The 2008 Emerging Europe Upstream Oil & Gas Report

Covering Azerbaijan, Bulgaria, Croatia, Czech Republic, Hungary, Kazakhstan, Poland, Romania, Russia, Slovakia, Slovenia, Turkey, Ukraine.

Key Coverage:

• BMI’s independent 5-year forecasts for demand and output in 12 Emerging Europe oil and gas markets
• BMI’s proprietary Upstream Business Environment rankings for each market
• Competitive Landscape for upstream producers, covering oil and gas output, sales, ownership, and employee data
• Company Profiles and SWOT analyses on 32 leading operators across the region

Global Industry Overview

The 2008 Emerging Europe Upstream Oil & Gas Report begins with BMI’s key demand and supply forecasts, which underpin our expectations of company activity in each state. At a time when there is concern across Europe over Russia’s dominant position in regional gas markets, our forecasts highlight the extent to which EU (and non-EU) states are able to diversify their supply routes. Overall, options are limited. Indeed, rapidly rising gas demand – and, at best, static North Sea output – will leave Russia dominant. And, with Russian output of 660bcm in 2012 set to account for 83% of the regional total, its companies will bestride Europe.

BMI’s Business Environment Rankings

Find out in the The 2008 Emerging Europe Upstream Oil & Gas Report where BMI ranks Russia, Kazakhstan, Ukraine and 9 other oil and gas markets according to energy demand and supply growth and potential, state involvement, the regulatory and licensing framework, and political and economic risks. BMI’s sophisticated integration of Country Risk and Industry-specific dynamics is unique within the industry and provides a full country-comparative overview of the risk/reward trade-off in each state. Overall, Azerbaijan is the top ranked state, although its comparatively poor Country Risk profile dampens the otherwise commanding lead it has gained from a solid regulatory structure and strong output growth potential over its nearest rival, Kazakhstan.

Competitive Landscapes for all 12 markets

BMI’s independent competitive landscape provides bullet point details of the key operators in each state, accompanied by an overview of the state’s role in both output and industry management, and the key production fields and major exporting routes. Importantly, our analysis is supported by tables covering (a) oil and gas output and company market share, and (b) the value of energy sales, employees, and market share of each midstream operator. The conclusions are clear. While independents and Western companies are able to operate easily in the more developed states and those with only limited reserves, a small group of state-owned – or state-linked – firms dominate Russia and Kazakhstan, and will continue to do so.

32 Company Profiles & SWOT analyses on leading operators across the region

The 2008 Emerging Europe Upstream Oil & Gas Report offers newly researched competitive intelligence on 32 leading companies operating across 12 Emerging Europe oil and gas markets. Company profiles (see full list below) analyse latest company developments and news, market positioning and regional and global strategies. SWOT analyses highlight key strengths, weaknesses, opportunities and threats, and provide a financial summary of sales, net profits and operating statistics.

Find out in the Report how Russia’s Gazprom will spend its US$20bn investment budget in 2008 as it seeks to build output capacity and modernise export routes; how Kazakhstan’s KazMunaiGaz will deal with existing and new project partners as it strives to meet the government’s aim of increasing oil and liquids output to 3.6mn b/d by 2015 (from 1.3mn b/d now) now that foreign participation in ventures has been limited to 50%; and how the UK’s BP has invested in the BTC pipeline to increase its gas exports from Azerbaijan following a recent discovery in the Shah Deniz gas field that could double its production in the state.

What are the Key Benefits of the 2008 Emerging Europe Upstream Oil & Gas Report?

• Use BMI’s country-comparative business environment rankings to assess investment attractiveness, potential returns and risks in the upstream oil and gas segments
• Assess oil and gas reserves, supply and demand growth using BMI’s five-year industry forecasts
• Track major upstream project developments and identify investment opportunities in oil and gas exploration and production
• Identify new opportunities in oil and gas exploration and production, evaluating the potential customer base, revenue-generating prospects and risks to returns
• Acquire a thorough understanding of the competitive landscape through BMI’s detailed company profiles on major players in oil and gas exploration and production

Who relies on the 2008 Emerging Europe Upstream Oil & Gas Report, and Why?

• Competitive Intelligence Managers – Gain a thorough insight into the market position and strategies of competitors in the upstream oil and gas industry
• Risk Managers – Evaluate and contrast the key upstream investment risks in the oil and gas markets of 10 (MEA) 14 (Asia Pacific) countries, with upstream and composite scores for ease of comparison
• Budget Planners – Balance the assumptions underlying your medium-term projections against BMI’s independent view of potential returns from the commercialisation of oil and gas reserves
• Project Managers – Track the progress of major upstream oil and gas projects to anticipate industry-wide barriers to project completion including rising costs, equipment, material and labour shortages

12 Markets Covered in the Report

Azerbaijan, Bulgaria, Croatia, Czech Republic, Hungary, Kazakhstan, Poland, Romania, Russia, Slovakia, Slovenia, Turkey, Ukraine

32 Companies Profiled in the Report

Azerbaijan – Socar, BP Azerbaijan, StatoilHydro, Lukoil Azerbaijan
Bulgaria – Oil & Gas Exploration & Production plc, OMV Bulgaria, Melrose Resources
Croatia – Industrija Nafte (INA), INAgip (INA/Eni joint venture)
Czech Republic – Moravské Naftové Doly (MND)
Hungary - MOL
Kazakhstan – KazMunaiGaz (KMG), Chevron, Eni Kazakhstan, ExxonMobil Kazakhstan, BG Kazakhstan, Shell Kazakhstan, Lukoil Kazakhstan, PetroKazakhstan
Romania – SNP Petrom, Rompetrol
Russia– Lukoil, TNK-BP, Gazprom, Gazprom Neft (formerly Sibneft), Rosneft, Tatneft, Total, Imperial Energy
Turkey – Tűrkiye Petrolleri Anonim Ortakligi
Ukraine – Naftogaz Ukrainy, JKX Oil & Gas