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Midstream Transportation Trends: The Future of Oil and Gas Industry

Despite the 2014 oil and gas price drop crisis and the rush around alternative fuel sources, the future of the oil and gas industry remains bright and has a steady pace of growth and increasing demand. More than four billion metric tons of oil and produced every day worldwide, with oilfield companies still generating the biggest revenues. Experts estimate that by 2030, the world population will reach 8.5 billion. This means humanity will need a convenient, reliable and safe source of supplying our everyday life with energy.

What is the future of the oil and gas industry?

Midstream transportation plays a crucial role in oil and gas distribution and storage, and, therefore, in the industry’s future. There are many challenges that the midstream sector needs to resolve. Environmental impact, streamlined transportation, and technology investments are the key concerns for the oil and gas transportation industry. The high demand for oil and gas supplies puts companies under the pressure of staying up-to-date with the latest trends and constantly enhancing their technology. To understand where the entire industry is going, let’s take a look at the key trends in the future of the oil and gas industry:


Essentially, there’s no progress without innovation, regardless of the industry. Midstream transport is the bridge between oil production and distribution, therefore, the efficiency of fuel transportation defines the supply chain flow. Transparency and speed are crucial for a robust transportation strategy, and that’s why midstream companies need to implement automation. It lets companies increase productivity, gain more visibility into operations, store data efficiently and streamline processes. Investing in reliable and powerful software will become a top-priority for oilfield companies.

More collaboration

Oil and gas sector shifts to being more cross-industrial and collaborative. This means that flexibility will enter employment, business model, and partnerships with other businesses. Companies will drift away from rigid employees’ departments to outsourcing and project hiring. In the nearest future, hiring a niche specialist for a certain project will bring more value than an in-house team handling all the processes. The oil and gas will become more flexible and collaborative in terms of working with other companies, too. Better communication and cross-industry projects are gaining more and more use, and this trend will remain growing.

Embracing the growth of renewable options

Let’s face it… no matter how much talk there is around alternative energy sources, fossil fuel won’t be fully replaced within the next 100 years, if not more. Many oilfield companies see these innovations as a threat, however, a much more efficient and mature way of dealing with it if embracing the fact that the process of switching to renewable energy sources has already started. For now, fuel is not going anywhere. That means oil and gas companies should focus on how to increase their global presence, strengthen safety, reduce environmental output and integrate into the new order.

Oil and Gas Transportation with PLS

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oil and gas supply chain

How to Optimize Your Oil and Gas Supply Chain

The oil and gas supply chain is an irreplaceable part of people’s lives: they warm houses and offices, fuel cars and other vehicles and make the world go around. It is incredible how many processes depend on energy supplies. The logistics behind the oil and gas supply chain has many moving parts. Logistics providers help companies maintain the efficiency of their supply chains to help keep projects and shipments in order. The oil and gas industry can be complicated when it comes to logistics due to shipping items like bulky equipment, hazardous supplies, and strict delivery deadlines. Although it can be complicated, there are many ways to optimize an oil and gas supply chain.

How to optimize oil and gas supply chain?

Due to constant changes in the transportation and logistics industry, it is even more important to be up-to-date with shifts and adjustments during energy service shipments. Here are some strategies that will help optimize your business:

Analyze processes

The first step in solving a problem is to define it. Run through all of your operations and use an expert help detect where you could possibly reduce costs, eliminate waste and increase productivity. Further investigation will give you a clear image of your company’s current situation, letting you make profitable decisions.

Use advanced technologies

Staying up to date with new technology innovations is essential for the progress of the oil and gas supply chain. Supply chain technology, such as transportation management systems (TMS) is an online system for companies to use for data storage and analysis. A TMS allows companies to save time, money and gain visibility into their supply chain processes. A robust TMS lets you see details and get insights about any part of the shipment. It is an excellent solution for oil and gas companies to use when managing their shipments and moving important loads from one location to the next.

Remain flexible

The energy services industry is a very fast-paced environment and experiences new shipment modifications all the time. Government regulations, including the import/export laws, drilling policies, and environmental regulations are vital things to track to renew offers for your customers and to function correctly.

Use effective communication

Getting feedback from your customers, suppliers and business partners will help you understand which parts of your operations are working well and which ones are going poorly. Be as transparent as possible on your shipments needs to ensure all involved parties understand goals clearly and work towards reaching them.

Working with experts and outsourcing energy logistics services is a smart decision for the companies who want to focus on their core goals and keep their oil and gas supply chain running smoothly. We understand how critical time and precision is for oil and gas transportation, and offer customers various solutions for problems of any level of complexity.

Learn more about Oil and Gas shipping services!