GE subsidiary Baker Hughes is planning to implement AI into the oil and gas sector at scale via its new joint venture with US-based C3.ai
Automation began entering the oil and gas industry in the 1990s
AI is starting to pervade nearly every industry in the world and now oil and gas is adopting the technology with ever-greater conviction as a new joint venture seeks to boost the industry’s productivity.
Baker Hughes, a subsidiary of GE, and C3.ai announced on 25 June they plan to combine the former’s fullstream oil and gas expertise with the latter’s AI software to improve data collection, operational efficiency, staffing, sourcing and safety.
“The oil and gas industry is rapidly evolving, and digital technology is critical to achieving increased levels of productivity, efficiency and safety for ourselves and for our customers,” said Lorenzo Simonelli, Baker Hughes chairman and CEO.
“This agreement is a mutual recognition of the technology leadership we each bring to the table and a willingness to work in new ways that deliver the best possible outcomes for our customers.
“Integrating our strong digital capabilities and oil and gas industry expertise with C3.ai’s unique AI solutions, we will accelerate the overall digital transformation of this industry.”
Thomas M Siebel, C3.ai’s CEO, added: “The oil and gas sector is undergoing a digital transformation to improve efficiencies and increase safety, while simultaneously reducing environmental impact.
“These changes will be driven through advanced AI use cases deployed across the entire oil and gas value chain.
“Baker Hughes is a technology-first company with deep expertise, a global footprint and strong relationships across the industry.
“Combining its strengths with the unique industrial AI capability of C3.ai, we will deliver transformative change to one of the world’s most important industry sectors.”
Shell pioneering AI in oil and gas
C3.ai, based out of California’s Redwood City, singed a deal with oil and gas giant Shell in September last year to provide its AI platform and help the company along its way to holistic digital transformation.
Deploying the platofrm on Microsoft Azure, Shell carries out predictive maintenance for hundreds of thousands of critical pieces of equipment globally, and aims to enhance its machine learning, machine vision and natural language processing capabilities.
“Shell utilizes the C3.ai platform to accelerate digital transformation across our business, focusing on using AI and machine learning to improve overall operations starting with predictive maintenance,” said Shell Group CIO Jay Crotts.
“Shell also has a long-standing relationship with Baker Hughes in oilfield services and software development.
“There is real potential in exploring the fusion of existing oilfield technology and emerging digital technology, in this case combining C3.ai’s capabilities with Baker Hughes’ domain expertise to create new solutions that truly address oil and gas specific challenges with powerful advanced analytics technology.”
Baker Hughes plans to use its existing digital portfolio in conjunction with its new partner’s technology to create combined teams comprising both oilfield and AI expertise directly into customer environments.
Under the terms of the agreement, the company has taken a minority equity position in C3.ai and will have a seat on the firm’s board of directors.