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What the oil majors offer is the ability to coordinate massively complex projects, and to be a credible counterparty to all other players in large projects.

As the example of LNG shows, this is a very rare and hard to replicate competence - no LNG project has ever been run without an oil major involved and in charge.

That requires managerial competence, technical competence (in both cases to hire and control the sub-contractors), a very strong balance sheet, and political 'survafe' (to deal with politicians locally and at home).

In the long run, we're all dead. John Maynard Keynes

by Jerome a Paris (jeromeguillet@yahoo.fr) on Mon May 19th, 2008 at 03:39:34 PM EST
[ Parent ]
Too bad most new fields aren't massive, even if they are massively complex.

Peak oil is not an energy crisis. It is a liquid fuel crisis.
by Starvid (arvid.hallen at gmail.com) on Mon May 19th, 2008 at 04:14:05 PM EST
[ Parent ]

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