Global upstream costs: will the savings stick?



You can pay by card or invoice



You can pay by card or invoice

Get this Insight as part of a subscription

Enquire about subscriptions

Already have a subscription? Sign In

Further information

Pay by Invoice or Credit Card FAQs

Contact us

Submit your details to receive further information about this report.

For details on how your data is used and stored, see our Privacy Notice.

Report summary

Will this downturn be different for upstream operators and the supply chain? Are the majority of the cost savings made in 2014-17 structural and here to stay – or cyclical and set to erode as the oil price increases? Since 2014, we have removed almost US$1 trillion of upstream capital expenditure from our estimates for 2015-20 – the result of project deferrals, supply chain deflation and optimisation. The US onshore industry shows how quickly cost inflation returns when the market recovers, yet also how important efficiency and productivity gains can be. Across the globe, part of the savings will undoubtedly stick. But how much and for how long?

What's included

This report contains

  • Document

    Global upstream costs: will the savings stick?

    PDF 767.67 KB

Table of contents

Tables and charts

This report includes 9 images and tables including:


  • US Lower 48 capex, 2014-20 (by region)
  • US Lower 48 horizontal oil rig count, 2014-17
  • Observed and expected cost deflation, 2015-18 (Wood Mackenzie cost surveys)
  • Observed/expected opex deflation, 2015-18
  • Operating costs index, 2014-20
  • Deepwater drilling: rig market, 2014-20
  • Deepwater drilling: rig rate trends, 2014-20
  • Subsea market: tree awards and cost trends, 2013-20

Questions about this report?

  • Europe:
    +44 131 243 4699
  • Americas:
    +1 713 470 1900
  • Asia Pacific:
    +61 2 8224 8898