LONDON – A series of huge write-downs among energy majors triggered by lower assumptions for future oil prices has put a spotlight on the sector’s scattered price outlooks.

On Monday, Eni announced a 3.5 billion euro ($3.95 billion) impairment on the value of its assets after revising down its long-term oil price outlook.

Write-downs put spotlight on energy majors' scattered oil price outlooks- oil and gas 360

Source: Reuters

That followed Royal Dutch Shell’s $22 billion write-down last week and BP’s $17.5 billion hit in June.

While break-even prices for new development projects typically lie below future oil price assumptions, these write-downs have raised questions about the risk of stranded assets in the oil and gas sector.

Here is a graphic showing the varying oil price assumptions among European energy majors:

(Graphic: Majors’ oil price assumptions, here)

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