The oil and gas industry is currently going through a transition. Signs of this include the entry into force of the 2015 Paris Agreement, an international effort to tackle climate change, the increasing deployment of wind and solar technologies and the fall of oil prices in recent years by over 50%. These factors have caused energy companies to seek to survive in the short run by large-scale lay-offs, mergers and acquisitions, project deferrals and divestments. Investments in new oil and gas projects have slowed.
However, transition also means a new industry picture is evolving, both as a result of the above factors and fast-changing technological advances. New opportunities are likely to arise to meet the future demand for energy due to population growth, urbanisation, mobility and connectivity. This topic material explains the traditional stages and elements of oil and gas industry; the upstream, midstream and downstream sectors, from a contemporary perspective, including an overview of the current and future challenges for the petroleum sector and recommendations for the policy makers.
It contains the following chapters: