Oil and gas prices are recovering from their pandemic lows, but the path to follow for the industry remains a challenge amid new threats and competitive demands from investors.
According to consulting firm Wood Mackenzie, global spending on oil and gas production will remain below pre-pandemic levels until at least 2025 as companies face pressures to improve yields and reduce their greenhouse gas emissions. greenhouse effect. Meanwhile, investment in renewable energy and other clean energy technologies is taking off and threatens to consume the oil and gas market in the long run.
Although oil prices have risen since November, they are expected to remain below levels that favor attractive returns, especially for an industry that is still recovering from last year’s falling fuel demand. .
As a result, companies are no longer in a hurry to drill. One-third of oil producers surveyed by the Dallas branch of the Federal Reserve in the fourth quarter said they planned to slightly increase capital spending this year. About half said they would continue to spend flat or reduce investments.
Exxon Mobil Corp. and Chevron Corp. cut plans to invest $ 260 billion combined by 2025 to $ 177 billion.