One day, many years from now—at least 30 in the estimation of Glenn Jacobson, a partner at Trilantic North America—oil, simply too costly to extract, will sit underground. Until then hydrocarbons will continue to be extracted by an oil and gas industry that values the ability to adapt technology to its needs.
The industry “tends to, in general, develop resources in order of lowest extraction cost to highest extraction cost,” Jacobson said following Privcap’s recent “Inside The Energy Tech Revolution” webinar, which discussed possible future trends in industry technology and hiring. “Technology has the ability to reset this ordering and/or shift the curve at certain points in time … but it is fairly inevitable that it will be harder to extract oil in the future than it is now.”
During the ongoing downturn, energy companies have retooled themselves to ease the process of making money. As hopes of an upturn continue surfacing, Jacobson and two other analysts highlighted ways the industry is harnessing technological and human capital advances, which could help it survive and thrive through the next round.
[Read More …]
Source: Daily Dose of ShaleDirectories.com News