Oil and gas consortium successfully tested blockchain-based system

Oil and gas consortium Oil & Gas Blockchain Consortium has completed pilot testing of a blockchain-based solution forautomation of payments in the formation water treatment system.

The process of processing produced water in oil fieldsfields requires managing the enormous volumes of water extracted during oil and gas production. As Reuters reports, tested Oil & Gas Blockchain Consortium's blockchain solutions eliminate nine steps from the workflow, ultimately reducing it from 120 days to one week.

The consortium notes that during testingThe blockchain system automatically verified 85% of all volume measurements. Oil & The Gas Blockchain Consortium is a group of 10 companies that includes Dutch Shell, Equinor and ConocoPhillips. The blockchain solutions for pilot testing were developed by Aramco-funded Data Gumbo Corporation.

Testing was conducted in partnership withNuverra Environmental Solutions, which was engaged in the discharge of water from oil wells owned by Equinor. After successfully completing the test at five Equinor wells in North Dakota, the consortium plans to implement blockchain solutions at production sites, and is also considering the possibility of using the technology in other processes.

Chairman Oil & Gas Blockchain ConsortiumRebecca Hofmann noted that the fall in oil prices during the COVID-19 pandemic has accelerated the adoption of blockchain. She estimates that the consortium could begin using blockchain solutions as soon as this year, as it could potentially save millions of dollars.

Thanks to blockchain, companies from variousindustries are striving to optimize processes and reduce costs. It was recently reported that India's largest port operator APSEZ will implement the TradeLens blockchain platform in ten ports in the country to reduce costs and improve supply chain efficiency.

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