Rystad Energy

The forces of low oil prices and new efficiency trends are converging to remake the US pressure-pumping business into one that can complete more wells with less horsepower than ever. However, that might also mean service provider margins remain low for much of this new decade.

Although oil prices were down on 8 June, the market is expected to see higher prices in response to the OPEC+ decision to continue production cuts.

Even before the global pandemic impacted markets, decommissioning work in the North Sea region was expected to increase. Global decommissioning projects could reach $42 billion by 2024.

The company’s first report on global emissions shows that, while the US emits the most, Canada has the highest emission intensity and Norway has the lowest.

Delays and disruptions have stymied project plans in the past few months. How will companies prevent current stresses from morphing into catastrophic issues?

As operators feel the pinch of low oil prices, so, too, do their service providers.

Two intelligence groups share similar views on how the fallout from the COVID-19 pandemic has impacted OFS companies’ valuations and operations.

FPSO sanctioning is at a minimum and few opportunities remain for FPSO suppliers to find new work and redeploy their vessels. Suppliers may be forced to accept day rate reductions in order to keep their vessels working.

Rystad Energy's analysis shows the decline is in contrast to $170 billion worth of tenders awarded in 2019. Tender activity is expected to show marginal recovery in 2021, reaching about $74 billion.

Rystad Energy estimates show demand will be at its lowest in April before moving back up again in May.