Huawei uses cloud, AI, 5G and other new ICT technologies to reshape the oil and gas industry
[Shenzhen, China, July 15, 2020] Today, Huawei is holding the theme of “Data to Barrel” to host the 2020 Global Oil and Gas Summit (online). The summit gathered Huawei global customers, industry partners and thought leaders such as Total, Abu Dhabi National Oil Company (ADNOC), PetroChina, Schlumberger and others. The guests shared the experience of digital transformation to help oil and gas companies to “reduce costs and increase efficiency” and create value, and advised the oil and gas industry on how to overcome the difficulties in special periods.
The oil and gas industry faces no major changes in a century
In the first half of 2020, under the dual impact of the global economic downturn and the new crown epidemic, international oil prices fluctuated. In May, WTI crude oil futures experienced unprecedented negative oil prices. The oil and gas industry has entered a difficult period, and it has also ushered in a major change that has not been seen in a century. Huawei has been thinking about how to help customers in the oil and gas industry to cope with the challenges of a special period.
Sun Fuyou, Vice President of Huawei Enterprise BG and President of the Global Energy Business Department, said: “Over the past decade, Huawei’s customers in the oil and gas industry have witnessed an industry peak of US$120/barrel and have also experienced an industry trough of US$30/barrel. Huawei’s role in this is also constantly changing and upgrading with the support and help of oil and gas company customers: from the initial supplier of switches, routers and network equipment, to those dedicated to providing digital transformation solutions for oil and gas companies Partners, and today, together with partners and customers, can jointly expand the industrial application landscape of artificial intelligence and big data, and jointly explore the unmanned areas of new technologies and new applications.”
Huawei uses elastic computing, big data analysis and artificial intelligence in cloud data centers to help digital transformation of oil and gas customers, promote the construction of smart oil fields, and increase oil and gas reserves and production.
Huawei and its partners plan to build a cognitive computing AI platform for PetroChina, applying AI training and big data analysis tools to exploration and production scenarios to improve oil and gas reserves and production, such as manual lift fault diagnosis, logging oil and gas reservoir identification, and earthquakes First arrival identification; discover greater value from “silent data” and “useless data”.
Dr. Mohamed Akoum from ADNOC said: In an era of change across all industries in the world, ADNOC will continue to promote innovation and embed advanced technology into its value chain to optimize performance, increase profitability and build resilience .
New ICT technology reshapes the oil and gas industry
The innovative applications of new ICT technologies such as AI, cloud, edge computing, and 5G in the oil and gas industry will reshape the oil and gas industry. Sun Fuyou pointed out: “According to the latest IDC survey, Huawei ranks first among the ideal digital transformation leaders in the eyes of users in various industries in China. In the future, Huawei hopes to share its digital transformation capabilities and experience in the Chinese oil and gas industry with global customers to help Customers achieve greater business success.”
Since the successful drilling of oil wells in the middle of the 19th century, mankind has entered the oil age. After more than 150 years of extraction of global oil reserves, there is no underground oil. Oil companies are exploring deep water, subsalt, unconventional oil reservoirs, etc.
As an old oilfield developed for 60 years, Daqing Oilfield is facing challenges of difficult replacement of reserves, great pressure to stabilize production, and cost reduction and efficiency increase.
Zhang Tiegang, former deputy chief engineer of the Exploration and Development Research Institute of Daqing Oilfield Company, introduced that using seismic exploration technology to find oil and gas has become the first choice of oil companies. “Making more earthquakes and less drilling wells” has become a new measure in the oil and gas industry. However, seismic exploration and oilfield development are facing challenges of high-precision and huge data processing. The area of the seismic exploration area is continuously expanding, reaching more than 2,000 square kilometers, and the data collection volume of wide band, wide azimuth, and high density reaches more than 1TB per square kilometer.
Huawei has built an exclusive cloud for oil and gas exploration computing power for the Daqing Oilfield. The cloud data center has increased its computing power by 8 times and its pre-stack seismic data processing capacity by 5 times, from a single processing of 400 square kilometers to 2000 square kilometers. At the same time, using AI and big data capabilities to re-analyze historical exploration data of 10PB, to extract new value from it and make mining decisions.
In the oil and gas industry, 5G technology is also changing the operating mode of the seismic data acquisition business. Huawei uses the characteristics of 5G network such as large bandwidth, wide connection, and low latency to achieve high-speed seismic data backhaul, avoiding a large number of manual cable layouts, and greatly improving operational efficiency. In addition, Huawei’s 5G network also plays a strong supporting role in the field inspection of robots, inspections of unmanned aerial vehicles, and AR/VR applications in oilfield stations.
Huawei also helps oil and gas customers deconstruct the original chimney business system, and quickly publish business applications in the form of microservices to meet the needs of complex and changing industries. For example, Huawei deployed an enterprise cloud for the Algerian National Petroleum Corporation (Sonatrach), used cloud solutions to manage multiple data centers in a unified manner, opened up resource islands, and greatly improved its overall operational efficiency.
As the world’s leading provider of ICT solutions, Huawei is committed to bringing digitization to every oil and gas company. Wang Hao, Chief Technology Officer of Huawei’s Enterprise Business Oil and Gas Development Department, said that Huawei is using ICT as a new engine and is working closely with 19 of the top 30 oil and gas companies in 45 countries around the world to help its digital transformation and enable the oil and gas industry The upstream is more beneficial, the midstream is safer, and the downstream is more valuable.