Digital tools on Johan Sverdrup field boost Equinor revenues
Driven by digital technologies, Norwegian energy giant Equinor has increased its earnings by more than NOK 2 billion ($215.2 million) since its Johan Sverdrup field, located in the North Sea, started production.
One year after the Johan Sverdrup field came on stream, digital solutions are key to maintaining high safety standards and value creation in all parts of the operations at Johan Sverdrup.
This has increased earnings by more than NOK two billion, Equinor said on Monday.
Equinor explained that digital solutions help increase subsurface understanding, ensure more efficient start-up of wells, higher stable production, and more efficient maintenance.
Rune Nedregaard, vice president for Johan Sverdrup operations, said: “Our experience shows that digital tools have a positive effect on value creation on the Johan Sverdrup field, while helping improve the workday for people offshore and in the onshore organisation.
“The use of digital tools provides a better overview of the situation, which in turn contributes to increased safety during daily work offshore and onshore. We accomplish more in a safer and smarter way”.
According to Equinor, the increased earnings are mainly a result of higher stable production by means of automated production optimization and improved accuracy in the reservoir by means of broader and more complex data sets, providing it with more information about the reservoir.
Increased earnings are also a result of more efficient operations and maintenance by means of the solutions for the digital field worker where the operators use tablets in their daily work and the digital twin, which is a virtual copy of the platform, Equinor explained.
The Norwegian company also added that collaboration with the integrated operations centre onshore is vital to optimize production and de-bottleneck processes. This can reduce unscheduled downtime, and improve maintenance and energy utilization.
At Sverdrup, a number of other digital initiatives are also being tested out, such as robots over and underwater, machine learning, and the use of 3D printing technology.
This year Equinor, upscales the use of digital solutions both in Norway and internationally.
Equinor noted that many of its employees onshore and offshore will see that data-driven decision-making, portable units and personalized applications become part of everyday life and contribute to a simpler, safer and more efficient workday.
Torbjørn Folgerø, chief digital officer at Equinor, said: “For Equinor this is about continuously improving by getting increased access to relevant information and efficient use of digital technologies. This will contribute to stronger collaboration across organisational units and with our partners, and more frequent sharing of best practice”.
Equinor is not the only major to push for digitalization of its operations.
BP has recently revealed its plan to double capital investment in digital to around $1.5 billion gross on average per annum out to 2025.
The company expects this to enable around $1 billion net reduction in its operating costs by end of 2023, and to provide access to a prize of around $1 billion net in enhanced revenues by 2025.