ExxonMobil to increase Permian profitability through partnership with Microsoft
ExxonMobil has a new partnership with Microsoft that will make its Permian Basin operations the largest-ever oil and gas acreage to use cloud technology and is expected to generate billions in net cash flow over the next decade through improvements in analyses and enhancements to operational efficiencies.
The application of Microsoft technologies by ExxonMobil’s XTO Energy subsidiary— including Dynamics 365, Microsoft Azure, Machine Learning, and the Internet of Things—is anticipated to improve capital efficiency and support Permian production growth by as much as 50,000 oil-equivalent barrels per day by 2025.
“The combination of Microsoft’s technologies with our unique strengths in oilfield technologies, production efficiency and integration will help drive growth in the Permian and serve as a model for additional implementation across the U.S. and abroad,” said Staale Gjervik, senior vice president, Permian Integrated Development for XTO. “The unconventional business is fast moving, complex and data rich, which makes it well suited for the application of digital technologies to strengthen our operations and help deliver greater value.”
ExxonMobil’s partnership with Microsoft includes an integrated cloud environment that collects real-time data from oil field assets spanning hundreds of miles. The data will enable ExxonMobil to make faster and better decisions on drilling optimization, well completions and prioritization of personnel deployment. Importantly, leak detection and repair response times could be further reduced with enhanced access to emissions data, strengthening XTO’s voluntary actions to manage methane emissions.
According to the companies, Exxon-Mobil’s application of these technologies in its Permian Basin acreage, which covers a 9.5 billion oil-equivalent barrel resource base and more than 1.6 million acres, represents industry’s largest acreage position using cloud technology.
With the additional layer of Microsoft’s intelligent business applications, such as Dynamics 365, ExxonMobil and XTO will have a complete, end-to-end view of the Permian operations.
For more information, go to https://azure.microsoft.com, https://dynamics.microsoft.com , and www.exxonmobil.com