Moody's: The global energy industry is expected to grow steadily in 2022

According to Oil & Gas News on November 22, according to data from Moody's Investor Services, as oil demand increases and the company's profit prospects improve, the global energy industry is expected to achieve steady growth in 2022

Moody's stated in the report: “The continued recovery in global oil demand, the gradual increase in supply, and the controllable cost environment will provide producers with a favorable macro background for maintaining profitability above the level of 2019.

According to data from the International Energy Agency, oil demand is expected to increase by 5.

Moody's stated that it expects that by 2022, the profit prospects of oil refining and marketing (R&M), oilfield services (OFS) and drilling companies will improve, while the profitability of the exploration and production and integrated oil divisions "will not have much in 2022.

It stated: “The OFS industry will benefit from significant cash flow momentum in 2022 and is expected to increase total cash flow by more than 10% in 2022 from 2021 levels

R&M will also improve its financial strength, "By 2022, as demand and revenue increase, fuel consumption will return to its pre-crisis level

As demand recovers, oil prices continue to rise, but the increase in cases in Europe and other regions has caused the international benchmark Brent crude oil, which is more than half of the world's crude oil, to fall 2.

The price of Brent crude oil is hovering around US$80 per barrel.

　　Elena Nadtotchi, senior vice president of Moody's, said: "After the rapid increase in oil and gas prices in 2021, the expansion of earnings and cash flow in the industry will slow next year, even if prices are still high

　　"The company will consider increasing the necessary investment to support existing production and moderate growth, while striving to meet the higher demand for shareholder distribution and improving the rate of return on capital