BHGE helps oil & gas sec­tor to op­ti­mize pro­duc­tion: Ex­ec­u­tive

‘Op­er­a­tors must adopt best means to cush­ion price fluc­tu­a­tions’

Kuwait Times - - BUSINESS -

Dig­i­tal­iza­tion a key axis for de­vel­op­men­tal strate­gies

KUWAIT: Baker Hughes, a GE com­pany (BHGE), plays a key role in help­ing pro­duc­ers in all phases of the oil and gas busi­ness to im­prove their pro­duc­tiv­ity im­pact­ing pos­i­tively on the over­all in­dus­try, said Soufi­ane Ka­noun, North Gulf and Turkey Geo-Mar­ket Di­rec­tor, Baker Hughes, in an in­ter­view. He spoke in de­tail about the oil & gas in­dus­try, point­ing out that oil prices are cycli­cal. “This cycli­cal na­ture of the mar­ket high­lights the need for op­er­a­tors to adopt the best means avail­able across the value chain to en­hance op­er­a­tional ef­fi­ciency and pro­duc­tiv­ity,” he said. Ex­cerpts from the in­ter­view:

KT: What is the pur­pose of the merger be­tween Baker Hughes and GE Oil & Gas? Ka­noun: Baker Hughes, a GE com­pany (BHGE), was es­tab­lished in re­sponse to the needs of oil and gas cus­tomers to keep abreast of the con­stantly chang­ing trends and to help them with smart so­lu­tions to drive their op­er­a­tions. We en­able our part­ners to achieve higher lev­els of ef­fi­ciency and pro­duc­tiv­ity, while re­duc­ing costs and risks. There is no other com­pany with the same po­ten­tial to of­fer full­stream ser­vices cov­er­ing the en­tire value chain in the oil and gas sec­tor. BHGE com­bines in-depth tech­nol­ogy and ex­per­tise with the pas­sion of emerg­ing com­pa­nies. We work tire­lessly to con­duct our busi­ness in a way that en­sures the con­ti­nu­ity of cus­tomer busi­nesses, ad­dress any chal­lenges, achieve and ex­ceed the de­sired per­for­mance ob­jec­tives.

KT: What is the im­pact of the merger on oil and gas op­er­a­tors in the re­gion? Ka­noun: BHGE will play a key role in help­ing pro­duc­ers in all phases of the oil and gas busi­ness to im­prove the pro­duc­tiv­ity of their busi­nesses, which will pos­i­tively im­pact the over­all in­dus­try. The com­pany will as­sist its cus­tomers in ac­quir­ing, trans­port­ing and re­fin­ing hy­dro­car­bons more ef­fi­ciently and safely, re­duc­ing the en­vi­ron­men­tal foot­print of op­er­a­tions and the cost of pro­duc­tion per bar­rel. The op­er­a­tions and ser­vices pro­vided will also con­trib­ute to greater re­source use op­ti­miza­tion, and en­hance the economies to scale through our in­te­grated of­fers.

KT: How will BHGE ex­pand in the re­gion? Ka­noun: We have a his­tory of achieve­ments span­ning more than a cen­tury and a strong pres­ence in more than 120 coun­tries, in ad­di­tion to the part­ner­ships with lead­ing play­ers in the oil and gas sec­tor, in­clud­ing key part­ners in the MENAT & In­dia re­gion. At the re­gional level, our fo­cus is on strength­en­ing lo­cal in­vest­ments, build­ing con­struc­tive part­ner­ships and pro­mot­ing close co­op­er­a­tion with our cus­tomers. We also fo­cus on pro­vid­ing train­ing pro­grams for Na­tion­als to pre­pare them to uti­lize our ad­vanced dig­i­tal tech­nolo­gies. We will con­tinue to work with uni­ver­si­ties and aca­demic in­sti­tu­tions to de­velop a new gen­er­a­tion of ex­pe­ri­enced and qual­i­fied pro­fes­sion­als to achieve the de­sired suc­cesses in the oil and gas sec­tor. The re­gion has promis­ing op­por­tu­ni­ties in the oil and gas sec­tor, which re­mains an im­por­tant pil­lar of the GCC economies. KT: Do tech­no­log­i­cal and dig­i­tal devel­op­ments af­fect oil op­er­a­tions?

Ka­noun: Of course, dig­i­tal trans­for­ma­tion has be­come a key axis of de­vel­op­ment strate­gies in the re­gion. The ap­pli­ca­tion of mod­ern dig­i­tal tech­nolo­gies in the oil and gas sec­tor could bring about 5% pro­duc­tiv­ity im­prove­ments by com­bin­ing ser­vices, phys­i­cal and dig­i­tal com­po­nents to in­crease re­li­a­bil­ity and up­time. BHGE will use cloud­based and on premise soft­ware, ad­vanced man­u­fac­tur­ing and Bril­liant Fac­tory so­lu­tions to help its cus­tomers take ad­van­tage of these op­por­tu­ni­ties as well as re­duce risk and im­prove pro­duc­tiv­ity lev­els in their op­er­a­tions. The GE Store, which could be used to ac­cel­er­ate pro­cesses and in­no­vate new ad­vanced tech­nolo­gies, is also an im­por­tant com­po­nent of our op­er­a­tions.

Ad­di­tion­ally, we are com­mit­ted to help­ing all stake­hold­ers take ad­van­tage of the ex­cep­tional op­por­tu­ni­ties of­fered by dig­i­tal tech­nolo­gies and will con­trib­ute to the de­vel­op­ment of the com­pe­ten­cies and ex­per­tise re­quired to trans­late the data pro­vided by dig­i­tal ap­pli­ca­tions into information and dash­boards that can be used to achieve tan­gi­ble pos­i­tive re­sults at the op­er­a­tional level. Fur­ther­more, in­te­grat­ing dig­i­tal so­lu­tions with our full-stream ca­pa­bil­i­ties en­ables us to achieve economies of scale to cre­ate new re­sources for value cre­ation.

KT: How do you see the chal­lenges in the oil sec­tor of the GCC coun­tries? Ka­noun: Oil prices are cycli­cal, which high­lights the need for op­er­a­tors to adopt the best means avail­able across the value chain to en­hance op­er­a­tional ef­fi­ciency and pro­duc­tiv­ity. This will pro­vide them with greater abil­ity to cope with the vari­ables and re­duce their direct im­pacts on their op­er­a­tions.

Cur­rently the fo­cus is on dig­i­tal in­dus­trial so­lu­tions that have al­ready made a quan­tum leap in the sec­tor, and pro­vided our part­ners and cus­tomers with suc­cess­ful so­lu­tions for many of the chal­lenges.

These so­lu­tions of­fer great op­por­tu­ni­ties that will be the most sig­nif­i­cant trend in the oil and gas sec­tor this year. This is aligned with the vi­sion of re­gional gov­ern­ments that are seek­ing to di­ver­sify their en­ergy sources as part of their over­all eco­nomic di­ver­si­fi­ca­tion strate­gies.

KT: Will sta­bil­ity re­turn to the mar­kets in the near fu­ture?

Ka­noun: Oil prices are go­ing through pe­ri­ods of volatil­ity but de­mand for oil and gas prod­ucts re­mains, as they are among the key re­quire­ments of economies. This has un­der­lined the im­por­tance of dig­i­tal in­dus­trial tech­nolo­gies as a start­ing point for build­ing a fu­ture of growth and over­com­ing chal­lenges. Our fo­cus is di­rected to­wards help­ing cus­tomers re­duce costs, im­prove op­er­a­tional ef­fi­ciency and re­duce the cost of pro­duc­tion per oil bar­rel.

Our role is not limited to help­ing cus­tomers with new oil­fields but also ex­ist­ing ones by mon­i­tor­ing wells as well as reser­voirs, and work­ing to in­crease their pro­duc­tiv­ity by em­ploy­ing the lat­est data an­a­lyt­ics so­lu­tions, in ad­di­tion to our range of full-stream ser­vices and prod­ucts. We are con­fi­dent that our ap­proach will play a sig­nif­i­cant role in strength­en­ing the sta­bil­ity of the oil and gas sec­tor.

KT: Who are the key part­ners of BHGE in Kuwait?

Ka­noun: We have many prom­i­nent part­ners in Kuwait and we closely co­op­er­ate with var­i­ous stake­hold­ers in de­vel­op­ing the oil and gas sec­tor, fore­most of which are the Kuwait Petroleum Cor­po­ra­tion (KPC) and its sub­sidiaries. We have signed a Mem­o­ran­dum of Un­der­stand­ing with KOC to co­op­er­ate in train­ing in the field of re­search and de­vel­op­ment in Kuwait.

The MoU is aimed at de­vel­op­ing cost-cut­ting so­lu­tions for the oil and gas sec­tor and of­fer­ing spe­cial­ized train­ing pro­grams to en­hance the skills and ex­per­tise of Kuwaiti engi­neers, in ad­di­tion to op­ti­miz­ing main­te­nance plans and en­hanc­ing pro­duc­tiv­ity of ad­vanced gas tur­bines and other ro­tat­ing equip­ment. Fur­ther­more, our Re­fin­ing and Pro­duc­tion Tech­nol­ogy So­lu­tions busi­ness unit is work­ing on sup­ply­ing state-of-the-art cen­trifu­gal com­pres­sors for the projects of the Kuwait Na­tional Petroleum Com­pany (KNPC), with which we have signed main­te­nance agree­ments for a num­ber of tur­bines. We en­sure our op­er­a­tions align with Kuwait’s 2035 de­vel­op­ment vi­sion, which fo­cuses on build­ing a diver­si­fied and sus­tain­able econ­omy and has re­sulted in many im­por­tant projects in the oil and gas sec­tor.

KT: Are you go­ing to in­tro­duce smart tech­nolo­gies into part­ner op­er­a­tions in the up­com­ing pe­riod?

Ka­noun: Of course, as men­tioned pre­vi­ously, the ap­pli­ca­tion of ad­vanced dig­i­tal tech­nolo­gies and mod­ern tech­nol­ogy so­lu­tions con­trib­utes to achiev­ing tan­gi­ble pos­i­tive changes in pro­duc­tiv­ity and op­er­a­tional ef­fi­ciency. BHGE has the abil­ity to de­liver ex­cep­tional value to cus­tomers across the in­dus­try by de­ploy­ing in­dus­trial In­ter­net tech­nolo­gies that in­te­grate large data and ad­vanced an­a­lyt­ics with in­dus­trial ma­chin­ery and equip­ment to achieve dig­i­tal trans­for­ma­tion.

The com­pany’s so­lu­tions are de­signed specif­i­cally to en­sure high lev­els of pro­duc­tiv­ity for oil and gas op­er­a­tors, re­duce costs due to down­time and lost time. Our Predix plat­form is the ba­sis and the en­abler for in­te­gra­tion in ad­di­tion to many O&G ap­pli­ca­tions such as As­set Per­for­mance Man­age­ment so­lu­tions that are based on mas­sive data to proac­tively an­tic­i­pate and deal with out­ages.

We are also cap­i­tal­iz­ing on our full­stream ca­pa­bil­i­ties as Baker Hughes, a GE com­pany, group­ing so­lu­tions that we of­fer from all our prod­uct lines to de­liver more in­te­grated so­lu­tions that pro­mote fur­ther in­no­va­tion for our part­ners and drive stronger ef­fi­cien­cies across op­er­a­tions.

We are show­cas­ing BHGE’s port­fo­lio dur­ing the up­com­ing Kuwait Oil & Gas Show and Con­fer­ence that is tak­ing place next week at the Kuwait In­ter­na­tional Fair, Mishref and we look for­ward to in­tro­duc­ing our part­ners and young pro­fes­sion­als with the lat­est in ef­fi­ciency-driven tech­nolo­gies.

KT: How big is BHGE’s in­vest­ment in de­vel­op­ing op­er­a­tions in the GCC coun­tries and the world?

Ka­noun: We have about 70,000 em­ploy­ees in more than 120 coun­tries and sig­nif­i­cant in­vest­ments in var­i­ous fields across four prod­uct com­pa­nies: Oil­field Tech­nol­ogy & Ser­vices, Oil­field Equip­ment, Tur­bo­ma­chin­ery & Process So­lu­tions and Dig­i­tal So­lu­tions, in ad­di­tion to 24 cat­e­gories and pro­duc­tion lines.

Work­ing both on­shore and off­shore, our lead­ing tech­nolo­gies and uti­liza­tion of data, ex­pe­ri­ences and re­search through the GE Store helps us to de­liver new so­lu­tions in shorter time frames to the mar­ket. This also en­hances the com­pet­i­tive ad­van­tage of our part­ners led by a stronger busi­ness model based on cre­ativ­ity and in­no­va­tion, with the op­tion to pro­vide fi­nanc­ing ca­pa­bil­i­ties.

Soufi­ane Ka­noun

Newspapers in English

Newspapers from Kuwait

© PressReader. All rights reserved.