Pilot trial of Consortium shows a positive outcome

Endy Callahan

Consortium digital ledger made up of ten establishments working in the production of gas and oil have seen positive pilot check results of a water treatment blockchain in the field.

Gas BlockchainConsortium and OOC Oil have finalized a trial testing of a digital ledger for systematizing reimbursements for the water treatment in the area.

The practice of water treatment at the field necessitates managing the enormous water amount generated and pumped in the course of the gas with oil making procedure.

A Reuters statement asserts that digital ledger solutions executed through the assessment lessen the workflow by 9 stages, ultimately decreasing the close time - 4 months to a week. Besides, the association stated that in the course of the investigation, the digital ledger solution mechanically checked 85% of the entire volume quantities.

The abovementioned association is an assembly of ten firms that comprises major corporations like Equinor Dutch Shell, as well as ConocoPhillips. Data Gumbo Corporation, subsidized by Aramco from Saudi Arabia, regulated the digital ledger solutions for the trial assessment.

Prepared for operation on manufacture sites and yonder

The trial was led together with Nuverra Environmental Solutions, the company engaged in removing H2O from oil springs possessed byEquinor. Following the effective accomplishment of testing at five springs of the firm on the territory of North Dakota, the group intends to apply digital ledger-based solutions on manufacturing locations.

The group may as well apply blockchain for other products and facilities

Consortium chair, Rebecca Hofmann, pointed out that the fall in oil costs during the period of the epidemic hastened the putting into practice of the digital ledger. In line with her estimates, the assembly can make decisions in the present year as it may save millions of USD.

Seven international oil corporations, counting US major players Chevron with ExxonMobil, have teamed up to construct a digital ledger group.

Oil & Gas Blockchain - a new organization

The assembly will work under the auspices of the offshore drilling contractors Committee (OOC). The alliance prepares to discover the possibilities of the digital ledger in the production sphere of oil & gas, along with promoting the expertise worldwide.

Except for ExxonMobil & Chevron, the establishments are among the globes' leading ten oil firms, the group comprises American corporations ConocoPhillips, Pioneer Natural Resources & Hess, along with Norwegian firm Equinor, together with Repsol, Spanish energy enterprise.

Interestingly, in the US oil with the gas-manufacturing sphere, the new consortium was the pioneer. As said by OOC Directors Chairman, Rebecca Hofmann, the foundation of such a consortium will help set novel standards in the sphere related to innovative knowledge and digital ledger.

To note, Repsol is already applying the blockchain expertise in their scheme. The expertise allows the energy corporation to save almost €400,000 annually by decreasing the number of errors.

Consortium unprecedentedly used the digital ledger industry for voting on spending issues. The solution provider was the Canadian company GuildOne.

The authorization system of expenditure (AFE) is used to approve investment and expenditure projects, plus to determine the profit and interests of participants in a joint working contract in the oil & gas production.

Previously, voting on AFE issues was carried out manually, but the blockchain could considerably speed up this process. Besides, distributed registry technology will ensure the authenticity of records and lessen the number of errors with smart contracts.

According to the OOC Chairwoman, the pilot project was completed in 4 months or even less. She stressed that the project demonstrated the capabilities of the digital ledger, counting its capability to "change the fundamental practices in the industry of oil with gas.”

Last November, it was reported that US customs plans to utilize the blockchain to track oil & gas supplies from Canada. The Canadian company Mavennet Systems was allocated $182,000 to develop the platform.