Global Energy Transitions Summit held at Rice University
I recently attended the first Global Energy Transitions Summit held at Rice University on September 28, 2017. For the full article, please go through this link: linkedin.com/pulse/global-energy-transitions-summit-held-rice-university-sofia-khan
Irrespective of oil market conditions today, the demand for oil will keep going up for at least two to three decades. There are a lot of resources still to be discovered and produced around the globe and here in North America. Can we meet the challenges that tomorrow brings?
Although the rate of oil demand growth is slowing, it doesn't mean that the demand is reducing or that meeting those goals will be less lofty than today. The effort to meet tomorrow's goals will be much more challenging than we realize compared to today's efforts unless there are significant new reserves added to the world supply of oil. We still need discoveries of potential new fields in frontier areas, and more recovery from the known fields, in order to meet the challenges of the future.
My question is, which I will have to research, how long can the OPEC countries maintain their current output levels? Once we can determine the answer to this question, we will be able to forecast the coming supply/demand imbalance.
One of the bankers made it known that a breakthrough in seismic imaging will make a meaningful impact in the results of oil and gas exploration, questioning and challenging the industry to find more new fields. Bobby Tudor of Perella Weinberg Partners, stated emphatically, "Show me the new discoveries if you've solved it."
During a downturn in the oil markets, pessimism should be kept to a minimum. The downturns can be compared to a wave which recedes temporarily and may be a warning sign that a tsunami may follow. In a similar manner, reduced oil prices may be a harbinger of large increases of oil prices that are sure to follow as steep declines in output may occur in the super giant oil fields and shale production levels. The devastating effect of reduction in supply and increase in oil prices in the decades to follow can be reduced with technologies that will enable us for Direct Reservoir Imaging. Direct Reservoir Imaging removes the ambiguities, reduces the cost, and improves our success ratio. There is a lot of oil still to be discovered especially in stratigraphic traps and fractured reservoirs.
The challenge we face today is like flying directly into the headwinds; a proud and tenacious bird like the eagle, enjoys it. It soars higher and higher. The American innovative spirit has the same unending desire to rise above the difficulties, and solve any problems that come along.
Albert Einstein has summed it up, "In the middle of every difficulty, lies opportunity."