The Internet of Things, or IOT, is a network of physical devices that have sensors embedded in them to connect and optimize data sharing. Although it was believed that the IOT is only beneficial in a few sectors, the technology is bringing about notable changes in the oil and gas industry, too, which partially explains the increasing number of investors turning to oil and gas investment projects through investment management firms such as Fig Tree Capital Ventures. Continuing on the subject, in this blog, we cover four ways the Internet of Things is transforming the oil and gas industry. Read on.
1. Improved Operational Efficiency
Adoption of IOT in the oil and gas industry has decreased the troubleshooting time of different processes, such as the drilling or extraction process, from days to minutes. The reduction in time makes it easier to allocate more resources and time to other operations, improving the overall operational efficiency. In addition, remote visibility and efficient big data analysis helps oil and gas investment companies in optimizing production and managing their assets more efficiently. Taking investors into the picture, overall operational efficiency also reduces the risks involved and increase profits in the long run.
2. Efficient Data Handling
Data plays a crucial role in oil and gas investment projects, not only for the company but investors, too. Adoption of IOT in the oil and gas industry has increased the accuracy and efficiency of existing data and also helps in maintaining the accuracy for the data accessed in the future. A small improvement in data accuracy and efficiency means a notable improvement in an investor’s long-term returns.
3. Decreased Risks
As the accuracy and efficiency of data increases with the adoption of IOT, it reduces the potential investment risks involved. Safety hazards can be avoided by remote troubleshooting operations. It is, therefore, safe to conclude that adopting IOT in energy projects not only decreases investment risks, but also reduces the safety risks of workers during different operations, such as drilling and extracting oil from reserves.
4. Increased Global GDP
According to a research by Oxford Economics, if there is an industry-wide incorporation of IOT, the overall increase of global GDP is estimated at 0.8 percent or $816 billion in the next couple of decades. Investing in oil and gas investment projects, in such a scenario, is bound to yield higher profits than the current situation.
IOT has a number of applications that help in overcoming the problems faced by oil and gas companies. If you wish to invest in oil and gas investment projects, it is important to know what lies ahead by partnering with a reputable investment management company such as Fig Tree Capital Ventures. We have extensive experience in identifying high-yield investment opportunities promising long-term returns. To learn more about oil and gas investment projects in the US, simply call (866) 304 9194 or write to us at firstname.lastname@example.org.