Industry Analysis & Industry Trends
UK oil and gas production has declined since its peak in the late 1990s as existing fields have matured and it has become increasingly challenging to develop new commercially viable sources. Operators have been able to endure this instability by forming partnerships to pool their resources and make their extraction more efficient. The industry ramped up investment early in the five years through 2016-17 in an effort to soften the blow of declining output. However, price fluctuations have negatively affected industry revenue and have been responsible for the sharp fall in revenue since 2013-14.
Shale gas, which is extracted through the controversial practice of hydraulic fracturing (fracking), has emerged as a potential lifeline for the industry. A... purchase to read more
Industry Report - Industry SWOT Analysis Chapter
The Crude Petroleum and Natural Gas Extraction industry is in decline. It uses well-established technology and its product is not new. Although it has benefited from surging prices at periods, production volumes at existing fields are falling. Most of the major oil and gas fields in the United Kingdom were discovered many years ago and are in decline. Although firms are attempting to extract the remaining resources, this output typically comes at a higher cost. The commercial viability of new wells is even tougher to identify, and yields on investment in new fields are lower than previous developments. As UK oilfields mature, the industry has shifted its focus from discovering new reserves to increasing the productivity of existing and smaller, less lucrative fields. The.. purchase to read more