Offshore staff
LONDON — Up to 30 upstream projects developing resources of more than 50 MMboe could go forward for development this year, according to Wood Mackenzie.
The total number of FIDs could be eight more than the 22 signed off in 2023, with potential overall investments of $125 billion targeting 14 Bboe recoverable.
The projected increase follows a year in which numerous anticipated projects were delayed or postponed.
Ross McGavin, principal analyst at Wood Mackenzie, said, “National oil companies (NOCs) in the Middle East will control the most projects, but the majors will be busy as well, particularly as they prioritize advantaged deepwater resources.”
In most cases, the payback periods could be less than eight years from FID, he added, with operators committed to swift execution, reducing unproductive capital and higher returns.
Average emissions intensity for the newly approved developments FID class of 2024 is 13.6 kgCO2e/boe. As estimated by Wood Mackenzie’s Emissions Benchmarking tool, this is below the global upstream average of 21 kgCO2e/boe (including liquefaction emissions).
“New projects are a lever to meet emission reduction goals, especially those focused on deepwater projects that continue to deliver on low emissions intensity and economic returns,” McGavin said.
