Wednesday, April 22, 2015

Maintaining Supply during a Turnaround

While the stream of oil and gas must continue, the supplying facilities can only operate for so long. Managers have to plan a turnaround to ensure the efficacy of the facility and reduce the overhead cost. However, this would mean cutting off supply for a particular area for the duration of the turnaround.

Therefore, someone has to maintain the supply while the facility undergoes maintenance and repairs. That way, any looming increase in oil and gas prices can be mitigated, if not prevented. Without it, the facility will be forced to make up for lost time by increasing its production, which may as well exacerbate the rate of wear and tear and make costly turnarounds more frequent.

Other ways of mitigating the effects of a turnaround include having multiple working facilities compensate for one facility’s turnaround. An oil and gas company with only a single working facility is highly prone to revenue losses during a turnaround for obvious reasons. This is where an emergency fueling services comes in handy.

There are dozens of small-time players in the petroleum industry that don’t have access to a network of facilities. Fortunately, these small companies can keep a solid business relationship with fueling services that operate across regions to help with their impending supply problem.


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