Monitoring Hydrocarbons Throughout the Value Chain with Blockchain

Hydrocarbon Measurement Ledger, a blockchain application on GuildOne’s Energy Block Exchange (EBX) blockchain business network platform, allows contractual parties to measure and track hydrocarbon volume on a shared, immutable ledger throughout the value chain. It records the volume and ownership at each custody transfer point, executing value exchange immediately upon custody transfer. This proof-of-concept (PoC) project will demonstrate the ledger in a real-world Directive 17 measurement application, proving the capabilities of blockchain to reduce data- and contract-driven disputes, G&A costs, transaction costs and transaction times, thereby significantly increasing transactional efficiencies. While blockchain PoCs have been conducted for other O&G use cases, this is the first known PoC for tracking hydrocarbons along the value chain using blockchain.