What is difference between upstream and downstream?
It's not unusual to hear people involved in production make frequent reference to "upstream" and "downstream" parts of the process. Upstream refers to the material inputs needed for production, while downstream is the opposite end, where products get produced and distributed.
What is upstream of flow?
When referring to the water in rivers and streams, the difference is that upstream, also known as upriver, is against the water flow and towards the original source (where the river begins) of the water. For example, a boat can travel upstream, against the flow of the river, which flows downstream.
What is the upstream with example?
Examples of Upstream Companies Upstream oil and gas production and operations identify deposits, drill wells, and recover raw materials from underground and are involved in exploration and extraction.
What are upstream and downstream activities?
Often, different stages within the supply chain are referred to as upstream or downstream. Upstream operations are those in which the materials flow into the organization. Downstream operations are those in which materials (mostly in the form of finished products) flow away from the organization to the customers.15 Sept 2017
What is an example of downstream integration?
For example, an oil refinery sells heating oil to a power company, which, in turn, sells the heating oil to homeowners and other consumers. Thus, the downstream operations include sales of products at both the wholesale and retail levels.
What are downstream activities?
Downstream operations are the processes involved in converting oil and gas into the finished product. These include refining crude oil into gasoline, natural gas liquids, diesel, and a variety of other energy sources.18 Apr 2021
What are upstream activities?
Upstream refers to points in production that originate early on in the processes. Upstream activities include exploration, drilling, and extraction. Upstream is followed by midstream (transportation of crude oil) and downstream (refining and distribution) phases.
What is upstream and downstream example?
Example of Upstream & Downstream in SUPPLY CHAIN. *Examples of Upstream Processes: In the oil and gas industry, the downstream process consists of converting crude oil into other products and then selling those products to customers. Thus, oil refineries represent structures that operate within the downstream process.9 May 2015
What are the 3 stages of oil and gas?
Oil and gas companies can generally be divided into three segments: upstream, midstream, and downstream. Upstream firms deal primarily with the exploration and initial production stages of the oil and gas industry.
What does upstream and downstream mean in oil and gas?
The terms upstream and downstream oil and gas production refer to an oil or gas company's location in the supply chain. Upstream oil and gas production is conducted by companies who identify, extract, or produce raw materials. Downstream oil and gas production companies are closer to the end user or consumer.