| The oil and gas industry, including exploration and | | | | Larger companies have the upper hand, having |
| production, consists of about 7,000 companies who | | | | greater access to capital and the capacity to buy |
| pull in a combined, estimated revenue of around | | | | smaller companies or propagate amalgamations. |
| �450 billon. However, the production and | | | | Smaller companies rely on their abilities to focus on |
| associated revenue are fragmented; around 10% of | | | | and develop expertise in a few geographical areas. In |
| companies generate approximately 60% of this | | | | addition, oil and gas competes with other fuel-types, |
| figure. Demand for oil and gas is caused by economic | | | | such as coal, nuclear power and hydro-electricity. In |
| activity, population growth and the need for energy | | | | addition, other sources of energy are emerging, such |
| for residential, industrial and transportation uses. The | | | | as ethanol and bio-diesel and there are other forms |
| growth of an individual company is determined by the | | | | of application arriving on the market, such as the |
| success rate of new finds, as well as the ability to | | | | new generation of hybrid-electric car. |
| continue to produce from existing sites. | | | | |