...CIMA Global Business Challenge Case Study YJ - Oil and gas industry YJ - Oil and gas industry case Industry background Oil is a naturally formed liquid found in the Earth’s crust and preserved there for many millions of years. Oil is being extracted in increasing volumes and is vital to many industries for maintaining industrial growth and for nearly all forms of transportation. Natural gas is used in a wide variety of industrial processes, for electricity generation, as well as for domestic heating. Natural gas is described as the “cleanest” of all fossil fuels, as it generates the lowest levels of carbon emissions of all of the fossil fuels. The Middle East remains the region of the world which has the largest proven oil reserves, with Saudi Arabia alone possessing over 20% of the known global oil reserves. Additionally, the UK’s North Sea and areas in USA, Canada and Russia still have substantial reserves. Also there is an increase in oil and gas exploration being undertaken in, and around the coasts of, Asian and African countries. It is not known how long the world's oil reserves will last. The oil industry has stated that there are only 40 years of proven reserves. However, with improved technology, there is expected to be the ability to extract more oil from known reserves. Therefore, the length of time that oil reserves will last is expected to exceed 40 years. However, another factor affecting the life of oil reserves is the speed of consumption. This had been forecast...
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...2. Oil and gas sector This chapter begins with an overview of the oil and gas industry in Malaysia. Description of the value chain of the industry is given in section 2.2, followed by the industry’s economic performance in section 2.3. Section 2.4 focuses on the scope of the inquiry regarding issues in the oil and gas industry. 2.1 Oil and gas industry in Malaysia This section provides an overview of the oil and gas industry in Malaysia. 2.1.1 History Oil and gas production have been a mainstay of Malaysia’s growth since oil was first drilled in 1910 in Miri, Sarawak. The first oil well (known as The Grand Old Lady) which was discovered by Shell, started with a production of 83 barrels per day (bbls/d) and reached a maximum of 15,000 bbls/d in 1929. There were no other drilling activities elsewhere in Borneo or Peninsular Malaya until the 1950s. [1, 2, 3] Petroleum activities began increasing significantly in 1960s due to the discovery and development of offshore fields in Borneo. The late 1960s saw the beginning of offshore oil exploration in the east coast of Peninsular Malaysia. In the 1970s, some oil fields in Malaysia were producing 90,000 to 99,000 bbls/d. [2] In the early days, foreign oil companies dominated the oil and gas industry in Malaysia with Shell and Esso being the two major players. This was followed by several other foreign companies such as Conoco, Mobil, Aquitaine, Oceanic and Teiseki. The national company, Petronas came on to the scene in...
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...VENEZUELA OIL AND GAS INDUSTRY (PDVSA) NAME: INSTITUTION: Venezuela is among world’s leading oil and gas industry holders. It is ranked 13th among the world’s largest oil producers and 10th among the exporters. Notably, it has historically been one of the United States largest sources of oil imports. These key contributions in the world attract experts’ opinions about Venezuela’s future trends in the industry. It is majorly dependent on key factors such as the customer needs, state of economies and the environmental changes in the country. The increasing customer needs has had a major role in the prediction of future trends in the oil and gas industry in Venezuela. Globally the customer demand influences the world peak oil; this refers to when the rate of oil production enters its maximum level. Some petroleum experts such as Kenneth Deffeyes and Matthew Simmons believe that the increased dependence of agricultural, industrial, and transport systems on low cost and availability of oil have negative impacts on the gas and oil industry (World crisis.net, 2008). If strategic economic changes are only in response to high prices and shortages rather than a threat of the peak, then the rate of economic damage to importing countries would only depend on how rapid oil imports decline after the peak. The oil demand is projected to grow to increase by over 30% from current levels by 2030. Venezuela been a key source of oil means that it will play a key role to try and meet the need...
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...Value Chain of the Oil and Gas Industry Main Suppliers Production: Top Natural Gas Producers -Russia -Canada (Sands) -Iran*** -Norway -Algeria -Indonesia -Saudi Arabia -Turkmenistan -Malaysia Production: Top Natural Gas Producers -Russia -Canada (Sands) -Iran*** -Norway -Algeria -Indonesia -Saudi Arabia -Turkmenistan -Malaysia Production: Top Oil Producers * Saudi Arabia * Russia*** * U.A.E * Canada * Venezuela * Kuwait * Nigeria * Mexico * China * Iran Production: Top Oil Producers * Saudi Arabia * Russia*** * U.A.E * Canada * Venezuela * Kuwait * Nigeria * Mexico * China * Iran Oil (*** top producer) Natural Gas (*** top producer) OPEC: Organization of the Petroleum Exporting Countries- aim in the oil and gas industry is to shift the bargaining power from the large oil companies to the producing countries Member Countries: Algeria, Angola, Ecuador, Iran, Iraq, Kuwait, Libya, Nigeria, Qatar, Saudi Arabia, United Arab Emirates, Venezula OPEC: Organization of the Petroleum Exporting Countries- aim in the oil and gas industry is to shift the bargaining power from the large oil companies to the producing countries Member Countries: Algeria, Angola, Ecuador, Iran, Iraq, Kuwait, Libya, Nigeria, Qatar, Saudi Arabia, United Arab Emirates, Venezula Preference Major Competitors IOC’s (Integrated Oil Companies)- companies that...
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...Oil and natural gas touch our lives in countless ways every day. Together, they supply more than 60 percent of our nation’s energy. They fuel our cars, heat our homes and cook our food. But did you know that oil and natural gas also help generate the electricity that powers our daily lives? Or that crude oil supplies the building blocks for everything from dent-resistant car fenders to soft drink bottles to camping equipment? Explore this section to learn more about oil and natural gas, how they are produced and how they become the products you count on. You'll also find useful tips on how to conserve energy and use oil and natural gas products in ways that protect you, your family and our environment. Wells to Consumer Interactive Diagram This interactive diagram that shows the journey of oil and natural gas from Exploration and Production to the final products that benefit consumers. Exploration and Production Access to oil and natural gas resources is critical to supplying the energy needs of American consumers, business and homeowners. Transporting Oil and Natural Gas Supply and demand are rarely concentrated in the same place. Transportation therefore is vital to ensuring the reliable and affordable flow of petroleum we all count on to fuel our cars, heat our homes and improve the quality of our lives. Fuels and Refining America's refiners are a strategic asset for the United States, and maintaining a viable domestic refining industry is critical to the nation's...
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...www.businessmonitor.com Q4 2012 QataR oil & Gas RepoRt INCLUDES BMI'S FORECASTS issN 1748-4189 published by Business Monitor international ltd. QATAR OIL & GAS REPORT Q4 2012 INCLUDES 10-YEAR FORECASTS TO 2021 Part of BMI's Industry Report & Forecasts Series Published by: Business Monitor International Copy deadline: September 2012 Business Monitor International 85 Queen Victoria Street London EC4V 4AB UK Tel: +44 (0) 20 7248 0468 Fax: +44 (0) 20 7248 0467 Email: subs@businessmonitor.com Web: http://www.businessmonitor.com © 2012 Business Monitor International. All rights reserved. All information contained in this publication is copyrighted in the name of Business Monitor International, and as such no part of this publication may be reproduced, repackaged, redistributed, resold in whole or in any part, or used in any form or by any means graphic, electronic or mechanical, including photocopying, recording, taping, or by information storage or retrieval, or by any other means, without the express written consent of the publisher. DISCLAIMER All information contained in this publication has been researched and compiled from sources believed to be accurate and reliable at the time of publishing. However, in view of the natural scope for human and/or mechanical error, either at source or during production, Business Monitor International accepts no liability whatsoever for any loss or damage resulting from errors, inaccuracies or omissions affecting...
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...Table of Contents Chapter 1 INRODUCTION 1.1 Company Background, Geographical area 1.2 Overall investment in Oil and gas production 1.3 Vision, Mission statements, goal, objective 1.4 Competitive advantages Chapter 2 Strategic Management process 2.1 Competitive advantages 2.2 External Analysis ( PESTEL, Industry analysis using Poters five forces) 2.3 Internal Analysis (Resources and capabilities of the company) 2.4 SWOT Analysis Chapter 3 Strategy Formulation. 3.1 Business level strategies 3.2 Corporate level strategies Chapter 4 Strategy Implementation 4.1 Structure, control, corporate governance, culture, business ethics, 4.2 Decision making structure, CSR Chapter 5 Conclusion & Recommendation 5.1 Conclusion 5.2 Recommendation 5.3 References 5.4 Appendices ( Appendix A,B,C,D) Chapter 1 INRODUCTION I had an...
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...Petroleum refers to the hydrocarbon compounds of crude oil and natural gas that are found in the underground rock formations Reservoirs are generally thousands of feet below the surface and are made up of the remains of small marine plants and animals that lived millions of years ago. Petroleum may also seep to the earth’s surface along fault lines and cracks Petroleum refers to both crude oil and natural gas Modern uses of petroleum and its byproducts include: Transportation fuels (gasoline, diesel, jet fuel, and compresses natural gas) Heating Fuels (Propane, heating oil and natural gas) Electric Generation fuels such as natural gas and fuel oil Manufactured products such as plastics and building materials. Crude oil refers to unrefined hydrocarbon mixtures produced from underground reservoirs that are liquid at atmospheric pressure and temperature Classified as either light or heavy depending on the density of the mixture Density is measured in API gravity Heavy crude oil has more of the longer, larger hydrocarbon molecules (greater density) Difficult to produce and transport to market; more expensive to process; weighs more but sells for less Natural Gas refers to hydrocarbon mixtures that are NOT liquid but gaseous at normal atmospheric pressure and temperature. Natural Gas is largely methane, which is a clear, odorless gas. It has the smallest natural hydrocarbon molecule (CH4). Natural Gas mare also contain some of the larger hydrocarbon molecules commonly...
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...Royal Dutch Shell PLC RDS.A [pic][pic][pic][pic][pic] [pic][pic] [pic] | | |[pic][pic] | |[pic] | |[pic] | |[pic] | | | | | | | |[pic] | |[pic] ...
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...STRATEGIC MANAGEMENT IN THE NIGERIAN OIL INDUSTRY WITHIN AN UNSTABLE ECONOMIC AND POLITICAL ENVIRONMENT AKINJIDE ODUNLAMI DECEMBER 31ST 2010 Table of Contents Introduction 3 The Oil Industry in Nigeria 3 Oil industry and the Nigerian Economy 5 Social and Environmental Impact 6 Strategy in the Nigerian Oil Industry 8 Managing External and Internal Forces 8 Assumptions 9 Key Strategic Activities 10 1. Timely Funding of the Joint Venture Cash Calls 10 2. Operational Efficiency 11 3. Cost Reduction and Leadership 11 4. Capacity Building 13 5. Facility Integrity and Innovation 14 6. Sustainable Development 14 7. Gas Utilisation 16 8. Security 16 Strategic Fit and Sustainability 17 Strategic planning and management system 17 Balanced Score Card 17 References 18 Introduction This paper considers Strategic management in the oil industry to deliver value and economic development in an economy very much dependent on crude oil revenue and with a fluctuating local currency rate against the US Dollar coupled with a volatile political climate with attendant security concerns. The industry, economy and political environment in focus here are those of Nigeria, a developing West African country. Within the context and space constraints of the Nigerian economic, political and social climate, an oil company must carefully define and manage its Corporate Strategy such...
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...NAJIBELFITOURI@GMAIL.COM +1-506-455-5166 Objective: • Oil and Gas Processing /Chemical Process Engineering Job in Oil and Gas Fields. • To evolve around creating processes and designs, as well as maintenance and operations duties in a variety of different disciplines. • Performing Engineering Studies, improving all the existing projects and supervising the new installation and performing of the commissioning, Issuing work orders and safety procedures to maintain and repair any pipeline, vessel, storage tanks, separators, dehydrators, manifolds, and all other oil/gas relative equipments based on the approved Codes. Design, any required fabrications and modifications. Updating all the related drawings, drafting and as built, (P&ID drawings, Piping drawings, and Mechanical drawings). Preparing all the required reports (daily, weekly, and annually reports). Summary of Qualifications Earned value management, supported by a solid grasp of the fundamental components of Project Controls including scope definition, cost estimating, change management, cost management, scheduling, project reporting, earned value analysis and risk management • Over ten years’ experience teaching and performing research at the university level • Over 15 years’ experience in capital projects management, overseeing a variety of oil and gas fields, from extraction to processing and shipping. • Used Natural gas treating solutions, including amine plants,...
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...holding company, is the implementation of upstream and downstream, domestic and foreign trade, production and marketing integration, according to the modern enterprise system and the operation of trans-regional, cross-sectoral, cross-border operations, integrated oil companies. As China's largest crude oil, natural gas producer, suppliers and the largest oil refining producer and suppliers, China National Petroleum Group is involved in oil, gas exploration and development, refining chemicals, pipeline transportation, oil and gas refinery product sales, petroleum engineering technical services, petroleum machinery manufacturing, oil trade and other fields, in China's oil and gas production, processing and market-dominant position in the U.S. "oil Intelligence Weekly" top 50 ranking of the world's oil companies, China National Petroleum Group, ranked No. 10 , in the "Fortune" magazine published in 2004, ranking the world's top 500 enterprises, from the previous year's first 69 upgraded to 52 bits, ranking ahead of 17. China National Petroleum Group registered a total capital of 114.9 billion Yuan, the existing total assets of 736.2 billion Yuan in China in the northeast, north, northwest, southwest vast region has 13 large and giant oil and gas field enterprises, 16 large and giant Oil Refinery and Chemical Company, 19 oil-marketing companies and a large number of research institutes and oil petroleum and petrochemical construction operations, technical services, machinery manufacturing...
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...Introduction Oil and gas industry of Kazakhstan is the largest and most dynamic industry, which provides a stable increase in crude oil and natural gas. In the Kazakhstan sector of the Caspian Sea, there is continuing evaluation of public oil and gas fields with large reserves of hydrocarbons. Potential hydrocarbon of the Republic of Kazakhstan is estimated sufficiently significant in the total world reserves. Kazakhstan holds big hydrocarbon reserves, including potentially the second largest oil reserves in the world (US Energy Information Administration). According to official data from the Ministry of Oil and Gas of Republic of Kazakhstan, confirmed hydrocarbon reserves, both onshore and offshore, are estimated to be 4.8 billion tons or more than 35 billion barrels for 2012. Kazakhstan possesses unique geographical features that lead the country’s oil and gas cluster to be spread throughout the entire country, instead of one specific geographical area. Around 70% of Kazakhstan’s oil and gas reserves, both onshore and offshore, are concentrated in Western Kazakhstan around the city of Atyrau. Some oil reserves are also located in Southern Kazakhstan but the prospects for new discoveries there are not very promising (US-Kazakhstan Business Association). The majority of hydrocarbon reserves are located in the oil- and gas-rich regions of Kashagan, Tengiz and Karachaganak. The discovery of the Kashagan Field in 2000 is considered to be the largest oil field discovery...
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...Strategic Research Project Analysis: NOBLE ENERGY, INC Respectfully Submitted to: Dr Shengsheng Charlie Huang Strategic Management MGMT 4309- Fall 2013 Table of Contents 1. Executive Summary 2. Introduction 3.1 Company Background 3.2 Purpose of the study 3. External Analysis 4.3 General Environmental Analysis 4.4.1 Demographic Segment 4.4.2 Economic Segment 4.4.3 Political/Legal Segment 4.4.4 Socio-Cultural Segment 4.4.5 Technological Segment 4.4.6 Global Segment 4.4.7 Summary of the General Environmental Analysis 4.4.8 Industry Driving Forces 4.4 Industry Analysis 4.5.9 Description of the Industry 4.5.10 Industry Dominant Economic Features 4.5.11.1 Market Size 4.5.11.2 Market Growth Rate 4.5.11.3 Industry Trends 4.5.11 Five Forces Analysis 4.5.12.4 Threats of New Entrants 4.5.12.5 Power of Suppliers 4.5.12.6 Power of Buyers 4.5.12.7 Power of Substitutes 4.5.12.8 Intensity of Rivalry 4.5.12.9 Summary of Industry Analysis 4.5 Competition Analysis 4.6.12 Industry Competitors 4.6.13 Rivals Anticipated Strategic Moves 4.6.14 Summary of Competitive Analysis 4.6.15 Key Success Factors 4. Internal Analysis 4.1 Organizational Analysis 4.1.1 Corporate Values...
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...Production and Operations Management Strayer University May 14, 2011 Production and Operations Management On April 20, 2010, the Deepwater Horizon drilling rig exploded fifty miles from the coast of Louisiana, killing eleven men and setting off the largest oil disaster in U.S. history. Its impact would reverberate well beyond the Deepwater Horizon and the families of the eleven men who died, and even beyond the people and places of the Gulf of Mexico. Known as the BP spill, this tragedy seemingly was not an isolated incident. According to Juhasz (2011), “BP was not a lone actor; rather, this tragedy was the predictable outcome of an industry that has pushed well beyond its own technological capacity and beyond the government’s ability to regulate it” (p. 2). This oil well disaster has had important ramifications for the future of our country. In order to tackle the nation’s energy crisis, there must be an establishment of an orderly transition from crude oil to an affordable, sustainable energy future. The purpose of this paper is to explore ways of converting crude oil to consumer fuels. The paper will examine Marathon Oil’s product process and give a determination as to which phase shows a need for the greatest efficiency improvements. In addition, the paper will address the retail price of gasoline and its relation to the world’s demand for crude oil, as well as what Marathon can do to keep the gas prices the same without losing profits even if global crude...
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