Offshore oil and gas production in the US Gulf Coast is expected to hit a record high during the year, though local energy companies have cut spending and reduced exploration activity.
Wood Mackenzie’s report released last week showed that off-shore crude oil production in the Gulf of Mexico is expected to rise to 1.9 million barrels / day during the year, a 13% increase over last year and a 10% increase from the peak hit in 2009. It is noteworthy that local energy companies have cut spending and reduced exploration activities.
William Turner, a senior research analyst at Wood Mackenzie, said: “Even offshore offshore oil and gas production in the Gulf of Mexico has undergone tremendous pressure over the past three years but has now regained its competitiveness.”
On the other hand, Wood Mackenzie expects global crude exploration spending to fall 7% to $ 37bn this year, meaning it will slide about 60% from its peak in 2014 when U.S. crude oil prices were above $ 100 a barrel.
According to data from energy research firm Rystad Energy, the total amount of oil and gas resources discovered by global energy companies last year has been less than that of any one since the 1940s. In 2017, a total of about 7 billion barrels of new oil and gas resources were discovered. In 2012, up to about 30 billion barrels.
Sonia Mlada Passos, a senior analyst with the company, said: “We should note that the newly discovered decrease in oil and gas resources implies that the supply side will face severe challenges in the next 10 years.”
| Thiourea |