This article will attempt to illustrate one practical approach for utilizing a private blockchain. Rather than focusing on financial transactions or tracking products, this case will examine how blockchain can be used to provide improved regulatory compliance, minimize losses due to equipment failure, and ensure vendor compliance with SLAs.
The subject of this case study is a fictional company called MQI. MQI is a small oil and gas firm that was formed as the result of divestiture of equipment and staff from a larger energy company. MQI inherited three fields across the globe with a total of 20 active pumps, a few kilometers of pipeline, and 3 active drilling sites. Whereas the larger company had the resources and staff to stay on top of each of these sites — keeping the equipment operational and safe — MQI has found itself in over its head and has had many malfunctions and leaks since the creation of the
company. This has led to increased regulatory oversight, fines, and a loss of revenue.