It’s a Hungry Market

The broader capital markets are healthy, evidenced by intense investor demand. We continue to observe a strong desire to deploy capital and consummate acquisitions, driven by the availability of inexpensive financing options and surplus of capital—market conditions often compared to the last peak M&A cycle in 2007.  A driving force in valuations, which was absent from the last cycle, is a persistent supply shortage of quality opportunities to deploy capital.  Investors have considerable buying power and are responding in kind using acquisitions to accelerate growth.  It’s a hungry market.
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Electronic Invoicing: What’s in it for Suppliers?

Digital transformation. Finance automation. Going digital. Computers and the Internet have revolutionized the way companies communicate and do business. For the most part, it’s the large players, the heavy hitters, those E&P companies that are automating not only their field operations but their office processes to maximize operational efficiencies. [Read more…]

Oil Field Automation and Robotics

In recent IDC surveys, oil and gas IT professionals reported that the top strategies to cope with low oil prices, with regards to IT investments, are to deploy automation more quickly, complemented by advanced business intelligence and analytics for optimization purposes. IDC Energy Insights believes that robotics and related automation are integral components of the digital transformation process and need to be included in operational and IT architecture requirements and plans. [Read more…]

The cleaver, the scalpel, and then, finally, some glue…

A look at operating model adjustments, M&A, and collaboration within the oilfield equipment manufacturing sector through the industry decline of the past year and a half.
The butcher’s bill for the whole of the oilfield services sector has been extensive in the wake of WTI’s mid $20s bottoming and the resulting CAPEX austerity. With liquidity preservation understandably serving as priority one for E&P customers during the maelstrom, short-cycle activity ground to a standstill and orders – both via capital equipment deferral/cancellation and inventory cannibalization for consumables – dried up completely. The recent WTI recovery to the mid $40s has only just now begun to shake loose an increase in customer inquiries. While the rig count has shown signs of modest uplift with speculation regarding the return of completions work, most operators are still characterizing the inquiry lift as yellow shoots – that is, the phone is ringing more but it’s not yet meaningfully translating into purchase orders or booked jobs. [Read more…]

Bridging the IIoT gap: How Information Technology (IT) and Operational Technology (OT) can Work Together

As companies across the energy value chain look for ways to become more efficient and agile, the Industrial “Internet of Things” (IIoT) offers attractive opportunities. Harnessing sensor data, machine-to-machine (M2M) communication and Big Data analytics enables oil and gas companies to take automation and efficiency to new heights, while creating the foundation for new business models. [Read more…]