Gas and Oil
BSI’S SERVICES COVER THE ENTIRE GAS AND OIL VALUE CHAIN
We specialize in capital planning, making strategic supply decisions and cost estimates that allow operators to increase production levels and accelerate project schedules.
BSI’s services also cover installation, operating and maintenance logistics, including:
- Breakbulk, Project Logistics, and Marine Services
- Equipment Operating and Maintenance Contracts
- Management of Capital Spares
PROJECT COST BASELINING
An analytic solution at the Project level that helps buyers estimate the cost of high-value capital projects and custom engineered components such as offshore rigs, gas turbines, and catalytic refinery reactors
VALUE CHAIN ENGINEERING
A proven service that maximizes Return on Invested Capital at the Category level by exploiting lower-cost sources, alternative channels, substitute components, more cost-efficient design parameters, and optimized bundling and pricing schemes
TENDER DESIGN AND MANAGEMENT
A proven, 16-step program at the Category and Supplier level for ensuring market-based prices, with special attention to mitigating high bids from dominant suppliers and sole sources
SUPPLY CONTRACT NEGOTIATION
Hands-on negotiating at the Supplier and Contract level, supported by proprietary analytical tools and industry experience to reduce the cost of high-value equipment and services
In addition to our core solutions, we offer these solutions for Power Producers:
In addition to broad supply chain problems, our work addresses highly specific engineered materials and services such as:
- API Pumps
- Blow-Out Preventers
- Detection Systems
- Downhole Tools
- Drill Bits
- Drilling Services
- Drilling Fluids
- Flow Meters
- Gas Turbines
- Heat Transfer Equipment
- Membranes and Membrane Systems
- Oil & Gas Production Chemicals
- Oil Country Tubular Goods (OCTG)
- Pipeline Drones
- Pressure Vessels
- Spill Control Systems
- Steam Turbines
- Surface Equipment
FEATURED BSI ARTICLES ON OIL AND GAS
The Oil Price Bullwhip: Problem, Cost, Response
The bullwhip effect costs oil and gas producers and their supply chain partners $2 billion per year – the equivalent of a “bullwhip tax” that adds 10% to the cost of every barrel of oil produced. Oil and gas producers, refiners, equipment suppliers, and component manufacturers can take steps to mitigate the cost.Please click here to download this article from the Oil and Gas Journal.
Value-Based Positioning in the Oil and Gas Supply Chain
Existing methods for dealing with complex pricing are limited. Buyers have attempted to simplify the “buy,” both for administrative ease and for price leverage. They have tried auctions, OEM service contracts, framework agreements, Lump Sum Turnkey (LSTK) contracts, and Build-Own-Operate (BOO) concessions. Each method has its strengths, but few reflect the true cost or value of the wide variety of complex items and services offered. As a result, the industry has moved toward the “lowest common denominator,” which commoditizes many items and services. Unfortunately, nobody wants low-price, low-value products. The industry has a unique opportunity to add value to the top line by structuring pricing in terms of solutions rather than products.Please click here to request a copy of this presentation.
Energy Price Volatility and How to Avoid it Through Better Contracting
Oil price shocks cause extended supply chain disruptions, resulting in inefficiencies at producers, refiners, equipment OEMs, and component suppliers. Oil companies pay higher equipment prices than they otherwise would. Equipment OEMs make excessive capacity investments that are underutilized when the market turns down. And component suppliers are left holding excess inventory when the bubbles burst.Please click here to download our article, which offers tips for structuring long-term contracts that minimize these costs.
Carbon Capture and Sequestration: A Formula for Economic Viability
Carbon capture and sequestration, or carbon capture and storage (CCS), drastically reduces carbon dioxide emissions from power plants and industrial factories, and can increase oil production by up to 20% when used in conjunction with Enhanced Oil Recovery (EOR). Therefore, investor interest in carbon capture is strong. However, the economic viability of CCS depends to a large extent on the existing application of EOR. This article summarizes current applications of EOR that may be of interest to those seeking to deploy CCS solutions.Please click here to request this article.
RFID In Offshore Drilling
One of the emerging sweet spots is asset management where the cost of error and subsequent redeployment is very high, and the tagging of drill pipe at Petrobras is a good example. Offshore oil rigs are a good testing ground for managing inventory of high-value assets in remote environments, controlling remote devices (intelligent automation), and for tracking in mission-critical and safety-critical environments.Please click here for the article.
To request more information on our firm or our products and services, please contact us.