Exploration businesses remain on back foot

The oil and gas exploration sector is unlikely to see a surge in activity in 2018 despite emerging from an industry downturn, experts have said.

Releasing the findings of a report entitled Exploration themes: Five Things to Look for in 2018, consultancy Wood Mackenzie said it expected fewer explorers focused on fewer plays, with investment levels remaining supressed. But it also pointed to a “long overdue” move back to profitability.

Andrew Latham, vice president of research, global exploration, said: “We expect most companies will maintain a highly cautious approach to exploration for a while yet. Competition for the best opportunities will be fierce.”