Oil blockchain
Could the cryptography technology that powers Bitcoin change the oil and gas sector? New blocks are appended to the chain in a linear, chronological order and the blockchain can grow indefinitely. Information is recorded permanently and synchronised across all machines in the chain and cannot be edited retroactively. The nature of blockchain makes it ideal for any kind of records management activity, and its reach is not purely limited to documents but any digital asset, from emails to video files. Given its genesis in the world of the cryptocurrency, financial institutions have been among the first to explore the use of blockchain for their business needs.
We are searching data for your request:
Upon completion, a link will appear to access the found materials.
Content:
- Column: Where Blockchain Technology Can Disrupt the Oil and Gas Industry
- A ‘false solution’? How crypto mining became the oil industry’s new hope
- America’s Oil Capital Is Diving Into The Crypto Space
- Saudi Aramco invests $5m in oil blockchain VAKT
- In what ways can blockchain technology disrupt the oil and gas industry?
- Blockchain technology has considerable potential in the oil and gas industry
- Build it on Blockchain: A Sustainable Palm Oil Industry
- Venezuela launches oil cryptocurrency
Column: Where Blockchain Technology Can Disrupt the Oil and Gas Industry
At Shell, we are leveraging blockchain technology to reimagine current processes, create new value propositions and establish new markets.
We are leveraging blockchain technology to reimagine current processes, deliver cost savings, increase efficiencies and drive standardization across our processes and, indeed, across the entire energy industry. We will find new value propositions, particularly in emerging or rapidly evolving markets, by reimagining the operation of end-to-end value chains based on blockchain technology.
Additionally, blockchain technology is making it possible to create completely new markets. Shell continues to support and initiate the creation of decentralised ecosystems. From tracking the source of renewable energy to changing the relationship between how energy is produced and consumed, blockchain has the potential to transform the way companies collaborate and interact to accelerate the development of low-carbon energy.
Sharing standards and tools for reporting environmental footprint data can increase trust and unlock innovation as companies work towards their sustainability targets and strive to lower emissions across value chains. Shell is currently progressing multiple projects that are at different stages of maturity ranging from proof-of-value, to proof-of-concepts and pilots.
We are actively creating new business opportunities with blockchain. To create new business opportunities and form new ecosystems based on blockchain, Shell is actively working with, or investing in, start-ups and emerging companies, participating in industry consortia, and establishing joint ventures. Shell has completed a pilot project to create a decentralized digital passport system for the authentication of equipment, parts and products.
Blockchain technology makes it possible to create a digital passport for a piece of equipment by providing a system that enables data to be disclosed between certain parties in a supply chain.
In turn, this enables us to enhance tracking and management of safety-critical process equipment or products throughout their life cycles.
In this pilot, Shell is working with other companies, including manufacturers, inspectors and contractor companies to redefine the way it collaborates in its supply chains. These technologies are expected to reduce costs, increase productivity and help ensure safer operations for every party within the ecosystem. Find out more about the digital passport project. Blog: Decentralised digital passport boosts supply chain efficiency.
Shell is a founding member of Energy Web EW , a global non-profit organisation that develops public, open-source, decentralised technologies purpose-built to accelerate the energy transition. Find out more about Energy Web here. Blog: how can blockchain support the energy transition. The VAKT blockchain platform, which went live in November , enables post-transaction management of physical energy commodities and is part of the move away from traditional and cumbersome paper contracts and operations documentation toward a system with secure, smart contracts and authenticated transfers of electronic documents.
Shell has also invested in Komgo SA , a venture that seeks to digitalise the trade and commodities finance sector through the same blockchain technology infrastructure. Shell has invested in LO3 Energy , a start-up that works with utilities and retailer energy providers to allow households and businesses buy and sell locally produced energy. Users set preferences through a mobile app, choosing how to procure the local energy resources available within their communities.
Power flows through the partners' distribution network, but LO3's Pando platform manages the definition of the energy sources and a dynamic marketplace for contracting and settlement. The Pando platform enables a wide range of business use cases, including peer-to-community "P2C" energy trading, energy hedging for businesses, virtual power plants, dynamic electric vehicle charging and demand response.
The Shell Blockchain Centre of Excellence helps to orchestrate blockchain efforts and serves as the Shell-wide expertise centre. The main tasks of the CoE are to build and disseminate capabilities, to develop platforms and decentralized solutions, to start-up projects across all value areas and to form and maintain strategic partnerships with blockchain ecosystems. The Blockchain Centre of Excellence was established in with the aim of guiding Shell through an increasingly decentralised world.
The primary focus areas for the centre are:. The Blockchain Centre of Excellence team includes conceptual, legal and technical experts and blockchain developers. A blockchain is a decentralised, immutable ledger. It can be used to record transactions involving digital assets without a central authority. Each transaction is organised to form a block. Participants in the system verify the transactions in a block before it is added to the chain in a way that creates consensus such that participants can agree on the authenticity of the transaction.
This is how a blockchain provides a decentralized protocol to control digital assets. Blockchains add a verification layer to the internet that allows people, devices and algorithms to transact with each other directly. The trading, verification and governance of data is managed today through Trusted Third Parties which are not necessary in a blockchain-based network.
Blockchains are a significant next step in the digitalisation of business, government and society. In the digitalisation of the energy industry, blockchain will not only enable automation but will create digital autonomous systems. Blockchain will enable a further reduction in intermediaries in value chains.
Blockchains solve a very fundamental problem in computer science: the double-spend problem. This means that any digital asset can be duplicated and spent infinitely. But it is not a computer science problem alone, it is a very realistic problem for transactions involving online data. The essence of that problem is that there is no such thing as digital continuity: the unbroken and consistent existence of a digital object over time. Or in plain English: How can you prove that a digital asset is real?
This is now solved by using intermediaries taking on the role of Trusted Third Parties and manual reconciliation of data between disparate databases and systems. On a blockchain, we create a unique ID of a digital asset and record any and all state changes to that digital asset.
This makes the digital asset real, because we can verify that it exists from inception until the present. And we do not need any intermediary to guarantee the existence or authenticity of the digital asset.
We also do not need reconciliation if we move the digital asset between parties, because there is only asset with one reality. Nothing is lost in translation because there are no translations! This can significantly reduce transaction costs associated with the exchange of assets and information. The impact of blockchain on processes is straightforward: less intermediaries and less need for reconciliation which means lower costs, more real-time and increased efficiency.
Processes will become more digital as the need for manual reconciliation between databases will be removed. This is not only true for digital assets, but also analogue assets with corresponding data obtained through sensors. The real asset and its digital representative can become one.
This is valuable in, for example, logistics or provenance. An example of a blockchain project underway in this space within Shell is the Digital Passport system for equipment.
We have initiated a pilot project to create a decentralized digital passport system for the authentication of equipment, parts and products.
Many Shell processes rely heavily on paperwork for records and transactions relating to procurement, inspection, certification and tracking of hardware and materials. This paper-based approach results in higher costs and longer delivery times. The decentralised digital passport provides a record of all the relevant events and checks in the life cycle of each piece of equipment. These details can be verified by everyone in the supply chain.
They present a single source of truth and are selectively visible to relevant parties. Encryption enables secure data sharing and shielding of sensitive data. In this pilot, Shell is working with industry partners such as manufacturers, inspectors and contractor companies to redefine the way it collaborates in its supply chains. These technologies are expected to reduce costs, increase productivity and ensure safer operations for every party within the ecosystem.
The cooperation between companies will change as it shifts from using third parties to peer-to-peer. In markets, blockchain will bring demand and supply closer. Value chains have already started to shift with the advent of the internet and availability of data.
Whereas today aggregators create the marketplace, a blockchain version of these platforms will be decentralised, data will be more openly available and transaction and settlement will become one. This will shift the power in existing value chains to the edges as everything between demand and supply is coordinated by the ubiquitous technology of blockchains.
A specific category of direct demand and supply will be formed by machine-to-machine transactions. If two machines hold a digital wallet and the transaction between them is defined by data and the respective smart contracts, the settlement can be done through a blockchain and no human interference will be needed. This will shift the way we look at the relationship we have with our customers and brand loyalty. This is most prominent in distributed energy, smart grids and in mobility.
Think, for example, of a smart contract marketplace. For example, networks are becoming smarter and more complex. The complexity of future grids requires smart coordination of large amounts of data between devices. Blockchains can enable this coordination by giving continuity to the data and by adding requirements through smart contracts.
The first blockchain enabled solutions are being built and tested. On a larger scale, we see a consortium like the Energy Web Foundation , of which Shell is one of the founding members, building the infrastructure.
On a smaller scale, we see start-ups mainly trying to come up with solutions on local grids, such as LO3 Energy , where Shell is an investor. But what is blockchain and can it change the energy industry? It was once hailed as the technology that would change everything. From banking to shipping, retail and, of course, energy. But has the hype surrounding Blockchain now peaked?
If so, what is left? Could Blockchain change the energy industry? And, before we even get there, what on earth is it? Digital Transformation. Artificial Intelligence. Computational Science. The companies in which Royal Dutch Shell plc directly and indirectly owns investments are separate legal entities.
These terms are also used where no useful purpose is served by identifying the particular entity or entities. They are designed to stretch management to consider even events that may only be remotely possible. Scenarios, therefore, are not intended to be predictions of likely future events or outcomes. Shell only controls its own emissions.
A ‘false solution’? How crypto mining became the oil industry’s new hope
Olive oil producer Caroli has partnered with blockchain supply chain solution provider Blocksyte to put its extra virgin olive oil on the blockchain. The technology was successfully used to track an olive oil shipment between Italy and the United States. The company was also given insight on temperature, humidity and light exposure throughout the journey. The sensors could also detect if any potential product tampering or mishandling occured. This means that, once the information has been written to the blockchain, it cannot be altered.
America’s Oil Capital Is Diving Into The Crypto Space
OPEC and its allies agreeing to a modest output hike may do little to soothe Asian buyers struggling The platform aims to help companies move away from traditional and cumbersome paper-based trading contracts and operations documentation to digital smart contracts. This would cut costs, reduce the risk of errors and make back-end trading operations more reliable and efficient. And by January we expect the first licensees will come on board, in addition to our shareholders," Hardgrave said. Waterborne markets were a key target because of the need for flexibility, but Vakt was also receiving requests to look at petchems and US gas, Hardgrave told Platts. But it is everything in between: deal recap; confirmation; contract; logistics the really big element in all this -- and invoicing," he said. The trade and settlement elements were characterized as part of the "potential future scope" in digital processes, but Hardgrave saw significant barriers for settlement and only limited value in using blockchain in the transaction itself. Noting that blockchain was still an immature technology, Vakt CTO Adam Vile said it was confined in the platform "to the writing of the resolved truth. There is a whole stack of standard technology above the blockchain - we've built an enterprise solution with blockchain underpinning it. A poll of the summit audience showed a large majority of delegates expected blockchain applications to have reached mass retail market adoption by
Saudi Aramco invests $5m in oil blockchain VAKT
The solution consists of a Hyperledger Fabric blockchain explorer, decentralized cloud storage, and an Ethereum-based platform that supports two ERC tokens—one a security token and the other a utility token—plus an idea for powering bitcoin mining rigs that could provide an upstream source of revenue for oil and gas operators. This brief shows how blockchain technologies, combined with mobile access to drones, sensors, satellite imagery, artificial intelligence, the Internet of Things, and other innovations, can secure our global food supply, one farm at a time. The solutions it explores focus on topsoil to mitigate the harmful effects of chemicals, aggressive tillage, monocultural crops, and climate change. The goal is to give smallholders—often the poorest farmers with less than two hectares of land in jurisdictions hardest hit by environmental and humanitarian crises—the tools and training they need for sustainable food production, transforming the long-term viability of their businesses and the future of their families in the process. No longer at proof-of-concept or pilot stage, blockchain applications are changing processes and practices for the better in business and society.
In what ways can blockchain technology disrupt the oil and gas industry?
Crude oil is one of the critically needed resources. It is the main pillar supporting almost everything we rely on in daily life. Unfortunately, due to many factors, crude oil costs too much. Transportation is one of the critical factors that affect such costs. Due to many environmental risks attached to the transportation process, many countries added very high tariffs to cover any hazards during the transportation, loading, and unloading process. Logistics concerns and political conflicts are the other key factors that can massively impact the transportation cost.
Blockchain technology has considerable potential in the oil and gas industry
The Ministry of Industrial Development told Kommersant that the idea came from the oil and gas companies themselves. They suggested getting regulatory approval to mine crypto using flare gas for electricity generation. Flare gas is a byproduct of oil extraction and is usually burnt, which is a liability for oil-extracting companies and releases carbon dioxide into the atmosphere. The only Russian oil company to publicly launch a mining farm is Gazpromneft. In December , the company said it was starting a pilot mining venue on one of its oil fields in Siberia, CoinDesk wrote.
Build it on Blockchain: A Sustainable Palm Oil Industry
In , BP, Shell, Repsol, Gazprom and other major players in the oil and gas industry launched pilot blockchain projects to solve logistics, trade and financial problems. In the article we will look at these and other cases to understand how the new technology is used in the oil and gas industry and what advantages it gives. Document circulation. As it is.
Venezuela launches oil cryptocurrency
You have been added to our mailing list and will now be among the first to hear about events. Blockchain, the technology on which Bitcoin is based, has gone mainstream. Until recently a subject confined to tech blogs and Reddit pages, it is earning huge amounts of column inches and airtime. New cryptocurrencies are launched every week.
The Excise Department will devise a method to refund overpaid taxes to oil exporters in a manner that stems leakages, its chief says. The change in the tax refund practice will use blockchain, which the department plans to adopt by the middle of next year, said director-general Patchara Anuntasilpa. The blockchain-based tax payback system requires oil exporters to pay excise tax to the department and claim overpaid taxes after they ship the fuel, he said. The new technology will let the department inspect the tax payments thoroughly. The current practice requires oil exporters to submit documents for the tax waiver and the inspection is not as thorough as it could be, Mr Patchara said. He said the tax refund process will take a shorter time if oil exporters file complete and correct documents. The department is in talks with Krungthai Bank KTB on setting up the blockchain-based tax refund system.
Climate experts warn that plans to repurpose waste gas is not a solution, but more like placing a Band-Aid over a gaping wound. I n January of , Chase Lochmiller and Cully Cavness, recently reunited prep school pals from Denver, drove out to the snow-covered plains of Wyoming to bring a piece of tech culture to the American heartland. Cryptocurrencies such as bitcoin, the most-popular decentralized digital currency, have a notoriously large carbon footprint bitcoin mining alone consumes about half as much electricity in a year as all of the UK.
In my opinion, you admit the mistake. I offer to discuss it. Write to me in PM, we'll talk.