Asia’s state heavyweights hold firm on upstream spending
With international oil prices at nearly two-decade lows, Asia’s oil and gas developers have begun to review their capex budgets as they strive to weather the downturn
International benchmark Brent crude sank as low as $21.65/bl in trading on 31 March, its lowest level in 18 years. However, while a growing number of independents and IOCs are slashing budgets, Asia’s NOCs are holding out to ensure the energy security of their respective countries. UK developer Premier Oil—which has operations in Pakistan, Singapore, Vietnam and Indonesia—has said it is looking to reduce capex for 2020 by $100mn. The cut, in conjunction with $35/bl oil, should allow the company to be “cash-flow neutral” this year. Indonesia’s Medco Energi has slashed its budget for this year by 30pc, to $240mn, “with potential for further 2021 reductions”. At the same time, Indonesia’s eight
Also in this section
24 March 2026
It is an unusual story of out with the new and in with the old, as America First Refining shows the US going back to trusted energy security developments
23 March 2026
A complex and sometimes contradictory web of factors that include unpredictable oil prices, the globalisation of LNG markets, the expansion of Middle Eastern sovereign capital and the growth of datacentre demand will shape the energy landscape beyond 2026
23 March 2026
The Strait of Hormuz crisis highlights how key waterways can become global chokepoints
20 March 2026
Attacks on key oil and LNG assets across the Gulf mean a prolonged supply disruption, with damage to Qatar’s export capacity undermining confidence in the global gas system
