IHS Markit

Pandemic gridlock, rerouting risk, and net-zero expectations are squeezing oilfield service companies into change.

Financial analytics company S&P Global and information provider IHS Markit announced they have agreed to merge in an all-stock deal that values IHS Markit at $44 billion.

The V-shaped recovery for oil demand is likely to end up looking lopsided. The recent rapid rise in consumption is expected to stop before it gets back to the peak seen earlier this year.

IHS Markit says the industry’s “striking pace of growth” and a dynamic commercial environment are fueling the movement to zero-carbon sources.

The cementing services market size in the US is expected to drop 50% year-on-year from 2019. The significant drop in Permian Basin activity will account for 40% of the total market size reduction.

Cutbacks in oil and gas production and drilling and completions will result in a decrease in produced water and will also lead to a reduction in water infrastructure investment.

Lower oil prices, increased operator focus on capital discipline, and diminishing access to capital are choking off once-soaring US oil production growth.

The planned collaboration is expected to provide analytics-ready data from IHS Markit that would be directly accessible from the GAIA platform.

In its first 50 years, LNG has become the world’s fastest-growing gas supply source and is now part of an upheaval in the global energy market. Today, the sector stands at a crossroads, and the industry must adopt new thinking to address current and future needs of buyers, sellers, and consumers.