This article explains why using an EAM system should be used to manage Oil and Gas assets used for exploration.

Using an EAM to Help Control the High Cost of Oil and Gas Exploration

Oil and Gas exploration is inherently high risk. Risks are generated from potential environmental problems and also by the cost of exploration. Well drilling can range from $100,000 for small land operations to over $100 million for deep sea ventures. On top of all this are the regulatory hurdles that exploration companies must adhere to for everything from waste disposal to safety.

Assets such as drilling equipment, pipes, storage tanks, safety devices and rigging are all subject to corrosion, wear and tear, and damage during transit or use. Shelf or deep sea operations must also contend with faster corrosion variables as well as oceanic storms. Without proper care the useful asset life-cycle of oil and gas assets can be shortened dramatically.

With the enormous cost involved it is important that oil and gas exploration companies get the full value from their assets. Getting the most out of oil and gas equipment can be done using an EAM system that can manage assets from the planning stage through retirement/replacement.

Managing the Useful Life-cycle with an EAM

An EAM system is ideal for asset management because when implemented properly it:

  • Creates a computerized record of the asset location, description, serial number, purchase date, install date, vendor as well as many other asset details.
  • Organizes assets for to enable easier work management including inspections, preventive maintenance and repairs.
  • Tracks all work management history giving asset managers enough information to make good repair, refurbish or replace decisions.
  • Enables oil and gas management to identify bottlenecks as well as establish standard operating procedures across operations.
  • Provides for document management of contracts, blueprints, photos and other important attachments.
  • Ensures through good maintenance practices that an asset’s useful life-cycle will be extended.

Oil and gas asset managers will always know where their assets are and the condition they are in with an EAM CMMS.