Oil Exploration and Production
The oil and gas industry comprises two parts: 'upstream'— the exploration and production sector of
the industry; and 'downstream'—the sector which deals with refining and processing of crude oil and
gas products, their distribution and marketing.
Companies operating in the industry may be regarded as fully integrated, (i.e. have both upstream and downstream interests), or may concentrate on a particular sector, such as exploration and production, commonly known as an E&P company, or just on refining and marketing (a R&M company).
Many large companies operate globally and are described as 'multi-nationals', whilst other smaller companies concentrate on specific areas of the world and are often referred to as 'independents'. Frequently, a specific country has vested its interests in oil and gas in a national company, with its name often reflecting its national parenthood.
In the upstream sector, much reliance is placed upon service and upon contractor companies who provide specialist technical services to the industry, ranging from geophysical surveys, drilling and cementing, to catering and hotel services in support of operations. This relationship between contractors and the oil companies has fostered a close partnership, and increasingly, contractors are fully integrated with the structure and culture of their clients.
Scientific exploration for oil, in the modern sense, began in 1912 when geologists were first involved in the discovery of the Cushing Field in Oklahoma, USA. The fundamental process remains the same, but modern technology and engineering have vastly improved performance and safety. In order to appreciate the origins of the potential impacts of oil development upon the environment, it is important to understand the activities involved.
The oil and gas industry comprises two parts: 'upstream'— the exploration and production sector of
the industry; and 'downstream'—the sector which deals with refining and processing of crude oil and
gas products, their distribution and marketing.
Companies operating in the industry may be regarded as fully integrated, (i.e. have both upstream and downstream interests), or may concentrate on a particular sector, such as exploration and production, commonly known as an E&P company, or just on refining and marketing (a R&M company).
Many large companies operate globally and are described as 'multi-nationals', whilst other smaller companies concentrate on specific areas of the world and are often referred to as 'independents'. Frequently, a specific country has vested its interests in oil and gas in a national company, with its name often reflecting its national parenthood.
In the upstream sector, much reliance is placed upon service and upon contractor companies who provide specialist technical services to the industry, ranging from geophysical surveys, drilling and cementing, to catering and hotel services in support of operations. This relationship between contractors and the oil companies has fostered a close partnership, and increasingly, contractors are fully integrated with the structure and culture of their clients.
Scientific exploration for oil, in the modern sense, began in 1912 when geologists were first involved in the discovery of the Cushing Field in Oklahoma, USA. The fundamental process remains the same, but modern technology and engineering have vastly improved performance and safety. In order to appreciate the origins of the potential impacts of oil development upon the environment, it is important to understand the activities involved.
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