US oil and gas company APA has expanded its agreement with AI company Palantir Technologies.
The multi-year, multimillion-dollar deal follows the companies’ existing agreement, which was signed in 2021.
It builds upon the enhancements made across APA’s global portfolio over the past three years and introduces new AI functionalities through Palantir’s AIP software.
Over the past three years, Palantir has collaborated with APA to implement the software in various areas including supply chain management, operational planning, production optimisation, maintenance planning and contract management.
Palantir has assisted APA in enhancing the reliability of production equipment through real-time monitoring, optimising raw material logistics and utilising AIP to identify anomalies in contract and invoice documents compared with source systems.
APA vice-president and chief information officer Travis Osborne said: “We look forward to expanding our partnership with Palantir. Our existing partnership has enabled improved operational efficiency and business visibility across our global portfolio.
“We are excited to expand the use of Palantir AI capabilities to build on this foundation and accelerate performance and cost management even further.”
Palantir head of energy and natural resources Matt Babin said: “We founded Palantir to help tackle the world’s most important challenges. We are honoured to extend our partnership with APA as they continue to play a key role responsibly producing oil and natural gas.”
Last week, BP signed a new five-year strategic agreement with Palantir to integrate advanced AI capabilities.
This month, APA announced it has signed an agreement to sell non-core producing assets in the Permian Basin in a deal valued at $950m.
An undisclosed buyer will acquire assets in the Central Basin Platform, Texas and New Mexico Shelf, and Northwest Shelf, currently producing an estimated 21,000 barrels of oil equivalent per day, with around 57% from oil.
