The process automation and instrumentation market in the oil & gas sector is expected to grow at a CAGR of 8.23% from 2013 to 2020, and reach $31.24 billion in 2020, according to a new market research report by marketsandmarkets.com.
“High investments are expected for developing advanced ICT technology that enables process automation during 2014. This will inevitably generate enormous amounts of data that will further need to be sorted and consolidated in a manner that can deliver business intelligence on important business decisions.
With ICT spending in the Middle East also predicted to top $96 billion next year, making it one of the top three fastest-growing markets in the world, the outlook is certainly positive,” said Abdelrahman Abdellatif, principal consultant, Special Industries, at process automation expert Huawei, Middle East.
According to power and automation technologies leader ABB, from a process automation perspective what the company has seen in the UAE is a shift from greenfield investments to brownfield investments over the past few years.
“Brownfield projects will gain a lot of momentum in the near future. Just to share an example with you, ADNOC is seeking to constantly upgrade its exploration, production and refining infrastructure,” said Pierre Leretz, president, Process Automation, India Middle East and Africa, at ABB.
The company said that in other regions of the Middle East, they expect Saudi Arabia and Iraq, to be looking at more, and larger, greenfield automation deployments.
“There will be a number of investments over the horizon in the region, but not like the $10 billion mega projects we witnessed in previous years. In the Oil & Gas automation world, the petrochemical industry is also gathering a good deal of attention because of the way those projects are executed,” said Leretz.
According to Huawei, compliance with the international HSE regulations is one of the common challenges in the oil & gas industry today, and the adoption of digital oilfield technologies can help combat these issues.
“We are seeing more Oil & Gas companies initiating a transformation programme that looks at adopting digital oilield (DOF) solutions based on advanced ICT infrastructure as an enabler for their business. These kinds of transformation programs have made a remarkable improvement to a number of global businesses where digital olfeld technology has already been deployed.
From greater operational visibility & efficiency, it has also enabled real-time decision making and a greater level of business process automation and optimisation,” said Abdellatif.
Through process automation, companies can realise a more proactive management structure where decisions can be made based on more meaningful and timely data.
The ability to monitor remote areas on the field or offshore using process automation also reduces the risk of human error and delays, resolving issues quickly and effectively, according to Huawei.
The global process automation and instrumentation market in the oil & gas industry is a fast developing market, which includes five segments; namely process automation, process instrumentation, process analyser, flow compute, and leakage detection system.
The process automation and instrumentation market in the Oil & Gas industry is completely dependent on the market growth.
In future, the Process Automation & Instrumentation Market in the Oil & Gas industry is expected to control the growth of the oil & gas market because of its high quality service offerings.
Fact:
– $96 billion will be spent on ICT in the Middle East in 2014
