It’s no secret that environmental conditions for oil and gas drilling are some of the harshest in the world. While oil and gas equipment is built to withstand these conditions, the reality is they’re just equipment, and like all equipment, they’re not going to last forever.
Generally, offshore oil equipment tends to have a shorter lifespan than onshore oil and gas equipment. Considering the harsh impact of the sea, it’s not a surprise. However, that doesn’t mean oil and gas exploration and production companies working onshore don’t need to upgrade their equipment frequently.
Here are some reasons you must upgrade oil and gas equipment frequently. They include:
Old equipment presents significant risks to your site’s success. Relying on outdated equipment can pose dangers to your site and your employees. According to the Centers for Disease Control and Prevention, approximately 108 people die yearly in the oil and gas industry. Likewise, statistics from the Center for Public Integrity corroborate this statement. The Center for Public Integrity reported that approximately 1566 oil rig employees died on oil rigs in the US between 2008 and 2017.
Considering the dangers of working in the oil and gas industry, oil and gas exploration and production companies must update equipment frequently to ensure their workers’ well-being. Older equipment can malfunction, putting operators at risk.
It’s no secret that oil equipment stops performing as well as it used once it gets older. Problems start to arise as outdated equipment starts breaking down. As a result, it generally requires more repairs because it affects productivity. Firstly, outdated equipment often requires extensive repairs and maintenance, meaning longer downtimes. Longer downtimes are a significant problem in the oil and gas industry because they increase the budget and result in production finishing behind schedule.
More importantly, finding spare parts and materials to repair outdated equipment is challenging. Outdated equipment becomes obsolete, meaning suppliers are unlikely to produce materials and spare parts. As a result, you’ll have to search for materials endlessly before you can fix obsolete equipment.
As previously stated, outdated equipment is more likely to break down, necessitating extensive repairs and maintenance. Your production will halt in such situations, leaving you with two options – suspend production or rent equipment to replace the broken equipment. Both options will cost you money. Suspended production can lead to bloated budgets because work won’t finish on schedule. On the other hand, renting equipment to replace broken equipment isn’t cheap.
While investing in new equipment upgrades might seem costly, the reality is that it can help save money in the long run. New equipment won’t require extensive maintenance or repairs. In addition, you’ll significantly reduce potential downtimes.
Competition in the oil and gas industry can be fierce. You’ll want to ensure you’re updating your equipment frequently. Otherwise, you’ll have outdated equipment while competitors rely on state-of-the-art equipment and technologies. As a result, they’ll zoom ahead of your facility, leaving you in the dirt.
CNPS is a complete energy solutions provider. We launched in 2008, offering OCTG pipes and bar products and solutions. Since then, we’ve grown to become a leading energy solutions provider. Our offerings include renewable and sustainable energy solutions, oilfield service equipment, electronic product solutions, mud logging equipment, etc.
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