BCG’s OLTM helps companies and governments model scenarios to assess demand and supply impacts on their industry or business.
Our Approach to Upstream Operations
At BCG, we use our breadth of expertise and scale to deliver lasting change for upstream oil and gas clients around the world. These include integrated oil and gas companies, independents, and oilfield services and equipment suppliers.
750+
upstream oil and gas projects completed in 2023
100+
partners and experts with deep basin and technical knowledge
500+
upstream consultants around the world with deep upstream oil and gas industry experience
200+
consultants with in-the-field experience at international oil companies, national oil companies, or indepdents
We work with companies to create value in five priority areas:
Decarbonization
We help clients reduce the carbon footprint of their portfolios. This is an urgent challenge for the upstream oil and gas industry. Among key levers: greater energy efficiency, reductions in escaping gases, decommissioning aging hydrocarbon production assets, and switching to low-carbon sources of power and heat. We take an asset-by-asset approach and use digital solutions to deliver quick wins.
Transactions
Our deep expertise in M&A and strategic due diligence enables us to identify the hydrocarbon exploration and production targets worldwide that will deliver value for company owners. Using our post-merger integration capabilities, we then help clients to seamlessly combine operations and assets while minimizing disruption to the new business.
Digital and AI
We leverage our expertise in data-driven digital tools and AI to help clients transform their businesses and optimize their upstream operations in oil and gas in real time. By becoming digitally savvy, upstream oil and gas companies can boost efficiencies, cut costs, and create substantial value.
Cost Optimization
Given a global environment of strong inflation, high interest rates, and oil price volatility, cost optimization is an imperative for exploration and production companies. Our upstream oil and gas consulting experts develop the tools and approaches that allow clients to optimize costs across their operations and supply chains.
Operating Model
BCG’s upstream consulting experts can ensure that companies have the right operating model for a changing industry. We help clients develop the organizational structures and ways of working to innovate and create value, and we guide them on their people strategies so that they have the talent and capabilities for new upstream oil and gas solutions.
Our Clients’ Success in Upstream Operations
We take a flexible and collaborative approach that allows us to meet companies’ specific needs. We also apply a business lens to all the work we do and have a proven track record of creating value, with more than 1,500 projects delivered over the past five years for the majors and other international integrated oil and gas companies, independents, and national oil companies.
BCG’s upstream oil and gas consultants provide execution certainty and acceleration of impact by deploying rigorous processes and tools. By working hand in hand with in-house teams, our upstream consultants ensure that their work is always client led.
Here are a few examples of how we have helped clients:
We worked with an independent exploration and production company to develop a robust net zero roadmap and evaluate a range of internal and external business opportunities based around carbon capture and storage. We identified opportunities that had the potential to generate about $1 billion in net present value terms and positive engagements with investors drove an incremental 30% shareholder return premium versus the industry median.
An upstream oil and gas company was seeking support to diversify into low-carbon areas. We worked with the company to evaluate a range of internal and external business opportunities based around carbon capture, utilization, and storage; renewable energy; and direct air capture. Combined, these opportunities had the potential to generate more than $5 billion in enterprise value terms.
A major exploration and production company wanted to define a venturing strategy for investing and scaling low-carbon technologies to decarbonize their business. We worked with the company to evaluate investment areas and to identify potential investment vehicles and the most suitable venture capital partners. We also provided a deep-dive analysis of opportunities in three clean-tech areas: hydrogen, direct air capture, CCUS, and emissions reduction.
Our Upstream Oil and Gas Solutions and Tools
We offer clients a range of leading-edge proprietary solutions and tools that help them to optimize their exploration and production activities, including hydrocarbon exploration and hydrocarbon production.
OLTM
OLTM
Ekons Dart
An AI-driven platform, BCG’s Ekon Dart tool optimizes drilling execution by leveraging data and adapting to well conditions in real time.
Ekons Dart
Organizational Benchmarking Tool
BCG’s tool helps companies benchmark decarbonization plans against peers, gaining valuable competitive insights.
Organizational Benchmarking Tool
Unconventional Performance Database
The database helps clients pinpoint areas of weakness in shale performance, implement self-improvement programs, and identify M&A targets.
Unconventional Performance Database
Explore Our Insights on Upstream Operations
Article
November 4, 2024
Companies that abate their methane emissions early can gain a significant competitive advantage. We’ve identified six steps that can ensure the abatement journey is a success.
Article
June 18, 2024
Exploration and production companies are coming up with high-value ways to take costs out of the system—permanently.
Article
March 22, 2023
To unlock the full value of existing operations, oil and gas companies must improve collaboration among their business and IT teams and leverage the mountains of data that they have at their disposal.
Article
February 15, 2023
Favorable conditions have catapulted oil and gas players from laggards to TSR leaders. But to continue delivering shareholder value, they must balance four key areas.
Meet Some of Our Upstream Oil and Gas Consulting Team
BCG’s upstream consulting team helps clients achieve long-lasting sustainable growth through our deep expertise in upstream oil and gas, upstream operations, and exploration and production. Here are some of our experts on upstream operations in oil and gas.
