What are the 3 stages of oil and gas?
Oil and gas companies can generally be divided into three segments: upstream, midstream, and downstream. Upstream firms deal primarily with the exploration and initial production stages of the oil and gas industry.
Is oil refining midstream or downstream?
The downstream sector is the refining of petroleum crude oil and the processing and purifying of raw natural gas, as well as the marketing and distribution of products derived from crude oil and natural gas.
What is oil and gas value chain?
The Oil and Gas value chain represents the sequence of activities that occur from the supply sources to trading mechanisms, by which oil, oil products, and gas, are sold in the wholesale markets.
What is midstream in oil and gas?
Midstream refers to points in the oil production process that falls between upstream and downstream. In particular, midstream activities include the storage, processing, and transportation of petroleum products. These may include companies that specialize in operating tanker ships, pipelines, or storage facilities.
What is oil upstream and downstream?
The terms upstream and downstream oil and gas production refer to an oil or gas company’s location in the supply chain. Upstream oil and gas production is conducted by companies who identify, extract, or produce raw materials. Downstream oil and gas production companies are closer to the end user or consumer.
What is a midstream gas company?
Midstream companies operate the pipeline and gathering or transmission facilities that move the gas from the well (upstream) to our homes and businesses (downstream). Midstream operations also treat the product, remove water or waste products, compress it and get it ready for various markets downstream.
What is downstream value chain?
Your downstream value chain is generally classified as what happens once a product or service has left your door. There are risks and opportunities at any stage of a product’s or service’s life cycle. For issues that arise downstream, the solutions often need to be enacted upstream.
What is upstream value chain?
The upstream part of your value chain includes all of the materials, people and environmental factors that contribute to your product and service. Businesses commonly focus on three areas to improve the sustainability of their upstream value chain: sustainable procurement, traceability and product design.
What is upstream midstream downstream?
‘Upstream’ is about extracting oil and natural gas from the ground; ‘midstream’ is about safely moving them thousands of miles; and ‘downstream’ is converting these resources into the fuels and finished products we all depend on.
Who is the largest midstream company?
Enbridge: The largest energy midstream company in North America. Enbridge operates the world’s longest and most sophisticated oil and liquids transportation network with more than 17,000 miles of pipelines.
What do upstream, midstream and downstream mean in the petroleum industry?
The terms upstream, midstream and downstream are often used to refer to the major sectors or operational components of the petroleum industry. The upstream sector involves the exploration for and extraction of petroleum crude oil and natural gas.
Which is part of the oil and gas value chain?
The graphic provides an overview of the Oil & Gas Value Chain. The terms upstream, midstream and downstream are often used to refer to the major sectors or operational components of the petroleum industry. The upstream sector involves the exploration for and extraction of petroleum crude oil and natural gas.
What are the benefits of investing in downstream oil and gas companies?
One benefit of investing in downstream oil and gas companies is that they benefit from an oversupply of crude oil and natural gas. When the supply increases, crude oil prices fall, which increasing the margins for refining activities. The downside to downstream, however, is the seasonal slow-down of sales.
Who are the largest upstream oil and gas companies?
China National Offshore Oil Corporation and Schlumberger are examples of large companies that focus on upstream services. Many of the largest upstream operators are the major diversified oil and gas firms, such as Exxon-Mobil.