Oil prices are at a 7-year high, with demand getting back toward pre-pandemic levels as the world attempts to restore economies from the impacts of covid. Oil & gas companies are feeling bullish for the first time in years, forecasting strong demand for their product for decades to come, despite the pressures of energy transition and increasingly strong climate policies. In fact, they’re bold enough to blame high oil and gas prices on the energy transition, and using those prices as an argument against it. So are they right? Or are they simply in denial about the future of their business?
In this episode, Bloomberg energy opinion columnist Liam Denning returns to sort through the various factors that are working for and against continued investment in the oil and gas sector, to understand just how much the energy transition is affecting the ever-changing outlook for their business. We also discuss the tight and delicate balance between supply and demand at this point in time, and consider where it might be going in the coming years, particularly in light of climate policy targets.
This is our deepest dive into oil and gas to date, so don’t miss it!
Liam Denning is a Bloomberg Gadfly columnist covering energy, mining and commodities. He previously was the editor of the Wall Street Journal’s “Heard on the Street” column. Before that, he wrote for the Financial Times’ Lex column. He has also worked as an investment banker and consultant.
On Twitter: @liamdenning
On the Web: Liam’s Bloomberg Gadfly column
Recording date: January 18, 2022
Air date: February 2, 2022
Geek rating: 8