How oil and gas industry works
Oil is vital to the world economy, particularly for its major producers: the United States, Saudi Arabia, Russia, Canada, and China.
• There are three segments to the oil and gas industry: upstream, midstream, and downstream.
• Upstream companies, also known as exploration and production (E&P) firms, locate reserves and drill oil and gas wells. Transportation from wells to refineries is the responsibility of midstream corporations, whereas transportation from refineries to consumers is the responsibility of downstream companies.
• Construction and maintenance activities are carried out by well-servicing companies.
• Oil and gas drilling companies hire drilling companies to extract oil and gas.
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