This paper reviews the changes in international oil prices, world oil demand and oil production in 2021-2022, collates the upstream business performance, asset changes, exploration expenditure and progress in reserve replacement of international oil companies, and summarizes the oil production trend, development strategies for oil and gas businesses, energy transition and business diversification of major oil companies in the coming years. The study finds that the oil market has been highly uncertain in recent years, and oil prices may remain at a moderate or high level in the short term; despite the rising oil prices, oil companies are spinning off their upstream businesses; and the differentiated transformation of oil companies has entered a substantive stage. On these grounds, two recommendations for the high-quality development of the oil and gas businesses of Chinese oil companies are proposed:First, Cost decreasing and benefit increasing around the main oil and gas businesses should be continuously promoted; Second, Business planning should be enhanced to achieve global optimal oil and gas businesses.

This paper discusses UHS characteristics, introduces the geological structures and industrial practices of UHS, and reviews UHS research current situation and main scientific problems. The main advantages of underground hydrogen storage are:1) large-scale storage, 2) long-term storage, 3) low-cost storage, and 4) higher safety. Salt caverns, depleted gas reservoirs and aquifers are three main types of geological structures suitable for UHS. There have been some operation cases of pure hydrogen storage in salt caverns, and only a few of mixed hydrogen storage has been stored in depleted gas reservoirs and aquifers. Underground hydrogen storage will be technically and economically feasible. Industrial-scale application of underground hydrogen storage technology involves geological, technical, economic, legal and social factors. The cost reduction of hydrogen production by electrolysis will be a decisive factor for implementation of the underground hydrogen storage on an industrial scale. Underground hydrogen storage began in the 1970s, but only in the 2010s did the EU and the US take it seriously, and many research and demonstration projects have been launched. In general, UHS technology is still in its infancy and not yet mature.

Hydrogen has the characteristics of green and low carbon, wide range of sources and diverse application scenarios, which is of great significance to global climate change. The industrial chain of hydrogen "production, storage, transportation and addition" is highly compatible with traditional oil and gas business, and oil and gas enterprises have natural advantages in developing hydrogen. In recent years, integrated international oil companies have accelerated their involvement in the field of "blue hydrogen and green hydrogen", actively explored hydrogen storage and transportation technologies, expanded the layout of hydrogen energy filling networks, carried out crossindustry and cross-border cooperation, and expanded the scale of the hydrogen energy industry. By analyzing the market potential and current challenges of the hydrogen industry, and benchmarking the hydrogen development model of international oil companies, the suggestions for the future hydrogen energy development of oil and gas companies are as follows:first, systematically consider the upstream, mid-stream and downstream, and deploy the entire hydrogen industry chain; second, strengthen investment in key technologies, continue to shape the core advantages; the third is to carry out extensive domestic and international cooperation to expand the hydrogen market share.

Cross-border capital flow is an important indicator in the field of economy and finance, and a key factor affecting global financial stability. Studying the law of cross-border capital flow is of great significance to grasp the macroeconomic situation. Based on the concept and historical law of crossborder capital flow, we find three characteristics of cross-border capital flow since this year:large-scale capital flow back to the United States, increasing pressure of capital outflow from emerging markets, and net capital inflow into China. Based on the analysis of historical laws, it is expected that crossborder capital will still return to the United States in the second half of the year, and emerging market countries will also face greater capital outflow pressure. The trend of cross-border capital flows will have a profound impact on interest rates, exchange rates and oil prices, resulting in multiple risks faced by oil and gas enterprises, such as the debt default of resource countries, the increase of overseas financing costs, the increase of exchange rate risks and the downward trend of oil prices. We suggest establishing an early warning mechanism to avoid the risks.

 

Under the carbon neutrality goal, energy transition has become a global consensus. As traditional oil and gas operations face increasing pressure, international oil companies are intensifying their efforts towards low-carbon and zero-carbon initiatives, advancing towards green and low-carbon enterprises. To align with the global energy transition trend, CNPC’s overseas operations need to actively adapt to new circumstances, seize opportunities in the green transition, accelerate its pace, and adjust its business layout. This article has reviewed and analyzed the new energy resource endowments and development policies of CNPC’s five major overseas cooperation zones, and has proposed differentiated new energy development strategies for overseas cooperation zones according to local conditions and category-based policies, providing support and reference for the development of overseas new energy business.

Under global consensus on carbon neutrality and the intensification of regional conflicts, new energy has become the primary direction for various countries to achieve energy security and green development. Represented by wind, solar, geothermal, hydrogen and stored energy, and controllable nuclear fusion, the technological and scale advantages of new energy are being continuously strengthened. Low-cost wind, solar, and stored energy will support the global energy transition. The production and utilization of new energy enter a rapid development phase. In 2022, the average global consumption of new energy accounted for 18.2%, and it is expected to reach around 55% by 2050. The distribution of the world’s energy resources, consumption regions, technological development, per capita consumption, energy-saving fields, and carbon emissions is uneven. The acceleration of low-carbon development in fossil fuels, the scale-up of renewable energy, and the intelligentization of energy management drives the rapid transition of global energy.

The shale oil and gas revolution is one of the best examples of innovation. Theoretical and technological innovation and innovation in management and business models have collectively facilitated the development of shale oil and gas. Among them, theoretical innovation is the foundation, technological innovation is the most important driving force and innovation in management and business models is a powerful guarantee for promoting the scale development of shale oil and gas. Analysis reveals that the longterm investment by the U.S. government in basic research, along with corresponding fiscal and tax policy guarantees, a highly competitive free market mechanism, and a system of professional collaborative division of labor, have laid a solid foundation for innovation in the U.S. shale oil and gas revolution. While recognizing the positive and proactive role of innovation in the shale oil and gas revolution, it is also important to deeply understand the differences that China faces in the exploration of shale oil and gas, in terms of geological resources and policy mechanisms. It is recommended to enhance the integration of industry, university and research to lay out innovation, strengthen policy support, innovate business models, and pay attention to the development of digitalization and intelligence.

China has rich deep shale gas resources, which will be an important source for an increase in China’s natural gas production in a certain period in the future. Realizing its large-scale efficient development is of strategic importance in ensuring national energy security. This article analyses and summarizes the opportunities and challenges in China’s scale economy development of shale gas. Opportunities: China’s natural gas market has immense potential, and the prospects for shale gas development are broad; the national and local governments value and support the exploration and development of shale gas; there is a rich resource base that allows for rapid production increase and stable output of deep shale gas; technological advancements will accelerate the pace of scale economy development of deep gas resources. Challenges: The exploration and development of deep shale gas are more difficult than that of shallow shale gas; exploration and development costs are high, making it difficult to reduce costs and increase efficiency; there is a long way to go in efficiently utilizing shale gas data assets; coordination between enterprises and localities faces new challenges. The conclusion asserts that it is essential to adhere to principles such as top-level design, market operation, and mutual benefit, and to optimize and enhance the measures for the scale economy development of deep shale gas in China: continuously improve the cooperative model of shared risks and benefits to maximize synergistic effects; strengthen technological research and advance scientific and technological leadership; deepen collaboration between enterprises and localities to promote synergistic development; accelerate the cultivation of natural gas utilization industry clusters and promote the local use of shale gas; actively seek governmental support for the industry and continuously optimize the policy environment.

This article discusses the design features of pipes in thermal insulation used in the construction of main and field pipelines in Arctic conditions. The defects that occur during the production, transportation and storage of pipes are given. Recommendations for repair or prevention of defects are given. The information may be useful to Chinese manufacturers and transport companies in order to ensure the possibility of supplying pipes to construction sites in Arctic conditions.

In 2023, China’s energy policy primarily focused on deepening systemic and institutional reforms, enhancing energy security capabilities, strengthening energy conservation and carbon reduction, and improving the standard system. It has laid the foundation for China’s policy direction, which is predicated on ensuring energy security, centered on economic construction, and aimed at achieving the carbon peak and carbon neutrality goals on schedule. In the current key tasks, China has accelerated the construction of a big unified electricity market, vigorously promoted upgrading industries for low-carbon, high-end, and intelligent development, and established carbon markets and standard systems aligned with international practices, achieving substantial progress.