Oil Prices on the Verge of Rebound | Automation.com

Oil Prices on the Verge of Rebound

Oil Prices on the Verge of Rebound

March 21, 2016 - Over the past several years, the oil and gas industry has faced numerous obstacles due to the historic drop in oil prices. Since mid-2014, the plummeting price of a barrel of oil has caused big layoffs, delays in project startups, and funding cuts to crucial R&D worldwide.

However, recent analysis indicates that oil prices may in fact be on the rebound. As Rakesh Upadhyay of OilPrice.com notes, “analysts from Goldman Sachs, UBS, CitiGroup and … Vitol are forecasting more or less a 50 percent rise in oil prices by the fourth quarter of 2016.” This analysis is predicated on the long-term effects of budgetary cuts to labor and project expansion. These cuts, coupled with the decrease in oil production, allows the demand to rise over time, and the cost per barrel along with it.

The recesses of oil expansion have proven to be very crucial times for process analytics. With shrinking budgets, many companies were unable to consider replacing older installations of automated analyzers. Here, the current installations were provided with a platform to demonstrate their dependency. The equipment that didn’t require much hands-on maintenance and was easily serviceable at times when money and help were scarce are now held in very high esteem.

The TLG-837 Tail Gas Analyzer is one of these automated instruments that showed its dependency during difficult operational circumstances. With installations in oil refineries across the globe, TLG-837, using UV-Vis technology, has proven to be a trusted and reliable unit for sulfur analysis throughout the industry at times when dependability was most critical. With oil prices on the rebound, the oil and gas industry can expect many of the delayed and stalled projects to resume.

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