Oil and gas materials logistics

When it comes to oil and gas development with all of its moving parts, an ineffective supply chain management process can lead to worker productivity issues, wasted money and ultimately, lower production levels and profits.

Challenges can creep into any part of the supply chain and create problems with ripple effects, whether it’s with delivery of in-bound drilling materials such as mud, water or sand; transporting produced oil or gas from the field to its targeted location; or getting workers to remote locations equipped with supplies not only needed to do their jobs but also needed to sustain life and protect health.

In turn this is requiring logistics executives to rethink traditional energy supply chain models and implement a highly integrated approach to drive down logistics costs and enhance profit margins.

Our oil and gas executives put logistical coordination for large projects as well as visibility of materials and predictability working with multiple stakeholders at numerous drilling sites as their top concerns. This include; health, safety, security and environment management; complex operations with multiple stakeholders, lots of drilling and abundant materials; fragmented supply chains that invite disconnects, delays and unclear accountability; frequent plan changes that impact materials demand and service requirements; data management, including end-to-end supply chain visibility and management; materials monitoring; and optimizing purchasing.

We act as a lead Shipping and Logistics Provider / LLP which sits atop the supply chain hierarchy and orchestrates all in-bound and out-bound logistics. For the in-bound supply chain, for instance, this solution involves management of material from international and domestic suppliers, through origin consolidation hubs and customs clearance, to the in-country primary stock location, consolidation center or cross-dock.