The total oil and gas contract value reached $42bn in the second quarter of 2019, even as crude prices have plummeted over the first six months of the year
The global contract value in the oil and gas industry reached $42bn in the second quarter of 2019, up 79% from the $23.4bn recorded in the first quarter of this year, according to GlobalData.
The market intelligence firm also highlighted a decrease in the number of contracts over the first six months of the year, from 1,453 in its first quarter to 1,283 in the second.
The upstream sector accounted for 858 of these, more than 70%, while the midstream and downstream sectors hosted 245 and 100, respectively.
The largest single majority of these contracts came from Europe, which accounted for 37% (471) of the total, followed by North America at 33% (421).
Oil and gas contract value soars as crude prices slide over 2019
Despite the rise in oil and gas contract value, crude prices fell to $57 per barrel last week, their lowest point so far in 2019, with demand continuing to fall short of supply.
Brent crude, specifically, dropped to its lowest point since January at $56.67 a barrel, 25% below its current 2019 peak in April, while Western Texas Immediate has taken a 4% hit to $52.04 per barrel.
Share prices in some of the world’s biggest oil companies have slid at a commensurate rate, with ExxonMobil, BP and Royal Dutch Shell falling 7% over the past seven days.
Analysts have blamed the poor numbers on continuing trade tensions between the US and China, with President Trump’s most recent set of tariffs adding fuel to the fire.
Columbia home to most discoveries in Q2 2019
Last month, GlobalData highlighted Columbia as having the most oil and gas discoveries in the second quarter of this year with a total of seven, followed by India, Russia and Pakistan, with three in each.
Operator Gran Tierra Energy made the highest number of discoveries in Columbia during the three-month period, a total of three, while Canacol Energy, Arrow Exploration Corp, Ecopetrol and Parex Resources each made one.