Even though the oil and gas industry is facing a particularly challenging set of obstacles including demand destruction, constant pressure to fight climate change and volatile oil prices, one thing is clear: oil and gas will be a major part of the global energy mix for decades to come.
“We’re so dependent on oil and gas that we almost don’t even realize it,” said Vicki Knott, CEO of Crux OCM, in an exclusive interview with Hart Energy’s Faiza Rizvi.
She pointed out that ironically, wind turbines, hydroplanes and solar panels are manufactured in factories that are powered by fossil fuels. “Even just to begin getting to that [energy] transition, we need oil and gas,” Knott said.
She also noted that investment in oil and gas is required because the multi-billion dollar industry isn’t going anywhere anytime soon. “We do need to invest to make existing assets efficient. So, if an investor is going to diversity their investment portfolio, they need to be cognizant of the fact that if, right now, they put all their money in only green energy that’s a bit risky because the industry is not going to blow into transition the way media has been portraying it,” Knott said.
Another area that the oil and gas industry continues struggling with is attracting young talent, which holds negative image of the industry. “The biggest misconception that millennials and Gen Z have is that oil and gas is a dying industry…They think it’s dying next week,” she laughed. Knott stressed that the younger talent should be welcomed to the oil and gas industry to be a part of the energy transition. “What are we actually achieving by saying ‘oh we hate the oil and gas industry’ and ‘oil needs to go away’? Let’s be a part of the energy transition and get it to where it needs to be. Let’s work for the [oil and gas] companies and make them better.”
Jump to a topic:
• Oil and gas needed for energy transition (0:18)
• Investments needed (1:35)
• Misconceptions by millennial and GenZ (2:52)
• How to attract younger talent (3:53)
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