4th annual State of Oil and Gas luncheon held in Midland
After a rocky year for the energy industry, leaders are looking to the future to see what changes could be coming.
MIDLAND, Texas (KOSA) - After a rocky year for the energy industry, leaders are looking to the future to see what changes could be coming.
This past year has been turbulent for the oil and gas industry, but the Permian basin has seen a quicker recovery than experts expected.
According to the CEO of Endeavor Energy Resources, Lance Robertson, there is room for growth in the energy sector.
Robertson says that the 2021 oil and gas forecast suggests that the U.S. production will grow at a five percent per year rate - which is twice as high as we’ve grown in the last five years.
“What do we need for that growth to happen? We need vaccine distribution to work. It has to be widespread and plentiful as we get a first, then a second, and soon a third approved and more distribution. It will take the confidence of the broad population, not just in the u.s, but around the world, to right the ship,” said Robertson.
Last week’s winter storm threw a wrench into the Permian Basin’s oil recovery.
Robertson says the cold weather cut the region’s output by 3 million barrels a day.
He added that even before the storm, U.S. oil production was 7 million barrels below-average demand.
“It is going to get better, but I think it is a moderated better. You can see even in this forecast from Rystad that at the end of this year, it’s still going to be plus or minus 2 million of demand that hasn’t fully recovered,” said Robertson.
Robertson’s long-term predictions include a slow growth here in the Permian over the next five years and the shrinking of other U.S. basins…
Five hundred people attended the state of oil and gas luncheon...three hundred in-person and two hundred online.
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