• 3 minutes e-car sales collapse
  • 6 minutes America Is Exceptional in Its Political Divide
  • 11 minutes Perovskites, a ‘dirt cheap’ alternative to silicon, just got a lot more efficient
  • 6 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 6 days Does Toyota Know Something That We Don’t?
  • 20 mins America should go after China but it should be done in a wise way.
  • 6 days World could get rid of Putin and Russia but nobody is bold enough
  • 8 days China is using Chinese Names of Cities on their Border with Russia.
  • 9 days Russian Officials Voice Concerns About Chinese-Funded Rail Line
  • 9 days OPINION: Putin’s Genocidal Myth A scholarly treatise on the thousands of years of Ukrainian history. RCW
  • 9 days CHINA Economy IMPLODING - Fastest Price Fall in 14 Years & Stock Market Crashes to 5 Year Low
  • 8 days CHINA Economy Disaster - Employee Shortages, Retirement Age, Birth Rate & Ageing Population
  • 9 days Putin and Xi Bet on the Global South
  • 9 days "(Another) Putin Critic 'Falls' Out Of Window, Dies"
  • 10 days United States LNG Exports Reach Third Place
  • 10 days Biden's $2 trillion Plan for Insfrastructure and Jobs
Editorial Dept

Editorial Dept

More Info

Where’s The Top Place to Produce Oil and Gas Today?

One of the most critical pieces of news for the E&P sector came this month.

Not a new discovery. Or a high-impact drilling technique. In fact, this development didn’t come from geologists or engineers at all.

It came from a group of accountants.

Namely, mega-bookkeepers Ernest & Young. One of the leading firms globally in auditing and analyzing finances for oil and gas producers.

This outfit sounded a warning on the future of the E&P sector. Telling investors they need to beware of a silent killer that is stalking producers in some parts of the world. Places stock buyers should be looking at reducing their exposure.

The accountants also gave some hints on which E&Ps appear immune to this potentially company-ending issue. Ideas that suggest a certain group of investments in the oil and gas space are going to outperform significantly.

The issue driving this risk (and opportunity) comes down to one word: costs.

Ernest & Young looked closely at costs for the global E&P world as part of the firm’s annual “Global oil and gas reserves study”.  

Their findings were astonishing.

The numbers left little doubt that costs in today’s oil and gas world are weighing on producers like never before. Production costs in 2012 rose 6% globally—driven by higher prices for labor and services.

Now, 6% isn’t a huge amount on its own. But numbers like this start…




EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News