Independent drilling contractor Stena Drilling, has today announced it has acquired a minority stake in and formed a three-year technology partnership with SmartChainServices (SCS), a Cambridge-based (UK) blockchain technology start-up.
The announcement follows a six-month proof of value project, where Stena Drilling applied the power of SCS’ ClearDapp™, a blockchain and smart contract technology, to reduce and eventually eliminate complex transactions related to IADC reporting and payment-for-rig-performance.
The companies will work together to further develop smart contract solutions for the energy sector. Aiming to automate and execute the payment cycle, the technology partnership will offer the energy industry new contractual models based on milestones such as drilling speed, carbon intensity or fuel usage – all automatically validated through data.
Colin Dawson, Digital Business Transformation Manager of Stena Drilling said, “We’re delighted to enter a technology partnership with SCS. Over the past six months, it has become clear that blockchain smart contract technology has the potential to transform how the energy sector does business.
“We have a unique vantage point for this technology development as we continue to advance our own digital transformation. The sector faces tighter scrutiny around ESG from investors and society as the energy transition takes hold, and smart contract solutions offer a transparent way to demonstrate impact via tracking Scope 1 emissions at the rig, for example. We’re proud to play our part in progressing the sector.”
The companies are scheduled to trial the ClearDapp solution with live data in Q4 2021, in collaboration with a major oilfield operator.