EnergyCents

The median first-quarter 2021 cash flow reinvestment rate for the oil-focused US E&Ps came in at an austere 43%, exceeding the expectations of many analysts. While one quarter does not make a trend, fiscal discipline is clearly a key focus of shale-sector executives to begin the year. EnergyCents welcomes IHS Markit shale-sector experts Andrew Byrne and Raoul LeBlanc to discuss the balance-sheet implications of first-quarter discipline, and how the sector is responding to investor demands for prudence. Have more questions for our experts? Ask them a question or book 1-1 time: Raoul LeBlanc: https://experts.ihsmarkit.com/experts/leblanc-raoul Andrew Byrne: https://experts.ihsmarkit.com/experts/byrne-andrew Send us your comments or questions: energycents@ihsmarkit.com.

Cleantech investors find themselves on a ‘Solar Coaster’ as equity volatility reflects the industry’s challenge of meeting fast-growing demand through disrupted supply chains. IHS Markit solar veterans Edurne Zoco and Cormac Gilligan join EnergyCents to discuss the confidence in PV demand despite current challenges, and when to expect relief from current tightness. Have additional questions about the solar market? Ask our experts a question or book 1-1 time. Edurne Zoco: https://experts.ihsmarkit.com/experts/zoco-edurne Cormac Gilligan: https://experts.ihsmarkit.com/experts/gilligan-cormac

IHS Markit expects annual spending on low-carbon Hydrogen production could increase to $50 billion (with a “b”) by 2030, from around $50 million (with an “m”) in 2020. Risks to realizing such growth include uncertainties around business models, industrial-sector commitments, and policy support. IHS Markit hydrogen experts Alex Klaessig and Julia Wainwright join EnergyCents this week to discuss their outlook for global hydrogen investment, as well as the strategic intent of countries and sectors that may drive advancements in the low-carbon fuel. Have more questions? Ask our hydrogen experts a question or book 1-1 time with them: Alex Klaessig: https://experts.ihsmarkit.com/experts/klaessig-alex Julia Wainwright: https://experts.ihsmarkit.com/experts/wainwright-julia Send us your podcast comments or questions: energycents@ihsmarkit.com.

Oil markets find themselves in a good place as North America shale producers show continued restraint, and OPEC+ manages its response to post-COVID demand to support prices in a $60-$75/bbl range. IHS Markit oil experts Karim Fawaz and Reed Olmstead return to EnergyCents to discuss updates to their most recent supply forecasts, and what to be watching as more onlookers consider the possibility of another commodity ‘Supercycle.’ Send your comments to us at energycents@ihsmarkit.com.

President Joseph Biden’s proactive commitment to low-carbon energy policy returns the United States to a leadership position within the international dialogue on climate. EnergyCents welcomes back IHS Markit Executive Director Peter Gardett to share his views on a Biden energy policy that prioritizes climate (or is it a climate policy that prioritizes energy?), and what to look for over the next six months as the United States readies itself for a “decisive decade”. Send your comments or questions to us at energycents@ihsmarkit.com.

Specialized start-ups and diversified incumbents are in a race to develop next generation technology that will improve safety and performance of batteries used in electric vehicles. IHS Markit Batteries Expert Chloe Holzinger joins EnergyCents this week to provide an overview of the competitive landscape, and consider the evolving partnerships and rivalries among leading automakers and cell manufacturers. Send your comments and questions: energycents@ihsmarkit.com

The fate of Nord Stream 2 remains an open question as strategic interests from the EU, US, and Russia influence the gas pipeline’s construction and potential in-service date: less than 200 km of pipelay remains to be completed. IHS Markit European Gas Market expert Laurent Ruseckas joins EnergyCents this week to discuss the current status of the Russia-to-Germany pipeline, and the potential role of natural gas in an evolving European energy market. Send us your comments or questions: energycents@ihsmarkit.com.

US project-specific corporate renewables demand is projected to more than double to $17 billion over the next decade from less than $8 billion in 2021. IHS Markit’s Financial Advisory Lead Peter Gardett joins EnergyCents this week to discuss the trend, and consider the various financing structures that will enable a lower carbon future. Send us your comments or question: energycents@ihsmarkit.com

Nearly all forms of renewable energy continue to attract investment as myriad technologies fight for market share amid a rapidly changing energy landscape. IHS Markit’s Head of Global Cleantech Research Eduard Sala de Vedruna joins EnergyCents this week to discuss the growth of global renewables, and consider differences in momentum by region and by technology. Send us your comments or questions: energycents@ihsmarkit.com

Economic activity is set to rebound after 2020s COVID-induced lockdowns, and oil prices are up more than 30% since January in response. The prudence of a reorganized shale sector will be tested, as operators are asked to temper any supply-growth ambition. IHS Markit shale experts Reed Olmstead and Prescott Roach join EnergyCents to discuss the resilience of the sector, and share views on how committed the transformed sector is to its new identity. Send us your comments and questions: energycents@ihsmarkit.com.