Upstream investment is rebounding off a 15-year low, led by resource holding NOCs. But demand is recovering faster and high prices imply more investment is needed.
Capital discipline, greater emissions scrutiny from stakeholders, price volatility and governments’ energy transition plans remain constraints. However, we think spend is on track to reach US$430 billion by 2023 (in 2021 terms). If it does, supply will meet our near-term oil and gas demand outlook.
Capital efficiency has been transformed since 2014 and US$500 billion - in 2021 terms - per annum or higher is no longer required. If spend recovers in line with our forecasts, there will be sufficient supply to meet demand.
Join our experts on Thursday 17th February as they discuss the short-term trends, long-term outlook, risks and uncertainties for upstream oil and gas investments. The 40-minute webinar will consider three demand scenarios and answer key questions such as:
Key Topics
- Is the industry under-investing?
- What do company reported 2022 budgets tell us?
- What is the right level of investment for upstream out to 2050?
- What are the key factors and risks influencing the required spend?
- Where will the capital be allocated?
Speakers
Fraser McKay, Head of Upstream Analysis
Ian Thom, Director Upstream Research
Andrew Thorburn, Head of Cost Analysis
Kavita Jadhav, Director Corporate Research
Raphael Portela, Senior Analyst Corporate Research