The Middle East will be one of the key markets for oilfield services companies for decades to come as countries across the region seek to maximise recovery from maturing assets and bring new fields into production, according to leading energy specialist corporate advisory firm Simmons & Company International.
Speaking at ADIPEC in Abu Dhabi, Nick Dalgarno, co-head of eastern hemisphere corporate finance at Simmons, said there is an increasing willingness amongst governments and the national oil companies to build relationships with foreign companies to bring know how and technology into the region. The oil & gas and wider energy factors driving this include the accelerating need for enhanced oil recovery, sour gas, heavy oil, tight gas, LNG, GTL, âclean fuelsâ refineries, carbon capture and storage, nuclear and solar technologies.
Just over half of the proven conventional oil reserves and 42% of the proven conventional gas reserves in the world are located in the Middle East and North Africa (MENA). Dalgarno said: âNo oilfield services company can afford to ignore the market in the Middle East due to its sheer scale and variety. The region is increasingly receptive to bringing in skills and technology from outside to support its E&P activity and EOR requirements and indigenous businesses are also seeking opportunities to grow internationally.â?
