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Global shale oil and gas production is set to increase, with Saudi Arabia and Algeria among those countries in the region looking to exploit their shale gas reserves

According to a recent report from leading data and analytics company titled Global Data titled  “Emerging Oil and Gas Shale Plays", notable increases in production are expected over the next few years, including the USA, the current leading producer. These are driven by technological advancements and significant discoveries in countries such as China, Argentina, and Saudi Arabia. GlobalData’s Strategic Intelligence report titled “Emerging Oil and Gas Shale Plays”, reveals that the US was the undisputed leader in global shale oil and gas production with over 80% share in 2024, thanks to its vast reserves, advanced extraction technologies, and supportive regulatory environment.

Ravindra Puranik, Oil and Gas Analyst at GlobalData, commented, “The combination of hydraulic fracturing and horizontal drilling has unlocked unprecedented volumes of shale resources, particularly in formations like the Permian Basin, the Eagle Ford, and the Marcellus Shale. The growth of the shale industry has bolstered the US energy independence, reducing reliance on foreign oil and altering the country's geopolitical strategy.”

Canada holds the second-largest recoverable reserves of shale oil and gas after the USA. It is also ranked second in production due to the technological similarities with its neighbour and government encouragement for unconventional hydrocarbon development.

Argentina is another emerging hotspot for shale oil and gas, particularly the Vaca Muerta formation, which is characterised by strategic asset management by YPF, significant infrastructure investment, and robust growth in production and exports.

Recently, China has made significant progress in shale oil exploration, which could enhance its energy security and reduce dependency on foreign oil supplies, while Saudi Arabia is exploring gas shales within its northern and eastern regions, targeting a 60% rise in its gas output from 2021 to 2030. The focus of development is its giant Jafurah unconventional gas field, the largest liquid-rich shale play in the MIddle East, estimated to hold more than 200 trillion cubic feet of raw gas, which is set to commence production this year.

Algeria, which has significant proven shale gas reserves, is reported to be negotiating with the USA’s ExxonMobil and Chevron, global leaders in shale production, on an agreement that would allow them to explore and develop Algeria's natural gas reserves, including its shale gas reserves. Algeria is seeking to revive its flagging oil and gas sector, on which its economy is heavily dependent, and boost gas exports, with an eye on Europe as it seeks alternative suppliers to Russian pipeline gas.

Puranik said, “The future of shale oil and gas will be shaped by a delicate balance between technological innovation, cost efficiency, and environmental stewardship. Countries that can align production growth with carbon management and energy transition goals will not only secure domestic energy resilience but also strengthen their position in an increasingly competitive and sustainability-driven global market.”

Global oil and gas service company Tracerco has opened a new office in Dammam, strengthening its presence in Saudi Arabia, expanding support for customers in the region, and aligning with the Saudi Vision 2030

The new office in the Novotel Business Park will enable Tracerco to consolidate its business development, project coordination, and customer engagement across all business units – including Process Diagnostics, Subsea Technologies, Measurement Instruments, Reservoir Diagnostics, and Radiation Monitors. It will serve the upstream and refining sectors, alongside petrochemical leaders and local joint ventures, as well as serving as a platform to scale its Fuel Integrity services and its Carbon Capture Utilisation and Storage (CCUS) tracer diagnostics portfolio.

Prakash Gururajan, director of strategy, Tracerco, said, “Saudi Arabia is a key market for Tracerco globally. By establishing this new office, we are well placed to support our customers in maximising efficiency, derisking operations, and addressing national priorities such as fuel integrity enforcement and carbon management. This is about building a sustainable presence that creates long-term value for both our customers and the wider economy.

“Tracerco is creating a collaborative culture in the new office, empowering a streamlined but highly accountable team to drive customer success. Local employees will have direct ownership of client outcomes, supported by seamless integration with Tracerco’s global offices in the UK, US, and UAE. This combination of local execution and global expertise will position Saudi Arabia as a hub for multi-business unit collaboration across Tracerco’s portfolio.”

Over the next five years, the company’s goal is to build a self-sufficient Saudi entity, with local talent and infrastructure fully embedded into Tracerco’s global network.

The Middle East and Asia are driving global refining growth, according to new research from Rystad Energy

Middle Eastern refiners have expanded their refining capacity in the last 20 years from nearly 8mn bpd to around 13mn bpd, with major additions concentrated in Saudi Arabia and the UAE, as the region focuses on adding value through downstream integration. This includes the development of complex, large-scale refineries designed not only to serve growing domestic demand but also to supply refined products to key export markets across the globe. Saudi Aramco for example has invested heavily in expanding its refining footprint, developing advanced complexes such as Jazan and forming joint ventures including YASREF and SATORP.

China has nearly doubled its refining capacity over the past two decades, from 10.6mn bpd in 2005 to 18.8mn bpd in 2025, to meet rising domestic demand and improve energy security, while also positioning the country as a key exporter of refined products. India’s refining capacity has grown from 2.9 million bpd in 2005 to around 5.2mn bpd this year, for similar reasons, including strong domestic consumption and strategic investments in refining infrastructure.

“The Middle East and Asia are driving global refining growth by focusing on large, integrated mega-refineries that secure energy supplies and meet rapidly rising demand. In contrast, Europe and the US are retreating, with older, less efficient plants closing due to high costs and uncertainty over future fuel needs. This shift has sparked a wave of rationalisation, where smaller, less flexible refineries are being shut down while bigger, more adaptable facilities gain ground through economies of scale. Today, nearly all new projects are larger and more economically viable, so even though the total number of refineries worldwide has declined, overall refining capacity continues to grow significantly,” said Arne Skjaeveland, vice president, Oil & Gas Research, Rystad Energy.

Rystad Energy’s research shows that in the last two decades, global primary refining capacity has increased by about 13.5 million barrels per day (bpd), or roughly 15%, while the number of refineries has been in decline since 2011 driven by ageing infrastructure, shrinking profit margins and weakening fuel demand as electrification advances.

As for emissions, emissions intensity across the sector has held relatively steady overall. Asia, followed by the Middle East, has seen total refinery emissions surge, driven by rapid growth in capacity and throughput. The newer, highly complex refineries in Asia and the Middle East tend to consume more energy but often achieve greater carbon efficiency per barrel thanks to modern technologies and tighter integration. Meanwhle, emissions in North America and Europe have remained flat or declined, largely as a result of retrofits and refinery closures rather than gains in carbon efficiency.

Wael Radwan, director, software and control and intelligent devices for Middle East, Türkiye and Africa at Rockwell Automation, highlights the shift to targeted digitalisation that delivers measurable ROI and enables future-ready autonomous operations

In a sector accustomed to long project timelines and substantial capital outlay, Middle East oil and gas operators are now applying even more strict investment discipline. Digital initiatives must demonstrate their value through clearly defined returns, not merely conceptual promise. Every project must now serve a multi-dimensional purpose, supporting profitability, reducing emissions, strengthening compliance and enhancing resilience. A digital solution that cannot fulfil those aims does not survive the business case. In contrast to earlier waves of digital adoption which were about exploring potential, what matters now is performance, efficiency and bottom-line value. Pilots and proof-of-concept studies have become essential tools for determining the viability of new technologies. If the data does not back the decision, the deployment does not proceed.

One recent successful pilot, undertaken by a national operator in the Gulf, trialled model predictive control (MPC) in a brownfield upstream facility to improve energy utilisation, opening the door to broader autonomy discussions across the asset portfolio. These pilots are now becoming the currency of confidence, demonstrating value in operational terms before scaling further.

From automation to autonomy

Automation has long been embedded across the Gulf's oil and gas infrastructure, but the future lies further along the spectrum, with autonomy, which represents a strategic response to some of the region's most pressing operational challenges. Remote assets, hazardous environments and constrained technical labour pools all favour solutions that reduce reliance on human presence.

Unmanned operations are no longer an aspiration; they are entering deployment. In one offshore pilot, an autonomous robot has been deployed to monitor pipeline integrity, replacing routine manual inspection. The robot patrols assigned zones, records video and sensor data, and integrates this information into the control system, eliminating the need for helicopter-supported human intervention. The cost and safety implications are profound.

In another case, robotics is being tested in high-temperature process units where human access is restricted. Temperatures exceeding 500°C and strong electromagnetic fields make maintenance work dangerous and infrequent. By using robotic platforms coupled with intelligent control software, inspections are being conducted without shutdown, significantly improving equipment uptime and reducing operational risk.

This step change from automation to autonomy is underpinned by increasingly sophisticated digital architectures. It is no longer just a matter of automating manual steps. It requires systems capable of interpreting alarms, predicting failure modes, and executing closed-loop responses without human command. These are currently being piloted, with the Middle East's largest operators leading the charge.

Data without context is not intelligence

The foundations of autonomy, and indeed all ROI-based digitalisation, depend on the ability to contextualise data. Oil and gas assets generate enormous volumes of sensor, process and transactional data. But raw data is not intelligence. It must be connected, contextualised and made accessible across operations. Contextualised data is the enabler of predictive asset strategies, advanced planning models and autonomous control.

Many Gulf operators still contend with fragmented data environments. OT and IT systems remain siloed. Cloud strategies are currently under development but not yet universally adopted. This fragmentation impedes predictive maintenance, slows root-cause analysis and creates decision-making bottlenecks.

To address this, operators are investing in unified data platforms that consolidate operational and enterprise data into a single, structured layer. A major pilot project underway in the UAE involves aggregating data from multiple upstream installations into one real-time environment. The aim is to transition from a system of fragmented visibility to one of integrated insight, where data from production, maintenance, energy management and logistics can be analysed collectively to drive better outcomes.

Trust is also evolving. Historically, there was deep scepticism toward cloud-hosted industrial data. Concerns around ownership, security and transparency were barriers to adoption. That resistance is diminishing. Operators are becoming increasingly comfortable with the idea that cloud platforms can offer not only flexibility and scalability but also security and control, provided that governance frameworks are in place.

Consultancy over technology

The shift from trend-based to outcome-based digitalisation has also reshaped how technology is delivered. There is growing recognition that digital tools are only as effective as the strategies behind them. This has driven increased uptake of digital consultancy services, where solutions are co-designed with operators around their specific goals, asset constraints and regulatory context.

For oil and gas producers in the Middle East, this consultancy-led approach is proving essential. The region's operators face unique challenges, including environmental, geopolitical, and infrastructural ones, and there is no single blueprint for transformation. Effective digitalisation must be locally informed and globally benchmarked.

Recent engagements have focused on redesigning operations around ROI-centric principles. Rather than starting with a technology suite, consultants begin with operational KPIs, production targets, energy efficiency thresholds, and maintenance budgets and work backwards to identify the digital tools that best support those goals. This approach avoids over-investment, accelerates value and reduces resistance among internal stakeholders.

Energy management is a key area where consultancy is delivering results. By applying machine learning and data modelling to existing instrumentation data, operators are identifying inefficiencies previously hidden in the noise. The result is not just reduced energy expenditure but also improved emissions performance and enhanced reporting capabilities for regulators and investors alike.

As these digital strategies mature, modular platforms are allowing operators to scale their transformation gradually, starting with monitoring, progressing to analytics and ultimately embedding AI in control decision-making. This staged approach supports faster ROI realisation while building the digital confidence needed for more ambitious moves toward autonomy.

ROI is the new currency of transformation

Flashy dashboards, pilot projects with unclear value, or technology for its own sake no longer pass muster. Every deployment must deliver clear, measurable outcomes. ROI is not a hopeful result, it is the starting condition.

The operators that will thrive in this next phase are those that treat digital not as a silver bullet but as a structured discipline. They will define business objectives first, validate solutions through field-tested pilots, and scale only what works. They will integrate data at every level, automate where it makes sense, and explore autonomy where it drives true business advantage. They understand that smarter production and faster payback are not just aspirations; they are realities and requirements. And they are achievable if you start with value and build from there.

Despite advances in digital technology, many oil and gas sites across the Middle East still rely on manual entry for tank and vessel inspections, resulting in days of downtime, high scaffolding costs and risk to human life

What if you could change all that with drone technology?

Inspections drones such as the Elios 3 are revolutionising the world of confined space inspections, improving safety, reducing downtime and enhancing operational efficiency.

Join us for an exclusive live webinar hosted by Flyability in association with Oil Review Middle East on ‘Transforming oil and gas operations with the Elios 3 drone’ on Tuesday 2 September at 2pm GST. Industrial experts will explain how drones such as the Elios 3 are transforming confined space inspections, and how you can integrate this technology into your operations seamlessly.

Key highlights:

Drone integration: learn how to safety and effectively implement drones in confined space
Safety and training: understand essential safety protocols and training strategies for your team
ROI: discover how to measure and achieve a strong return on investment with drone technology
Real world use cases: hear from the engineers using drone tech in the field on the impact Elios 3 is having on in oil and gas inspections.

Speakers and host:

Fabio Fata – senior sales manager, Flyability (moderator)
Eralp Koltuk – inspection lead engineer, Tüpraş
Danijel Jovanovic – director of operations, ZainTECH

Take your operations to the next level! Don’t miss out on gaining valuable insights into how drones can make inspections safer, faster and smarter .

From making inspections in hazardous confined spaces much safer to streamlining the whole process and providing valuable real-time data, you will get to see exactly how the Elios 3 is changing the game.

Register for the free webinar here.

While ammonia and methanol are gaining traction as low-carbon fuels and hydrogen carriers to support the global energy transition, large-scale adoption is slow due to uncertain demand, says data and analytics company GlobalData

Demand for low-carbon ammonia and methanol is being driven by industries such as shipping, power generation, fertilizers, and chemicals, given their potential to decarbonise existing operations. GlobalData’s Strategic Intelligence report, “Ammonia and Methanol in Energy Transition,” reveals that countries such as Japan, South Korea, China, and members of the European Union are backing low-carbon projects, while companies including Yara, Maersk, CF, and Mitsubishi are exploring large-scale investments to boost their production.

Low-carbon ammonia capacity is estimated to grow to nearly 250 million tonnes per annum (mtpa) by 2030, with more than 460 upcoming plants globally. Low-carbon methanol is also projected to grow, with plant numbers approaching 150 by 2030. However, many projects are in early stages of development, with some hydrogen-linked initiatives already seeing delays or cancellations.

The report also highlights that low-carbon ammonia and methanol are closely linked to the scaling of hydrogen, acting as carriers for transport and storage. However, growth depends on stronger infrastructure commitments, technology advancements, and regulatory requirements. Shipping is seen as the most promising immediate opportunity, but significant investment and regulatory clarity are required to move beyond pilots.

Ravindra Puranik, Oil and Gas analyst at GlobalData, commented, “Low-carbon ammonia and methanol could complement the energy transition by acting as fuels and hydrogen carriers, but their role is far from guaranteed. Cost competitiveness, safety standards, and infrastructure development will be critical. Without supportive regulation and faster project execution, many of the current net-zero ambitions may not translate into reality.

“Low-carbon ammonia and methanol initiatives had a promising start earlier this decade. However, the pace of development is already slowing, with some high-profile hydrogen projects seeing cancellations or postponement. Combined with high production costs and technical challenges in handling, this raises doubts about whether low-carbon ammonia and methanol can achieve the scale once envisioned. These challenges underline the gap between announced capacity and what will realistically materialise by 2030.”