Hopefully, as you are reading this, we are in the process of reopening the economy and the government from the COVID-19 pandemic. COVID-19 has had a far-reaching impact on our world, and it poses new legislative and regulatory issues for the midstream sector.
As of the end of April, more than 60,000 people have died from COVID-19 in the U.S. with at least 1 million Americans infected. Those numbers will continue to grow as the oil and gas industry suffers a one-two punch from the public health situation and the consequences of the oil price war between Russia and Saudi Arabia, which tanked the price of oil in roughly a mere month’s time. The industry will not be the same for some time, especially since demand will remain slumped after Americans start to emerge from lockdown.
However, the industry is resilient, and we will bounce back. People will be flying and driving again. The big question is how long this recovery will take because the industry cannot start and stop at the flip of a switch.