Financial Deal Insights Energy & Utilities January 2008

Table of Contents

• DATAMONITOR VIEW
• CATALYST
• SUMMARY
• ANALYSIS
• Record oil prices mean that the current outlook for energy sector M&A activity remains buoyant
• Long term market fundamentals point to a continuation of the oil price boom
• The supply side
• The demand side
• In common with longer term dynamics, short term fundamentals point to bullish prices
• The oil price rally has less relevance further downstream

• Definitions
• Ask the analyst
• Datamonitor consulting
• Disclaimer

• Figure 1: Energy sector by volume (August ' 07 - January ' 08)
• Figure 2: West Texas Intermediate crude oil price 1998-2008