Value Chain in Oil and Gas Business

The oil and gas industry value chain consists of three main segments:

Upstream: Exploration and production of crude oil and natural gas. This includes searching for reserves, drilling wells, and extracting hydrocarbons.

Midstream: Transportation and storage of crude oil and natural gas. This involves pipelines, tankers, and storage facilities, ensuring a continuous flow of resources.

Downstream: Refining crude oil and processing natural gas into finished products like gasoline, diesel, and petrochemicals. This also includes marketing and distributing these products to consumers.

Each segment adds value to the process, starting from raw materials to usable products. The industry plays a vital role in the global economy and energy supply, but it also faces challenges such as environmental concerns and the transition to cleaner energy sources.