Doing more with less: Is there enough upstream investment?
The company will share its long-held views on the outlook for oil demand, through to and beyond its peak, the sources of supply and the investment required to meet it.
The oil and gas sector is in an upcycle. Spend is up by one-third from a low in 2020. It looks like any previous cycle – prices recover, cash flow increases, industry invests. But this cycle is different. The energy transition is posing an existential threat to oil and gas demand. Companies across the sector are increasingly reluctant to commit to capital-intensive, longer payback upstream projects.
Wood Mackenzie will compare industry efficiency to previous cycles and examine investment scenarios and their outcomes, including a 1.5°C pathway, and contrast these with the much vaunted ‘zero investment in oil and gas’ thesis.