Oil price crash: deep cuts in upstream investment
This report is currently unavailable
*Please note that this report only includes an Excel data file if this is indicated in "What's included" below
Report summary
Table of contents
- Executive summary
- Massive cuts are on the way, but things are different to 2015-16
-
Huge capital efficiency gains since the last downturn
- The industry has not underinvested
- The rig count will take time to fall
- Base investment outside the Lower 48 is also under scrutiny
-
FIDs at new projects will fall back to 2014-16 levels
- Advantaged deepwater and strategic LNG will remain on the table
- Projects with financially stretched operators and/or weaker economics will flounder
-
Already lean exploration budgets will be cut even further
- Costs will be sticky in 2020
- But 2021 could be far more brutal
- Only the very bullish will be looking for countercyclical opportunities
- If operators are hurting, the supply chain will hurt more
Tables and charts
This report includes the following images and tables:
- Global annual upstream development capex by status
- Number of major project FIDs by year, 2020 risked
- Breakeven oil price of 2020 pre-FID projects
- Capex per flowing boe
- New project approvals
- US Lower 48 liquids cost curve
- US Lower 48 capital spend
What's included
This report contains:
Other reports you may be interested in
Permian Wolfcamp tight oil unconventional play
A detailed analysis of the Wolfcamp tight oil unconventional play.
$2,800Q4 2024 pre-FID project tracker: Shell wraps up year with Bonga North FID
Our Q4 2024 outlook for global pre-FID upstream projects.
$6,750Maritime Canada upstream summary
Project delays - The coronavirus and oil price crash in Q1 2020 had delayed both the West White Rose expansion project and Terra Nova ...
$4,080