Oil and gas
Establishing cost and schedule predictability in a dynamic industry.
The oil and gas industry continues to be a vital part of the global energy supply and demand balance, with the price of a barrel of oil profoundly affecting worldwide economic growth and development. With oil currently pricing lower on average than seen in the last decade, the industry must focus on capital and cost discipline to deliver projects as effectively as possible versus budget. Safe, reliable and efficient operations will always be the key focus for operators, however establishing well-defined cost and schedule predictability of project execution has become essential to stay resilient to the changing price environment.
Worldwide, there continues to be a commitment to developing cleaner sources of energy, and this has necessarily impacted the investment required. Companies are also investing in new ways to reduce their environmental impact and in some instances have begun their transition to renewable sources. Significant time and money is also being invested by the industry in sustainable development, such as local community support, infrastructure in countries where there was none, and education in developing countries.
In the upstream market, we see a focus on projects in deeper water, leading to technology challenges and more rigorous design, construction and maintenance requirements. In midstream we see investment growing in terminals and pipeline logistics for oil and fuel distribution to meet the imbalance between local supply and demand. While in downstream, feedstock costs for refiners are at a 12 year low, supporting higher margins. Some refiners are looking to debottleneck and upgrade their plants to take advantage of improved crack spreads, while others are focused on minimizing downtime and executing turnarounds as cost effectively as possible.
Given the changing landscape of the energy industry, there are constant demands for solutions to provide cheaper, faster and cleaner energy in a safe and efficient manner. Experience matters, and now more than ever the industry is challenged in finding the right resources for managing their projects against even stricter budget requirements.
Meeting the challenges
We’ve been working in the oil and gas sector since the early 1990s and offer experience on the complete project lifecycle, from pre-development, through concept selection, FEED, delivery of facilities, and operations to cessation of production and decommissioning. We have experience in working across upstream, midstream and downstream projects and programmes, ranging from small brownfield revex to mega-size greenfield capex projects.
Cost and schedule performance is crucial for oil and gas companies as they assess where to invest in line with their requirements for cash flow and shareholder return. The ability to provide predictability only comes with solid experience of working with a significant number of clients across a wide-ranging portfolio of projects globally from pre-FID, through to close-out, alongside expert analysis of project data. We continue to invest in our people, systems and data that give our clients the confidence they need for making informed capital investment decisions.