Thriving and Surviving in Oil & Gas


It’s been happening all our lives. Oil & Gas prices fluctuate, and with the ups and downs, the industry adapts and looks to thrive—and more recently, to survive. In 2015, when oil fell to its lowest price in seven years, more than 100,000 jobs were shed and organizations looked to slash billions in spending.  It’s a cycle. It always has been, and always will be. Despite this fact, there is technology on the horizon that can help organizations make right-size investments during the survival phase.
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Oil and Gas Cost Savings: Time is the Most Valuable Commodity


Focus on what you can control.
 
The historic decline in the price of oil, which has dropped 70 percent since the summer of 2014, brought with it operational challenges for oil and gas enterprises, including unprecedented headcount and CAPEX reductions. New performance strategies ensuring production uptime, particularly in aging assets both upstream and downstream, and establishing efficient workflow processes are vital to improved and profitable business operations, returning some control in a struggling climate.
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Breakout Together – Consolidating in a Time of a Shakeup


In the past year, leading oil and gas companies across the supply chain have announced plans to significantly reorganize, signaling a broader industry trend of consolidation. For instance, Hercules Offshore, a major drilling services provider that once had a market capitalization of over a billion dollars, recently filed for Chapter 11 bankruptcy. In April 2015, Shell announced its plan to acquire BG Group for $70 billion. To better understand the impact of lower commodity prices and implications to distressed players it is important to analyze trends in two common exit strategies: bankruptcy and M&A.
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Problems Oil Executives Face – Finding Alternative Ways to Unlock Capital


Drill the well.  Complete the well.  Produce the oil.  Sell the oil.  Make a profit.
 
These are normal activities that happen every day in a producing oil and gas company.  When oil is $100 and the cashflow is growing, all stakeholders are satisfied.  So what happens when oil drops to $30?  Not as many wells are drilled, not as much oil is produced and not as much profit is made.
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