FTI Oil & Gas Case 2027: How to Structure Recommendations

FTI Oil & Gas Case 2027: How to Structure Recommendations

FTI Oil & Gas Case 2027: How to Structure Recommendations

The FTI Consulting oil gas case — commonly reported by candidates as "What recommendations would you give an oil and gas company in the current political climate?" — is structured in three layers: diagnose the exposures (policy, price, transition risk), evaluate strategic options against them, and recommend with sequencing.

What This FTI Consulting Oil Gas Case Question Assesses

This tests whether you can reason about a real industry under real uncertainty without either reciting headlines or ignoring them. FTI's energy and restructuring practices live in this world, so the interviewer checks: do you understand the actual pressures (permitting, pricing, energy transition, capital discipline) and can you turn them into advice a board could use?

How to Answer This FTI Consulting Oil Gas Case Question

Build the recommendation in layers:

  • Layer 1 — Map the exposures. Break the political climate into concrete business impacts: regulatory and permitting risk, commodity price volatility from geopolitics, transition pressure from investors and policy, and access to capital. Example line: "I'd start by separating the exposures — regulatory, price, transition, and financing — because each demands a different response."
  • Layer 2 — Generate options. For each exposure, sketch the strategic levers: portfolio high-grading toward lower-cost assets, hedging programs for price volatility, disciplined capital allocation between hydrocarbons and transition investments, and proactive regulatory engagement.
  • Layer 3 — Recommend with sequencing. Prioritize: what protects the downside first (balance sheet resilience, hedging), what positions for the upside (advantaged assets, optionality on transition). Sequence the moves — "first stabilize, then reposition" — and name the key risk to your own recommendation.

Keep it analytical, not political. The interviewer wants business judgment about navigating policy, not your personal views on it.

Common Mistakes

  • Reciting headlines. Describing the political climate without translating it into business implications answers a news quiz, not a case.
  • One-sided bets. Recommending full pivot or full doubling-down ignores the uncertainty — optionality and sequencing are the professional answers.
  • Ignoring the balance sheet. In a cyclical, capital-intensive industry, any recommendation that doesn't address financial resilience is incomplete.

Candidates commonly report follow-ups like "What if oil drops 30%?" — stress-test your recommendations against one adverse scenario out loud. Showing your advice survives bad outcomes is what separates a recommendation from a wish.

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FAQ

How much industry knowledge is expected? The basics: cyclicality, capital intensity, the energy transition debate. You won't be expected to know specific regulations — reasoning from general pressures is enough.

Should I take a stance on the energy transition? Take an analytical stance: lay out how transition pressure affects the company's options whatever your personal view. Neutral, commercial framing.

What if I know nothing about oil and gas? Say so, then apply the general framework: exposures → options → sequenced recommendation. The structure transfers across industries.

Can I ask clarifying questions? Yes — company type (upstream, integrated, services), region, and financial health all change the answer. Asking shows you know the industry isn't monolithic.

Preparing for FTI Consulting's interview? Our 2027 FTI Consulting Pre-recorded Video Interview & Online Assessment Tutorials has practice questions and answers — $79 one-time, instant download.