Oil price volatility report

Operations & project realities

Would you describe your outlook for 2016 as... 19+81+E 19% Optimistic 81% Concerned

81+19+E

Industry drivers Is this just a rough patch or is the world of “Big Oil” changing forever? While the oil price may recover eventually, significant changes to business models and operational strategies are likely to result from the seismic impact of innovation on the sector, from the shale revolution to greater investment in renewables. The need for greater agility is clear. While over a fifth (21%) of our survey respondents say they will be focussing on smaller and/or more flexible capital-light projects as their number one strategy, virtually none (1%) thought they would instead focus on fewer but larger projects with heavy capital.

What one strategy would you drive as a priority in light of the current market conditions?

21% Focus on smaller and/ or more flexible capital- light projects

10% Generating a more innovative and efficient supply chain

5% Enhancement or development of downstream capabilities

5% Enhancement or development of upstream capabilities

1% Focus on fewer but larger projects with heavy capital

32% Restructuring of the business or assets

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