Risk Analysis in Oil and Gas Sector
TOPIC
Risk management with respect to Oil & Gas Industry
INTRODUCTION
India is the fifth largest consumer of energy in the world, and is likely to surpass Japan and Russia to become the world's third biggest energy consumer by 2030. According to the International Energy Agency (IEA), hydrocarbons satisfy major energy demand in India wherein coal and oil, together, represent about two-thirds of total energy use. Natural gas accounts for about 7 per cent share. India has about 5.7 billion barrels of proven oil reserves.
India's oil and gas sector has attracted investors round the globe as the country enjoys rich reserves of resources.
The petroleum and natural gas industry in India has attracted foreign direct investment (FDI) worth US$ 3, 332.78 million during April 2000 to December 2011. The Department further recorded US$ 196 million during April– December 2011-12, in the industry.
Oil & Gas- Production and Consumption * Crude Oil production was recorded at 31.87 million metric tonnes (MMT) for April-January 2012, as compared to the 31.41 MMT in April-January 2011 * Natural Gas production was 40, 156.7 million cubic metres (MCM) during April-January 2011 * During April-January 2012, 140.73 MMT of crude oil was refined, compared to 136.49 MMT of oil refined during corresponding period in 2011
India's average oil and liquids production for 2011 is estimated at 1.04 million barrels per day (B/D) which will touch the peak production at 1.06 million B/D in 2012. Further, giving its demand outlook, BMI projects consumption to rise sharply to 4.29 million B/D by 2016 from 3.44 million B/D in 2011. Total gas consumption is estimated by BMI at around 81 billion cubic meters (BCM) in 2016 from around 58 BCM in 2011.
Diesel & Petrol
Around 40 per cent of fuel consumption in India is satisfied by diesel. There would be an increase in India's fuel demand by 3.8 per cent which would be majorly accounted by diesel and petrol (gasoline). IEA
Risk management with respect to Oil & Gas Industry
INTRODUCTION
India is the fifth largest consumer of energy in the world, and is likely to surpass Japan and Russia to become the world's third biggest energy consumer by 2030. According to the International Energy Agency (IEA), hydrocarbons satisfy major energy demand in India wherein coal and oil, together, represent about two-thirds of total energy use. Natural gas accounts for about 7 per cent share. India has about 5.7 billion barrels of proven oil reserves.
India's oil and gas sector has attracted investors round the globe as the country enjoys rich reserves of resources.
The petroleum and natural gas industry in India has attracted foreign direct investment (FDI) worth US$ 3, 332.78 million during April 2000 to December 2011. The Department further recorded US$ 196 million during April– December 2011-12, in the industry.
Oil & Gas- Production and Consumption * Crude Oil production was recorded at 31.87 million metric tonnes (MMT) for April-January 2012, as compared to the 31.41 MMT in April-January 2011 * Natural Gas production was 40, 156.7 million cubic metres (MCM) during April-January 2011 * During April-January 2012, 140.73 MMT of crude oil was refined, compared to 136.49 MMT of oil refined during corresponding period in 2011
India's average oil and liquids production for 2011 is estimated at 1.04 million barrels per day (B/D) which will touch the peak production at 1.06 million B/D in 2012. Further, giving its demand outlook, BMI projects consumption to rise sharply to 4.29 million B/D by 2016 from 3.44 million B/D in 2011. Total gas consumption is estimated by BMI at around 81 billion cubic meters (BCM) in 2016 from around 58 BCM in 2011.
Diesel & Petrol
Around 40 per cent of fuel consumption in India is satisfied by diesel. There would be an increase in India's fuel demand by 3.8 per cent which would be majorly accounted by diesel and petrol (gasoline). IEA