Having witnessed in 2008 the first major signal that future conventional oil and gas supplies will become much harder to find and more expensive to develop, Datamonitor is publishing this analysis of deep water production around the world. As secure energy supplies become increasingly difficult and expensive to extract, an accurate forecast of supply/demand dynamics becomes more important.
Historically, global economic recessions have led to declining energy demand, but the resultant lower prices have soon led to a recovery in demand and then prices, especially as OPEC has acted to rein in output to tighten supply. This trend has already been reflected in the oil markets to some degree. In the gas sector, supplies will be available only if investment in infrastructure, above all long-distance pipelines and LNG conversion and receiving plants, is well advanced.
Key findings and highlights
- Chinese gas production is growing rapidly both onshore and offshore. Due to its large reserves of coal, China has only recently begun full exploitation of its gas reserves with new pipelines and exploration of gas-prone basins in the western interior and offshore.
- The Australian upstream gas industry is growing rapidly, with fields being developed throughout the North West Shelf to serve a growing indigenous pipeline market and an expanding LNG export capacity. Deep waters too are also providing Australia with long-term gas production growth.
- For several years, Indian gas production primarily came from the Mumbai high region where most fields are at peak production levels. However, new very large deep water discoveries to the east are being developed and these will lead to growing gas output.
Reasons to buy
- Gain understanding of which markets will see increased production levels over the next decade
- Identify potential commercial opportunities through an understanding of changing demand and supply dynamics in specific markets
- Analyze the changing balance between on and offshore production