Oil & Gas Exploration & Production

Oil & Gas Exploration & Production

Brief Excerpt from Industry Overview Chapter:

Companies in this industry develop and operate fields to extract crude petroleum and natural gas. Major companies include ConocoPhillips and ExxonMobil (both based in the US), as well as BP and Shell (both based in the UK), LUKOIL and TATNEFT (both based in Russia), National Iranian Oil Company (Iran), PETROBRAS (Brazil), and Saudi Aramco (Saudi Arabia).

COMPETITIVE LANDSCAPE

Companies with greater access to capital, which enhances their ability to secure drilling rights, purchase or lease equipment, and acquire smaller companies, enjoy competitive advantages. Efficiency in locating new, productive wells as well as continuing extraction from existing wells are the keys to profitability. Demand comes from oil and gas refiners and transporters, which are driven by consumer and industrial demand for petroleum products including gasoline, heating oil, lubricants, chemicals, and natural gas.

PRODUCTS, OPERATIONS & TECHNOLOGY

Major products of the oil and gas exploration and production industry are crude petroleum oil which accounts for more than 55% of revenue and natural gas (about 25%). Other products include residue gas (about 5%), Ethane (C2), gas mixtures, and plant condensate.