Exploration returns are higher than full-cycle returns. Explorers can choose to sell their discoveries rather than continue through to development and production. The disposal option is often value-neutral but achieves faster payback. Higher returns reward the greater risk in wildcatting. Development costs exceed exploration costs six-fold. Early monetisation offers talented but capital-constrained explorers a route to accelerate reinvestment in their core strengths. By staying small,...
This report includes 1 file(s)
Exploration without development - the high returns strategy PDF - 512.88 KB 7 Pages, 2 Tables, 4 Figures
This Oil and Gas Exploration Insight report highlights the key issues surrounding this topic, and draws out the implications for those involved.
For participants, suppliers and advisors who want to look at the trends, risks and issues of this topic, this report gives you an expert point of view to help inform your decision making.
Wood Mackenzie provides accurate and in-depth analysis to help you navigate the ever-changing challenges of oil and gas exploration so you can make key commercial decisions.
Wood Mackenzie's clients include every major player in the global energy, metals and mining industries. We are recognised as a leading authority by international and national energy, metals and mining companies, leading financial institutions, governments and government agencies. We work with a range of diverse teams within our clients, from strategy and policy makers, business developers and market analysts, through to corporate finance, risk teams and investors.
Having Wood Mac analysis is table-stakes. Others are nice to have.
Analyst Metal Mining Producer
Wood Mac has the highest quality data and is demanded by our staff.
Portfolio Manager Integrated Oil Company
Others can provide data but we value the quality of the Wood Mac analysis above other sources.
As the trusted source of commercial intelligence for the world's natural resources sector for more than 40 years, we empower clients to make better strategic decisions with objective analysis and advice. Find out more...
Insight | Oct 2013
Exploration without development - the high returns strategy
Have questions? Just let us know how to contact you and we will respond to you as soon as possible.