The oil and gas industry is once again under pressure. Crude prices have halved from their post-Ukraine invasion peak, with forecasts suggesting that Brent could remain below $60 per barrel well into 2026. For many operators, that level is unsustainable. The result: sweeping job cuts, delayed projects, and shrinking investment — the sharpest pullback since the Covid-19 downturn.
Thousands of jobs are being cut at companies including Chevron, BP, and ConocoPhillips. Capital spending on global oil and gas production is forecast to drop 4.3% this year to $342bn — the first decline since 2020. Even state giants like Saudi Aramco and Petronas are scaling back.
For U.S. shale producers, the economics are especially tough. With breakevens near $65 per barrel, many independents are being squeezed by OPEC’s strategy of boosting output to win back market share. Rig counts and fracking crews are now at four-year lows.
Yet within this uncertainty lies a clear message: digital transformation is no longer optional — it’s survival.
Executives are leaning on outsourcing, automation, and AI-driven optimisation to cut costs and maintain competitiveness. From predictive maintenance that minimises downtime, to AI-assisted drilling that lowers breakeven thresholds, digital tools are enabling operators to do more with less.
As Chevron’s CEO Mike Wirth put it: “The way we protect the most jobs for the most people is by remaining competitive. We have to take control of our own future.” In today’s market, “remaining competitive” increasingly means leveraging data, automation, and digital capabilities at scale.
For an industry accustomed to cycles, the lesson is clear: when prices fall and capital tightens, the companies that thrive are those with agile, digitally enabled operations.
At the Digital Oil & Gas Summit, senior leaders will examine how to navigate this new reality — from deploying AI and automation across upstream operations, to building resilient, future-ready workforces. In a market defined by volatility, digital is the lifeline that keeps companies competitive.
