‘AI, Digital Technology to Transform Energy Industry’

Artificial intelligence, machine learning and other digital technologies are set to reshape the global energy industry over the next decade, but their greatest value will come from strengthening, not replacing, human expertise, Chief Business Officer and Executive Vice President of Ryder Scott, Tosin Famurewa, has said.

He made the remarks at a panel session during the NAICE 2025 themed, “Building resilient energy systems in a rapidly evolving landscape” in Lagos.

He identified decision support, reservoir management and operational efficiency as three areas where artificial intelligence could have the greatest impact over the next five to 10 years.

“AI gives us an opportunity to extract insights from data at a scale and speed that simply wasn’t possible before,” Famurewa said.

He explained that AI systems could analyse thousands of development scenarios, identify patterns and reduce the amount of time engineers spend on repetitive analytical work.

In reservoir management, he said machine learning could help operators detect production anomalies earlier, improve forecasting, optimise waterfloods and identify potential interventions before production declines significantly.

Digital twins, Internet of Things sensors and predictive maintenance could also improve operational efficiency by reducing equipment downtime and strengthening asset reliability, he added.

However, Famurewa cautioned energy companies against assuming that artificial intelligence can replace experienced professionals.

“AI doesn’t replace sound engineering judgment. It doesn’t replace understanding reservoir physics,” he said, stressing that the effectiveness of AI ultimately depends on the quality of the data and assumptions behind the models. At Ryder Scott, we often say that technology should make better engineers, not replace engineers.”

He said companies that gain the most from digitalisation would not necessarily be those deploying the largest number of AI applications, but those able to combine technology with experienced professionals, disciplined workflows and reliable data.

For Nigerian oil and gas operators considering digital transformation, Famurewa advised companies to focus first on specific business challenges rather than attempting to develop an all-encompassing technology strategy.

He suggested that operators could begin with issues such as improving reserves forecasting, reducing compressor downtime or enhancing drilling performance.