2. Oil and Gas contributed 45.1% and 16% respectively for the world energy production in 1971, and in 2007 contributed 20.9% and 33.5%. Out of which exclusively for producing electricity Oil and Gas contributed 20.9% and 5.6% in 2007.

4. The world produced 69,744.9 [1,000 b/d (barrels per day)] of crude oil and 3,226,032 [million standard cu m] of gas in 2010.

5. The world has oil refining capacity of 88,677.3 [1,000 b/cd] in the year 2010.

7. Unconventional gas resources, comprising shale gas, tight gas and coalbed methane (CBM) constitute around 19% of global gas production.

8. Natural gas vehicles contributed only 1.1 % of total vehicles in 2008 and it is estimated to improve to 2% in 2035, which are almost 17 million vehicles.DEEPWATER OIL EXPLORATION<br />Companies started drilling more than 1000 feet below the ocean floor to tap the hidden oil which is believed to be the last remaining oil and natural gas resources in the world. Deepwater has rapidly become an important part of the world’s oil supply. Globally, oil supplies from deepwater have risen from 1.5 mb/d (million barrels per day) in 2000 to 5 mb/d by 2009, which is around 5% of total world oil production. Since 2000, 40% of discovered reserves have been in deepwater. It is estimated that The Gulf of Mexico, Brazil and Africa has promising deepwater reserves.<br />WORLD'S LARGEST REFINERS <br />[Based on crude oil capacity, Thousand Barrels per Calendar Day]<br />1 Exxon Mobil Corporation (USA) 5,783 <br />2 Royal Dutch/Shell (Netherlands) 4,509 <br />3 Sinopec (China) 3,971 <br />4 BP (United Kingdom) 3,325 <br />5 ConocoPhillips (USA) 2,778lt;br />WORLD'S LARGEST OIL AND GAS SERVICE COMPANIES<br />[Based on Market Capitalization, $ Million]<br />1 Schlumberger Ltd. - 39,775 <br />2 Halliburton Company - 17,244 <br />3 Baker Hughes Inc. - 9,367 <br />4 Transocean Sedco Forex - 9,330 <br />5 Weatherford International - 6,065<br />RISKSAccording to Ernest and Young Top 3 Risks for the Oil and Gas Industry are Human Capital Deficit, Worsening Fiscal Terms, cost control (cost inflation in oil and gas projects, has gone up by 79% since 2000).<br />IT SERVICE<br />SAP is maintaining its monopoly in providing IT service to more than 80% of Oil and Gas companies. Some of its leading clients are Petro china, ExxonMobil, Gazprom, Royal Dutch Shell, Sinopec, petrobas, BP, TOTAL, Chevron, ONGC etc… <br />A SPECIAL FOCUS ON INDIA<br />India is the world’s fifth-biggest energy consumer in the world and its consumption and requirements are constantly showing upward trend. Oil and gas contributes more than 42% of energy demand and 15% to the GDP. India’s oil demand accounts for one-third of Other Asia total oil demand. India depends for more than 70% of its oil demands on imports.<br />According to OECD the total energy production in India was 141.5 Mtoe [Million tons of oil equivalents] in 1971 and 450.7 Mtoe in 2007. It is also estimated that usage of gas by India will go up from 42 bcm [billion cubic meters] in 2008 to 177 bcm [billion cubic meters] in 2035 at 5.4% growth rate.<br />According to OPEC the India has 5,820 m b [million barrels] and 1,085 [billion standard cu m] proven crude oil and natural gas in 2010, India produced 735.6 [1,000 b/d (barrels per day)] of crude oil and 52,800 [million standard cu m] of natural gas in 2010, India imported 597.9 (1,000 b/d) of crude oil and 12,150 (million standard cu m) of natural gas in 2010. <br />According to IEA In India, industrial energy use reached 150 million tons of oil equivalent (Mtoe) in 2007 accounting for 38% of the country’s final energy used. Out of which oil contributes 23%, natural gas 10%, coal 33%, electricity 15%, Biomass and waste 19%.<br />India has a promising future in the oil refining sector. India is set to be a top exporter of petro-products in Asia, surpassing South Korea. India’s exports of refined products stood at 0.95 million barrels per day (b/d) as of June 2011 and US$ 4.6 billion worth of petroleum products were exported during July 2011. According to OPEC the India has refinery capacity of 4,000.5 [1,000 b/cd (barrels per calendar day)] in the year 2010. According to OPEC the India has refinery capacity of 4,000.5 [1,000 b/cd (barrels per calendar day)] in the year 2010. According to petroleum Planning and analysis cell 196485 thousand metric tons of crude oil are processed by the refineries in India during 2010- 2011.<br />According to the Petroleum Ministry, India's public sector enterprises have invested around Rs 64,832 crore (US$ 14.5 billion) for acquiring oil and natural gas exploration and production assets abroad. Indian oil companies are present in around 20 countries worldwide.<br />CONCLUSION<br />Due to the continuing uncertainty in the economy of the world the oil market has been volatile. An unsteady world economy is negatively affecting the oil market.<br /> The governments all over the world might come with legislation against oil and gas in the name of pollution or global warming, which might impact the supply and demand. But so far there are no viable alternate energy resources against oil and gas so the industry will continue to grow for next couple of decades.<br />REFERENCE<br />http://en.wikipedia.org/wiki/World_energy_consumption<br />http://petroleum.nic.in/petstat.pdf<br />http://www.dbrs.com/research/239402/rating-oil-and-gas-companies.pdf<br />http://www.oecd-ilibrary.org/energy/data/iea-oil-information-statistics_oil-data-en<br />http://www.opec.org/opec_web/static_files_project/media/downloads/publications/ASB2010_2011.pdf<br />http://www.iea.org/ebc/feb2011/birol.pdf<br />http://www.iea.org/weo/docs/Gas_Flyer2011.pdf<br />http://www.wikinvest.com/concept/Deepwater_Oil_Exploration<br />http://www.petrostrategies.org/Links/worlds_largest_refiners.htm<br />http://www.spe.org/spe-site/spe/spe/jpt/2008/07/07GuestEdit.pdf<br />http://www.growthmarkets-oil.com/agenda/microsites/sap/SAP%20for%20Oil%20and%20Gas.pdf<br />http://www.kpmg.com/IN/en/IssuesAndInsights/ThoughtLeadership/KPMG_Oil_Natural_Gas_Overview_2010.pdf<br />http://www.ibef.org/industry/oilandgas.aspx<br />