000 tonnes of urea per year, said the statement. Ultimately, the substances will be used for fertiliser.
Uzkimyosanoat plans to complete another plant in co-operation with Japan’s Mitsubishi next year. The plant will produce 660,000 tonnes of ammonia and 577,500 tonnes of urea per year. This $985.7 million project — the largest chemical enterprise in Uzbekistan — is being implemented at Navoiazot.
Last year, Uzbek leader has approved a “roadmap” for implementation of the main directions of expansion and modernization of production facilities, deepening the processing of basic products, rational use of assets and the introduction of modern management methods in the activities of Uzkimyosanoat.
The document envisages increase in production of chemical products in 2018-2030 – by 4.5 times, including mineral fertilizers – by 2 times (from 1.2 million tonnes to 2.4 million tonnes), exports of products – by 4 times and diversification of the industry by raising the share of organic chemistry products from 7 to 54 percent.
Besides the above-mentioned projects, the capacities for production of phosphate fertilizers at Ammophos-Maxam will be organized in 2018–2020 due to modernization of existing industries with an increase in the production of phosphate fertilizers by 20,000 tonnes (in 100% nutrient calculation).
Capacities for production of polyvinyl chloride with a capacity of 100,000 tonnes, caustic soda – 75,000 tonnes, methanol – 300,000 tonnes, and also nitric acid with a capacity of 500,000 tonnes at Navoiazot will also be organized.
Ferganaazot is implementing a project for the production of modern polymer wallpaper with a capacity of 7.8 million units with the attraction of foreign direct investment.
Also, the project “Expansion of production capacity of the Dekhkanabad potash fertilizer plant” (stage II) will be implemented.
Until 2030, promising investment projects will be realized, which are aimed at diversifying the production of chemical products, increasing the output of mineral fertilizers and chemical plant protection products, developing organic chemistry, including the production of polymer products, synthetic fibers, rubber and other finished products.
At the same time, the implementation of 29 investment projects for the modernization, expansion and creation of new processing industries with an estimated cost of US$4.8 billion is carried out mainly with the attraction of foreign direct investment.
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TIRANA (Albania), June 21 (SeeNews) – The Trans Adriatic Pipeline (TAP) project is more than 88% completed, the consortium building the natural gas pipeline said on Friday.
As of end-May 2019, we are over 88% complete, including engineering procurement and construction scope, TAP said in a Twitter post.
Earlier this month, TAP said it has completed shallow water pipelay and offshore pipeline backfilling in Albania for the 105 km section across the Adriatic Sea that will link the gas pipeline to Italy’s transmission network.
The first 1.8 km of welded pipe was pulled ashore at the landfall near the southwestern city of Fier, TAP said in April.
The pipes will be laid on the Adriatic seabed: 37 km in Albanian territorial waters, 25 km in Italian territorial waters; and 43 km in international waters.
Connecting with the Trans Anatolian Pipeline (TANAP) at Greece’s border with Turkey, TAP will stretch across northern Greece, Albania and the Adriatic Sea before reaching Italy’s coast where it will connect to the Italian natural gas network.
TAP is part of the Southern Gas Corridor, which also comprises the South Caucasus Pipeline (SCP) crossing Azerbaijan and Georgia, and TANAP.
The shareholders of TAP are BP, Azerbaijan’s state company Socar and Italy’s Snam with 20% each, Belgium’s Fluxys with 19%, Spain’s Enagas with 16% and Swiss-based Axpo with 5%.
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