Sensia will bring together Rockwell Automation’s integrated control and information solutions and Schlumberger’s oil and gas expertise, to offer scalable, cloud and edge-enabled process automation, which includes information and process safety solutions.

The joint venture will help its oil and gas clients achieve efficiency gains by implementing measurement and data driven intelligent automation through its intelligent systems to fully engineered life-cycle management automation solutions.

Rockwell Automation chairman and CEO Blake Moret said: “Oilfield operators strive to maximize the value of their investments by safely reducing the time from drilling to production, optimizing output of conventional and unconventional wells, and extending well life.

“Currently, no single provider exists that offers the end-to-end solutions and technology platform that address these challenges. Sensia will be uniquely positioned to connect disparate assets and reduce manual processes with secure, scalable solutions that are integrated into one technology platform.”

As per the joint venture terms, the oilfield automation company will work as an independent entity, with global headquarters in Houston, Texas. It will be owned 53% by Rockwell Automation and 47% by Schlumberger.

The new digital oilfield automation solutions provider is estimated to generate $400m in annual revenue and will have a workforce of nearly 1,000 people to serve customers across 80 plus countries.

Rockwell Automation has agreed to pay $250m to Schlumberger at closing of the joint venture transaction, which will be subject to regulatory approvals and other customary conditions.

Sensia is likely to start serving customers, in the summer of 2019.

Schlumberger chairman and CEO Paal Kibsgaard said: “Sensia will create a leading technology provider that will further drive optimization of E&P oilfield assets.

“This joint venture is the next step in our vision to offer our customers smart, connected devices with rich diagnostic capabilities, coupled with measurement, automation and analytics that improve oilfield operations, facilitate business decisions and reduce total cost of ownership throughout the life of a field.”