The combined total of active oil and gas projects in the GCC region has exceeded $331.4bn, according to a report by BNC Network.
The project researcher and intelligence provider’ Oil and Gas Construction Analysis Report found that 361 such projects are currently underway as of November this year, helping the hydrocarbon sector to make up 30 per cent of the GCC’s economy, and 60 per cent of the total exports value.
The study also found that construction projects in the region’s oil and gas sector made up 2 per cent of all active projects in dollar terms, but account for 14 per cent of the total estimated value; placing a high value on energy projects compared to other sectors.
Oil prices have recovered this year to around $60 following a dramatic crash that sent the average price per barrel to under $28 at the start of 2016 – a far cry from the near $112 recorded in 2012. A recent report by Bloomberg suggested that oil prices could exceeded $80 before the end of the year, backed by positive revisions by analysts, who claim oil demand growth could increase by 1.5 million bpd by the end of 2017.
BNC’s report said that during the third quarter a total of 17 oil and gas projects with an estimated value of $22.05bn were announced in the GCC – a five per cent increase in the value of those announced in the second quarter.