AI Agents Are Starting To Reshape Upstream Operations

Upstream oil and gas companies continue to be very reliant on spreadsheets, legacy systems, and manual workflows to manage thousands of wells, compliance filings, and capital decisions. It's labor-intensive, error-prone, and slow. In light of global energy transition moves, operators are now facing ongoing margin pressure, a supply glut, tighter emissions regulations, and a shrinking pool of skilled labor.

Digital solutions to soften the impacts of these pressures too often end up in "pilot hell", with limited results, stalled momentum, and no path to scale. Core systems like SCADA and ERP can't be easily adapted, and the early stage AI tools are often dismissed as too risky, inaccurate, or incompatible with real-world operations. Capital markets frown on any moves that sacrifice short term ROI for the possibility of better results later.

New agentic AI tools look perfectly placed to address these constraints, but getting started is daunting.

In this episode, I speak with AI strategy advisor Jeff McKee who outlines how a handful of upstream operators are now using agentic AI (modular software agents), that augment field teams and automate critical tasks across production, compliance, and finance. Already live across 1,500 wells, these tools have delivered a 3–10% uplift in production, 5–15% profit lift, and >90% reduction in compliance workload. Jeff explains how companies can start small, define just a few key KPIs, and stand up agents in under two months, all without touching core systems. From Sarbanes-Oxley readiness to workover economics, it's a roadmap for scaling AI one agent at a time.

👤 About the Guest

Jeff McKee is the founder of Jeff McKee Consulting and an AI strategy advisor to $100M–$1B+ companies. A former Microsoft leader, he created the PIVOT AI™ framework to help executive teams identify high-impact AI use cases and deliver results fast. In oil and gas, he partners with Mango Bites (Pixie AI) to enable production optimization, profitability, and compliance across upstream field operations.

🌐 Website: jeffmckeeconsulting.com

💼 LinkedIn: linkedin.com/in/jeff-mckee

📧 Email: jeff@jeffmckeeconsulting.com

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The views expressed in this podcast are my own and do not constitute professional advice.