Calgary-based blockchain developer successfully deploys and demonstrates blockchain solution to streamline AFE balloting for oil and gas blockchain consortium. 

Calgary-based GuildOne Inc. (GuildOne) is proud to announce that it has successfully deployed and demonstrated an industry-first proof-of-concept (PoC) blockchain solution for authorization for expenditure (AFE) balloting for the Offshore Operators Committee (OOC) Oil & Gas Blockchain Consortium. The demonstration of this innovative use case took place in Houston on December 10, 2019, and was the first blockchain implementation for this complex energy industry process.  

AFE balloting is a commonly used process for garnering approval and participation in capital projects that are governed by joint operating agreements. Conventional AFE balloting is conducted manually, which is time-consuming, administratively complex and prone to frequent and costly disputes. This proof-of-concept deployment demonstrated that blockchain can significantly streamline this procedure, leveraging smart contracts to automate balloting processes and calculate working interest calculations, while using blockchain’s shared, immutable data to drastically reduce disputes.  

The AFE balloting transaction was conducted using ConTracks, GuildOne’s patent-pending smart contract technology for R3’s Corda blockchain platform. In February 2018, GuildOne conducted the world’s first oil and gas royalty blockchain transaction on Energy Block Exchange (EBX), its Corda business network for oil and gas transactions. The company has since developed ConTracks and applied it for a number of oil and gas use cases, including royalties, joint ventures, road use allowances and AFE balloting. These use cases and others are also applicable in different industries, such as mining and entertainment.

“We are honored to have had the opportunity to work with the visionary team at the OOC Blockchain Consortium on this exciting project,” said GuildOne CEO James Graham. “This proof of concept demonstrates once again the incredible potential of blockchain—and applications on R3’s Corda platform—to generate real benefits to energy companies in terms of process efficiencies and reducing costly data and contract dispute.”

“R3’s Corda platform continues to be the technology of choice for many industry-leading initiatives, as this first for oil and gas shows,” said Cathy Minter, Chief Revenue Officer at R3. “Wherever there are complex, manual processes involving the coordination of agreements between multiple parties, such as AFE balloting, we’ve seen private, permissioned blockchain bring significant accuracy and efficiency improvements. I’m looking forward to seeing GuildOne bring much needed improvements to the complex and costly AFE balloting process.”

For the OOC Oil & Gas Blockchain Consortium’s press release regarding the AFE demonstration, please see: https://www.businesswire.com/news/home/20191218005033/en/OOC-Oil-Gas-Blockchain-Consortium-Successfully-Tests.

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About GuildOne: GuildOne is a pioneering technology company providing advanced data solutions and business intelligence to oil and gas organizations to enhance their business performance. In 2018, GuildOne conducted the world’s first blockchain oil and gas royalty transaction on Energy Block Exchange (EBX), its energy blockchain business network built on R3’s Corda platform. It has since launched ConTracks, its patent-pending smart contract engine, and developed new use cases, including joint venture interest billing, AFE balloting and road use allowances.

www.guild1.com

OOC Oil & Gas Blockchain Consortium: www.oocblockchain.com. 

About R3:

R3 is an enterprise blockchain software firm working with a global ecosystem of more than 300 participants across multiple industries from both the private and public sectors to develop on Corda, its open-source blockchain platform, and Corda Enterprise, a commercial version of Corda for enterprise usage.

R3’s global team of over 200 professionals in 13 countries is supported by over 2,000 technology, financial, and legal experts drawn from its vibrant ecosystem. 

The Corda platform is already being used in industries from financial services to healthcare, shipping, insurance and more. It records, manages and executes institutions’ financial agreements in perfect synchrony with their peers, creating a world of frictionless commerce. Learn more at www.r3.com and www.corda.net.

Media Contact Info

GuildOne:
Stephen Entwisle
+1 403 560-1944
media@guild1.com

R3:
Nick Murray-Leslie
Chatsworth Communications
+44 (0)207 440 9780
contact@chatsworthcommunications.com

Charley Cooper, R3
+1 917 855 8529
charley@r3.com