Gulf oil producers dust off costlier projects
The market upswing is driving investment in untapped reserves and field redevelopments previously considered commercially unviable
Oil price booms typically spur investment in reserves with challenging economics. And the current boom is proving no different, despite intensified global decarbonisation pressures. The Mideast Gulf’s leading producers, Saudi Arabia and the UAE, resumed spending on key development projects almost as soon as the recovery took hold early last year. Now with prices at eight-year highs and showing scant prospect of receding soon, the region’s smaller players are also investing anew while mothballed schemes with relatively high breakeven costs are back on the agenda. In March, state-owned QatarEnergy (QE) awarded a contract to Netherlands-based Fugro to “de-risk” the long-delayed redevelopment of
Also in this section
10 May 2024
The US’ contentious LNG permitting pause has prompted criticism from CEOs and wildly differing interpretations from politicians
9 May 2024
Pipeline boosts Canada’s oil industry by widening its export options, making it less reliant on US market and bringing Asia into the mix
8 May 2024
Despite Australia’s first import terminal nearing completion, the prospect of additional regasification projects is far from certain