The Vietnam Petroleum Institute (VPI), a member of the Vietnam Oil and Gas Group (PetroVietnam), is applying artificial intelligence (AI) and machine learning in petroleum exploration and its operations.
Traditional methods to identify fractured granite basements requires specialized equipment, which could result in the interruption of oil well drilling and in the extinction of the rig rental period (the current rate is roughly USD 65,000 to USD 68,000 per day), leading to higher costs. VPI has developed a fracture prediction solution that uses AI to help properly identify the presence of fracture systems based on real-time data. A forecast accuracy rate of more than 80% was found when VPI examined the model’s performance using drilling data from 12 wells.
In July 2022, VPI developed Oilgas AI, another solution that uses artificial intelligence and machine learning to collect, display, and analyze specialized data about products like crude oil, gasoline, liquefied petroleum gas, and natural gas. It assists businesses in making decisions more quickly and effectively during daily operations as well as in developing long-term plans and strategies. Petroleum suppliers, importers, and sellers in particular can monitor the forecast for the retail price of gasoline with Oilgas AI. Its gasoline price projection model models input data sources using machine learning methods. Base pricing of local and imported petroleum products is also displayed.
According to PetroVietnam, the next step in the company’s implementation of its digital transformation strategy is the application of machine learning and artificial intelligence to oil and gas exploration in order to promote the adoption of new business models, optimize operations, and strengthen governance capability. PetroVietnam stated in a resolution on digital transformation to 2025 with a vision to 2030 that it sees digital transformation as essential to boosting production, quality, efficiency, and competitiveness.