Oil and Gas

Completion Date:

12-14-2021

Problem Statement

Oil and gas production experienced a world-historic challenge in 2020 when the COVID-19 pandemic hit, leading to negative oil trade numbers in April 2020. In 2020, the capital expenditure for the upstream oil and gas projects worldwide fell more than 25% which was approximately $305 billion. The forecast for 2021 is expected to increase by 2% to $310 billion below pre-pandemic levels (Statista). The low oil and gas prices led to oil companies reducing both production and cost. The restrictions on movement and consumer demands due to the pandemic have caused many major and super companies to merge in an attempt to survive while 46 North American exploration and production (E&P) companies filed for bankruptcy in 2020 only.