Downturn hits Latin America’s upstream hard
Worsening economic conditions set to slash oil production growth in the region
The Opec+ collapse is leading to an unprecedented wave of crude hitting the market just as demand plunges due to the Covid-19 pandemic. Latin American government revenues will take a big hit because of the outsized role that oil and gas plays in regional economies. As elsewhere, companies active in the region have reacted quickly, making deep cuts to their capital spend plans for this year, with discretionary spend being pulled back wherever possible. Current oil prices may not be sustainable beyond the short-term, but the focus for companies is to minimise cash burn and protect their balance sheets. Production will be hit, and short-term shut-ins have already begun. Longer-term growth will
Also in this section
21 April 2026
After overcoming a COVID-induced demand collapse with several years of successful market management, geopolitical events have conspired to provide the pact’s biggest test to date
21 April 2026
The regime’s policy of using nuclear ambiguity as a deterrent may have failed but it has realised it has other cards to play, while its neighbours are reappraising their approach to security
21 April 2026
As the global energy system undergoes a fundamental realignment, Algihaz Holdings has established itself as a critical player bridging conventional energy markets and the next generation of renewable infrastructure.
21 April 2026
The 25th WPC Energy Congress is taking place from 11-15 October 2026 at the Riyadh Front Exhibition & Conference Center.
