The global energy sector is witnessing a dramatic shift, driven by geopolitics, oilfield discoveries, and ongoing developments in technology, according to renown energy expert Dr. Daniel Yergin.
Speaking at a keynote address at the Abu Dhabi International Petroleum Exhibition and Conference (ADIPEC) on Monday, Dr. Yergin said the oil and gas industry is undergoing a tremendous transformation: from the rise of BRIC – Brazil, India, Russia, and China, to a shale gas revolution that has significantly impacted market dynamics.
“We are experiencing a movement from the BRIC era to the Shale era, from a time of great demand and scarcity to a time of an abundance in supply and weaker demand,” he said.
“What is happening today is a rebalancing of the world economy. People often underestimate the power of technology, such as that which has unlocked shale reserves and played a role in setting the stage for today’s market,” added Dr. Yergin.
Companies today must adopt a more competitive approach, where investments will be more carefully selected and strategies assessed thoroughly for a long-term view to business, rather than one zeroed in on immediate turns, according to the Pulitzer-Prize winner.
“Oil companies today must demonstrate agility,” Dr. Yergin said. “Innovation and developments in technology are critical to meeting the needs and future requirements of today’s growing world, and events like ADIPEC help drive the discussions that pave the way to a sustainable energy future,” he concluded.
