As oil prices plunged late in 2014, the industry response has been far-reaching, leading to reductions in headcount and other cost cutting measures. Capital budgets have been cut, and frontier exploration activity has waned. While response to such a drastic move in commodity price was certainly necessary, we have seen that the most successful organisations are taking time to re-set, re-strategise and plan for the upturn in prices, which will inevitably come. Africa should be no exception as many of the frontier exploration plays lie on this continent. At PwC, we have termed this opportunity as moving from ‘fragile to agile’.
This review of developments in the African oil & gas industry is our fourth in a series of similar reviews. It represents the experience and views of industry players across Africa, including international oil companies operating in Africa, national oil companies, oilfield service companies, independent oil companies and industry commentators, who have provided vital insight into the latest developments impacting the industry in this region in the last 12 months in the major and emerging African oil & gas markets.
Other topics covered include:
We trust that this synopsis of the key happenings in these markets will help you prepare your organisation for these industry changes.