Gas and Oil Industry Update: August 2019

Gas and Oil Industry Update: August 2019

Oil prices have been volatile within a fairly tight range in 2019. In many ways, the year has been a recovery from the previous year in which the price plunged in November. Several news events have caused the price to be shaky throughout the year, such as Trump’s tariffs and trade wars, Iran sanctions, and the United States stepping up production on domestic shale oil. Here are some important points to know about gas and oil in August 2019. State of Oil Production A recent Deloitte survey found that executives of oil, gas, and chemical companies were confident about industry growth in 2019. Although the overall market has been volatile during the summer of 2019, investors should take note of the trading opportunities in the $55 to $65 price range of crude oil. The Dow has fallen from its record high this summer mainly as a response to President Trump threatening additional tariffs. These tariffs drive up business expenses even for U.S. oil companies. The oil and gas industries are vulnerable because of the need for specialized steel for refineries. One of the main energy issues in 2019 is sustainability. Several reports are starting to show that renewable energy is beating fossil fuels in cost efficiency. Investors are becoming increasingly interested in sustainability, which affects a corporation’s image and balance sheet. Cutting energy costs is now a top priority among many large corporations. The oil industry now faces tough challenges for competing with solar and wind energy in the future. Keeping up with oil and gas industry news is essential for oil investors. Oil Companies Diversify Several oil and...
Sustainability Challenges For The Gas And Oil Industry

Sustainability Challenges For The Gas And Oil Industry

The oil and gas industry is such a crucial sector of the global economy and the sustainability of human life. As of 2017, the global dependency on oil and gas sources of energy topped to about 4 trillion cubic meters of the energy resources. With the increased demand comes additional sustainability challenges that threaten to impact the highly demanded production severely. High Risk Of Accidents One thing that clearly defines the oil and gas production sector is the increased threshold of risk to accidents. Oil production companies operate in otherwise risky grounds such as offshore drilling areas in the high seas. The risk of accident in such environments is quite high. Some of the dominant kinds of accidents that have plagued the sector in the past include leakage of toxic oil and gas, leading to severe environmental pollution. Whereas oil mining companies have been on the forefront as far as risk mitigation is concerned, human error has been a major predominant issue which has led to some of the worst oil and gas accidents in the history of the industry. The threshold of such accidents and the potential impacts they have on the environment is so potent that it threatens the sustainability of the entire sector even as environmentalists move on high gear, calling for resourceful utilization of the environment. Straining Of The Existing Resources  The existing resources in terms of deposits of oil and gas, are facing a major constraint in our time. All companies have to increase their production to meet the expanded demand for commodities. In response, the companies have invested in more oil and gas...