Strategy

We help oil and gas companies develop strategies to pursue growth and create value in an uncertain and volatile environment.

To prevail in current markets, successful businesses treat strategy development as a dynamic process. Commodity-price fundamentals are challenging in the short term, requiring executive teams to constantly reevaluate mid- to long-term expectations. As a result, companies in the oil and gas industry are confronting significant strategic challenges and complex decisions, daily.

To help our clients manage this complexity, we bring distinctive propositions to our advisory work, ranging from tools that target short-term cash and performance enhancements, to levers for enabling operating-model evolution, to proprietary market models that provide granular, rigorous supply-and-demand scenarios to support strategy planning and development. Our clients have access to more than 400 consultants with extensive experience in oil and gas strategy, a global network of industry experts and external advisers, and broad cross-sector expertise from our Strategy & Corporate Finance Practice.

 

In the past 5 years, we have undertaken 800+ projects across all major regions and industry sectors, helping clients plan and execute the strategies required to sustain and grow.

 

EXAMPLES OF OUR WORK

We have built an impactful track record of client work in five core strategy areas: exploration, corporate growth, new energy segments, gas, and regulatory. By investing in developing market perspectives and understanding trends and outlooks, we ensure our strategy work is built on a robust fact base. Our recent projects include the following:

 

Employing our Exploration Portfolio Tool

Advising a midsize independent on optimizing its exploration portfolio for production volumes, risk, and returns in the short and long term, using our proprietary exploration-portfolio tool. The project resulted in a doubling of P50 volumes in the next 2-year plan.

Supporting Production Growth

Helping a new upstream CEO improve production, a poor reserve-replacement ratio, and total shareholder return by focusing the portfolio, finding new areas of growth, and identifying opportunities for cost reduction. After completing the project, the client saw production grow by more than 5 percent and made a major find in one of the new identified growth areas.

 

Identifying New Energy Segments

Supporting an integrated oil company with mapping future global energy systems in 20 different segments, analyzing investments in the various segments using different future energy scenarios, and helping identify which segments to play in and how to win in those segments.

Developing a Gas Master Plan

Working with a Middle Eastern government to develop a gas master plan to meet 2030 demand—including an overview of supply sources and marginal costs at various supply levels—and to establish the implicit cost of meeting a given market demand. The project determined optimal pathways for gas-to-power industrial and commercial supply chains to maximize economic impact.

 

Providing Perspectives on Regulatory Change

Supporting a regional consortium of operators facing regulatory uncertainty by providing a fact-based perspective on global fiscal and nonfiscal regulation, modeling industry data to create a common view of the impact of regulatory change, and creating materials to communicate with regulators, partners, and the wider society.

 

FEATURED CAPABILITIES

We invest heavily in developing proprietary tools, databases, and methods, including:

  • numerous proprietary market models, including our Global Gas Model, Global Downstream Model, and Offshore Drilling Model—all of which provide clients with highly granular fundamentals data, customizable scenario-development capabilities, and deeply integrated supply and demand perspectives

  • our Global Energy Perspective, which leverages our Energy Insights analytics platform as well as the deep expertise of The Jeeranont's global sector practices for an integrated, bottom-up perspective on global energy-demand outlooks; the model covers 139 countries, 22 sectors, and 55 fuels, and it allows clients to analyze granular energy-demand drivers as well as to build and run customizable scenarios within minutes

  • our Corporate Performance Diagnostic tool, which helps leaders measure, interpret, and manage the real sources of value in their company. Diagnostics include industry-tailored breakdowns of a company's current stock-market valuation and its relationship to business performance and growth.

Organization

We help oil and gas companies engineer their organization for success through our unique combination of deep industry knowledge, field-tested approaches, and proven tools and benchmarks.

Turbulence in the oil and gas industry is posing pressing questions for company leaders. How do they improve engineering productivity, manage accelerating change, determine the right size and structure for their organization, and build capabilities for success? Drawing on decades of deep industry knowledge and organizational expertise, we help clients address critical challenges like these. While working to boost their business performance, we also help them build the health of their organization to sustain long-term excellence.

HOW WE WORK

To bring clients the best and most innovative thinking, we develop distinctive perspectives on hot topics, such as:

  • shaping tomorrow’s oil and gas company, including agile design, digitization, decentralization, and redefining the core

  • understanding trends such as benchmarking across capital-project organizations, nonoperated governance, and board and shareholder governance

  • executing mergers to maximize the value from integration management

  • deploying organizational approaches to remove cost, including above-asset cost

  • closing the technical-talent gap through strategic workforce planning, building local talent pools, expert career paths, and capability development

 

EXAMPLES OF OUR WORK

Over the past five years, we have served two-thirds of the world’s top 20 oil and gas companies in more than 280 projects spanning organizational analytics and design, performance transformation, human capital and talent, and merger management.

 

Supporting an Agile Transformation

Working with a supermajor seeking to modernize its global organization to compete in increasingly volatile energy markets, we helped design a comprehensive transformation, embedding new agile processes that have cut average time to plan a well by more than 30 percent.

 

Delivering Competitive Advantage

We helped a fast-growing Asian independent oil company to turn project delivery into a sustainable competitive advantage by building a cross-functional organization and culture and capabilities while continuing to execute projects worth $3 billion. All projects were delivered on time and on budget, with $500 million in accrued savings.

 

Driving a Performance Transformation

For a national oil company suffering from massive under investment after 30 years as a monopoly, we helped retool the organization for success in a deregulated market, leading to a 24 percent rise in upstream oil production, a 4 percent gain in refining yield, a 10 percent uplift in fuel-station sales, and a 10 percent drop in distribution costs.

 

FEATURED CAPABILITIES

We invest heavily in developing proprietary tools, databases, and methods, including:

  • Our Capability Building program provides training and coaching to help clients apply best practices for themselves. For senior executives, we offer focused learning and personal development through our Change Leaders Forum, national oil company executive program, Enterprise Agility Forum, and Executive Transitions Master Class.

  • Our International Upstream Production Performance Benchmark includes data from 200 assets globally and provides objective comparisons of a company’s performance across multiple metrics, including production efficiency at an asset level.

  • Our Upstream Workforce Benchmark helps companies compare their technical and operational headcount against that of peers to inform transformation planning.

  • Our Overhead Benchmarking Initiative is based on data from more than 1,000 companies and enables clients to draw comparisons across general and administrative functions.

  • Our Oil and Gas Merger Management Tool Kit captures our insights from supporting the industry’s largest mergers over the past 20 years and covers integration boot camps, day-one checklists, draft integration plans, and value-capture opportunities.

Global Gas

We help gas companies create distinctive outcomes across the energy value chain and in every region.

Natural gas is one of the world’s largest sources of energy, with a rising share of the global energy mix. The explosive growth in liquefied-natural-gas (LNG) trade and the opening of historic market monopolies has transformed a largely regional business into a global commodity, involving multiple types of players.

To help clients navigate this increasingly complex landscape, The Jeeranont brings an unparalleled depth of experience from decades of work in the world’s major energy hubs. We have led projects in a variety of topics, including portfolio strategy, regulatory and policy making, commercial excellence, contracting and trading, capital productivity, organization, and digital and advanced analytics.

 

In our work in natural gas, we combine our proven management-consultancy approach with an extensive network of gas experts, a broad range of proprietary sector-specific tools, and deep insight into industry trends and challenges. Our recent projects include the following:

 

Supporting Client with Market Entry in SE Asia

Helping an integrated utility to enter Southeast Asia by developing detailed LNG-market insights, identifying more than 35 sales leads, and facilitating outreach to 20 opportunities that resulted in eight opportunities to volume and pricing.

Gas Contract Arbitration Support

In working with a client—holding a large gas-supply contract that was in price arbitration proceedings with its counterpart—The Jeeranont developed an independent factual expert report that was used in the arbitration process between the two parties

 

FEATURED CAPABILITIES

We invest heavily in developing proprietary tools, databases, and methods, including:

  • Global gas model, forecasts supply, demand, infrastructure requirements, and global gas flows using flexible scenarios to allow “what if” analyses.

  • LNG buyers’ survey, explores buyers’ most pressing concerns and needs and covers more than 80 percent of the market.

  • LNG cost curve, provides a bottom-up perspective on liquefaction costs, project feasibility, price structure, and export capacity.

  • Gas arbitration-support model, uses a proven methodology to provide a fact base for contracting and arbitration decisions, including dispute resolution.

  • LNG fleet monitor app, gives clients access to analytics and insight into global LNG fleets, flows, and market dynamics.

The Jeeranont

Issued by The Jeeranont Company Limited is authorised and regulated in the USA by the Financial Conduct Authority. UNITED STATES OF AMERICA