Asia Pacific upstream: 5 things to look for in 2022

Cautious optimism and improving resilience will be key themes for 2022, as upstream investors tentatively embrace the energy transition across Asia-Pacific. We're not expecting an investment windfall as a result of higher prices, more of a small uptick. Projects and exploration deferred during the pandemic will progress, but at a slower pace. New drilling and development will focus on high quality, low emissions resources, or the decarbonisation of less advantaged molecules. The clock is ticking for the latter, and governments and policymakers must define tangible decarbonisation targets and incentives across the region. Without legislation that directly encourages investment in carbon capture and related technologies, international investors will throw in the towel, leaving strategic projects to languish.