Redefining the upstream industry: the new leadership agenda

The upstream industry has seen rapid transformation in recent years. Technology has been instrumental in this, as companies have focused on cost resilience by leveraging AI and digital technologies. Additionally, capital investment in the oil and gas sector will need to scale to meet rising demand – supporting long-term energy security while maximising shareholder value.

For upstream energy leaders, strategies can include both growth and consolidation in the form of portfolio diversification, strategic acquisitions and mergers, and scaling operations. In addition, with increased supply and lower oil price forecasts, cost reduction is imperative, and operators must champion integrated solutions across all operational aspects.

Additionally, investments can accelerate breakthroughs in scalable technologies such as renewable energy integration, carbon capture and storage (CCS), and Direct Air Capture (DAC), as well as advanced analytics to increase energy and production efficiency. Challenges remain in finding the right balance between decarbonisation and profitability priorities, which upstream leaders will have to navigate while simultaneously maintaining targets amidst shifting market dynamics.

Attendee insights:

Learn from energy companies about what their priorities are in upstream and how they are changing their business models to adapt to the current industry needs.

Decarbonising operations across upstream, midstream and downstream

Oil and gas operations account for 15% of total energy-related Scope 1 and 2 emissions globally. To meet the IEA’s Net Zero Emissions by 2050 scenario, Scope 1 and 2 emissions must be reduced by 50% by 2030. Producers have the means to achieve this target, including reducing methane emissions, the elimination of non-emergency flaring, the clean electrification of upstream facilities and equipping oil and gas processes with CCUS technologies. However, an estimated US $600 billion in investment will be needed to deliver the 50% reduction in the timeframe required. In addition, collaboration between sectors will be critical when optimising supply chain operations, allowing for greater efficiencies and increased profitability.

Attendee insights:

Understand what is needed to decarbonise upstream, midstream and downstream operations, addressing the necessary requirements related to Scope 1 and 2 emissions and identifying the effective levers for decarbonisation.