Confidence in the outlook for Asia Pacific’s Oil & Gas industry has more than doubled in the past two years.

June 28, 2019

For the past nine years DNV GL, the technical advisor to the oil and gas industry, has produced reports on future trends and confidence in the industry sector. The below key information is based on a global survey of nearly 800 senior oil and gas professionals and in-depth interviews with sector leaders.

Key Figures:

• 76% of senior oil and gas professionals in Asia Pacific are optimistic about the industry’s growth this year, compared with 58% in 2018
• A third of industry professionals expect increased capital expenditure in 2019.
• A quarter (27%) expect to make cost efficiency a top priority this year – the lowest number in five years.
• 76% of senior oil and gas professionals in Asia Pacific are optimistic about the industry’s growth in 2019, compared with 58% and in 2019 and 2017, respectively.
• The proportion of industry leaders who are confident in their own organizations’ prospects increased for 59% in 2018 to 74% in 2019.

Recruitment in Asia Pacific’s oil and gas industry is expected to rise in 2019, as more than two thirds of senior industry professionals in Asia Pacific agree that more, large, capital intensive projects will be approved compared to last year.

After some challenging years, Asia Pacific’s oil and gas industry appears to be heading into a brighter future in terms of sector growth. Final investment decisions (FID) are being approved, or are soon expected to be approved, for several major projects around the region.

These include Chevron’s approval of a multi-billion dollar second phase of the Gorgon LNG project in Australia in April 2018, and Sinopec’s plan to build new infrastructure to double its LNG receiving capacity in China over the next six years. ExxonMobil plans to make an FID this year on a multi-billion dollar expansion at its Singapore refinery and petrochemical complex.

Sapura Energy Berhad and its partners Petronas Carigali and Sarawak Shell Berhad are to develop the Bakong, Goek and Larak gas fields offshore Malaysia with production destined for Petronas’s MLNG complex.