Data Gumbo, an industrial smart contract network company, has signed a contract with Equinor. The contract will provide the basis for companywide application of the GumboNet smart contract network within Equinor for all relevant contract categories, beginning with rollouts in the Norwegian Continental Shelf. By using the network across its drilling and well services category, Equinor is taking on highly complex contract and invoices, and aiming to reduce processing time from weeks down to a few days. GumboNet smart contracts have created 99.7% accurate invoices with no human intervention during initial trials with Equinor’s historical data.
To automate the execution of these offshore contracts, Equinor and its service partners provide data from their digital systems and Industrial Internet of Things (IIoT) sensors to GumboNet. The smart contracts combine data with the business rules and pricing of a contract to create an auditable, immutable and shared record of truth, enabling the automation of invoicing and payments. This could eliminate 95% of payment delays, invoicing errors, disputes and complicated reconciliations — significantly reducing the costs and necessary resources to administer contracts and supply improvements in joint interest billing.
“Since piloting Data Gumbo’s smart contracts for offshore drilling services in 2019, we have worked with the company to continually refine and improve use cases. We now have the potential to expand Data Gumbo’s smart contract network to enable transactional certainty across our portfolio from the Norwegian Continental Shelf to our Brazilian operated assets and beyond,” said Erik Kirkemo, Senior Vice President for Drilling & Well in Equinor. “GumboNet reduces inefficiencies and processing time around contract execution in complex supply chains, which is a problem in the broader industry, and we look forward to realizing the streamlined process and cost savings of its rapidly expanding smart contract network.”
“Equinor is an industry trailblazer, demonstrating the true value of our international smart contract network to improve and automate manual processes, and bring trust to all parties,” said Andrew Bruce, Founder and CEO of Data Gumbo. “Smart contracts are playing a critical role in driving the energy industry forward. Our work with Equinor clearly demonstrates the benefits that supermajors and their supply chain customers, partners and vendors experience by automating commercial transactions. We are proud to continue our work with Equinor to help them realize the savings, efficiencies and new levels of transparency available through our smart contract network.”