The surge in tight oil production from the U.S. has forced companies in conventional plays to optimize operations to stay competive.
Consultancy Wood Mackenzie indicates that while the price crash was painful for conventional producers, they have made gains: many conventional pre-Final Investment Decision (FID) projects are now competitive with Lower 48 breakevens.
Harry Paton, Senior Analyst, Global Oil Supply, said: “Costs have come down significantly since 2015. And the number of deepwater FIDs taken at the end of 2017 indicates a mood of quiet optimism in the upstream sector...
Source:maritime-executive.com