(The views and opinions expressed in this article are those of the attributed sources and do not necessarily reflect the position of Rigzone or the author.)
Much of the discussion about the energy transition references renewables such as solar and wind, but one informed market-watcher tells Rigzone that a more conventional resource – natural gas – will increasingly become a driving force behind the shift. Keep reading for his rationale, along with other insights about other oil and gas market trends to watch.
Tom McNulty, Houston-based Principal and Energy Practice leader with Valuescope, Inc.: Natural gas will become more and more the topic of discussion alongside oil. It is the fulcrum molecule in the energy transition, and I think demand for it will double rapidly. For power generation it is critical to support larger-capacity reliance on renewables, until such time that storage can make a real difference. If the migration to electric vehicles is going to play out, power generation capacity will need to rise substantially – and as coal is removed, natural gas must take its place.
Phil Kangas, U.S. Partner-in-Charge, Energy Advisor, Natural Resources and Mining, Grant Thornton LLP: In a recent analysis of Bureau of Labor Statistics Data, the Energy Workforce and Technology Council estimated that the oilfield workforce contraction to date in 2021 erased the meager gains from last fall. The early March report estimated 12,321 jobs over a three-month stretch ending in February were lost in professions that include well fracing and equipment services. As the upward momentum in rig counts returns, and the growing strength of WTI draws in additional drilling activity from the sector, we’ll be on the lookout to see these jobs statistics to rebound.
Source: RigZone
