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The majority of energy, oil and gas organisations expect supply chain risk levels to increase over the next 12-24 months. (Image source: Adobe Stock)

Industry

The majority of energy, oil and gas organisations expect supply chain risk levels to increase over the next 12-24 months with the ongoing volatility across global energy markets, according to new research from Achilles, a global leader in supply chain risk and performance management

The findings, drawn from 303 global energy, oil and gas respondents within the Achilles Global Supplier Risk and Sustainability Survey, also highlight that visibility across supplier networks remains a key challenge. Only 5% of organisations report full visibility on their extended supplier networks, while 64% report only limited or zero visibility. This suggests that many energy companies are operating without a reliable view of their supply chains, despite increasing compliance requirements and operational pressures.

While most organisations report only minor or occasional supplier-related disruptions over the past two years, a small proportion of respondents reported disruption costs exceeding US$10mn, pointing to the potential for high-impact events across critical supply chains.

The research also highlights the role of regulation and compliance in supply chain strategy. Legislation and regulatory pressure were identified as key drivers of sustainability action, alongside carbon reporting requirements and cost considerations. As companies operate across multiple jurisdictions, maintaining consistent supplier standards and compliance requirements remains a challenge.

At the same time, confidence in supplier readiness varies. Most organisations report being mostly or moderately confident in the accuracy of supplier‑reported information, while only a small minority express very high confidence, indicating potential compliance and operational risk.

The findings also highlight growing interest in artificial intelligence within procurement and supplier risk management. Over two-thirds of organisations report that they are either exploring or piloting AI use cases, with expected benefits including improved efficiency, stronger decision-making and improved supplier data accuracy. However, adoption remains at an early stage.

Adam Whitfield, head of Global Compliance and ESG at Achilles, said, “The energy sector is currently operating in a highly disrupted environment, with supply constraints, geopolitical instability and market volatility placing significant pressure on operations.

“In that context, visibility across supplier networks becomes increasingly important. Our findings show that many organisations still lack full visibility across their extended supply chains, which can limit their ability to respond effectively when disruption occurs.

“Managing risk in this environment requires more than periodic checks. As these pressures continue, strengthening supplier oversight and improving visibility will be critical to maintaining operational resilience and managing risk to ensure issues are identified early and managed effectively.”

Overall, the data points to a gap between increasing supply chain risk and organisations’ ability to monitor and manage it effectively. As energy companies continue to operate across complex supplier networks, improving visibility and strengthening oversight will be critical to maintaining compliance and managing risk.

The closure of the Strait of Hormuz removed almost 20% of global LNG supply from the market . (Image source: Adobe Stock)

Industry

The IEA’s latest quarterly gas market report shows the extent to which the Middle East crisis is disrupting international natural gas markets and delaying a significant amount of new LNG capacity that had been on track to come online in the second half of this decade

The disruption to shipping through the Strait of Hormuz since the start of March has created unprecedented uncertainty, removing close to 20% of global LNG supply from the market and triggering sharp price increases across key importing regions. In March, natural gas prices in Asia and Europe rose to their highest levels since January 2023, contributing to a contraction in natural gas demand in key LNG importing markets.

Global LNG production declined in March by 8% year-on-year, with a sharp drop in exports from Qatar and the United Arab Emirates only partially offset by higher output from other regions. As the disruptions began to spread through global supply chains, LNG deliveries also fell, with a steeper decline observed in April. The impacts of the supply losses are partly mitigated by the strong increase in non-Qatari LNG supply, including the start-up of new LNG liquefaction plants for which investment decisions were taken several years ag

Natural gas demand has weakened in key importing markets in response to higher prices, milder weather and policy measures aimed at reducing gas consumption. In Europe, natural gas demand declined by around 4% year-on-year in March, largely driven by stronger renewable electricity generation. Several Asian countries are implementing fuel-switching and demand-side measures to limit gas use amid the supply crisis.

Beyond the immediate disruption, the crisis is expected to tighten the markets in the medium term, with damage to LNG trains in Qatar set to reduce projected supply growth and delay the impact of the anticipated global LNG expansion wave by at least two years. The combined effect of short-term supply losses and slower capacity growth could result in a cumulative loss of around 120 billion cubic metres of LNG supply between 2026 and 2030, around 15% of the expected global LNG supply over this period. While new LNG projects in other regions are expected to offset these losses over time, the impact will prolong tight markets through 2026 and 2027.

The report highlights the importance of strengthening global gas supply security through continued investment across the LNG value chain and enhanced international cooperation between producers and consumers. It also notes the advantages that a diversified portfolio of long-term contracts can bring for gas importers in terms of mitigating price volatility in periods of disruption

Complacency can lead people to do something they know increases the likelihood of mind or eyes not on task. (Image source: Adobe Stock)

Health & Safety

At a lively and thought-provoking SafeStart webinar, Larry Wilson, CEO and founder of SafeStart, explained the neuroscience behind complacency, how often it is a contributing factor to incidents, and what techniques and strategies can be employed both at a personal and a company level to combat it

In high-risk environments, incidents rarely happen due to lack of skill; they happen when attention drops and complacency sets in. It is the combination of complacency with serious human factors that causes that causes the majority of serious incidents and fatalities.

The dangers posed by complacency have been recognised throughout history, as illustrated by an old Africa proverb “You only encounter the wild beast on the familiar trail.”

Delving into the two stages of the complacency continuum, Larry Wilson explained how neurological factors mean that it is inevitable that complacency sets in around the time that competence is achieved. And while competence is essential (who would trust an incompetent train driver or incompetent forklift truck driver?), with competence comes complacency, and that complacency can lead to mind not on task, or mind not on risk.

“You might be thinking about driving, but you’re thinking, is it the next right or the second right hand turn? You’re not necessarily thinking about that transport truck that is right beside you,” said Wilson.

At the second stage of complacency, it can start to affect decision making, as illustrated by statements such as “I’ve been doing this job for 20 years and never been hurt yet.”

“Once you get to the first stage of complacency your mind can wander. As soon as you get past the first stage of complacency, you become very susceptible to the active states, the active human factors such as rushing, frustration and fatigue. These can contribute to eyes not on task, mind not on task, line-of- fire, and balance/traction/grip issues, which increase the risk of injury.”

Critical error reduction techniques

Wilson then introduced the critical error reduction techniques to combat complacency which include:

• Self-triggering – It is important to recognise the active states and to self-trigger at this stage. “As soon as you realise you’re rushing, using too many things at one, or feeling frustrated, or feeling tired, you have to quickly think eyes; mind; line of fire; balance/traction/ grip. These are the four critical errors that can hurt you, and normally if you think about those errors, you will be much less likely to make one.” However it is not enough to self-trigger – reinforcement is needed. “It takes 66 repetitions to change those neural pathways,” Wilson noted.

• Good safety habits – These include strategies such as looking out for things that could cause you to lose your balance, traction or grip; looking for line of fire potential; moving your eyes before moving hands, feet, body or car; testing your footing or grip before you commit your weight, etc. Working on these helps to compensate for complacency. Wilson emphasised th e importance of working on one habit at a time, and gradually improving all five habits.

• Analyse close calls and small errors – “Every time you bump and scrape into something ask yourself, why, and think about how it could have been worse. When you contemplate the worse case scenario, it adds a bit more voltage in terms of creating those neural pathways.”

• Look at others for the patterns that increase the risk of injury.

Wilson went on to discuss how critical decisions are influenced or compromised by the four states - rushing, frustration, fatigue and complacency - or a combination of those states, and how they can lead to not following rules, procedures and PPE standards.  For example not checking critical pieces of equipment, not using PPE or a device you would normally use or following a safe procedure you would normally do, being overly complacent with other people so you don’t anticipate potential problems, or being complacent enough to do something you know increases the likelihood of mind or eyes not on task, such as driving while on the phone.

He shared the example of a maintenance technician fabricator with 40 years experience, who was cutting off bolts with a grinder, a task he had done many times before. However a colleague had put the bolts on back to front, a source of frustration. The technician was not wearing a face visor, as he normally would, and took a deliberate risk by conducting an unsafe procedure. The grinder kicked back and cut him in the face.

“So for complacency, we need to focus on the critical error reduction techniques for complacency. For the people that are making the exception, we need to get them to self trigger on the states that are causing the exception. And by pointing out the traps that almost everyone falls into, and getting them to think about the states and the critical error reduction techniques, we will get safe behaviour on a voluntary basis. We want to create a culture of voluntary compliance.”

Wilson gave the example of a site in Nigeria which had gone five years without a lost time incident. Particularly impressive had been the staff parking lot, where every single car was voluntarily backed in without any sign instructing this, following sessions with SafeStart.

He went on to recommend tools and techniques companies could take to combat the second stage of complacency, such as ‘rate your state’ activities, toolbox talks, refresher training, near-miss reports etc.

These can be combined with actions people can take on a personal basis, such as using the critical reduction techniques, working on the safety habits, and using tools such as ‘rate your state’ to assess the likelihood of making a critical error.

“For example when you get into the car, ask yourself, ‘How am I doing: am I rushing, feeling frustration, fatigue, complacency?’ And halfway through the drive, ask yourself again.”

“You can’t beat complacency – it’s the way your brain is hardwired,” Wilson concluded. “The key thing is to recognise that you don’t have to let complacency beat you.”

Access the webinar

Keen to learn more? The webinar can be accessed here.

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Gastech 2023 to feature exclusive roundtable discussions on gas, LNG and hydrogen

A series of 10 invitation-only roundtable discussions will be held as part of the Gastech 2023 conference and exhibition, which will focus on the major themes of energy supply security, low-carbon energy for sustainable global growth, energy transition alliances, and the development of the energy industry workforce globally

The roundtable discussions will see participation from more than 10 energy ministers and 100 C-suite executives from across APAC, Europe, the US, and beyond, to discuss action and tangible solutions accelerating the future of the gas and energy industries and supporting global decarbonisation goals towards a more secure energy future. They will focus on gas, LNG and hydrogen as key enablers and accelerators of the energy transition.

UNEP will host a Roundtable asking: ‘How will the gas and LNG industry make a step change in its decarbonising efforts?’. UNEP OGMP 2.0 manager Giulia Ferrini will be joined by representatives from the Gas Exporting Countries Forum (GECF), Zhero, SLB, the World Bank, the Global Centre for Maritime Decarbonisation, ENGIE, Linde, and TES to debate strategies to tackle the existential issue of methane emissions curbs.

Giulia Ferrini  said, “The oil and gas sector needs to act and curb methane emissions as a first step towards their decarbonisation efforts. It is only through collaboration, accountability, and transparency that industry can be part of the transition to sustainable energy and urgently address the climate crisis.”

A range of measures are already being evaluated, from responsibly produced gas to CCUS to more efficient engines in ships. Convening a broad panel of public and private sector players will ensure that these important questions are not just asked but answered.

A session on ‘Hydrogen - unlocking the off-takers and market signals needed to secure demand’ will be led by Siemens Energy, addressing the critical role of hydrogen in the path to net zero and reducing scope 3 emissions in hard-to-abate sectors. Insights will focus on accelerating APAC’s ability to unlock the roll-out of its hydrogen economy, while balancing decarbonisation, energy security, and affordability.

Anne-Laure de Chammard, member of the Executive Board of Siemens Energy, said, “Engaging in conversations about hydrogen becomes crucial as we seek to shape policies, attract investments, and establish markets. Nevertheless, the road towards a thriving hydrogen economy is complex, requiring careful navigation to ensure tangible benefits for all stakeholders while considering its impact on our planet.”

Key outcomes from the Gastech 2023 Leadership Roundtables will feed into industry reports produced by Wood Mackenzie, with the aim to support the global energy agenda and inspire the industry to develop the crucial strategies required to accelerate energy progress and meet net zero targets.

Simon Flowers, chairman & chief analyst, Wood Mackenzie, said: “The gas outlook remains bullish, for LNG in particular. LNG demand growth, mainly from Asia, requires another 100 mmtpa of new capacity to be built by the mid-2030s on top of that already under construction. While this growth is positive, suppliers also face multiple challenges: margins are at risk from cost inflation, developers must meet growing calls for low-carbon-footprint LNG and securing long-term offtake with Asian buyers is key. I can’t think of a better time and location for the industry to be meeting than in Singapore for this year’s Gastech.”

Gastech takes place from 5-8 September in Singapore. For the opportunity to participate in the Gastech 2023 Leadership Roundtables, apply to become a Gastech Energy Club Member by registering your interest here.

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Exploration & Production

Oman is looking to boost exploration and production to grow the contribution of oil and gas to the economy. (Image source: Oman Ministry of Energy & Minerals)

Exploration & Production

Oman’s Ministry of Energy and Minerals has announced the offering of five concession areas in the oil and gas sector for competitive bidding to local and international petroleum companies

The five concession areas are distributed across a wide geographical area and have significant geological potential, according to the Ministry. They are as follows:
· Blocks 12 and 16: Located in the “Greater Barik Area” in central Oman, covering areas of 5,050 sq km and 4,496 sq. km respectively.
· Block 55: Located in the “Eastern Flank Province”, spanning an area of 7,564 sq. km.
· Blocks 42 and 45: Located in the “Sharqiyah Sands Basin” and surrounding areas, with Block (42) covering 30,682 sq. km and Block (45) covering 5,483 sq. km.

The Ministry explained that the application process goes through several stages, including reviewing the available opportunities, registering and submitting the required documents, obtaining the technical data, and then submitting proposals through the designated platform before the deadline. Companies interested in participating can review the tender details through the tender website via the QR Code. Registration will commence on 12 April 2026 and continue until 30 September 2026, with results to be announced following the completion of the technical and financial evaluation of the submitted bids.

The Ministry affirmed that the bid round is part of its ongoing approach to enhancing the investment environment and improving transparency, thereby contributing to attracting quality investments, strengthening international partnerships, transferring modern technologies, and maximising the added value of the oil and gas sector, while supporting sustainability and enhancing the sector’s contribution to the national economy, in line with the objectives of Oman Vision 2040.

The launch of the bid round follows the signing of a concession agreement in February between Oman's Ministry of Energy and Minerals and a joint venture of OQ Exploration and Production and Malaysian group Petronas for offshore block (18) in the Sea of Oman covering a 21,000 sq km area, which offers significant frontier exploration potential across diverse geological settings, from shallow to ultra-deep water.

TotalEnergies is expanding its exploration activities in the Mediterranean. (Image source: Adobe Stock)

a planned 3D seismic survey and exploration and appraisal program is expected to advance the development of the new resources by the end of 2028. (Image source: Adobe Stock)

Industry

CSC and Honeywell will drive innovative OT cyber solutions aimed at safeguarding critical industrial infrastructure in the UAE. (Image source: Honeywell)

Industry

The UAE Cyber Security Council (CSC) and Honeywell are joining forces to develop advanced cybersecurity programmes across the country, with the aim of building local cyber resilience capabilities

Through this collaboration, CSC and Honeywell will work to localise cyber services, advance capacity-building initiatives, and support the development of forward-looking cyber policies aligned with national frameworks. Using their combined advanced technologies, they will drive innovative OT cyber solutions aimed at safeguarding critical industrial infrastructure in the UAE.

Honeywell plays a key role in advancing industrial cybersecurity across the Middle East by delivering localised solutions that enable organisations to address evolving threats. Honeywell’s latest 2025 Cyber Threat Report found a 46% increase in ransomware extortion incidents globally during the most recent reporting period, while 55% of self-reported cybersecurity incidents in 2024 were direct attacks on operational technology.

Through its local Cybersecurity Center of Excellence, Honeywell will provide training, advanced cybersecurity solutions, and support key sectors such as energy, manufacturing, and infrastructure, helping companies to respond effectively to an increasingly complex and evolving threat landscape.

His Excellency Dr. Mohamed Al Kuwaiti, head of Cybersecurity for the UAE Government, said, "This collaboration reflects the Cyber Security Council’s commitment to continuing and strengthening cooperation with leading global technology companies to enhance cyber resilience, develop local expertise, and ensure the UAE maintains its leadership at the forefront of cybersecurity innovation."

"In an increasingly interconnected and digital world, strengthening cybersecurity capabilities is essential to protect national infrastructure and enable sustainable economic growth. As sectors in the UAE become more interconnected and the convergence between information technology and operational technology accelerates, the need to safeguard critical industrial infrastructure from escalating cyber threats becomes more pressing."

Uygar Doyuran, vice president and general manager of Honeywell Process Automation in the Middle East, Turkey and Africa, added, "Our collaboration with the Cyber Security Council reinforces Honeywell’s commitment to supporting the UAE’s industrial and digital transformation priorities. By combining our global cybersecurity expertise with strong local capabilities, we are helping organisations across critical sectors enhance resilience, protect industrial operations, and build the skills needed to counter evolving cyber threats".

Brady has launched the BradyPrinter i4311. (Image source: Brady Corporation)

Aramco's profits rose by 25% in the first quarter of 2026. (image source: Aramco)

Petrochemicals

Vitol Bahrain EC has a long-standing presence in Uganda's downstream sector.

Petrochemicals

As the Uganda National Oil Company aims to build a crude refinery, it has reached out to a unit of global commodities trader, Vitol, for a US$2bn loan to support the project alongside construction and infrastructure developments

According to Henry Musasizi, Uganda's junior finance minister, this seven-year tenor loan from Vitol Bahrain EC (VBA) comes with an interest rate of 4.92%. The minister worked on advancing the approval process for the credit line and the loan, which involved significant lawmakers, who sanctioned the development with a majority verdict.

Musasizi said that Vitol's support "presents an opportunity to access non-traditional financing to implement. ..projects and support the government in developing national infrastructure."  

Vitol Bahrain EC has a long-standing presence in Uganda's downstream sector, functioning as the sole supplier of refined petroleum products to UNOC, before the state-owned company sells it to retailers across the country.

Alongside the refinery, the loan amount will also be covering road construction, a petroleum products storage terminal and extension of a petroleum pipeline from western Kenya to Uganda's capital Kampala.

Previously, the UNOC also concluded a deal with the UAE-based Alpha MBM Investments, whereby a domestic refinery with a capacity of 60,000 barrels per day is in the pipeline. The agreement accords 60% stake on the refinery to the UAE firm while UNOC retains 40%.

Uganda is looking to begin commercial oil generation starting next year from fields in its west.

Demand could also drop in markets that have so far weathered the crisis. (Image source: Adobe Stock)

The agreements will expand the chemicals ecosystem. (Image source: ADNOC)

Technology

The offshore well was drilled from onshore using directional drilling technologies. (Image source: Adobe Stock)

Technology

The drilling of an offshore exploration well from onshore using advanced directional drilling technologies has resulted in a new gas discovery offshore Egypt

Egypt’s Ministry of Petroleum and Mineral Resources has announced a new natural gas discovery in the Nile Delta region, with estimated production rates of around 50 Mmcf/d. The discovery follows the successful drilling of the exploratory well (Nidoco N-2) within the West Madi concession area, operated by Italy's Eni in partnership with the UK's bp and the Egyptian General Petroleum Corporation, through Petrobel, the joint company between EGPC and Eni.

 Eng. Karim Badawi, Minister of Petroleum and Mineral Resources, visited the EDC-56 drilling rig, which executed the well operations in the West Abu Madi area in Kafr El-Sheikh Governorate. The well is located approximately 3 km offshore in shallow waters with a depth of around 10 m. The well was drilled from onshore using state-of-the-art directional drilling technologies, contributing to cost optimisation and enhanced operational efficiency.

This is in line with the government’s focus on bringing in and localising modern technologies that contribute to increasing petroleum and gas productivity while reducing time and cost, in co-operation with leading service companies, drilling and technology solution providers, and production partners. The Minister in February announced that the petroleum sector is accelerating the implementation of horizontal drilling and hydraulic fracturing technologies, which enable access to oil and gas resources that are difficult to exploit through conventional methods, with the aim of increasing oil and gas production rates within the sector's five-year plan.

The Minister said that this discovery, alongside increased production from existing fields, reflects the Petroleum Sector's success in settling dues owed to foreign partners, with full clearance targeted by the end of June, highlighting the state's commitment to strengthening partner confidence and fostering an attractive investment environment. He added that the regular settlement of dues has encouraged partners to intensify upstream activities, increase drilling and production rates, and expand the development of mature fields by extending agreement periods that helped attract new investments to these areas.

Situated less than 2 km away from the nearest production facilities, the well's proximity to existing infrastructure enables rapid connection to the network within the coming weeks and the start of early production, enhancing capital efficiency.

The Minister also noted that the discovery represents a model for maximising the utilisation of existing infrastructure, increasing production rates, and supporting gas supply to the domestic market. It also highlights Eni's continued success in exploration and production activities across its concession areas.

The new discovery follows Eni’s gas and condensate discovery in the Temsah concession in the Eastern Mediterranean in April, with preliminary estimates of about 2 trillion cubic feet of gas and 130 million barrels of associated condensates. The Denise W discovery lies 70 km offshore in 95 m of water depth and less than 10 km from existing infrastructure, offering potential for a fast-track development.

The Egyptian government is encouraging investment and incentivising exploration and production to reverse years of decline and reduce energy imports, a drive which is being given additional impetus by the current situation in the Middle East. These efforts seem to be paying off, with a number of promising discoveries being made recently. 

The collaboration extends trusted data, domain science, operational expertise, and applied AI to support predictive, asset-level decision-making over the full production lifecycle. (Image source: Adobe Stock)

The acquisition adds advanced managed pressure drilling capabilities to Expro's portfolio. (Image source: Adobe Stock)

Webinar

Oil and gas operations in the Middle East span harsh deserts, sprawling refineries and high-risk offshore environments. (Image source: Adobe Stock)

Webinar

In the oil and gas industry, where every second counts and every decision impacts profitability and safety, robust security is not just a luxury – it's a necessity

From protecting critical assets to safeguarding human lives, security systems must meet the highest standards of reliability and performance.

Pelco, a leader in video security, is uniquely positioned to address the challenges faced by oil and gas companies in the Middle East, offering a fresh perspective on how to optimise security systems seamlessly. With our upcoming online event, we invite you to explore how Pelco can help tackle worker safety, asset protection and operational efficiency in this complex industry.

Addressing oil and gas challenges head-on

Oil and gas operations in the Middle East span harsh deserts, sprawling refineries and high-risk offshore environments. Physical, environmental and digital threats are converging, and security systems must evolve to meet these overlapping demands. Our upcoming online event will focus on three critical areas where Pelco's expertise can make a difference:

1. Improve worker safety and HSE compliance

Ensuring worker safety is both a moral responsibility and a regulatory imperative. Health, Safety and Environmental (HSE) compliance is a top priority for oil and gas operations. Pelco's advanced portfolio is designed to help you meet these standards.

Edge-based analytics and intelligent video security can be valuable tools in supporting site safety. These systems can help detect safety incidents, such as slips or falls, especially in areas where oily surfaces, heat or dust create additional hazards. When incidents occur in remote areas, automated detection can prompt faster intervention, thereby closing the gap between the event and the response.

Personal Protective Equipment (PPE) compliance is another key safety concern. High temperatures in the Middle East can lead to discomfort, and in some cases, workers may be tempted to remove protective gear, such as hard hats or vests, for temporary relief. In this case, AI-enabled video analytics can help identify instances of non-compliance, enabling safety teams to address the issue before it becomes a liability.

Zone-based behavioural analytics can help detect when someone enters a restricted or hazardous area or remains in a dangerous zone longer than necessary. For example, loitering detection near flare stacks or storage tanks can support situational awareness and proactive incident mitigation.

2. Improve security and asset protection

From refineries in the desert to offshore rigs in corrosive marine environments, your assets operate under pressure, so your security systems must withstand these harsh conditions. In areas where explosive gases or dust particles may be present, even basic equipment can pose risks. That’s why choosing video solutions built for hazardous environments is critical.

ExSite Enhanced cameras, featuring 316L stainless steel construction and certifications such as ATEX and IECEx, are designed for use in hazardous atmospheres. Whether it’s observing pipeline manifolds, wellheads or chemical storage areas, these systems deliver dependable performance in high-risk environments. In corrosive coastal locations, such as LNG terminals or offshore rigs, Pelco’s anti-corrosion models withstand salt spray, humidity and chemical exposure without compromising visibility.

For perimeter defence, long-range Silent Sentinel cameras give security teams early warning of approaching threats, detecting vehicles, vessels or drones from kilometres away in fog, darkness or dust. These systems are especially valuable for remote desert pipelines or unstaffed offshore installations, where rapid detection is critical to prevent disruptions.

3. Minimise downtime and maximise uptime

Every minute of downtime impacts revenue. For oil and gas operations, the cost of unplanned outages is measured in millions of dollars. With Pelco, your video security can become an operational asset.
Radiometric thermal cameras can detect overheating in transformers, compressors and electrical panels, allowing teams to take action before equipment failure occurs. At the same time, Pelco’s camera image health analytics help ensure your video infrastructure is always performing at its best. Our cameras automatically detect issues such as lens obstructions, misalignment or tampering, reducing the need for manual inspections and helping ensure your security coverage is always clear, optimised and ready when it matters most.

Join us to discover the Pelco advantage

We invite you to join our upcoming online event, where industry leaders and Pelco experts will dive deeper into these challenges and solutions. Together, we'll explore how Pelco can be the missing ingredient to supercharge your security and drive operational excellence in the Middle East oil and gas sector.

Don't miss this opportunity to gain actionable insights and position your operations for success. Register now and discover how Pelco can transform your approach to security.

Competence is a must for high-risk tasks. (Image source: Adobe Stock)

The event will address the security challenges in the Middle East oil and gas sector, and how Pelco solutions can help.

Energy Transition

GCC countries are realigning domestic energy systems. (Image source: Adobe Stock)

Energy Transition

The Middle East and North Africa (MENA) is set to become the world’s largest hydrogen exporter by 2060, while maintaining a dominant position in global oil and gas markets, according to DNV’s Oil & Gas Decarbonization in the Gulf Region report

The report highlights how Gulf Cooperation Council (GCC) countries are cutting the emissions intensity of their core oil and gas production while continuing to play a central role in global energy supply, presenting a picture of a region approaching the energy transition from a position of confidence and capital strength. Reductions in emissions intensity are occurring alongside continued hydrocarbon production and investment across renewables, electrification, hydrogen, methane abatement, digitalization, and carbon capture.

Since 2005, the GCC has produced nearly 18% of global oil and gas, a share expected to increase as investment continues in low-cost, advantaged resources. As global energy demand increasingly shifts toward Asia, the region’s location and cost competitiveness strengthen its position as a preferred supplier. At the same time, decarbonization measures are becoming an integral part of long-term competitiveness.

“The global energy transition will not progress at the same pace across regions, nor will it follow a single pathway,” said Brice Le Gallo, vice-president & regional director for Southern Europe, MEA & LATAM, Energy Systems at DNV. “In the Middle East, oil and gas remain central to economic stability and global energy security. The key challenge is to reduce their emissions footprint while accelerating investment in the technologies needed for a lower-carbon energy system.”

Electrification is being used to cut Scope 2 emissions from pumps, compressors, and offshore facilities, through grid connections, renewable power, and hybrid solutions. These efforts are supported by energy-efficiency measures and the use of digital tools and artificial intelligence to optimise drilling, reservoir management, and asset operations, reducing energy intensity and emissions per barrel produced.

Methane reduction remains one of the most immediate and cost-effective options for lowering emissions. Across the GCC, routine flaring is planned to be phased out by 2030 and leak detection and repair (LDAR) programmes are increasingly standard. National oil companies are also aligning with international methane initiatives, enabling continued production growth while reducing methane intensity in line with national net-zero targets.

GCC countries are realigning domestic energy systems to reduce oil and gas use domestically and free up volumes for export and low-carbon fuel production. Growth in renewables, electrification of transport and buildings, and efficiency gains are driving this shift. Investment in downstream industries, petrochemicals, and low-carbon fuels is also changing export profiles, moving beyond crude oil toward higher-value and lower-carbon energy products.

With access to low-cost natural gas, strong solar resources, and established industrial and export infrastructure, the region is well placed to scale both low-carbon hydrogen (produced from natural gas with carbon capture) and renewable hydrogen produced through electrolysis. By 2060, the Middle-East and North Africa region is projected to produce around 19 million tonnes of hydrogen and 13 million tonnes of ammonia per year, exporting about 50%, mainly toward Europe and advanced Asian economies.

“Hydrogen, ammonia, and carbon capture are becoming core elements of the GCC’s energy export model,” said Jan Zschommler, market area manager for the Middle East, Energy Systems at DNV. “As emissions requirements tighten, access to international markets will increasingly depend on carbon intensity. Integrating hydrogen production with renewable power, carbon capture, and existing industrial clusters allows the region to remain competitive while meeting these requirements.”

Carbon capture, utilization and storage (CCUS) is also set to grow. In January 2026, the UAE's Supreme Council for Financial and Economic Affairs has introduced Carbon Capture Policy as a further commitment to meeting their carbon reduction targets. Captured CO₂ volumes (including CO₂ removal) are expected to reach around 250 million tonnes per year by 2060, equivalent to roughly 8% of regional energy-related and industrial emissions.

Bioenergy with carbon capture (BECCS) and direct air capture (DAC) combined are expected to remove around 81 million tonnes of CO₂ per year by 2060, helping to offset emissions from sectors that are more difficult to decarbonise.

The full report is available at https://www.dnv.com/energy-transition-outlook/oil-and-gas-decarbonization-in-the-gulf-region/

The new guidance addresses hydrogen-specific integrity and safety considerations. (Image source: Adobe Stock)

The majority of projects are still at a feasibility stage. (Image source: GlobalData)

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