Norwegian oil and gas intelligence firm Rystad Energy has predicted that offshore spending will outgrow spending on onshore shale activities in 2019 with offshore subsea service companies set to benefit from it.Illustration; Image by: Benjamin Duivesteyn; Source: Wikimedia – under the CC BY 2.0 licenseRystad said on Thursday that, at current oil price levels, spending on land rigs, fracking, and other services for the shale industry was likely to stay essentially flat in 2019.The offshore service market will also feel the effects of the recent oil price slide, according to Rystad, but this sector is nevertheless projected to grow by 4% this year.Rystad’s head of oilfield services research Audun Martinsen said: “Many would expect offshore spending to be cut as drastically as shale, but offshore budgets were at a ten-year low last year, after four years of intense cost focus, and from that level you don’t need much additional activity or inflation to drive up the market.”Since oil prices fell in the fourth quarter of 2018 and the oil market outlook for 2019 appeared more bearish, shale budgets for next year have been cut drastically to compensate for the anticipated loss of revenues.“We saw the tendency already last month that the shale service market started to hit the brakes. The number of fracked wells per day dropped from an average of around 50 wells per day to 44 wells per day, and frack service pricing continued to fall in the fourth quarter of 2018.“For the full year of 2019 we expect more or less the same number of wells completed, at around 20,000 wells, and we do not anticipate seeing utilization returning to the levels as seen in early 2018,” Martinsen said.Rystad also expects the uptick in offshore spending to be driven by exploration and greenfield projects. Also, opex budgets will likely swell thanks to cost inflation, more fields coming on stream, and a buildup of work that needs to be completed.According to new research from the firm, a price of $64 per barrel of Brent crude would see both shale and offshore grow at around 5%, but in a scenario where Brent climbs to $70 per barrel, the shale industry could achieve an impressive 14% growth.“Investors now need to position their bets correctly based on their price strip assumptions. As long as oil prices are below $60 a barrel for Brent, it could be interesting to take a second look at service contractors exposed to the offshore sector to see what they have to offer as compared to service companies exposed to shale.“It seems that the names that will be able to deliver the best revenue growth are the service companies exposed to the offshore subsea market and MMO. This is a clear switch from 2018 when it was the shale names that were market share winners in the global service market,” Martinsen concludes.
Sports career:Personal record– 800 m: 1: 42.51– 400 m: 47.19 Biography of Amel Tuka Medals won (800 m):– World Cup, Beijing: Bronze medal– European Championships U-23, Tampere: Bronze medal– The Balkan Championship, Eskişehir 2012: Gold medal, Stara Zagora 2013: Silver medal, Pitesti 2014: Bronze medal– Balkan Indoor Championships Istanbul 2015: Gold medal (Source: novovrijeme.ba) His primary disciplines are races on 800 and 400 meters; in both disciplines he holds the national record. He started being engaged in athletics by accident when he participated in the Small Olympic Games in Zenica in 2008 and won the race at 400 meters as a student of 3rd grade of high school “Kemal Kapetanović” from Kakanj. Coach of AC Zenica, Halid Sedić, invited him for an interview, after which Tuka became a member of this club. Since he was living in Kakanj, he had to go to trainings in Zenica every day. Only a few months later, he recorded his first success: he won the 400 and 800 m race at the junior championship of B&H. After this, followed his entrance to the national team and participation in the Balkan Junior Championships in Athletics in Greece, where he won the 3rd place. After this success, he was proclaimed as the new athletic discovery of B&H.Since 2010, he has been a constant member of the senior national team of B&H on the European Athletics Team Championships Third League and he got to the wining podium on every competition.In June 2013, he won at the European Athletics Team Championships Third League with the time of 1: 51.11. Month later, at the European Championship U-23, he won the 3rd place in the 800 meters race and set a national record of 1: 46.29.In 2014, he won the bronze medal at the Balkan Championships in Pitesti (1: 50.67). Later on, on his second European Championship in the senior competition in Zurich, he won the 6th place and set a new national record with time of 1: 46.12.In 2015, he won the gold medal in the Balkan Indoor Championships in Istanbul (1: 48.86). On the first of July 2015, at the meeting in Velenje, he set a new national record, by winning with result 1: 44.19. He improved the record after only 10 days by winning in Madrid with time 1:43:84. Only 6 days later, in his first performance at a meeting of the Diamond League in his career, he managed to improve personal and national record again by winning in Monaco with a time of 1: 42.51.This is the best time of the season at the moment, the 32nd result of all-times in the world and the 4th result in Europe. Portrait of Amel Tuka, winner of the bronze medal for B&H at the 800 meter race at the World Championship in Beijing:Date of Birth: 9 January 1991.Place of birth: KakanjClub: AC ZenicaCoach Gianni Ghidini read more