Specialist
Former General Manager at Schlumberger (China) Investment Co Ltd
Agenda
- Oil and gas drilling cost dynamics and cost breakdown
- Oil and gas drilling equipment, demand, equipment price dynamics and opportunities for Chinese equipment manufacturers, especially drill bit manufacturers
- Cutting-edge oil and gas drilling technologies in China, Chinese companies’ technology barriers and core advantages of foreign drilling platforms
- Considerations on self-operating or outsourcing drilling projects, selection criteria on service providers, service providers’ day rate and EBITDA dynamics
- Key operational metrics of drilling, efficiency improvement strategies and safeguard measures
Questions
1.
Could you first analyse the oil price trends in 2020, especially in H2? People would probably expect the price to restore to USD 50-60 per barrel at the end of this year. Could you introduce the different opinions in the industry regarding the price trends in H2 as well as your personal opinion?
2.
Let’s talk about the drilling sector. The cost could largely vary with different drilling depths in different regions. Could you introduce the drilling costs in China and the potential cost dynamics in the future as well as the major influencing factors?
3.
What are the potential day rate dynamics of drilling services?
4.
When the oil price was USD 20-40 per barrel, drilling companies adopted certain strategies. When the oil price restores to USD 50-60 per barrel, they will switch to different strategies accordingly. Could you introduce the drilling strategies, methods and key cost reduction trends under different oil prices?
5.
Could you further explain how electrification could help with drilling cost reduction?
6.
Could you talk about the competition among major Chinese drilling equipment manufacturers as well as their advantages and disadvantages respectively?
7.
What are Kerui Petroleum’s core advantages and competencies in drilling rig manufacturing?
8.
Will there be more opportunities for Chinese drilling rig manufacturers? Or will the current market pattern remain?
9.
Could you predict the next time for replacing existing equipment concerning equipment service cycle and depreciation?
10.
You just said drilling rig electrification can help to reduce drilling costs. Can electric generator retain its cost advantage if oil price falls sharply?
11.
What are the new trends in oil and gas companies’ operation and outsourcing of well services including drilling and completion? Because CNPC, Sinopec and CNOOC have branches targeting oilfield service, will they continue outsourcing projects and how is the outlook of private oil service providers?
12.
What do you think of Anton Oilfield Services (Anton)? What are its core competencies and future growth points? How about the potential risks or challenges it may face?
13.
Considering the day rate, what will the returns of outsourced projects be like if the oil price drops to USD 50-60 per barrel?
14.
What are the current major technical barriers to Chinese drilling companies?
15.
The production of natural gas has grown fast in China over the past few months. Will the country always sustain such high-speed growth?
16.
The US has become a gas exporter due to its success in shale gas. Do you think China can copy the success of the US? As you said, the various plans do not deliver the anticipated results. Then, what major barriers does China face in the development of shale gas?
17.
Has it ever occurred to drilling companies in the oil and gas industry that water shortages will beset the production of oil and gas?
18.
What are the safeguard measures of drilling companies, such as those for staff safety? In which aspects do they still have room for improvement?
19.
From the perspective of environmental protection or social responsibility, where do you think oil and gas companies will invest?
20.
Will Chinese companies conduct more offshore drilling projects than they do?
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