...The objective of this study is to determine, from accounting perspective, the environmental consequences of the operations of oil and gas companies in the Niger-Delta region of Nigeria. The study was motivated by the curiosity to explain what goes on in the Niger-Delta region in the light of environmental degradation and the continuous agitation for a sustainable approach to corporate social responsibility (CSR). The study adopted the ex-post facto research design. Questionnaires were used to collect data from primary sources while relying on previous studies for secondary data. The Yaro Yamani sampling determination technique was applied to a sample size of 300 respondents drawn from a population of three million. Data collected were analysed...
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...trade, production and marketing integration, according to the modern enterprise system and the operation of trans-regional, cross-sectoral, cross-border operations, integrated oil companies. As China's largest crude oil, natural gas producer, suppliers and the largest oil refining producer and suppliers, China National Petroleum Group is involved in oil, gas exploration and development, refining chemicals, pipeline transportation, oil and gas refinery product sales, petroleum engineering technical services, petroleum machinery manufacturing, oil trade and other fields, in China's oil and gas production, processing and market-dominant position in the U.S. "oil Intelligence Weekly" top 50 ranking of the world's oil companies, China National Petroleum Group, ranked No. 10 , in the "Fortune" magazine published in 2004, ranking the world's top 500 enterprises, from the previous year's first 69 upgraded to 52 bits, ranking ahead of 17. China National Petroleum Group registered a total capital of 114.9 billion Yuan, the existing total assets of 736.2 billion Yuan in China in the northeast, north, northwest, southwest vast region has 13 large and giant oil and gas field enterprises, 16 large and giant Oil Refinery and Chemical Company, 19 oil-marketing companies and a large number of research institutes and oil petroleum and petrochemical construction operations, technical services, machinery manufacturing enterprises, in the Middle East, North Africa,...
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...MANAGEMENT IN THE NIGERIAN OIL INDUSTRY WITHIN AN UNSTABLE ECONOMIC AND POLITICAL ENVIRONMENT AKINJIDE ODUNLAMI DECEMBER 31ST 2010 Table of Contents Introduction 3 The Oil Industry in Nigeria 3 Oil industry and the Nigerian Economy 5 Social and Environmental Impact 6 Strategy in the Nigerian Oil Industry 8 Managing External and Internal Forces 8 Assumptions 9 Key Strategic Activities 10 1. Timely Funding of the Joint Venture Cash Calls 10 2. Operational Efficiency 11 3. Cost Reduction and Leadership 11 4. Capacity Building 13 5. Facility Integrity and Innovation 14 6. Sustainable Development 14 7. Gas Utilisation 16 8. Security 16 Strategic Fit and Sustainability 17 Strategic planning and management system 17 Balanced Score Card 17 References 18 Introduction This paper considers Strategic management in the oil industry to deliver value and economic development in an economy very much dependent on crude oil revenue and with a fluctuating local currency rate against the US Dollar coupled with a volatile political climate with attendant security concerns. The industry, economy and political environment in focus here are those of Nigeria, a developing West African country. Within the context and space constraints of the Nigerian economic, political and social climate, an oil company must carefully define and manage its Corporate Strategy such that the overall...
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...Table of Contents Chapter 1 INRODUCTION 1.1 Company Background, Geographical area 1.2 Overall investment in Oil and gas production 1.3 Vision, Mission statements, goal, objective 1.4 Competitive advantages Chapter 2 Strategic Management process 2.1 Competitive advantages 2.2 External Analysis ( PESTEL, Industry analysis using Poters five forces) 2.3 Internal Analysis (Resources and capabilities of the company) 2.4 SWOT Analysis Chapter 3 Strategy Formulation. 3.1 Business level strategies 3.2 Corporate level strategies Chapter 4 Strategy Implementation 4.1 Structure, control, corporate governance, culture, business ethics, 4.2 Decision making structure, CSR Chapter 5 Conclusion & Recommendation 5.1 Conclusion 5.2 Recommendation 5.3 References 5.4 Appendices ( Appendix A,B,C,D) Chapter 1 INRODUCTION I had an...
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...Study on sales channel of Total S.A in sub-Sahara Africa Name University Affiliation 1.1 Introduction and Background Total S.A is a French multinational oil and gas company whose headquarters is in Tour Total, Courbevoie near Paris in France. Total S.A was one of the major six world oil companies when the French prime minister rejected the idea of a partnership with Royal Dutch Shell. He instead favored the idea of forming an independent French oil company because petroleum was considered as a very important in the case of new war with German (Total.com, 2015). It was formed in 1924 after World War I and was initially called French Petroleum Company (CPF). Initially, this company was a taken as a private sector company (Total.com, 2015). In the 1930s, Total S.A engaged in the oil exploration and production mainly in Middle East countries and after World War II, it diversified its exploration to Canada, Venezuela, and Africa as it pursued energy sources in France. In 1980, Total Petroleum North American wing controlled about 50% CPF it bought the refining and marketing assets of Vickers Petroleum. This action enabled it to have the capacity of transportation and networking over 350 service stations in 20 states. Between the years 1985 -2003, Total CPF rebranded itself to boost the popularity of its gasoline brand. The name of this company changed to “Total” when it became a public company as it was listed on New York Stock Exchange. In the early 1990s, the foreign ownership...
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...WINNING STRATEGIES OF A GLOBAL OR WELL-KNOWN MALAYSIA COMPANY (PETRONAS) FOR ITS SURVIVAL IN THE NEAR FUTURE THE ANALYSIS AND EVALUATION OF THE WINNING STRATEGIES OF A GLOBAL OR WELL-KNOWN MALAYSIA COMPANY (PETRONAS) FOR ITS SURVIVAL IN THE NEAR FUTURE Introduction PETRONAS vision was "To be A Leading Oil and Gas Multinational Company of Choice" and it stated the globalization effort in 1994. PETRONAS global operation had extended to Africa countries, Confederate Independence of Soviet Union (CIS), Middle East and Asia Pacific countries. Some of the Africa countries included Sudan, South Africa (downstream Engen), Libya and Algeria. The investments in CIS were Turkmenistan and Kazarkstan. The investment in Middle East countries included Iran, Syria and Iraq. In the Asia Pacific, the oversea portfolios extended to Vietnam, Mynmar, China and Australia (both Upstream and downstream). The oversea upstream activities were undertaken by its subsidiary PETRONAS Carigali Sdn Bhd (PCSB) through its oversea subsidiary companies. When PETRONAS started its globalization efforts, the environmental factors were very much favorable. However, in 1997 and 1998 there were adverse changed in these environmental factors and had affected PETRONAS globalization efforts. Some of these factors were the regional and world economic turmoil, regional financial and currency devaluation, slower economic growth, low demand of oil and gas, lower oil and gas price and...
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...MADA 2015 I. Introduction Hydrocarbon or popularly known as oil and gas, is widely used in almost all aspect of human needs, such as fuel in transportation and electricity, lubricants for machines, asphalt for road and also fertilizer in agriculture industry. Because of the importance of the oil and gas, the need of a drilling company’s services become increasing from time to time to support the upstream oil companies in exploring and also exploiting oil from the earth. In doing its business, a drilling company uses a lot of high technology during the exploration and exploitation phase. As we know, technology becomes one of key success factors within all companies. For drilling company, the use of technology is very important because drilling process involving high risk and also high cost process. High risk because the drilling operation is usually conducted in a remote area and it has high potential to explode if overall process goes wrong. Also sometimes, after drilling process has conducted, oil and gas cannot be found in that area. High cost because drilling process entails all of the consequences to focus giant machines and resources to certain area, usually an isolated area, to get the oil and gas. By virtue of its characteristics as non-renewable energy sources and with declining oil and gas fields, nowadays technological change in the industry primarily concerns new ways of accessing new oil and gas reserves (Pierrakakis, 2009). The advancement of technology in the...
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...IRANIAN OIL AND GAS INDUSTRY COMPETITIVENESS NAME: INSTITUTION: CHAPETR ONE: INTRODUCTION 1.0 Introduction This study’s rationale is based on the deductions from the available literature that there is a dire need to understand the Oil and gas industry competitiveness in Iran (Michael E. P. 1990). This study thus uses Porter’s model of competitive advantage of nations to analyze Iran’s oil and gas industry’s competitiveness in the global market. This study will also focus on the factors that affect the industry’s competitiveness. In the past decade, there has been a progressive increase in world oil demand due to increase in the global economic growth (Hooman 2000), (Narsi, 2001). With the global demand for energy projected to rise in the future coupled with the exponential reduction in oil reserve discovery from the majority of non-OPEC (Organization of Petroleum Exporting Countries) countries, there is a significant demand for oil from OPEC countries, such as Iran. Moreover, unless there is a feasible alternative, the influence of Iran and other OPEC countries will be more prevalent. This, therefore, means that the energy sector in OPEC countries faces fierce competition (Fereidun 2016). Iran is the oldest oil-exporting country in the Persian Gulf region. With the continued discoveries of new oil fields, its current reserves have exceeded domestic consumption and exports. Being the founding member of the OPEC, Iran has also...
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... 4.5.12.4 Threats of New Entrants 4.5.12.5 Power of Suppliers 4.5.12.6 Power of Buyers 4.5.12.7 Power of Substitutes 4.5.12.8 Intensity of Rivalry 4.5.12.9 Summary of Industry Analysis 4.5 Competition Analysis 4.6.12 Industry Competitors 4.6.13 Rivals Anticipated Strategic Moves 4.6.14 Summary of Competitive Analysis 4.6.15 Key Success Factors 4. Internal Analysis 4.1 Organizational Analysis 4.1.1 Corporate Values and Mission 4.1.2 Products and Services 4.1.3 Leadership 4.1.4 Organizational Culture 4.1.5 Current Organizational Structure 4.1.6 Current Corporate and Business Strategies 4.1.7 Summary of Organizational Analysis 4.2 Analysis of Firm Resources and Capabilities 4.2.1 Tangible Resources 4.2.2 Intangible Resources 4.2.3 Capabilities...
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...Turn risks and opportunities into results Exploring the top 10 risks and opportunities for global organizations Oil and gas sector Contents Introduction Executive summary Part 1: Risks Ernst & Young sector risk radar The top 10 risks 1. Access to reserves: political constraints and competition for proven reserves 2. Uncertain energy policy 3. Cost containment 4. Worsening fiscal terms 5. Health, safety and environmental risks 6. Human capital deficit 7. New operational challenges, including unfamiliar environments 8. Climate change concerns 9. Price volatility 10. Competition from new technologies 1 3 6 7 8 8 10 12 14 16 18 20 21 22 23 24 25 26 26 28 29 30 32 34 36 38 39 40 42 Part 2: Opportunities Ernst & Young opportunity ladder The top 10 opportunities 1. Frontier acreage 2. Unconventional sources 3. Conventional reserves in challenging areas 4. Rising emerging market demand 5. NOC-IOC partnerships 6. Investing in innovation and R&D 7. Alternative fuels, including second generation biofuels 8. Cross-sector strategic partnerships 9. Building regulatory confidence 10. Acquisitions or alliances to gain new capabilities Methodology Introduction While risk continues to dominate the business agenda, competition is also becoming just as dominant a feature. Market volatility, pricing pressure, variations in market performance, demanding stakeholders — all have contributed to a global economy that encourages competitive drive. And with that drive comes...
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...in 1954 with $250,000 of investor capital with the simple concept of becoming a significant and profitable oil company. Today, Apache Corporation is one of the world's top independent oil and gas exploration and production companies. The journey to this point was fueled by Apache's contrarian approach to business. Apache Corporation is an independent energy company that explores for, develops and produces natural gas, crude oil and natural gas liquids. Apache’s mission is to grow a profitable global exploration and production company in a safe and environmentally responsible manner for the long-term benefit of our shareholders. The value’s Apache was founded upon — integrity, respect, individual initiative, innovation, and striving for excellence. Apache's continued growth and global expansion depend on these values to guide strategies, decisions and actions into the future. Apache had just closed on the acquisition on Repsol in Egypt’s Western desert and, along with its partner Shell Overseas Holdings, had also acquired Fletcher Challenge Energy, for a combined cost of $1 billion. The value of such acquisitions, however, depended in large part on the future prices of oil and gas. To decrease its exposure to oil and gas price volatility, Apache had begun a limited hedging program centered mostly on its recently acquired properties. After initiating a hedging strategy, Apache Corp. is interested in revisiting its decision to determine if hedging is value-adding. The issues...
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...The challenges and the strategies in Royal Dutch Shell current business environment 1 Introduction Royal Dutch Shell was established in 1907, the equity merger of the Shell Transport and Trade Corporate Limited and the Royal Dutch Petroleum Company. Royal Dutch Shell is an international energy and chemical group. With the development of Royal Dutch Shell, the group has gradually become the world's leading international oil company. However, since the global economy makes the rapid progress, Royal Dutch Shell has been confronted with the increasingly fiercer competition in the market. Surrounded by so much fierce market competition, Royal Dutch Shell is also faced with lots of challenges. And the challenges will have the important influence on the survival and the development of Royal Dutch Shell. Consequently, Royal Dutch Shell will take the corresponding measures to meet the challenges in order to stand in an impregnable position in the competitive market. The article will make a thorough inquiry in detail. The first section is to conduct the challenges in Royal Dutch Shell business environment that are of current strategic importance according to the PESTLE analysis and The Porter’s Five Forces Analysis, and analyze the PESTLE analysis and The Porter’s Five Forces Analysis on the basis of the SWOT matrix. The second section is to make an analysis on the strategies for the challenges that have been identified with the Boston matrix. The third section is to make the recommendations...
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...strengths, weaknesses, opportunities, and threats. It’s an organized list of a business’s strengths, weaknesses opportunities, and threats. For my SWOT analysis I have chosen to complete it over the oil and gas companies. I work for an oil and gas company so for me this will help me better understand SWOT analysis in the business aspect of things. After review the articles through the Hoovers first search I have created the following SWOT analysis. SWOT Analysis | SWOT Analysis Chart | Strengthes | * Targeting the highest quality resource currently available the in CoP operated Oil Sands portfolio * Resource well delineated * Low geological uncertainty * Utilized learnings from Phase 1 and pilot operations * Drilling, subsurface and project team staff experience from Phase 1 * Staged construction and start-up strategy optimized to match capital spend with early production * Reservoir performance ranges well understood and incorporated into facility design | Weaknesses | •Fixed steam capacity – production limited by SoR•Potential large number of source water wells over a large area to achieve plateau production•Challenged economics•Sensitivity of project economics to capital cost increases | Opportunities | • Strong land position in the Oil Sands allows for optimization of development plans• Expandable design positioned to create value for full field development• Technology development to improve recovery and process efficiency •...
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...Analyze the business-level strategies for the corporation you chose to determine the business-level strategy you think is most important to the long-term success of the firm and whether or not you judge this to be a good choice. Justify your opinion. High quality global journalism requires investment. Please share this article with others using the link below, do not cut & paste the article. See our Ts&Cs and Copyright Policy for more detail. Email ftsales.support@ft.com to buy additional rights. http://blogs.ft.com/energy-source/2010/03/02/bps-strategy-presentation-growth-cost-cuts-biofuels-ma-and-more/#ixzz3AHpONpiH Overall, the theme from Tony Hayward, the CEO, is that BP has great assets, in part thanks to the deals of the past decade, such as the takeovers of Amoco and Arco and the creation of TNK-BP, but is still not managing them as well as it could. Having lagged well behind the pack of oil majors when Hayward took over, as measured by return on capital, BP is now about average, but it would like to get closer to the leader, Exxon. That is the context for all the plans B The key points of that plan are: 1. $3bn to be saved through cost-cutting and efficiency improvements over the next 2-3 years. 2. Roughly $2bn from refining, putting the emphasis on efficient operations rather than just getting the refineries running, which has been the priority. A further $1bn from better project management, resulting from the creation of a new global development unit...
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...Jamieson Zhimeng Ye 1081890 Colin Sproat 1100503 1. Systematic Risk – Insecurity arising from daily operating activities, such as product delivery and oil drilling; as well as its financing activities, such as issuance of bonds and shares. Price Risk – Uncertainty about future profits and losses occurring from selling un-hedged oil & gas in the market. Hedging Risk – The Chance of foregoing any additional profits if prices were to increase dramatically under the collar strategy. Political Risk – Uncertainty stemming from investing internationally and the associated foreign policies in different countries. 2. When prices are up the firm has a higher income therefore will have larger cash flows directed towards investing and operating activities. However, when prices are down, the company tends to report lower (even negative) net income and have smaller cash flows going into operating and investing activities. Financing activities were kept fairly stable due to the required debt-to-capital ratio to keep good credit so cash flows had little effect on the financing activities. In addition, price fluctuations can also affect the amount of taxes Apache has to pay. Since when prices are low, the firm is able to defer its taxes whereas when their high, Apache has to pay up. Operating activities are affected when oil and gas prices fluctuate. Apache wishes to produce and sell as much as possible to profit when prices are high, which entails hiring a great deal of employees and specialists...
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