CERA Conference 2005

Harnessing the Storm—Investment Challenges and the Future of the Oil Value Chain

An estimated 20 million barrels per day of net new oil production capacity will be needed by 2010—requiring about 50 million barrels of gross new production to offset anticipated declines in existing fields. What are the major constraints to achieving this growth? How well companies anticipate and manage these constraints may affect who are the winners and losers over the next decade.

Accenture and Cambridge Energy Research Associates (CERA) have explored these issues in a new study called Harnessing the Storm—Investment Challenges and the Future of the Oil Value Chain.

With the participation of 16 companies operating across the energy industry value chain, Harnessing the Storm identifies four important potential constraints to profitability for the oil and gas industries through 2010:

Competing growth targets.
Limited availability of critical infrastructure.
Shortage of skilled workers.
Inadequate access to capital.

The study suggests that energy companies must therefore anticipate and resolve key supply chain issues while adapting to fluctuations in commodity prices.

For more information about Harnessing the Storm, please visit www.cera.com.