- AI is Transforming Oil & Gas Drilling to be Faster, Smarter, and More Efficient.
- Oil Giants Bet on AI to Cut Costs and Boost Efficiency.
- Energy Companies Turn to AI to Navigate a Challenging Market
Artificial intelligence is speeding up oil and gas drilling while allowing companies to develop sites that were previously too difficult, say executives at the CERAWeek conference in Houston. AI dominated the world’s largest energy convening, with oil producers looking to stay profitable in the face of declining oil prices and fears about how U.S. tariffs will affect energy demand worldwide, reports Yahoo Finance.
BP’s AI-Powered Drilling and Well Monitoring
BP is leveraging AI to enhance drilling precision and predict well issues before they occur. Ann Davies, BP’s senior vice president of wells, highlighted the efficiency boost: “We are able to drill more wells per year and have a better capital allocation,” she said.
Last month, BP announced plans to increase spending on oil and gas production as part of a broader strategy to strengthen investor confidence.
Devon Energy Expands Feasibility with AI
AI is enabling U.S. oil producer Devon Energy to drill in areas previously considered unviable. Trey Lowe, the company’s chief technology officer, explained how AI aids in avoiding geological faults: “For example, the company can gather information about a fault in a formation, then drill on the other side to avoid it,” he said.
Devon Energy has also deployed machine learning models to monitor its oil rigs across the U.S., leading to a 15% improvement in drilling efficiency.
Chevron’s AI-Powered Drones for Remote Monitoring
Chevron is using AI-powered drones to inspect shale operations in Texas and Colorado. The drones identify problems such as emissions leaks and alert field personnel, minimizing downtime for maintenance. According to Russell Robinson, a Chevron deputy program manager: “We’ve continued to have more assets that are running at a longer time, so this is all around just producing more oil or gas.” Chevron is now considering expanding the use of AI-powered drones to its refineries.
AI Streamlining Offshore Drilling
BP is also using AI for offshore drilling, specifically in interpreting seismic data from the Gulf of Mexico. AI has reduced the time it takes to analyze such data from six to 12 months to merely eight to 12 weeks, according to a BP spokesperson, enabling geoscientists to better optimize drill sites and foretell problems.
AI Transforming Energy Data Analysis
While AI has been used in the oil and gas industry for years, recent advancements—such as large-language models—are bringing a new level of efficiency. Chicheng Xu, founder of OpenPetro AI and a former astrophysicist at Aramco, emphasized AI’s role in seismic visualization: “AI can dig through the data and find the features you want to see and visualize it to you. That’s the real difference.”
The Competitive Edge of AI in Energy
AI-driven efficiency gains are translating into competitive advantages for energy companies. Lowe from Devon Energy warned: “Companies that don’t deploy it (AI) will get left behind at this point.”
As artificial intelligence continues to transform the energy sector, businesses that are adopting these technologies are setting themselves up for increased efficiency, cost reduction, and long-term prosperity.
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Source: Yahoo Finance
