The upstream environment remains extremely challenging, particularly in a mature basin like the UKCS. Drilling activity is set to fall further to a new low this year and capital investment is falling rapidly with no new development commitments secured to date in 2016. However, the industry is responding to the challenges laid out by continued weakness in oil and gas prices by further reducing costs and increasing production over the last 12 months.
Contractions continue to be felt right across the supply chain, inevitably leading to job losses in the sector. This year’s report contains a comprehensive review of the supply chain, including financial analysis and detailed commentary by segment, even providing forecasts about the likely impact on supply chain revenues and margins through this year and into 2017.
Adam Davey – Market Intelligence Manager, Oil & Gas UK
Ross Dornan – Lead Business Adviser, Oil & Gas UK
Neil Johnson – Group Sales Manager, Hydrasun