Oil and Gas Firms in Americas use AI to Modernize Operations

Oil and gas enterprises in the Americas are accelerating adoption of digital platforms, AI-enabled operations and decarbonization technologies as they respond to cost pressures, geopolitical uncertainty and the transition to new energy sources, according to a new research report published today by Information Services Group (ISG) (Nasdaq: III), a global AI-centered technology research and advisory firm.

The 2025 ISG Provider Lens Oil & Gas Industry — Services and Solutions report for the Americas finds that companies in the region are prioritizing operational efficiency, emissions reduction and resilience by modernizing core systems and processes while balancing profitability and sustainability goals.

“Oil and gas producers in the Americas are reshaping their operations by embedding digital intelligence into systems and daily decision-making,” said Dale Hearn, partner at ISG. “These investments are practical responses to major changes in technology, regulation and markets.”

U.S. companies with shale operations are intensifying the use of AI, advanced analytics and simulation tools to reduce cost per barrel and make wells more productive, the report says. Operators in the Permian Basin and Eagle Ford regions are applying data-driven models to optimize drilling accuracy, reservoir management and throughput. For most companies, the focus has shifted from new exploration to maximizing recovery from existing assets. These approaches also help enterprises shorten time to market and reduce nonproductive time.

Across the Americas, oil and gas enterprises are expanding cloud adoption and integrating IT and operational technology environments to improve visibility and control, ISG says. Cloud platforms and standardized data models enable more consistent workflows across upstream, midstream and downstream operations. In Mexico and Argentina, digital twins and predictive maintenance tools are helping mitigate risks in remote operations. Companies throughout the region are using GenAI for smarter workflows, faster decision-making and predictive capabilities.

Energy transition and decarbonization initiatives are reshaping enterprise investment priorities across the region, the report says. Brazilian companies are scaling biofuels using established ethanol and biodiesel infrastructure, while Canadian operators are investing in carbon capture and storage to reduce emissions from oil sands operations. Enterprises throughout the Americas are adopting emissions management, greenhouse gas tracking and AI-based optimization technologies. These efforts often reflect growing regulatory scrutiny and investor expectations concerning sustainability and transparency.