181

11 ^{Application and}

Challenges of

“Blockchain

Technology” in the

Oil and Gas Industry

Adarsh Kumar Arya

CONTENTS

11.1 Introduction................................................................................................... 182

11.2 Blockchain Technology Fundamentals.......................................................... 183

11.2.1 Blockchain Philosophy...................................................................... 184

11.2.2 Blockchain Key Attributes................................................................ 185

11.2.3 Blockchain Infrastructure.................................................................. 185

11.2.4 Consensus Algorithm........................................................................ 186

11.2.4.1 Proof of Work (PoW).......................................................... 186

11.2.4.2 Proof of Stake (PoS)........................................................... 186

11.2.4.3 Delegated Proof of Stake (DPoS)....................................... 186

11.2.4.4 Practical Byzantine Fault Tolerance (PBFT)...................... 187

11.2.4.5 Proof of Elapsed Time (PoET)........................................... 187

11.2.4.6 Tendermint.......................................................................... 187

11.2.4.7 Cryptography...................................................................... 187

11.2.4.8 Model Data Record............................................................. 188

11.3 Blockchain Applications in the Petroleum and Gas Sector........................... 188

11.3.1 Trade.................................................................................................. 191

11.3.1.1 Smart/Intelligent Contract.................................................. 191

11.3.1.2 Transaction.......................................................................... 191

11.3.1.3 Management Decisions....................................................... 191

11.3.1.4 Overvoice............................................................................192

11.4 Status of Blockchain and Pilot Programmes.................................................192

11.5 Limitation and Challenges of Blockchain Technology................................. 193

DOI:  10.1201/9781003138082-11