DNV GL has just issued its Outlook for the oil and gas industry in 2016, a 32 page summary of an annual survey, conducted by Longitude Research on behalf of DNV GL, of over 900 industry professionals and executives. Woodside COO Michael Utsler opined that ‘We all subscribe to the lower-for-longer view on pricing.’ But a ‘confident minority’ of companies claim to be ‘managing the downturn better than others’ and which plan to ramp up spending. Statoil’s Eirik Wærness sees shale oil production declining and demand growth ‘much higher than it was 12 months ago.’ Petronas upstream CEO Dato’ Wee Yiaw Hin sees ‘some optimism for a possible recovery in 2016’ even though ‘there are still uncertainties.’ Confidence in financial performance was slightly up from last year. 34% were confident about achieving their profit targets in 2016. Total was the profits poster child for 2015. BP, curiously in the face of its record $5bn loss for the year, was complimented for ‘beating analyst forecasts for replacement cost profit.’
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