Shell uses big data analytics to more efficiently explore for oil and gas reserves. Sensors collect over a million readings during seismic surveys to identify potential drilling locations, which is analyzed against global data to assess probability of productive wells. Equipment sensors also monitor performance to forecast maintenance needs. This approach has increased Shell's ability to drill productive wells by 1%, generating 3 additional years of global energy. They utilize large-scale infrastructure from AWS and analytics teams to optimize exploration and extraction costs in facing challenges of limited resources.
1 of 15
Download to read offline
More Related Content
Big data story of success
1. How Big Oil Uses Big Data
SHELL
PREPARED BY : MOHAMMED A. JODA, EMAIL: M.CELEC@HOTMAIL.COM
SUPERVISED : D. MAHA ABO, HEAD OFFICER: IT DEPARTMENT
MASTER OF SOFTWARE ENGINEERING 2018 ,BIG DATA COURSE
EL-NEELAIN UNIVERSITY
SUDAN
2. Background
Royal Dutch Shell are the fourth-largest company in the world by revenue.
Along with BP, ExxonMobil, Total and Chevron, they are one of the supermajors
that extract most of the fuel that supplies our civilization with power.
They are a vertically integrated business, with a stake in every step of the process
of transforming fossil fuel into energy for homes, vehicles and businesses
extraction, refining, packaging, distribution and retail.
3. Con...
n recent years, they have developed the concept of the data-driven oilfield, in an
attempt to drive efficiency, reduce costs and improve safety across the industry.
4. What Problem Is Big Data Helping To
Solve?
The world is facing an energy crisis in the face of a growing population and ever-
diminishing non-renewable resources.
While attempts are being made to generate more energy from renewable or
alternative sources, the vast majority of the energy we consume still comes from
non-renewable oil, gas and coal.
The supply of known resources is dwindling, and the uneasy state of international
politics in many areas of the world adds to the difficulty of exploration.
5. Con...
This means the cost of extraction will inevitably rise as drillers are forced to look
deeper and further afield.
The search for hydrocarbons involves huge amounts of manpower, equipment and
energy. With the cost of drilling a typical deep-water oil well running to $100
million or more, its absolutely essential drilling takes place in the locations that
will provide the best rewards.
6. How Is Big Data Used In Practice?
Traditionally, exploration for new resources has involved inserting
sensors into the earth to pick up the low-frequency seismic waves
caused by tectonic activity.
These waves of energy travelling through the earths crust will register
differently on the sensors, depending on whether they are travelling
through solid rock, liquids or gaseous material, indicating the likely
location of hydrocarbon deposits.
7. Con...
In the past, this could often prove hit and miss, however, It is :
- expensive,
- time-consuming,
- exploratory drills would be needed to confirm the findings of the initial survey.
In many cases, these test drills could yield disappointing results, with the cost
exceeding the income that the deposits could generate.
8. Big Data in use [1]
previously a survey might have involved a few thousand readings being taken,
today it will typically involve over a million.
This data is then uploaded to analytics systems and compared with data from
other drilling sites around the world.
The more closely it matches the profiles of other sites where abundant resources
have been found, the higher the probability that a full-scale drilling operation will
pay off.
9. Big Data in use [2]
Big Data is also used at Shell to monitor the performance and condition of their
equipment.
Sensors collect data on the operation of each piece of equipment at a drilling site,
allowing accurate forecasts to be made about its performance and likelihood of
breaking down.
This allows routine maintenance to be carried out more efficiently, further
lowering overheads.
10. What Were The Results?
Theres certainly a lot at stake: by increasing the amount of oil they drill around
the world by just one per cent in a year, the supermajors generate enough fuel to
provide the planet with power for an additional three years.
11. What Are The Technical Details?
Shell use fibre-optic cables and sensor technology developed by Hewlett-Packard
to carry out their surveys of potential drilling sites.
The data is stored and analysed using Hadoop infrastructure running on Amazon
Web Service servers.
Data volumes are an industry secret, although it is known that the first test of the
system collected around one petabyte of information, and its estimated that so
far Shell have generated around 46 petabytes through their data-driven oilfield
programme.
12. Con...
Their dedicated analytics team are thought to consist of around 70 staff.
Shell are also known to have worked with IBM and movie special effects experts at
DreamWorks to produce their visualization tools that give analysts 3D and 4D
representations allowing them to explore forecasted reserves.
13. What Are The Key Learning Points And
Takeaways?
Until science and society evolve to the point where we have reliable alternatives,
the world is dependent on fossil fuel.
With the difficulty of finding new reserves rising along with the cost of extraction,
Big Data holds the key to driving efficiency and reducing costs of extraction and
distribution.
14. Con...
Although oil and gas companies consistently make huge profits, rises and falls in
the cost of energy production often cause volatility in
international markets and can have huge knock-on effects on our individual cost
of living, as well as political ramifications.
15. REFERENCES AND FURTHER READING
SAS White Paper on addressing challenges in the oil and gas industry with Big
Data is available at:
http://www.sas.com/content/dam/SAS/enus/doc/whitepaper1/analytic-
innovations-address-new-challenges-oil-gas-industry-105974.pdf
http://blogs.wsj.com/cio/2012/11/23/shell-is-in-a-technology-race/
Reference :BIG DATA IN PRACTICE - HOW 45 SUCCESSFUL COMPANIES USED BIG
DATA ANALYTICS TO DELIVER EXTRAORDINARY RESULTS Wiley