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M2M Applications in the Oil and Gas IndustryNEW YORK, Nov. 27, 2012 /PRNewswire via COMTEX/ -- Reportlinker.com announces that a new market research report is available in its catalogue: M2M Applications in the Oil and Gas Industry http://www.reportlinker.com/p01045656/M2M-Applications-in-the-Oil-and-Gas-Industry.html#utm_source=prnewswire&utm_medium=pr&utm_campaign=Oil_and_Gas_energy Executive summary M2M is an abbreviation for machine-to-machine, or technology that supports wired or wireless communication between devices. M2M technology has evolved from telemetry which is a technology that allows the remote measurement and reporting of information of interest to the system operator. Supervisory Control And Data Acquisition (SCADA) systems are centralized systems that utilize telemetry to monitor and control remote facilities. SCADA, telemetry and M2M solutions can be found throughout the oil & gas value chain including applications such as drill and well monitoring, fiscal metering and pipeline monitoring. The oil & gas industry is characterized by remote and inaccessible facilities where wireless communication in many cases is the only viable option for transferring M2M data. Wireless technologies such as private radio, cellular and satellite communication can provide ubiquitous online connectivity at reasonable cost and deliver very high performance, as well as excellent availability. All of these components combined enable the delivery of operations management, equipment management and regulatory compliance applications linking remote equipment and enterprise IT systems. Berg Insight is of the opinion that the market for wireless M2M applications in the oil & gas industry has entered a growth phase that will last for several years to come. Berg Insight estimates that the shipments of oil & gas M2M devices with cellular or satellite communication capabilities reached 33,000 worldwide in 2011. Growing at a compound annual growth rate of 30.7 percent, the shipments are expected to reach 126,000 in 2016. Compound annual growth rates for cellular and satellite based devices will be 32.5 percent and 26.8 percent respectively during the same period. The installed base of active oil & gas M2M devices is forecasted to grow at a compound annual growth rate of 21.5 percent from 164,000 units at the end of 2011 to 435,000 units by 2016. The installed base of cellular and satellite based M2M devices in 2016 are forecasted to be 275,000 units and 160,000 units respectively. Berg Insight anticipates that on-shore well field equipment monitoring and in-land pipeline monitoring will be the top two applications for wireless M2M in the oil & gas industry The worldwide market for wireless M2M applications in the oil & gas industry are dominated by global industrial automation and engineering companies including ABB, Emerson, Honeywell, Invensys, Schneider Electric and Siemens. These companies are all major SCADA vendors delivering solutions for remote automation and control to all segments of the oil & gas industry. There is an on-going consolidation trend where the larger industry groups acquire smaller specialised companies. Schneider Electric has for instance in just a few years made several acquisitions of companies specialising in wireless M2M solutions for oil & gas applications including Serck Controls, Control Microsystems and Trio Datacom. Furthermore, in June 2012, ABB acquired wireless technology specialist Tropos Networks. The company will serve as ABB's global center of excellence for wireless networking products and systems. Pason Systems, Zedi, Digi International, CSE Semaphore and Eurotech are international providers of M2M solutions. While their geographical footprints are not as extensive as the global industrial and engineering companies, these companies are more specialized and have a more focused offering of wireless M2M solutions for the oil & gas industry. American Innovations, Elecsys, FreeWave, ISA, vMonitor, Avidwireless and Mesh Systems are providers of solutions for remote control, monitoring and automation based on wireless technology such as cellular and satellite. These companies may have some international operations, but their home markets are their most important markets. This group of companies is also often specialized on a specific market vertical of the oil & gas industry, such as end-to-end solutions for pipeline or well monitoring. SkyWave, Hughes Network Systems and AV SatCom are communication service providers that also market products and solutions for remote data gathering and monitoring. Wireless M2M solutions can help oil & gas companies to increase operational effectiveness and the companies that fare best are likely going to be those that master advanced technology. There will also be a strong focus on environmental safety in the coming years with new regulations and requirements which can be more effectively complied with using wireless M2M technology. Remote automation, control and monitoring are also key ingredients in order to make it cost effective to extract, transport and distribute emerging oil & gas products including LNG and unconventional resources such as shale gas. Table of Contents Table of Contents . i List of Figures v Executive summary .1 1 The oil and gas industry 3 1.1 Introduction to the oil and gas industry .3 1.2 Oil and gas industry players 5 1.2.1 International and national oil companies 5 1.2.2 OPEC .7 1.2.3 Independent Oil and gas exploration and production companies .9 1.2.4 Oil and gas service companies .10 1.3 The worldwide oil and gas market 11 1.3.1 Oil and gas reserves distribution 11 1.3.2 Oil and gas production markets 13 1.3.3 Oil and gas consumption markets 14 1.4 Oil and gas production and distribution 16 1.4.1 Exploration, development and production 16 1.4.2 Transportation and storage .18 1.4.3 Refining and marketing .19 2 Wireless M2M solutions in oil and gas 21 2.1 Wireless M2M infrastructure in oil and gas .22 2.1.1 Facilities Segment .23 2.1.2 Backoffice segment .26 2.1.3 Network segment 27 2.2 Operations management .30 2.2.1 Exploration and production management 31 2.2.2 Distribution and marketing management 31 2.2.3 Remote site communications 31 2.3 Equipment management .32 2.3.1 Equipment diagnostics and maintenance planning .32 2.3.2 Security and Safety .33 2.4 Regulatory compliance and reporting .33 2.4.1 Regulations 33 2.4.2 Tax collection 34 2.5 Business models and project strategies .34 3 Market forecasts and trends 37 3.1 Market analysis 37 3.1.1 Installed base and unit shipments 37 3.1.2 Vertical markets .38 3.1.3 Regional markets 39 3.1.4 Major Vendors .40 3.2 Market drivers and barriers 43 3.2.1 Macroeconomic environment .43 3.2.2 Regulatory environment 44 3.2.3 Competitive environment 44 3.2.4 Technology environment 45 3.3 Value chain analysis 46 3.3.1 Wireless M2M and telemetry industry players 46 3.3.2 Oil and gas industry players 49 3.3.3 Telecom industry players 49 3.3.4 IT industry players .51 3.4 Future industry trends .51 4 M2M solution providers .53 4.1 North America 55 4.1.1 American Innovations 55 4.1.2 Avidwireless .56 4.1.3 Bentek Systems 57 4.1.4 Digi International .57 4.1.5 Elecsys 58 4.1.6 Emerson 59 4.1.7 Honeywell 60 4.1.8 M2M Data Corporation 60 4.1.9 Mesh Systems .61 4.1.10 Numerex 62 4.1.11 Pason Systems 63 4.1.12 Rockwell Automation .64 4.1.13 Willowglen Systems 65 4.1.14 Zedi 66 4.2 Europe and Rest of World .66 4.2.1 ABB 67 4.2.2 AV SatCom 68 4.2.3 Invensys 70 4.2.4 ISA .70 4.2.5 PSI .71 4.2.6 Schneider Electric .72 4.2.7 Siemens .73 4.2.8 vMonitor .74 4.2.9 Wireless Innovation .74 4.2.10 Yokogawa 75 5 Wireless communication enablers .77 5.1 Network system and service providers .77 5.1.1 AT&T 78 5.1.2 Deutsche Telekom 79 5.1.3 C-Com Satellite Systems .80 5.1.4 Hughes Network Systems .81 5.1.5 iDirect 82 5.1.6 Inmarsat .82 5.1.7 Iridium Communications .84 5.1.8 Orbcomm 85 5.2 Communication integrators and hardware vendors 86 5.2.1 Calamp 86 5.2.2 CSE Semaphore 87 5.2.3 Eurotech 88 5.2.4 FreeWave 89 5.2.5 Harris CapRock .90 5.2.6 Moxa 91 5.2.7 Racom .92 5.2.8 RigNet 93 5.2.9 SkyWave 94 5.2.10 Quake Global 95 Glossary 97 List of Figures Figure 1.1: Energy consumption by commercially traded fuel (World 2010) .4 Figure 1.2: Oil and gas industry value chain 5 Figure 1.3: Largest publicly traded integrated oil and gas companies (2011) .6 Figure 1.4: Major wholly government owned national oil companies 7 Figure 1.5: OPEC member countries 8 Figure 1.6: Top 10 independent oil and gas operators (World 2012) 9 Figure 1.7: Top 15 oil and gas service companies (World 2012) .10 Figure 1.8: Oil and gas reserves distribution (World 2012) 12 Figure 1.9: Oil and gas production by region (World 2011) .13 Figure 1.10: Oil and gas consumption by region (World 2011) .14 Figure 1.11: Total oil and gas production and consumption (World 2011) .15 Figure 1.12: Total final consumption of oil and gas by sector (World 2009) 16 Figure 1.13: Average number of active oil and gas rigs (World 2000-2012) .17 Figure 1.14: Oil and gas pipelines by country (World 2010) 19 Figure 2.1: Overview of wireless M2M infrastructure in oil and gas .23 Figure 2.2: Examples of SCADA control devices .25 Figure 2.3: Example of wireless M2M backoffice segment 26 Figure 2.4: Wireless M2M network topologies .28 Figure 2.5: Wireless network characteristics 29 Figure 2.6: Major M2M communication service providers for SCADA applications .30 Figure 3.1: Oil and gas M2M device shipments by technology (World 2010-2016) 38 Figure 3.2: Oil and gas M2M device shipments by vertical (World 2010-2016) 39 Figure 3.3: Oil and gas M2M device shipments by region (World 2010-2016) .40 Figure 3.4: Major wireless M2M vendors active in the oil & gas market 42 Figure 3.5: Data for leading oil & gas M2M industry players 47 Figure 3.6: Data for companies and groups active in the oil and gas M2M market .48 Figure 4.1: M2M solution providers 54 Figure 4.2: Electronic drilling recorder from Pason Systems .63 Figure 4.3: Willowglen Systems Flolink Micro RTU 65 Figure 4.4: TSAT solution working principle .69 Figure 4.5: Telemetry and remote SCADA solutions from Schneider Electric .72 Figure 5.1: M2M network service providers 78 Figure 5.2: SCADA solution using Moxa's ioLogic 3G RTU .92 To order this report: Oil_and_Gas_energy Industry: M2M Applications in the Oil and Gas Industry Contact Nicolas: [email protected]: (805)-652-2626Intl: +1 805-652-2626 SOURCE Reportlinker |