Rockwell and Schlumberger enter into joint venture

Rockwell Automation and Schlumberger, a provider of technology for reservoir characterisation, drilling, production and processing to the oil and gas industry, have announced that they have entered into an agreement to create a new joint venture, to be known as Sensia. The transaction is expected to close in mid-2019, subject to regulatory approvals and other customary conditions.

The Sensia joint venture will offer scalable, cloud- and edge-enabled process automation, including information and process safety solutions. From intelligent systems to fully engineered lifecycle management automation solutions, the joint venture is intended to help customers drive efficiency gains through measurement and data-driven intelligent automation.

“Oilfield operators strive to maximise the value of their investments by safely reducing the time from drilling to production, optimising output of conventional and unconventional wells, and extending well life,” said Blake Moret, Chairman and CEO, Rockwell Automation. “Currently, no single provider exists that offers the end-to-end solutions and technology platform that address these challenges. Sensia will be uniquely positioned to connect disparate assets and reduce manual processes with secure, scalable solutions that are integrated into one technology platform.”

“Sensia will create a leading technology provider that will further drive optimisation of E&P oilfield assets,” said Paal Kibsgaard, Chairman and CEO, Schlumberger. “This joint venture is the next step in our vision to offer our customers smart, connected devices with rich diagnostic capabilities, coupled with measurement, automation and analytics that improve oilfield operations, facilitate business decisions and reduce total cost of ownership throughout the life of a field.”

Under the terms of the agreement, Sensia will operate as an independent entity, with Rockwell Automation owning 53% and Schlumberger owning 47% of the joint venture. Sensia is expected to generate annual revenue of US$400 million, and will employ approximately 1000 employees serving customers in more than 80 countries, with global headquarters in Houston, Texas. The management team will be led by Allan Rentcome, who will serve as Chief Executive Officer. He is currently Director Global Technology – Systems and Solutions Business at Rockwell Automation.