Economic Report 2019

ECONOMIC REPORT 2019

Figure 17: Share Price Performance of a Cross-Section of Supply Chain Companies

200

Support & Services Marine & Subsea

Facilities

180

Well Services Sector Average

Reservoirs

160

Oil Price

140

120

100

80

Indexed Share Price

60

40

20

0

2013

2014

2015

2016

2017

2018

2019

Source: Yahoo Finance, OGUK, IEA

OGUK anticipates that supply chain revenues will have largely stabilised in 2018 and some growth may be seen in 2019, reflective of wider industry expenditure and investment levels. As outlined in Business Outlook 2019 , 24 two-thirds of OGUK members expect to report an increase in revenues this year. In a study commissioned by OGUK, Rystad Energy estimates that the growth in UK oilfield services market may even reach 16 per cent this year and then grow at an average rate of 5 per cent per year from 2020–24. However, it should be recognised that this growth is from a low baseline and may not be reflected in all areas of the supply chain.

24 OGUK Business Outlook 2019 www.oilandgasuk.co.uk/product/business-outlook-report/

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