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Release date:
11/30/2019
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Oil & Gas Industry Favors Localized and Customized Solutions

Localization or localized strategy has always been a frequently-mentioned concept worldwide, especially in the oil & gas industry.

 

One basic reason behind is that although there are multiple oil production areas in the world, their working conditions for oil and gas exploration vary greatly based on geological locations.

 

Rich reserves are buried deep in the artic Siberia, the scorching desert in Middle East, the mountainous China’s southwest and also the vast American plains. 

 

As a consequent, oil & gas equipment need to be rather adaptable to cater to differentiated requirements. Or to be even more flexible, one may adopt customized equipment that has went through localized adaption, which can better solve adaptability problems than standard products.

 

Jereh, as a leading oil & gas integrated solution provider, has always been dedicated to the development of customized equipment for clients. 

 

For instance, one of the biggest challenges for Middle East oil & gas development lies in its harsh desert environment with year-round high temperature.

 

The trailer mounted single pump cementing unit by Jereh is a good example, which was delivered to Saudi Arabia (below). By integrating batch mixer with cementing unit, it can mix high quality slurry and achieve the operation on its own, thus reducing the amount of equipment onsite. In the meanwhile, small amount of water is required for cleaning, suitable for desert conditions.


Figure 1: Jereh cementing unit operating against scorching weather.

Whereas in Siberia region of Russia, the major challenge comes from the arctic environment, which can drop to -40 in winter. Special climate conditions make it harder to exploit its high-viscosity oil reserves.

 

With thorough consideration of heating requirements, Jereh provided customized skid mounted fracturing units for Russian clients. Leveraging rich R&D experience in extremely-cold working environment, Jereh adopted split skid design with each skid lighter than 18 tons, convenient to be hoisted by helicopter.

 

Moreover, every unit is equipped with a heating system, which enables operator to heat up the equipment whether it’s on or off. In this way, the equipment can eliminate the disturbance from freezing environment and run in a continuously stable status. The client commented that Jereh’s proposal is “fully dedicated, totally sophisticated”


Figure 2: Skid mounted fracturing units for Russian client.

Apart from equipment, localization strategy is also embodied in the way how a company operates locally. For an instance, Jereh now has presence of workforce in 10 nations in Middle East, with 2 subsidiaries, 6 branches and 3 after sales center having been established, which allows prompt response to customers’ needs.

 

The same also applies for North America market, where Jereh has set up a production base of 37 acres and 3 warehouses in local areas to better serve the demands of customers in the U.S, Canada as well as Mexico.

 

At the same time, Jereh bounds up not only with local clients but also with partners and suppliers to build a local supply network. By establishing and maintaining a stable cooperative relationship with over 8,000 brands globally, Jereh forms its own source of competitive advantages, which helps Jereh keep costs more competitive and improve the quality as well as availability of local suppliers.

 

Besides, Jereh is committed to employing local staff, as a major part of localization strategy practice. Take Jereh Russia and Central Asia Division as an example, local employees take up about 90%, which makes a positive contribution to local economy development and help company adapt to local culture and form a harmonious relationship with local stakeholders more efficiently and effectively 

 

For more information, please visit http://www.jereh.com