Insight
Energy Snapshot: upstream industry themes - August 2017
Report summary
As the northern hemisphere transitions out of the summer season, the oil price looks steady in the short term, but is likely to face some weakness in 2018. We expect $50/bbl average in 2018 for Brent as our oil cost curve continues to trend lower. Looking at the onshore US, the recent sell off has brought market valuations closer to our upstream valuations, but we see the top US tight oil operators reaching positive cash flow by 2020. Also in upstream, we look at how the North Sea is showing signs that the downturn is turning. Even prior to the recent announcement of the Total/Maersk deal, M&A has sprung back into life. In the gas market, supply continues to grow and we are concerned we will see structurally lower prices in Europe, possibly resulting in low utilisation of LNG in the US. In Asia, China is set to become the biggest importer of gas and has recently raised its already-high renewable targets.
Table of contents
- Upstream treks through the new normal
Tables and charts
This report includes 1 images and tables including:
What's included
This report contains:
Other reports you may be interested in
Insight
Asia-Pacific upstream in brief
This rolling document gives our opinion and analysis of the latest events and trends in Asia-Pacific's upstream sector.
$1,350
Asset Report
Dikuluwe Mashamba - Cobalt Mine
A detailed analysis of the Dikuluwe-Mashamba copper cobalt mine.
$2,250
Asset Report
Coral Bay - Cobalt mine
A detailed analysis of the Coral Bay nickel-cobalt operation.
$2,250
