Weatherford International Plc (NYSE:WFT) has announced that it signed an agreement that will allow it to team up with International Business Machines Corp. (NYSE:IBM) to create the next generation of production optimization solutions.
The two firms will work together to develop new products and services that will be used by oil and gas producers to take advantage of IBM Cloud, advanced analytics and the Internet of Things. The collaboration will also boost Weatherford’s production optimization. The analytics solutions that the two companies will develop through the partnership will be accessible through IBM Cloud and they will be created on Weatherford’s production optimization and engineering software platform. The new solutions will also include sensors, controllers, data acquisition and supervisory control.
The new solutions will also be part of Weatherford’s new global business unit for Reservoir Solutions. The global business unit was launched earlier this year and its main aim is to offer integrated products and services that allow customers to enhance production while keeping costs at a minimum. Oscar Rivera, the VP of Reservoir Solutions stated that Weatherford will expand its world-class offerings with its industry-leading analytics software and IoT as part of the company’s commitment to assist operators in optimizing their assets. Rivera further added that the combination of integrated solutions at their disposal will bring significant changes to production optimization. It will also place the firm in a better position to deal with the challenges that oil and gas producers come across.
IBM Global General Manager for the Chemical and Petroleum Industries state that the collaboration will focus on addressing the need by oil and gas producers for advanced analytics. The aim is to offer solutions that are more cost-effective and can facilitate better decision making. Combining IBM’s data analytics software with Weatherford’s engineering software in IBM’s cloud will allow the two firms to venture into the next phase of production optimization. The combination of resources and ideas from the two firm is expected to yield a strong mix that will generate a lot of value for the clients.