Many Silicon Valley startups look to create new markets, but startup Tachyus is targeting a longstanding industry: oil.
San Mateo, Calif.-based Tachyus uses its machine learning software to help oil companies increase production and decrease costs.
Tachyus has raised $5 million in new financing from strategic investors, including the family office of the Schlumberger heirs; Jeri Eagan, former chief financial officer of Shell Oil Co.; and Haystack Partners.
Oil companies have a large amount of data but need better ways to analyze it, said Dakin Sloss, Tachyus co-founder and chief executive.
Traditionally, oil operators have geologists interpret data to manually create a model of subsurface maps of oil, gas and water, a process that can take months, Mr. Sloss said.
The two questions Tachyus customers want to know are: how to inject water, CO2 or steam into wells so they don’t spend as much, and where to get additional oil in their existing fields, Mr. Sloss said.
“Energy is one of those crucially important areas to our civilization.” Correction: Jeri Eagan, a former chief financial officer of Shell Oil Co., has invested in Tachyus.