The Major Oil Marketers Association of Nigeria, MOMAN, has called for data automation in the downstream business as business are constantly using data to optimise their operations.
Speaking at the MOMAN first quarter Workshop for Energy Correspondents, NAEC, in commemoration of the World International Data Day, with the theme, “the Importance of Data and Automation in the Downstream Business”, last weekend, the head, Political Consulting, VIISAUS, Ikponmwosa Aikhionbare, noted that data can be used for demanding Forecast.
Demand Forecasting process according to him usually involves collecting data from a variety of sources, such as historical sales data, fuel consumption patterns, weather forecasts, and economic indicators. “This data is then analyzed using statistical models and machine learning algorithms to identify patterns and trends, and to make inferences or predictions about future demand”, he said.
Also speaking on data analytics for downstream business optimization, he revealed that improve supply chain and route optimization, Ghana launched the Bulk Road Vehicle Tracking System, BRVTS, to track the movement of petroleum products from depots to retail outlets in Ghana. “The system uses GPS technology to monitor the location, speed, and fuel consumption of trucks transporting petroleum products”, he added.
So also on quality control, he said, “In India, the government has implemented a system called the Automated System for Oil Movement and Storage, ASOMS, which tracks the movement of petroleum products through the supply chain. The system uses data analysis to monitor product quality and identify potential issues before they cause defects or safety hazards”.
Data is a systemic record of a particular quantity. It can be qualitative or quantitative, automation is a wide range of technologies that reduce human intervention in processes.
Also speaking at the Workshop, the Vice President, Crude, Argus Media, James Gooder, stated that Price reporting is at the heart of the Company’s business.
Speaking with the theme, “The importance of fundamentals and price data in downstream markets”, he said, price is the mechanism by which marginal supply meets demand in a free market, adding that transparent fundamentals data are key to this process.
The most liquid markets in the US, Europe and Singapore according to him have these characteristics. “Elsewhere in the world, import/export parity is needed. Nigeria has the potential to become a regional trading and pricing hub but greater transparency is essential”, he opined.
He further stated that Gasoline exports out of Europe have started strong in the year. “Around 400k b/d of European gasoline has been shipped to WAF in 2023 so far, down slightly from 419k b/d on avg in 2022. Exports to North America have averaged 313k b/d, up from 298k b/d in 2022. But a major determining factor for the workability of arbitrages out of Europe will be clean freight rates”, noted.
Speaking on Argus Open Markets, AOM, for Eurobob gasoline, he said, “Argus launched its flagship Argus Open Markets, AOM, price discovery platform for Eurobob gasoline barges in December 2022, joining a host of other commodities including Argus’ benchmarks in European LPG and biofuels.”
He explained that AOM increases market transparency, watch the market move in real time, all in one place, without gapping. More level playing field between counterparties, offers a comprehensive and easy to follow electronic audit trail.
