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Follow a sub category for more resources or read more about the upstream sector and the subcategories we track in the overview section below.
- Exploration and production (E&P)
- Drilling, well, and oilfield services:
- Engineering and Consulting
Overview
The upstream sector of the energy industry is responsible for the exploration, development, and production of fossil fuel resources of coal, crude oil, natural gas, and uranium. For coal, the upstream sector involves identifying coal deposits through geological surveys, constructing and operating mines, and transporting the coal to processing facilities or end-users. For crude oil and natural gas, the upstream sector includes exploring for deposits, drilling wells, and extracting the oil or gas. For uranium, the upstream sector involves exploring for and developing deposits, and extracting uranium for use in nuclear power generation. The upstream sector plays a critical role in the energy industry, as it is responsible for the initial stages of bringing energy resources to market. The upstream sector together with the midstream sector and the downstream sector make up the conventional energy supply chain for fossil fuels.
The upstream sector is capital intensive, requiring significant investment in exploration, drilling, and production. Additionally, the exploration and production of oil and gas can involve significant environmental and safety risks, including oil spills, blowouts, and other accidents.
Companies in the sector compete on a global stage with operations in many countries around the world. The largest oil and gas reserves are located in the Middle East, but there are also significant reserves in other regions, such as North America and Russia. It’s considered the most risky and capital-intensive part of the supply chain, as it involves significant investment in exploration, drilling, and infrastructure, as well as the uncertainty of finding commercially viable deposits. However, it is also considered the most lucrative part of the supply chain, as successful discoveries can generate substantial profits for companies involved in the sector.
The sector comprises several subcategories – for simplicity’s sake we focus on exploration and production (E&P), drilling, well, and oilfield services, and engineering & consulting but many analysts focus on land issues, rigs, asset management, seismic surveying, environmental/regulatory compliance and more
Exploration and production (E&P) involves identifying potential areas where oil, natural gas, or coal may be present, analyzing the geology of the region, and assessing the viability of extracting these resources. The subcategory includes activities such as seismic surveys, geophysical analysis, and drilling test wells to determine the presence of oil or gas.
Drilling, well, and oilfield services: focuses on drilling and well completion activities. It includes designing and constructing wells, installing wellheads, casing and tubing, and production facilities, and providing equipment and services for drilling and production operations. This subcategory encompasses a wide range of activities, such as drilling mud engineering, hydraulic fracturing, and cementing.
Engineering and consulting this subcategory provides a range of technical services, including feasibility studies, conceptual and detailed design, project management, and environmental and social impact assessments. This subcategory plays an essential role in planning and designing infrastructure for exploration and production operations, including pipelines, storage facilities, and processing plants.
Challenges
The upstream sector faces various challenges, including economic, technological, and environmental factors. It requires significant investments in technology and infrastructure, as well as significant exploration costs. Moreover, the sector must adhere to strict environmental regulations and face the risks associated with accidents and oil spills. Therefore, it is essential to maintain a balance between technological innovation and environmental protection to ensure the sector’s sustainable growth and long-term viability.
Helpful Sites
As an energy industry professional in the upstream sector, here are some of the top websites you may want to visit:
- Oil & Gas Journal: The Oil & Gas Journal is a leading trade publication that covers news and analysis on the global oil and gas industry. It offers a wealth of information on upstream activities, including exploration, drilling, production, and refining.
- Offshore Technology: Offshore Technology is a website that provides news, analysis, and insights on the offshore oil and gas industry. It offers in-depth coverage of exploration, drilling, production, and the latest technological innovations in the sector.
- Rigzone: Rigzone is a global platform that offers news, jobs, and industry insights on the oil and gas sector. It has a specific section dedicated to upstream activities, which includes drilling, exploration, and production.
- Oil Price: Oil Price is a website that offers news and analysis on the global oil and gas industry, including the upstream sector. It provides up-to-date information on oil prices, industry trends, and market analysis.
- Energy Information Administration (EIA): The EIA is a government agency that provides official energy statistics and analysis on the global oil and gas industry, including data on exploration, production, and refining. Its website offers a wide range of reports, data, and analysis that can be useful for professionals in the upstream sector.
- American Petroleum Institute (API): The API is a trade association that represents the oil and gas industry in the United States. Its website provides industry news, technical standards, and policy analysis, which can be helpful for professionals working in the upstream sector in the U.S.
- Upstream Online: Upstream Online is a news and analysis website that covers the global upstream oil and gas industry, including exploration, drilling, and production. The website provides daily news updates, analysis, and industry reports.
- World Oil: World Oil is a magazine and website that provides news, analysis, and insights on the global oil and gas industry. Its website covers upstream activities, including drilling, exploration, and production, and also includes technical articles, data, and industry reports.
- SPE: The Society of Petroleum Engineers (SPE) is a professional organization that supports engineers, scientists, and other professionals working in the upstream sector. Its website provides news, technical resources, training, and networking opportunities for members.
- Upstream Intelligence: Upstream Intelligence is a business intelligence platform that provides news, analysis, and research on the global oil and gas industry. Its website covers upstream activities, including exploration, drilling, and production, and provides data and insights on industry trends.
- Oilfield Technology: Oilfield Technology is a magazine and website that provides news, analysis, and insights on the upstream oil and gas industry, with a focus on drilling, exploration, and production. It also includes technical articles, case studies, and industry reports.
- Oil and Gas Investor: Oil and Gas Investor is a magazine and website that provides news and analysis on the upstream oil and gas industry. Its website covers exploration, drilling, and production, and provides insights on market trends, investments, and industry developments.
- Oil & Gas Journal: https://www.ogj.com/
- Offshore Technology: https://www.offshore-technology.com/
- Rigzone: https://www.rigzone.com/
- Oil Price: https://oilprice.com/
- Energy Information Administration (EIA): https://www.eia.gov/
- American Petroleum Institute (API): https://www.api.org/
- Upstream Online: https://www.upstreamonline.com/
- World Oil: https://www.worldoil.com/
- SPE: https://www.spe.org/
- Upstream Intelligence: https://www.upstreamintelligence.com/
- Oilfield Technology: https://www.oilfieldtechnology.com/
- Oil and Gas Investor: https://www.oilandgasinvestor.com/