Oil industry 2020

Meanwhile ,the oil price that had started plummeting in November 2014 has rebounded to 99$/bbl on January 2020.The operations that were shutdown over years -when oil price reached 33 $ ,while Iran flooded the market in Early 2016 ,were resumed in 2017-18 and are operating at full phase now- creating more job prospects & higher demand in 2020.

While the Multinational Service Companies were hit by the low oil prices in 2015-16 resulting in Cost cuttings,at the same time they were taking advantage of the situation & busy planning for swallowing up the companies that could not able to sustain the weakness. The Wave of Mergers and Acquisitions that started in 2014-15 are a bit Freezing now as Industry is Prepared with Restructuring !

oil field ahead

Halliburton and Baker Hughes have finally aligned their Product lines by integration of the asset portfolios & are marching ahead with a sword of Innovation in the hand & tug war with the competitors.

Schlumberger has dissolved Cameron-Mainly the Subsea equipment manufacturer for 15 billion $, after an alliance of OneSubsea over years & the takeover of Precision Drilling & Russian Giant - Eurasia Drilling has strengthened its position in Drilling Services segment over its rivals. Schlumberger already had WesternGeco , Smith International & MI-SWACO under it's bag.It has sold its Business Consultancy division (SBC) to Accenture.

Weatherford International has also not been behind in the race & has teamed up with the arch-rival of Cameron : - the "FMC Technologies" to keep the game going.

GE Oil and Gas has got National Oilwell Varco & has gobbled up many other small players, with all making up about 30 billion $'s of Acquisitions since 2016 further widening the scope of General Electric in Petroleum Industry.GE has grown up faster compared to expected when it was considered relatively new to Oil & Gas segment over a decade.

These consolidations has improved the performance by driving innovative technology solutions due to increased competition for providing better services to E & P companies.Global Oilfield Services Market has grown from value of $166.6 billion in 2014 to $291.8 billion in 2019 and CAGR of 14% between 2014 and 2019.Asia Pacific is seeing the fastest growth in oilfield services market from 2016 to 2020 due to rapidly increasing exploration activities mainly in China and India to meet the growing energy demand.

Hence if I keep my Eyes with telescope in my hand ,what we find away far in 2020 from now is : Demand is High ,Competition is Tight , Renewable's is still trying to pace up in the Bull & Cock Fight , Natural Gas is the Spotlight & Stars of Petroleum Industry are Bright !! ...Until there's another boom and bust cycle waiting to turn the Light gloomy ,everything's going to be alright.

Vision of:- Roshan Patelia (Petroleum Engineer)

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