Labourers in the worldwide oil and gas industry are presented with outrageous physical and mental difficulties in conditions with severe security risks. In addition, safety and health regulations have become more stringent, and organisations that do not adhere to them risk severe penalties, legal action, and negative publicity.
According to the Occupational Safety and Health Administration (OSHA), the oil and gas industry has a seven times higher fatality rate that of all the other industries, demonstrating the health and safety hazards for workers if proper procedures are not followed.
Oil and gas sites host several heavy machinery, masts and rigs, stored hazardous chemicals, and highly flammable by-products. The well-being of the workers relies on the self-awareness and managerial efficiency of the industry.
Additionally, accidents in the oil and gas industry can also be costly from a business perspective. Twenty-one thousand eight hundred ninety-nine days of work were lost due to injuries in the companies that took part in the study, according to the IOGP report. There are a lot of fast-moving vehicles, machinery, and equipment in factories and plants worldwide, which could put frontline workers in danger.
Accidents continue to occur frequently, mostly involving younger workers with less experience, despite the existence of safety and compliance regulations. The International Labour Organization estimates that 313 million on-the-job accidents result in prolonged absences from work each year, resulting in a $3 trillion economic loss to the global economy.
"Caught in, under, or between" incidents, which exclude incidents involving dropped objects, accounted for most deaths in the oil and gas industry. Twelve people died in 2019 due to incidents that were "caught in, under, or between." Despite a decline in fatalities, there is still a steep incline in the frequency of accidents every year. Such incidents and the resulting injuries and fatalities harm the industry's reputation while inflicting significant emotional and psychological trauma on the victims and their loved ones.
Workers must receive training to understand the risks of falling, falling into confined spaces, being stuck or pulled into by machinery, electrical hazards, explosions, chemical exposure, and potential vehicular accidents. Workers' health risks include hearing impairment, frostbite, severe burns, respiratory problems, acute fatigue, and harm caused by moving heavy cargo and extreme work environments, often in remote locations. Workers must also be capable of handling so-called “fly in, fly out” procedures, which require them to travel to far-flung places for predetermined periods and work long shifts.
One of the key reasons for industrial explosions is system malfunction and electrical issues in the equipment used. Owing to the explosive environment of hazardous industries like oil and gas, even the smallest spark contacting the atmosphere can result in a huge explosion. Thus, modern oil and gas industries require advanced surveillance and safety solutions. Ex-proof technology for cameras and lights helps contain the sparks inside the wiring of the device and helps avoid fatal explosions and accidents. With continuous R&D, the current ex-proof market offers a range of explosion-proof lights and oil and gas video surveillance options to suit your diverse needs based on industrial size, purpose, etc.
Industries today are actively adopting advanced analytics through big data and AI automation. Particularly in the oil and gas sector, big data uses customised predictive models to assist the analysts in getting insights from the unstructured real-time data to optimise safety, production, and performance. Integration of AI in data analytics further automates the process. For instance, advanced AI integrations in explosion-proof cameras enable instant identification of trespassers, reducing the risk of theft. Additionally, AI technology in oil and gas industry can help in smart detection of potential malpractices amidst 150+ camera feeds. This smart detection is also useful in verifying false alarms and saving valuable time and resources during daily operations. Overall, through enhanced operational efficiency, use of Big Data and AI directly contribute to higher return on investment (ROI) for global oil and gas industries.
A recent step-up for the oil and gas industry, robotics and drones have become a popular choice for minimising the shortcomings of human resources. The global market for robotics and automation in oil and gas was valued at USD 16.5 billion in 2022 and projected to reach USD 24.7 billion by 2030. Robots are primarily employed for inspection and surveillance in key hazardous zones to minimise the chances of human error, automate the operations, and reduce the liability costs in case of accidents. Additionally, drones are employed for inspecting inaccessible areas, particularly the off-shore sites, where there is a higher risk for fatalities. Thus, drones and robots enhance safety and efficiency significantly in the oil and gas sector by minimising the role of human crew in high-risk operations.
Internet of Things (IoT) technology has transformed the way oil and gas industries perceive “efficient operations”. IoT sensors provide real-time data about potential leaks and system malfunctions, enabling managers to ensure minimum-risk operations through remote monitoring. The IoT data provides real-time insights without exposing the crew to high-risk environments, optimising resource management and saving business costs involved in anomalies. Today, IoT-based monitoring is used for several purposes in the oil and gas industries, including, monitoring of pumps, pipes, and filters to avoid costly leaks and give workers a better sense of control over their operational performance.
A study by McKinsey on the oil and gas sector reveals a 25% cost-cut per barrel by adopting digital solutions like augmented reality (AR) and virtual reality (VR). For enhanced maintenance, several oil and gas industrialists adopt AR solutions like AR headsets for remote monitoring and hands-free instructions to replace lengthy manuals with engaging graphical data. Additionally, VR headsets provide training to the crew in simulations instead of live hazardous environments, reducing on-site casualties and optimising safety training in the oil and gas industry.
The adoption of cloud computing technology in the oil and gas industry is a highly recommended solution by industry experts to efficiently handle the large volume of raw data that these industrial sites receive daily. Storing and processing data remotely frees local memory and expands the device’s computation capacity. This enhances the efficiency, security, and scalability of every day operations at the oil and gas industry.
Web3 is a relatively new technological trend that is gradually getting integrated into hazardous industrial sectors like oil and gas. The transparency of the blockchain technology of web3 is key to its rapid adoption for a multitude of purposes. When translated to the oil and gas industry, blockchain technology can enhance security and transparency in digital transactions and official documentation through smart contracts. This added layer of transparency significantly improves business communication, resolves legal disputes, and builds trust in the ethical practices of a company. Thus, experts believe blockchain technology is key to sustaining business relations in the upcoming years.
Through technological evolution, the security standards and worker safety measures in oil and gas industries have found their new apex. Where AI enables system optimisation, IoT can provide a real-time data feed, and smart video analytics reduce the system clutter and make operations significantly more efficient than traditional systems.
Smart detection of hazards and adverse situations counters the manual shortcomings in monitoring and surveillance to create a safer work environment in hazardous industries by making them less prone to accidents and liabilities caused by fatigue and human error.
As discussed above, modern technological integrations significantly reduce the business costs of the oil and industry. Multitude of integrations co-create safer work environments either through automation or remote monitoring. Besides the direct cost of damages and compensations, technological advancement in the oil and gas industry helps prevent indirect costs like legal proceedings, training of human resources, etc.
Modern technology serves a larger purpose of sustainability by reducing the emissions through AI, IoT, and big data analytics. By identifying the triggers for accidents beforehand, technology controls explosions and its resulting adverse impact on the environment as well as crew health and well-being.
Safe environment begins with right investment. Partnering with the right safety partners is necessary for reliable safety and efficiency solutions. Before investing in technological upgrades, ensure that the products are certified to sustain the rigorous environmental challenges of the oil and gas industry.
SharpEagle’s explosion-proof camera for oil and gas industries comes with an ATEX Camera certification, marking the quality and excellence of our safety and efficiency products. The resilient design of our hazardous area camera systems can withstand the dire temperatures of the working areas. The ATEX certification ensures 360-degree protection without baseless claims and unreliable tests.
The discussion above clearly displays the dynamic shift in the industry and how technology has transformed safety and risk management in the oil and gas industry. At SharpEagle, we are an end-to-end safety solutions provider. Our expert team guides you at every step, from site inspection and recommendations to manufacturing, installation, and maintenance. Choose from a customised range of explosion-proof CCTV, lighting, and other solutions. Book a free consultation call with SharpEagle, the leading ex-proof safety solutions provider, to learn more about all the latest updates and products for the oil and gas industry.
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