• 3 minutes Biden Seeks $2 Trillion Clean Energy And Infrastructure Spending Boost
  • 5 minutes While U.S. Pipelines Are Under Siege, China Streamlines Its Oil and Gas Network
  • 8 minutes Gazprom fails to exempt Nord Stream-2 from EU market rules
  • 2 hours The Truth about Chinese and Indian Engineering
  • 3 hours Trumpist lies about coronavirus too bad for Facebook - BANNED!
  • 1 hour China wields coronavirus to nationalize American-owned carmaker
  • 1 hour China's impending economic meltdown
  • 4 hours Why Oil could hit $100
  • 19 hours The World is Facing a Solar Panel Waste Problem
  • 11 hours Pompeo upsets China; oil & gas prices to fall
  • 3 hours Renewables Overtake Coal, But Lag Far Behind Oil And Natural Gas
  • 6 hours Brent above $45. Holding breath for $50??
  • 2 hours Open letter from Politico about US-russian relations
  • 1 day Sell Natural Gas Benefits to Grow the Market!
  • 2 days The Core Issue Of US Chaos..Finally disclosed
  • 1 day Trump Suggests Delaying Election Amid Fraud Claims
  • 2 days Rational analysis of CV19 from Harvard Medical School

Oil Industry Spending May Soon Rebound

Friday January 5, 2018

In the latest edition of the Numbers Report, we’ll take a look at some of the most interesting figures put out this week in the energy sector. Each week we’ll dig into some data and provide a bit of explanation on what drives the numbers.

Let’s take a look.

1. Capex slightly bottoming out

(Click to enlarge)

- Upstream capital and exploration expenditures among E&Ps is nearing a rebound, but the increase from 2016 lows are a drop in the bucket compared to how far spending has fallen from 2014 levels.

- Spending hit $900 billion in 2014, but had plunged by nearly half two years later. Rystad energy predicts that spending will bottom out this year at $510 billion, essentially flat since 2016 when spending dropped to $512 billion.

- North American spending saw the sharpest decline, but also saw a rebound in 2017 by 18 percent.

- North America will also see the largest growth going forward at 8 percent CAGR through 2025.

- The steep spending declines has translated to the lowest volume of new oil discovered in seven decades. At only 7 billion barrels of oil equivalent discovered in 2017, it was the worst total since the 1940s.

2. Permian production per-rig declining

(Click to enlarge)

- The amount of oil produced per rig in the Permian basin is declining, with 10 consecutive months in a row of falling production-per-rig. On its face, that appears to…




Oilprice - The No. 1 Source for Oil & Energy News