OIl & Gas 360

Needless to say in our current environment, we need to rely on experts in the field for key decisions. Where decisions can cost stake holders millions, Sproule has the certifications and experience to help reduce the risks in financing; acquisitions; exploration, and stakeholders. 

We had the opportunity to sit down with Deb Ryan, Senior Manager, Engineering and Liam O’Brien, Senior Associate, Strategic Advisory & Insights experts from Sproule energy consulting corporation. 

Unprecedented times are best faced with experts and data. A response of supply only placed on OPEC is not a reasonable solution to the demand destruction. The cuts to supply balance the market will be coming from the United States, Norway, Canada, and Brazil. The cuts in capitol programs and pricing will be shifting to more shut-ins on wells. 

 Key Takeaways 

  • Natural gas is a huge portion of the oil production with 30% of the gas coming from the Permian compounded year on year. The production will be coming down, but there is not the demand increase to support the market price increase. This will change towards the end of year .
  • ​The bulk of the demand losses are mostly in Q2, and look to grow through next year to 2019 levels. Traffic congestion levels of automobile traffic in world wide are increasing.
  • The data looks like we may be in demand curve trough, and that demand in road demand for fuel could be coming back quickly.
  • In considering the natural gas; the Balkin has shut down production issues,. The Permian is going to still have flaring and product loss issues until till the price comes back. The Marcullus has been performing with cost efficiencies already in place, and will not have the impact as the other basins. 

About Sproule

Sproule is a leading global energy consulting firm with over a 65-year legacy of driving value for clients by helping professionals in the oil and gas sector make better business decisions—decisions that build sustainable prosperity from resource assets around the world. Sproule is anchored by deep geoscience, engineering and operational expertise combined with a strong commercial understanding of energy markets.

At Sproule, we think energy. Our integrated consulting solutions support critical oil and gas workflows that are underpinned by the following cross-functional disciplines; geology, geophysics, reservoir, production and operations engineering, land, petroleum accounting and economics. We help exploration and production companies, financial institutions, and governments accurately characterize subsurface opportunities and increase shareholder confidence through independent economic resource evaluations. Advisory services include development planning and investment analysis, and our qualified professionals also offer turnkey asset management services. Sproule also offers relevant courses designed for energy professionals, enabling organizations to build scale and capacity. At Sproule, we’re thinking energy to help you discover value.

Deb Ryan, P.E.

Senior Manager, Engineering

Liam O'Brien - Sproule - oilandgas360

Liam O’Brien, P.Eng.

Strategic Advisory & Insights 

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