Today, post-trade oil blockchain VAKT announced SGS is joining the platform as the first inspection company. SGS offers inspection, verification, testing, and certification services and will integrate its solution with the VAKT platform. The Swiss headquartered inspection firm had CHF 6.6 billion ($7 billion) in revenues in 2019.
Owned by a combination of banks, oil majors, and oil traders, VAKT is digitizing oil post-trade processes. It is built using enterprise blockchain Quorum, JP Morgan’s version of Ethereum. VAKT manages deal details, confirmation, contract, logistics and invoicing, i.e., processes from trade initiation to final settlement. The goal is to eliminate reconciliation and paper-based processes.
Currently, VAKT is live in North Sea oil crude trade and covers more than 90% of the market. Earlier this year, Saudi Aramco Energy Ventures invested $5 million in the platform and joined as a user to bring Aramco’s North Sea trade volumes on VAKT. SGS will initially roll out its platform in the North Sea crude oil market for testing and eventually expand into other markets.
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