The oil price fall has major implications for project sanction and near term investment levels in the Caspian. Wood Mackenzie estimates that total capital expenditure to 2020 will exceed US$120 billion in the region. With short term revenues under threat some pre sanction projects could be postponed or even shelved. Based on our long term Brent assumption onstream developments should not be affected. Operators will instead focus on achieving efficiencies and reducing operating expenditures.