Strate­gies ex­pected to pro­duce most cost re­duc­tions

Oil & Gas Middle East - - IN NUMBERS -

tives look­ing to cut costs. In­vest­ment into dig­i­tal was a dis­tant third on their list of pri­or­i­ties.

Over­all, across the value chain, Deloitte noted con­fi­dence in an im­prov­ing busi­ness en­vi­ron­ment. A key com­pet­i­tive strat­egy for oil and gas ex­ec­u­tives is merg­ers and ac­qui­si­tions, with the oil­field ser­vices seg­ment per­ceived to have the high­est con­sol­i­da­tion po­ten­tial. Con­sol­i­da­tion through merg­ers and ac­qui­si­tion was noted as a route to scale, fo­cus and con­trol costs.

With an un­cer­tain fu­ture for oil prices, up­stream ex­ec­u­tives were gen­er­ally un­sure of the ideal fo­cus ar­eas for 2019—the sur­vey found that ex­ec­u­tives were “split be­tween fo­cus­ing on growth, main­tain­ing the sta­tus quo and stream­lin­ing the busi­ness. This re­flects ex­ec­u­tives’ out­look on oil and gas prices.”

Newspapers in English

Newspapers from UAE

© PressReader. All rights reserved.