Oil and Gas

The oil and gas sector works under a more robust investment framework, with production growth aligned to current demand. Global oil demand continues to expand and at present it is more than 100 million barrels per day, supported by transportation, petrochemicals, and aviation industries, particularly in Asia and Middle East regions. According to the International Energy Agency (IEA), demand growth is originating from emerging markets, while consumption in OECD regions is stabilizing.

Large-scale greenfield exploration has declined, while brownfield optimization and short-cycle projects are receiving greater share of budget. This is limiting rapid supply expansion and contributing to tighter market balances during hugh demand. National oil companies continue to play a central role in maintaining production capacity, particularly in the Middle East, where low-cost reserves support competitive positioning.

Supply dynamics remain sensitive to geopolitical developments and production decisions from key exporting regions. Organizations such as OPEC continue to influence global supply through coordinated output adjustments, which are used to stabilize prices and manage market balance.

Downstream and refining segments are adapting to changes in product demand and margin structures. Diesel and jet fuel demand remain relatively strong, while gasoline demand growth is stabilizing in several markets due to efficiency improvements and gradual electrification. Refiners are increasing integration with petrochemical production to diversify revenue streams and reduce exposure to fuel demand variability. This is particularly evident in large-scale complexes in Asia and the Middle East.