News Snapshot:
A combination of OPEC+ signaling a continued commitment to restricting production to help balance oil markets and promising progress with the global vaccine rollout should support higher prices and, subsequently, greater levels of drilling activity in 2021 compared to 2020. The commodity price environment remains highly sensitive and Westwood expects activity levels to grow slowly, remaining constrained as the industry slowly recovers from one of the deepest pricing shocks on record. Key Conclusions · 2021 expenditure of $156bn forecast represents a small increase on 2020 levels driven by improved commodity prices and demand forecasts, though operators remain cautious. · Total...
