American Oil and Gas Reporter - March 2020 - 73

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Some analysts deduce the more the
U.S. economy relies on crude oil exports,
the more vulnerable the country becomes
to trade retaliation. Backed into a corner
by OPEC cuts and instability in Venezuela,
China stockpiled 350,000 bbl/d recently.
Later, oil prices dropped after China
placed tariffs on U.S. crude in the two
nations' ongoing trade war.
Volatility Defense
These geopolitical events create ripple
effects that touch every aspect of the production chain. When the value of assets
such as those in the Permian is so mercurial, companies need real-time data available and preconfigured for their use.
If China slaps more tariffs on U.S.
oil, producers need to know as soon as
possible. When hotbeds such as the Permian Basin begin to cool, companies that
are ahead of the curve are best able to
weather the storm. Companies up and
down the production chain must be able
to react to new developments and implement changes instantly.
In the Permian business environment,
timely and accurate data analysis is critical.
According to Deloitte Insights, a datadriven approach to business in the oil
and gas sector can reduce yearly downtime

70% and shrink unplanned costs from
50% to 22% of the total. To succeed in
this business climate, companies must
have systems that allow them to maximize
data to increase the efficiency of the
entire production stream.
Fortunately for startups emerging in
the market and merging companies, computing power economics and advancements in right-time and right-fit computing
software and consulting services are
readily available.
Now it is possible to find fully integrated
platforms exclusive to the upstream oil
and gas industry. Smart companies will
look for programs with strong networks,
IT solutions and cutting-edge software to
improve their operational efficiency. These
platforms also often come with a singledatabase cloud solution, making it easier
to consolidate and access information.
We live in an era in which immediate
feedback is not only possible, it is critical.
When billions of dollars are at stake,
companies must translate high-level decisions into seamless action in every oil
field. The tools are there, but the industry
needs to use them.
Just as algorithmic trading helps investors make the best possible decisions
in volatile market conditions and ensure

that every trading rule is supported by
historical data, real-time feedback for the
energy sector has the potential to streamline
production and increase overall profits. r

KALA D.
SCHMIDT

Kala D. Schmidt is the chairman of
Enertia Software. She began her career at Enertia as a business analyst
and rose to senior vice president of
support operations as well as corporate secretary and a director. Schmidt
continues to mentor her Enertia teammates and participate on the executive team as well as in the continued
evolution of the Enertia application.
Prior to joining Enertia in 1992, she
was vice president of a Midlandbased oil and gas production and saltwater disposal company.

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American Oil and Gas Reporter - March 2020

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