We are in uncharted territory for energy, oil & gas, and infrastructure industries.
The pandemic caused by the novel coronavirus, SARS-CoV-2, and depressed energy prices have combined to create an economic shock to the global economy.
The headlines appear dire, but if you’ve operated in these industries for long, you’ve weathered more than one expansion and contraction cycle.
Smart business leaders use these downturns to their advantage. Strategic decision making can prime their organizations for growth now and once demand increases. These companies go on to outperform their peers. Their owners and operators adapt to challenging circumstances and come through lean seasons with stronger returns than before.
So what are these companies doing to thrive?
It’s not just blind luck. After following nearly 5,000 public companies, research from Harvard Business Review shows these organizations learn to stretch their operational expenditures (OPEX). In short, these companies reduce costs by selectively focusing on operational efficiency.
In “How to Survive a Recession and Thrive Afterward” author Walter Frick writes:
“Companies should prioritize self-funding transformation projects that pay-off quickly.”
Matrix PDM Engineering is positioned to partner with business leaders to shift operational plans to match current economic realities. Our breadth of service offerings and our wide range of industry expertise can be leveraged to help identify and execute projects that will stretch the OPEX dollar. Our track record of on-time and on-budget projects demonstrates our capabilities to engineer and deploy your project quickly and prudently.
So, how can Matrix help?
Stretch Your OPEX Dollar Through Automation
Distributed Control Systems (DCS) maintenance or upgrades can maximize plant operations in nearly every industry. Improvements to DCS, Process Control Systems (PCS) and other production systems can open the door to a host of benefits. These enhancements can make your existing equipment more efficient, provide additional and more accurate manufacturing data, create new product offerings or maximize manufacturing/ operational capacity. Matrix PDM automation engineers are supporting clients by working remotely and optimizing their operations to maximize the value of their opex $.
Fine Tune Operations to Maximize OPEX
While owner/operators continually look for opportunities to improve their operations, it is especially important in times like these and it is still possible to increase throughput, reduce utility costs, or make other improvements.
Analyzing every element of your facility’s process flow can uncover inefficiencies. On a recent project, a client reported slugging issues within a large processing facility. Matrix PDM engineers evaluated multiple options and determined that a separator was the best solution. This separator increased capacity tremendously. It also was one of the most simple and cost-effective solutions the team uncovered. Engaging Matrix PDM Engineering brought an experienced outside perspective to the process and delivered the best solution.
Maximize OPEX Dollars with Asset Integrity Maintenance
Asset Integrity Maintenance is a good practice in strong operating environments, but it is essential in our current circumstances. Advanced data collection and analysis tools make it possible to monitor your assets accurately and even remotely. These tools can identify equipment reaching the end of its lifespan long before the equipment creates an issue. This proactive approach to facility maintenance has two important benefits. First, projects can be carefully planned and executed before a disruptive interruption in service occurs. Facility downtime is greatly reduced and any additional issues can be addressed in the planning stages. Second, long lead times from equipment manufacturers can be mitigated. Expensive rush orders for essential equipment are greatly reduced thanks to this forward-thinking approach. Matrix PDM is currently functioning as a single-source contractor to a global oil & gas producer resulting in a streamlined process to communicate specs to equipment manufacturers, evaluate maintenance practices and identify areas for facility improvement resulting in enhanced cost and schedule savings
Adjust Throughput to Match Demand & Minimize Utility Consumption
Natural gas processing plants and other facilities that rely on pressure to process feedstock are especially vulnerable to changes in operational load. These complex facilities are designed to run at maximum capacity. Consequently, they have a narrow variance for throughput load. You can’t reduce the operational load without making other calculations and adjustments. Equipment, pressure and temperatures must all be recalculated and recalibrated to make significant capacity changes. Matrix PDM expert engineers are helping to make facility adjustments that are helping clients meet their current operational goals and reduce utility consumption. These changes are resulting in facilities continuing to operate without costly interruptions in service.
Increase Storage Capacity to Maximize OPEX
As demand for oil and gas decreases, storage capacity is pushed to the limit. Many organizations have underutilized storage facilities. At the time, it didn’t make sense to repair or maintain facilities that were sitting empty. However, storage facilities of all kinds are in high demand. With abundant experience in AST design and construction as well as cryogenic storage, Matrix PDM Engineering is ready to help complete repair or maintenance work to bring your assets back online. If you are looking to expand your storage capabilities or retrofit existing facilities to reach new markets, our team specializes in AST design, construction and modification.
Adding functionality to an existing tank is a great investment both now and later. Control upgrades, new pump systems or new transportation connections are easy ways to capitalize on existing assets. Many of these projects can be completed in 3-6 months while greenfield projects take much longer. Capacity improvements or new vapor recovery units, for example, are projects that will improve operations long-term. Whatever your bulk storage needs, Matrix can design and build a cost-effective solution.
Matrix Service Company: Move to a Higher Standard
Companies that streamline their operations will be well-positioned when demand returns. Many of the projects mentioned above are reducing operating costs on a permanent basis. Additionally, these solutions required a limited capital investment to execute. When business ramps back up, costs will stay low thanks to the operational efficiencies created by these measures. In turn, this will make room for profit growth and success in the long-term.
At Matrix PDM we have the tools and expertise to complete these projects quickly. Our FEED offerings and EPFC capabilities give us the ability to complete cost-benefit analysis, technical engineering and project/fabrication work in house, greatly reducing your lead time. Matrix PDM and our sister subsidiaries work together to meet all of your inspection, evaluation, engineering, fabrication and construction needs with an integrated approach. Working together we can streamline your project as we eliminate redundancies that multiple contractors create.
Contact Matrix today to explore what opportunities are available to your organization. Our flexible EPC, EPCM and EPFC solutions can meet your organization’s OPEX needs in this current climate.