C.O.B. Tuesday

Dr. Kostas Bakoyannis, former Mayor of Athens and current Chair of the Committee on the Environment, Climate Change and Energy, shares his extensive public service experience. He discusses Europe's energy future amidst geopolitical tensions, emphasizing the balance between energy security and transition. Kostas examines Greece's shift toward renewable energy, the importance of regional cooperation, and the challenges of tariffs and trade. He reflects on Greece's recovery and the need for adaptive governance during crises, showcasing the resilience and pragmatic policies shaping the region.

Michael Kao, a seasoned private investor and CEO of Akanthos Capital Management, shares his insights on the current economic landscape. He compares today's market complexities to navigating an asteroid field, evaluating the implications of Trump's policies and trade strategies. Kao also analyzes the resurgence in the energy sector, contrasting it with tech stock declines, and discusses long-term energy cycles. His unique perspective on market volatility and interconnected global events offers a fascinating glimpse into the investment world.

Dr. Paul Johnson, President of the Colorado School of Mines, and Jeff Miller, CEO of Halliburton, discuss the evolving landscape of energy education and workforce development. They emphasize the importance of industry-academia collaboration in shaping a sustainable future. Key topics include CSM’s experimental mine, the resurgence of mining for energy security, and initiatives to attract top talent. The conversation highlights how practical experiences in engineering are crucial for nurturing innovation, particularly in a climate of growing energy demands and technological advancements.

Dr. Scott Tinker, Chairman of Switch Energy Alliance and renowned energy expert, shares his insights on the complex interplay between energy development and economic growth. He emphasizes the need for pragmatic leadership in the oil and gas sector amidst shifting public opinions. The discussion highlights the stark energy disparities between wealthy and developing nations, where urgent human development often overshadows climate concerns. Dr. Tinker also unveils his new initiative, Energy Corps, aimed at empowering communities through sustainable energy solutions.

Chris Wright, the 17th Secretary of Energy, discusses the crucial intersection of energy policy, affordability, and sustainability. He highlights the expanding role of natural gas in the global landscape and the rising electricity costs. Wright delves into the regulatory barriers affecting energy infrastructure and the pivotal need for grid stability. AI’s potential in advancing both energy solutions and national security is also explored, emphasizing that pragmatic policymaking is essential for achieving energy independence and innovation in the sector.

Neil Mehta, Managing Director at Goldman Sachs, and Carly Davenport, Vice President of Equity Research, discuss current trends impacting the energy sector and utilities. Neil highlights a shift toward selective stock performance amid fluctuating commodity prices, emphasizing the need for capital efficiency. Carly delves into the rising power demand boosted by AI and data centers, exploring how utilities are adapting. They also address the critical role of management quality and the complexities of power pricing dynamics, offering valuable insights for investors.

In this captivating discussion, Dr. Dan Yergin, Vice Chairman of S&P Global and Pulitzer Prize-winning author, shares his profound insights into the evolving energy landscape. He delves into the delicate balance between energy security and economic growth amidst the global energy transition. Yergin also reflects on the influence of current U.S. policies and the stark contrasts between energy priorities in developed versus developing nations. Additionally, he previews key themes for the upcoming CERAWeek, emphasizing the geopolitical implications of today's energy challenges.

In this engaging discussion, Dr. Lars Schernikau, an energy economist and author, and Dr. Daniel Stelter, a macroeconomist and founder of the think tank Beyond The Obvious, explore the upcoming German elections. They express skepticism about meaningful reforms amidst Germany's economic decline, exacerbated by COVID policies and high energy costs. The duo also delves into the complexities of coalition politics, the need for strategic investments, and contrasts U.S. energy policies with Germany's challenges, emphasizing the critical role of communication in shaping a sustainable future.

The Honorable Lisa Raitt, Vice-Chair at CIBC and former Canadian Minister, shares her insights on U.S.-Canada trade dynamics. She discusses the implications of President Trump’s tariff comments, Canada's evolving political landscape with Prime Minister Trudeau, and the Conservative Party’s resurgence under Pierre Poilievre. Lisa emphasizes trade tensions' impact on unity among Canadians and the necessity for robust energy infrastructure. She also analyzes the fluctuating Canadian dollar's effects on various sectors, especially regarding small businesses and farmers.

It’s a big week in Houston with NAPE in town, and we were thrilled to welcome our good friend David Bat, President of Kimberlite Research, for an in-depth discussion of the latest OFS activity, trends, and technologies. David joined Kimberlite in 2015 and holds over 30 years of experience spanning upstream, power, and oilfield research. Kimberlite is a global oil and gas market research and consulting firm that gathers insights from more than 20,000 hours of annual interviews with industry professionals to analyze market trends and benchmark performance for oilfield equipment and service providers. We were excited to hear David’s perspectives on the evolving OFS landscape.In our conversation, David provides background on Kimberlite’s unique approach to gathering high-quality data from E&P operators and oilfield service users worldwide. He explains how their methodology offers deeper insights into technology adoption, service quality, and operational performance and walks us through key slides from a presentation (full version linked here). We explore recent technological advancements including rotary steerable systems improving drilling efficiency, self-oriented perforating guns enhancing completion effectiveness, and advancements in electric submersible pumps. We discuss how digitalization, software applications, and AI-driven analytics are reshaping oilfield operations as well as trends in frac technology, oilfield electrification, and shifts in fuel choices. David shares factors driving operator recommendations and highlights the contrast between North American and international markets, the potential for unconventional growth in Argentina, Australia, and the Middle East, the resurgence of offshore developments, and the challenges that prevent certain innovations from gaining widespread traction. We explore broader key industry themes, including consolidation trends in oilfield services, how company culture influences service provider success, the growing role of mobile power solutions across both oil and gas and non-energy sectors, and AI’s role in data aggregation, market intelligence, and operational decision-making. We end by asking David for his vision of the oil and gas services industry in the next decade. This is where he makes a great comment about "differentiation and an improving competitive moat" around the best companies. It was a wide-ranging and thought-provoking discussion and we’re very grateful to David for sharing his expertise with us.