Energy Predictions 2011

FOREWORD

Welcome to the 2011 Energy Predictions report for the energy & resources sector.

This is the second year in which the Global Energy & Resources group of Deloitte Touche Tohmatsu Limited has published its predictions for the year ahead.

As the fog lifts over the global economy, a recovery is clearly underway in places as disparate as China, the United States, Brazil, Australia and India. Other markets are showing signs of recovery and there is no significant economy that remains mired in recession. Bearish economic indicators released in the last few weeks notwithstanding, oil prices are pushing upward, testing the upper limits of the US$70-80/per barrel range. Serving as a simple yet global and unified measure of economic recovery, it is oil's price range and the strength and sustainability of the recovery which will impact the ways in which all forms of energy are produced and consumed.