Energy Service Providers Rising in Popularity Despite Energy Woes Post-COVID

After the early 90’s we have seen the emergence of energy service providers. The start of the energy solutions company can be credited to the energy crisis of the late 70s, as entrepreneurs produced techniques to tackle the escalating energy expenses. An ESCO is a company that provides wide-ranging energy solutions to their clients, which include auditing, upgrading and developing changes to the ways the consumer consumes energy, the main mission being elevated efficiency.

As the world emerges from the gripes of the COVID-19 we’re witness to the advancement of the energy service company. Innovation has performed a vital part in the evolution of the energy service industry.

As we’ve earlier mentioned, the top objective for energy service firms boils down to cutting spending and produce maintainable solutions in the future. All through the nineties we got a tide of private energy service companies due largely to deregulation and the escalating price of energy. Presently we’re witness to certainly one of the greatest deregulating governments the U . S . has ever experienced which is only getting better with recent statements from the Trump Administration made in Texas this past week.

In 2006 the sector group NAESCO stated energy service organizations grew by 22% and stated $2.6 billion in revenues marking a paramount moment for energy services companies through the United States. In Canada the popularity of energy services companies also grew significantly mainly in the oil full province of Alberta.

Energy Service Providers 700x379 - Energy Service Providers Rising in Popularity Despite Energy Woes Post-COVIDWith such a wide range of O&G service providers these providers offer, it is difficult to list only a few whilst excluding a great number of other relevant ones. However it is worth stating that within this industry, technological innovations has performed a top role in encouraging the sector progression. A couple of other providers include water treatment, transportation, pipeline monitoring, well restoration, midstream & downstream solutions and energy cost savings and management.

Energy consultant firms are going up as rates fluctuate we see a demand for energy consulting agencies to make a deal for reduced energy costs. The fundamental focus of energy consultants should be to save their customers cash by negotiating energy costs and making current operations more energy-efficient. These service technicians begin with undertaking what is recognized as a base line of initial energy assessment. Energy consultants have a defined start task which is generally to undertake a wholesale and thorough energy audit to be later employed as a measurement of future energy cost savings. The added benefits of operating closely with top organizational directors is that when a decision must be made its made right away. For this reason energy consultants work with and are accountable to, corporate directors. While energy management businesses operate singularly of the organization employing them, it is a reality that energy consultants work closely with officials for a multitude of reasons.

Field energy service providers offer a wide array of providers this includes meter proving, sampling and analysis, electrical and instrumentation, construction, automation and controls and even software solutions. Overall though we’re on the cusp of a paradigm shift within this sector due largely in part to the pandemic that has gripped the world over the past 6 months.

We spoke with Solomon Salgero, an operations executive with Lightspeed Energy service providers and here’s what he had to say.

“What else can I say beyond it has been a damaging shock to the industry however we do know things will get better and we are planning for that now.”

Energy services companies typically use performance contracting, which means that if the undertaking does not produce ROI, the ESCO is liable to settle the difference, therefore assuring their valued clients of the energy and cost cost savings.

Since its creation in the 90s, a single U. S. governmental program named “Super-ESPC” (ESPC stands for Energy Savings Performance Contracts) has-been accountable for $2.9B in energy services companies contracts. With it being revived and changed in late 2008 they have awarded 16 companies with what is regarded as Indefinite delivery/indefinite quantity or IDIQ contracts priced at a minimum of $5 billion each on average. While it is true there is undeniably a great deal of assorted providers delivered under the energy providers array, one thing is certainly, cost and efficiency as their primary focus.

Danny Bilot of Intricate Group, an energy services company in Alberta, Canada.

Although COVID was a really kick to the economy here in Alberta, we at Intricate are on the other side of it all and looking for a great 2021.

You have probably noticed that utility providers have, for sometime now, been grouping service providers. That’s the progress of these energy utility firms we earlier spoke about. It’s become prevalent in Canada and the USA that energy providers are now providing bundled providers like television, Internet and home phone but in actual fact there is a lot more of this going on in the B2B (business to business) side whereas public surveillance and security systems are also being supplied. From a solely financial/company understanding this marriage of utility company and service company is brilliance.

So I know what you are thinking. Wouldn’t this make energy solutions companies go the way of the dinosaur? Nope. Think of this like the battle of the Titans whereas the big utility firms are the ones who will negotiate for the energy consumer dough. There are lots of solutions encompassed by the term energy providers company. Many, if not most, all relate to boots on the ground industrial services like those in the oilfields. Having said that we hope that 2021 brings much prosperity to the energy sector and we can look back at 2020 as a year of lessons.

Canada Gets 4 More of the Same. What Does it Mean for O&G?

October 21 Canada held its elections for Prime Minister. The Western provinces held out much hope in a change of guard to a Conservative government however the individual chose to represent the party, Andrew Scheer, was in question on many levels.

In the end Canada chose to re-elect the Liberal government spearheaded by Justin Trudeau. Much to the decry of the Western, the election results exposed a gapping hole in how divided Canada really is.

Saskatchewan, Alberta and British Columbia all voted Conservative while Quebec and Ontario would ultimately be the ones to push the Liberals in to another 4 years. This should come as no surprise with those two provinces holding 80% of the entire population of the country.

Back to the election night results…

So when numbers began to roll in showing the successes of the Liberal party and likelihood of a re-election, Western provinces began to vocalize their frustrations. Why? It’s important to understand that over the past four years under the Liberals, Western provinces, particularly Alberta, have seen funding cuts and a decapitation of the energy sector by Liberal policies including the no more pipelines Bill.

Rob Evants, a oifield worker with an Edmonton Fluid Sampling and Analysis company, had this to say…

Honestly my co-workers in O&G and I are all concerned about what the future holds for us under another 4 years with Liberals at the helm. Its as though they’ve declared war on the Alberta energy sector.

And Rob isn’t alone in his thoughts. In fact there is a trending movement #wexit that proposes a referendum of Western provinces independence from Eastern Canada which is incredibly decisive. Canada is upset. That is clear.

So while Canada appears to be going through post-election hangover, the oil and gas industry of Alberta especially, are beginning to plan for the next 4 years under Trudeau.

Premier Jason Kenney says Alberta’s budget will be full of tough choices needing to be made to get Alberta’s multi-billion-dollar budget deficits back into balance in four years and prevent punishing future interest payments on the debt. Kenney’s budget for Alberta was delivered recently on October 24th and is currently being debated and analyzed for revisions before final passage.

A well-known Grande Prairie laboratory services company, Intricate, believes that optimism is the best route moving forward for Alberta.

What can we do? Let’s just see how, with a minority government, the Liberals can address the concerns many (Western) Canadians have moving forward.

 

The Definitive Article on the Differences Between Meter Proving & Testing

Quite simply, meter proving where the reliability of a meter is tested. Anytime we talk about meter proving there’s lots of parameters and the figures can vary on impulse depending on the model of meter and method of testing. As for instance, a gas meter prover checks the accuracy and reliability for gas meters.. It’s not as simple as you might presume in terms of meter proving, the provers have to evaluate and after that compare to pre-calculated details as reported by their guide.

Meter proving and meter testing differ. This is the differences.

For starters meter proving occurs whenever a specialist measures the correctness of a meter. NIST or The National Institute of Standards and Technology, has loads of critical information in their databases in which meter proving technicians can possibly use and compare their outcomes from what ever meter they had been examining.

Proving is really common for fluid hydrocarbon metering and notably for pipeline custody transfer. Unique prover connections are necessary for the metering station enabling parallel measuring of the fluid in both of these devices.

METER PROVING IMAGE 1 300x225 - The Definitive Article on the Differences Between Meter Proving & TestingWhile meter testing has been around in excess of a century the exact standard is out there at present as it did Each. This makes testing using this method is at risk to many different variations and insecurities.

Gas provers test gas meters considering that they are probably the most prevalent.Provers are oftentimes utilised in gas meter repair facilities, domestic gas meter service centers, and public works service centers. The function in which meter proving experts test the correctness of a meter is by passing air through after which comparing those outcomes to the meter’s own internal displacement. Once that is performed the prover (meter) then can take the data he/she captured in the percentage of air transported to that of the value displayed on the meter’s own.

A bell prover has two layers, one inside tank enclosed by an additional exterior shell. A space amongst the inner tank and exterior shell is filled up with a sealing liquid, usually oil. An inverted container, also known as the bell, is placed over the tank that is inner. The fluid is there to behave as an airtight seal for testing. Bell provers are ordinarily counterweighted to provide pressure level that is positive to a hose and valve interconnected to a meter. We very often see wheels that are on the bell that enables soft linear movement with no danger of ruining the stress developed by the bell seal shifting.

Bells have a quantity of air which has been preset by measured temperatures, pressure level additionally, the effective diameter of the bell. Each and every bell scale, attached up and down, is exclusive to its matched bell. Meter proving is definitely complex. The prover must give consideration to lots of elements like flow rate, leakages, sealed units, air flow and liquid flow. Every one of them need to get confirmed against trade set standards.” adds Mark Dulbit, of Harvest Oilfield Services, a Calgary turnaround and shutdown services company servicing the oil and gas sector in BC and Alberta Canada.

The invention of programmable logic controllers (PLC) permitted gas meter maintenance facilities to automate many of the manual bell prover’s function and calculations. As opposed to manually elevating and lowering the bell prover, solenoid valves affixed to a PLC controls air flows through the meter. Each automated techniques are served by serving appropriate data in to a computer to see the outcomes. As early as the 90s, computers and PAC (Programmable Automated Controls) had been made use of. Detectors to read the index of a meter have been incorporated to further automate the process, removing the majority of the human error associated with manual bell provers.

As everybody knows, technology is in constant flux and improving day-to-day. Now we have the capability to test flow rates with consistency never seen before by employing vacuum provers. Such a use eliminated the necessity for a bell, as the flow rate is provided through the nozzles. Testers using vacuum to confirm flow rates will apply the Bernoulli’s principle. The best part about employing digital automatic components in proving is that live data might be collected and transmitted across an central network enabling dynamic analyzation of live data.

How Do Oil and Gas Companies Conduct Oil Exploration?

Exploration plays a vital role in keeping the oil and gas industry running. Due to the increasing demands of oil in many countries, exploring oil and gas reserves is also becoming more essential.

However, there are several ways to conduct oil exploration. This blog post talks about the three methods used for exploring oil reserves.

Surface Methods

There are two phases in oil and gas exploration through surface methods.

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The first phase involves analyzing the surface and determining if it can be used as oil reserve. This involves classifying the rocks if it’s sedimentary.

The second phase is to determine if there are oil seeps on the surface of the earth. If the oil underground is not leaking, that means large deposits are present.

Magnetic Surveys

Magnetic surveys involve the use of an instrument called a gravimeter. They are used to assess the amount of oil and gas deposits underground.

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Another instrument used is the magnetometers. Together, these two instruments can assess and map the anomalies and measurements of the site.

Seismographic Methods

The problem with magnetic surveys and surface methods is that it cannot analyze small areas.

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That’s why seismographic methods are also used through the sound waves, producing detailed images of the underground rock formations, though there are techniques that can lead to damage when placing the gadgets that makes this method possible.

Exploring oil reserves is not as simple as some people think. Although there are many methods in exploring oil reserves, each one serves different purpose. If one is not suited for the job, the other is used, and so on.

Is Offshore Drilling Worth a Shot?

Offshore drilling has caused many issues both economically and environmentally. As a result, many people have their opposing views about offshore drilling.

Some suggest that it may lead to permanent environmental damage. Some say it may be necessary for the country’s development.

Oil and gas are also rumored to be having less and less impact and it’s not as important as it was before.

For that reason, supporters and skeptics are now arguing if offshore drilling is worth harming the environment.

But that’s not the truth. Oil and gas are becoming more and more important to the energy sector. Not only that, there are many other benefits of offshore drilling.

Here are the most important reasons why offshore drilling is worth the shot.

More Self-Sufficient Natural Resources

Since the demand for refined products and crude oil is continuously increasing, the need to improve domestic production levels of oil and gas companies is also getting bigger.

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However, the problem of these companies is that they can no longer increase their production levels in their countries. It would take too long to look for reservoirs, and it will also mean that the environmental impact will be focused in one place.

To avoid causing too much damage in a single area, offshore drilling is a solution that can’t be ignored by these companies.

Reduced Cost of Oil Products

As is usual for any other products, being in high demand but low supply means the price will increase. The same goes for oil.

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Since it’s already an undeniable fact that the demand for oil and other related products is high, if companies are not able to supply enough for the market, the price of oil products will skyrocket.

So as a solution, offshore drilling is conducted so that even if the demand remains constant, the supply will increase and thus, the price will drop for consumers.

However, it’s also undeniable that demand will increase. That means the need for offshore drilling will also increase.

More Job Vacancies

If offshore drilling is approved and preparations are made, there will be even more rigs to operate. Of course, it will need someone to monitor and maintain the equipment.

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As a result, oil and gas companies will need to hire more and more people. Additionally, if the supply of oil and gas products increases, the compensation for employees will also increase.

So you don’t have to worry about getting less pay if there are more employees, because it’s the other way around.

Taxpayer Liabilities Are Reduced

Whenever preparations for offshore drilling are made, governments will need to issue licenses or leases as permission for companies to install platforms.

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These results to the government receiving funds and those funds are usually used for a variety of activities and programs that benefit everyone.

Offshore drilling is important so that there’s a chance that the country can improve financially and economically.

More jobs will be created. The price for oil products is reduced. Taxpayer liabilities are reduced. The environment will sustain less damage. There are countless benefits of offshore drilling for the country.

All of this will outweigh the disadvantages that offshore drilling may incur to the environment.

Top 7 Facts Everyone Should Know about Oil Exploration

There are many oil and gas professionals trying to provide their opinions and some people believe it, since it’s from professionals. But this trend has gone too far.

Countless myths have been popping up in the oil and gas industry that it’s affecting its reputation. Some of these myths include the future of oil and gas and the environmental issues.

As a result, more and more people are thinking that oil and gas may lead to environmental problems sooner or later.

That’s why this blog post aims to give you the “facts” surrounding the oil and gas industry.

Employees Are Getting More Compensation

Many say that the employees working for oil and gas companies are not receiving enough compensation.

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However, in reality, their salary is increasing over the years. It’s higher than the average salary for the last two years.

Due to the challenges and competition with renewable energy between solar power, oil and gas, hydro, and more, professionals are continuously getting more and more compensation.

The Drilling Segment Offers the Highest Compensation

Another fact to help you with your career in oil and gas companies is that the drilling segment offers the highest compensation among all other sectors.

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Although all positions offer great salaries, drilling pays the most. In fact, the average salary of all oil and gas employees is $90k USD per year, while workers in the drilling segment earns $112k USD per year.

However, take note that they are not just ordinary workers.

Employees in Oil and Gas Companies Are Very Skilled

Yes, they’re not your typical worker you see every day, although that’s what many people are saying.

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They are very skilled in their own fields and have undergone a lot of training to get there. They don’t just operate the drilling rigs, or help with spotting reservoirs, they do much more than that.

36 billion barrels of oil is used around the world every year

It’s true, you might find it surprising, but people around the globe uses 100 million barrels of oil every day, equivalent to 36 billion barrels of oil every year. But that’s not all.

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This number is not falling, but it’s rising over the last decade. It may also continue to rise despite the competition and other alternative energy resources.

Replacing Oil as an Energy Source Is Next to Impossible

Since the use of oil and gas is rising over the years, this is the reality that should be faced by many people.

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Oil and gas is not just one of the energy resources you can find on this planet, it’s one of the most critical energy resources, and replacing it will be next to impossible.

Oil is not as simple as everyone thinks, and you can’t replace it with other sources such as solar, wind, or hydro energy. With that said, you should not think of oil only as energy.

Oil Is Not Only for Energy

Oil is in fact usable for much other industries besides the energy sector. It can also be used by the pharmaceutical and medical industry, for medicines and some of their tools.

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Another industry that uses oil products is the textile industry. They can use it in making fabrics such as vinyl, nylon, polyester, and acrylic.

Next time you hear someone say something about the oil and gas industry, look for evidence first before believing it. There might be many incorrect statements about it now, but there will be more facts available in the future.