Report: North America to have highest capital expenditure on projects by 2021


North America is set to have the highest capital expenditure on planned and announced projects by 2021, according to a report by GlobalData. 

Titled ‘Monthly Global Upstream Review, July 2017 - North America has the Highest Development Costs for Planned and Announced Projects’, the report forecasts the global oil and gas production to increase by 3.8% between 2017 and 2021. It also projects the total production outlook to increase to 61,875 million metric barrels of oil equivalent (Mmboe) by 2021.

The total production outlook for 2021 increased by 508Mmboe from the previous report in June 2017.

A total of 437 planned and announced projects are set to commence production by 2021, which is an increase of 12 from the June report. North America added 16 producing fields and one conventional oil discovery, while South America added three producing fields. Oceania witnessed one onshore conventional oil discovery during the month.

"The total production outlook for 2021 increased by 508 million metric barrels of oil equivalent from the previous report in June 2017."

Asia leads globally with the highest number of planned and announced projects at 82, followed by Africa with 72 and Europe with 65. Asia added 34 fields in July, comprising 26 producing, five announced and three planned fields. One onshore conventional oil discovery in Pakistan, Bhambhra-1, was also recorded during the month.

Two announced and two producing fields were added in Africa, while Europe had two announced fields and two discoveries.

Seven producing fields were added in the Former Soviet Union in July in addition to five onshore conventional oil discoveries. The Middle East added one producing field. 

Compared with the previous report, a total of nine projects were postponed during the month, including three in South America, two in Europe, and one each in Africa, Caribbean, Middle East and Oceania.