High oil prices have spurred investment in reserves
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
22 November 2024
The Energy Transition Advancement Index highlights how the Kingdom can ease its oil dependency and catch up with peers Norway and UAE
21 November 2024
E&P company is charting its own course through the transition, with a highly focused natural gas portfolio, early action on its own emissions and the development of a major carbon storage project
21 November 2024
Maintaining a competitive edge means the transformation must maximise oil resources as well as make strategic moves with critical minerals
20 November 2024
The oil behemoth recognises the need to broaden its energy mix to reduce both environmental and economic risks
