The COVID-19 crisis has affected a wide range of businesses, but its impact on the oil and gas industry is particularly severe due to restrictions on travel as well as other broader economic activities, causing a heavy blow to the global oil demand. A similar trend is observed on GlobalData’s Oil & Gas Exploration Influencer Platform, where there is more than 100% spike in conversation volume during February-April period in 2020 in comparison to the previous 90 days, says GlobalData, a leading data and analytics company.
An analysis of Oil & Gas Exploration Influencer Platform, which tracks more than 100 leading industry experts and their discussions around the emerging trends, insights and overviews, new fields of innovation and technology, and other popular areas on Twitter, revealed that ‘Production Cut’ and ‘Oil Price Crash’ as popular themes among the oil and gas conversations as slump in demand and insufficient storage capacity had forced companies to cut production and resulted in the US oil price to fall negative for the first time in the history.
Prashant Saxena, Influencer Expert at GlobalData, says: “The COVID-19 induced oil demand plunge combined with the price war has really thrown the oil and gas industry into chaos. This environment of depressed oil prices, and revenue and production declines will likely continue to present major challenges for oil and gas companies.”
‘Trade War’ was another theme that appeared prominently among oil and gas conversations, triggered by Russia’s refusal to reduce oil production in order to keep prices at moderate level. This move sent stocks crashing with more than 30%, which led energy traders stunned.
‘Employee Layoff’ also emerged as one of the leading themes as many oil and gas firms are struggling to survive quick drop in global demand due to COVID-19, combined with sharp price drop in the US markets. Companies like Halliburton Co., the world’s dominant fracking-services provider, said it would layoff 3,500 workers at its Houston headquarters.
Saxena concludes: “Since then, the outlook has somewhat improved across oil and gas markets as oil prices have rebounded from their April lows but, the situation still remains fluid with the potential second wave of COVID-19 infections, creating an extraordinary degree of uncertainty over what the full global impact of the virus will be.”
- Quotes are provided by Prashant Saxena, Influencer Expert at GlobalData
- The information is based on GlobalData Oil & Gas Exploration Influencer Platform, which tracks most relevant activity of the industry influencers on Twitter
- This press release was written using data and information sourced from proprietary databases, primary and secondary research, and in-house analysis conducted by GlobalData’s team of industry experts
About GlobalData’s Influencer Platform
The Influencer Platform is a part of GlobalData’s Disruptor Database that decodes emerging tech-enabled opportunities with must-have information on promising start-ups, technology led innovations, latest sector trends, consumer insights, and venture capital portfolio investments. It helps monitor competitor strategies, predict emerging trends, monetize disruptive innovation, decode smart money, mine thought leadership, and capture digital consumers.
4,000 of the world’s largest companies, including over 70% of FTSE 100 and 60% of Fortune 100 companies, make timelier and better business decisions thanks to GlobalData’s unique data, expert analysis and innovative solutions, all in one platform. GlobalData’s mission is to help our clients decode the future to be more successful and innovative across a range of industries, including the healthcare, consumer, retail, financial, technology and professional services sectors.