The new Omicron variant of COVID-19 could cost the global oil market as much as 2.9 million barrels per day (bpd) of demand in the first quarter of 2022, bringing total expected demand down from 98.6 million bpd to 95.7 million bpd, if it triggers more lockdowns or restrictions, Rystad Energy projects.
Read MoreTag: Rystad Energy
Shale Reinvestment Rates Hit Historic Lows
Reinvestment rates among U.S. shale oil producers hit an all-time low in the the third quarter of 2021, resulting in a record free cash flow for the quarter, and are projected to fall even lower by year-end according to a Rystad Energy analysis. The analysis focused on a peer group of 21 public U.S. shale oil producers, excluding majors, that…
Read MoreArgentina’s Vaca Muerta Shale Play Grows
Argentina’s Vaca Muerta shale play, having registered strong growth in oil and gas production and well activity levels in recent months, has emerged as the world’s fastest growing major shale basin, a Rystad Energy report shows.
Read MoreRystad Energy Looks Ahead
Following a deadlock in OPEC+ negotiations at the July 2021 meeting, oil prices briefly rose above $75 per barrel at the prospect of the alliance keeping output stable from August onwards, with producers in theory honoring their commitment to the original deal until a new way forward is agreed. As global oil demand is set to grow significantly, such a…
Read MoreTreating The U.S. Oil Industry’s Dark Water
A Rystad Energy analysis of seismic activity in the U.S.’s key oil producing regions reveals that the number of noticeable earthquakes has been increasing year after year since 2017. Tremors of above the magnitude of 2 on the Richter scale quadrupled in 2020 and are on track to increase even further in frequency in 2021 if oil and gas activity…
Read MoreRystad: Producers Could See Record-High Hydrocarbon Revenue
The U.S. shale industry is set to achieve a significant milestone in 2021: If WTI futures continue their strong run and average at $60 per barrel this year and natural gas and NGL prices remain steady, producers can expect a record-high hydrocarbon revenue of $195 billion before factoring in hedges, a Rystad Energy analysis shows. The previous record of $191…
Read MoreRystad: Fracking Back to Pre-Pandemic Levels
Fracking in North America has almost recovered to pre-pandemic levels, with the count of started frac jobs reaching a 12-month high in March 2021, a Rystad Energy report shows. The number of completed wells in the Permian basin during the first quarter of 2021 exceeded the required output maintenance level, so oil production is set to rise in the current…
Read MoreHere Come the Robots
Even when the COVID-19 downturn is finally past us, operators will have to continue exploring new avenues for cost reductions to be better equipped to withstand future market declines. In a report that looked into the adoption of robotics across the petroleum industry, Rystad Energy found that existing solutions could replace hundreds of thousands of oil and gas jobs globally…
Read MoreRystad Energy Predicts Frac Sand Market
Demand for frac sand in the United States is predicted to grow by 10% in 2019 and 17% in 2020, according to Rystad Energy. Frac sand supply, on the other hand, is forecast to increase by 10% in 2019 and then decrease by 2% in 2020 as more Northern White Sand will come off the market.
Read More