Quisitive Unveils Blockchain Proof of Concept for Oil and Gas Industry
Blockchain Oil Pipeline Solution Improves Producer and Midstream Operator Transparency, Visibility and Profitability
Quisitive, a subsidiary of Toronto-based Fusion Agiletech Partners and a national digital technology consulting firm with offices in Dallas, Denver and Toronto, announced its Blockchain Oil Pipeline solution to decrease the redundancy in oil pipeline data capture and increase profits for both oil producers and midstream pipeline operators. The Proof of Concept (POC) was presented to Oil and Gas industry executives at the invitation-only “Data Driven Decisions in Oil and Gas” strategy briefing hosted at the Microsoft Technology Center in Houston on May 21.
Based on Microsoft Azure Blockchain Workbench and IOT technology, Quisitive developed the demonstration proof-of-concept with the assistance of industry subject matter experts to illustrate one instance where blockchain technology can rapidly and cost effectively deliver value to the oil and gas industry.
Quisitive’s POC tackles the redundancy in pipeline monitoring and data collection equipment required to ensure oil products maintain purity standards at the time of custody transfer and maintains safe levels of operation as it passes from the oil producer’s drill site through the pipeline to delivery. Currently, manual processes and lack of transparency compel some producers and midstream operators to install their own equipment at points along the pipeline so they can compare the data collected to hold one another accountable.
“The Quisitive Blockchain Oil Pipeline solution is a compelling example of how blockchain can be applied to real-world data storage problems,” said Scotty Perkins, SVP of Product Innovation at Quisitive. “Blockchain-based processes make data trustworthy, accessible and tamper-evident. Moreover, for heavily monitored or regulated processes, it makes operating data much easier to audit and reconcile, saving operators and producers substantial costs.”
With the Quisitive Blockchain Oil Pipeline solution, both the midstream operator and the producer can safely operate a single series of measurement devices and independently verify the data in real time, eliminating expensive settlements and reconciliation of measurement disputes. For example, if the device detects a safety condition along the pipeline, that fact is instantly recorded and cryptographically signed making the evidence tamper-proof. This eliminates the expense of duplicate equipment as well as the need for the producer to have staff to generate and reconcile independent reports to prove the pipeline operator is performing to the contract.
Quisitive will continue to demonstrate its Oil and Gas POC at Microsoft Technology Center events in Dallas, Denver and Toronto over the coming months. The company will also present on the promise of blockchain at Azure Techcon, hosted at the Microsoft Technology Center in Dallas on June 1.
Founded in January 2016, Quisitive puts a heavy emphasis on blockchain and the Microsoft Azure cloud platform and is working on POCs in key vertical markets, including the financial services, oil and gas and manufacturing industries. Blockchain allows for genuinely novel solutions to some of the most difficult business problems, notably ones where organizations need full visibility into the data required to make rapid and highly-consequential decisions. Moreover, companies operating in highly regulated industries benefit from the dramatic cost reductions realized from implementing a shared data environment based on blockchain that is secure, distributed and tamper-evident.