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May 05, 2015

Denis Savutin: SIAM. Russian future technologies

SIAM is now one of the leaders in the Russian intellectual services market for oil and gas companies and has a strong position in the world. This is a complex innovative oilfield services company focused on optimizing oil and gas fields development. Established in 1990 in Tomsk as a small research and implementation cooperative for the production of measurement systems and automation of fields, in 1991 the company launched  the development of new instruments for the study of wells  - acoustic pipe length measuring instruments, electronic level indicators, and others. In 2000, SIAM became the first Russian service innovative-type company in the sphere of dynamic well tests (DDA) and diagnosis. Active growth and development of the company was contributed by the development of new promising areas of activity, SIAM established its production subsidiaries in most oil and gas producing regions of Russia. In August 2011, SIAM joined the Integra Group of Companies.

Our interlocutor, Denis Savutin, Director of TNPVO SIAM LLC, one of the holding company units, tells us about the current activity of the company.

- Denis, what does your company work on at present?

- TNPVO SIAM LLC develops and manufactures high-tech equipment and software designed for the research of oil and gas wells and utilities. Our products are manometers, dynamographs, level gauges, portable and mobile diagnostic complexes. SIAM produces measuring multiplicative systems based on telemetry and strain-gauge technologies or on resonating quartz. We also design optical systems allowing one to use the effect of distributed sensors along the length unlimited in space. With the help of these systems it will be possible to increase the information capacity of channels and data received, and improve the information content of decision-making in the wells study.

- What are business priorities of the company at present?

- Obviously, the main task of TNPVO SIAM is to perform in a good manner its existing contractual obligations. This is the foundation of our business. But if to talk about other priorities of our work, then it's the real life that directs us. One of these priorities is an import substitution. This is an important and difficult task with forward thinking approach. On the other hand, our work priorities are defined by science-based predictions for oil and gas industry development. And the main thing here is to develop technologies and equipment to reduce the cost and volume of production, improve environmental safety of the production, the development of fields previously considered to be unpromising ones.

Our work prospects are good enough, and this is due to the fact that the requirements for resource-producing organizations are constantly increasing both in terms of production profitability and in terms of environmental standards. All this leads to the fact that our customers tend to use more advanced technologies for oil and gas production and the most modern and specialized equipment. The TNPVO SIAM specialists develop new products taking into account the forecasts of measuring systems market and the opinion of recognized experts of the industry that allows us to offer the most modern and high-tech solutions to our customers.

- Please tell us more about the measuring gauges made by your company - how do they differ from their foreign equivalents and what have they been designed for?

- The main difference and advantage of the equipment designed and produced by TNPVO SIAM is that it is adapted for use in the Russian oil and gas market. It means that all the equipment can operate in our climatic zone, has user-friendly interface and has been certified according to the Russian laws. And finally, our equipment equals (and sometimes even surpasses) its foreign counterparts with regard to specifications and has a substantially lower price.

Thus, the well monitoring system SPSK-SIAM can replace similar systems produced abroad by " " (Switzerland), " " (USA, " " (Canada), etc. The primary function of the system is to provide highly accurate information for geological analysis with minimal oil and gas loss. In terms of technical acceptance it equals to the OVK-SIAM well monitoring system designed with the use of distributed optical monitoring systems enabling to work with multilayer wells and horizontal sidetrack wells. Another device - SM SCHZ – a continuous flow meter system defining phase composition - allows one to monitor the actual well flow rate and optimize production. This device can replace similar foreign-made systems produced by " " (USA) and " " (Norway).

Your specialists develop software – intelligent future of oil service...

- Yes, and we have a lot to be proud of in this area. All software produced by the enterprise is designed to increase oil and gas recovery of operating wells. It is created with due regard to specific features of work at Russian fields, primarily consisting of hard-to-recover reserves. As a result, the main function of our software is to ensure the tasks that optimize well operation, prolong its life, increase debit, reduce production cost, etc.  For example, our TMS - the first pressure system with very high PSTM performance - can adequately and with high probability predict the further development of the field. Using it on the basis of our software, we offer customers to create a predictable reference well coverage. SIAM proprietary software not only predicts the development of a field, but uses the system as a virtual debit meter with plus-minus 5% accuracy

 - You have mentioned the customers  – who uses your devices?

- Our customers are mainly Russian oil and gas companies such as NK Rosneft, Gazprom, Lukoil, Surgutneftegaz, NOVATEK. I want to note that our equipment is purchased both by large mining companies and small service companies, which once again confirms the availability of our instruments and the proposed solutions. Also, our products are exported to the CIS and far-abroad countries. We are constantly working to improve the consumer properties of our products, allowing us to remain the market leader in its field.

- How do crisis and existing sanctions affect the work of your enterprise and what potential gain of the current situation in the oilfield services market have you got?

The crisis, if to rephrase a character of “The Heart of a Dog” story, is not at the entrance - it’s in the minds. External influences affect, of course, our enterprise activity, because some European and American partners - suppliers of hardware components, for example, have changed the delivery dates of their products. There have even been cases to refuse purchasing our devices with “for political reasons” explanation. I think that the current situation is one more reason to reconsider the existing business processes in the enterprise and start looking for other ways of interaction with the customer, new markets, new opportunities. We strongly hope that the situation in the oilfield services market will encourage large companies to work more closely with domestic hardware and software manufacturers.

Irina Namestnikova, Interviewer