Oil Exploration, Production Spending Rising – Report

(Reuters) – Oil companies will boost worldwide oil exploration and production spending by more than 22 percent this year, due in part to a jump in oilfield services and drilling costs, according to a study released Monday by Citigroup Research.

The study, which surveyed 211 independent and public oil companies, showed oil companies are planning to spend about $253 billion worldwide to find and produce oil — up from $207 billion in 2005.

It would be the biggest jump in global exploration and production spending since 2001, and comes as oil prices hover near their record highs over $70 a barrel.
Reuters