Gauging the scale of the global, regional and local oil and gas industry
When a speaker opens their presentation with the statement “I’m going to take you on a ride,” then you know it’s time to put the cutlery down and take notice. At the Petroleum Club’s September Industry Dinner, Woodside Chief Operations Officer, Mike Utsler did precisely that.
At the heart of the interactive presentation, Mike set out to gauge club members collective understanding of the oil and gas industry from a global, regional and local perspective, and to examine the scale of which the industry operates within.
"Currently 6.6 billion people are residing on this planet, and that number is expected to grow to almost 9 billion in the next 30 years. Over that same period, energy demands will increase by 30 per cent from current levels today,” said Mr Utsler.
Most of Australia’s energy is generated centrally and relies heavily on traditional energy sources - fossil fuels.
Around 86 per cent of our electricity is generated from these fuels types, with 73 per cent from coal and 13 per cent from natural gas. Around the world it’s much the same, however over the next 30 years, oil demands are expected to decline from 33 per cent to 30 per cent, and coal is set to decrease from 27 per cent to 22 per cent.
Requirements for gas are expected to grow from 21 per cent to 27 per cent, while nuclear is set to rise from 3 per cent to 6 per cent, and renewables to jump from 6 per cent to 20 per cent over the next 30 years.
“We as an oil and gas industry must understand how we complement the energy solutions of today and prepare to be part of the energy solution of tomorrow,” said Utsler.
The Woodside Chief Operating Officer went on to say that more than 500 million people still burn wood as their primary source of energy and in the same 30 year period that number is expected to grow to between one and one and half billion people.
“Australian oil and gas is made up of the hundreds of individuals in this room and the thousands that the industry employs, who come together to compete, collaborate, cooperate and create, to ensure that the sector has the opportunity, capabilities and competencies to be recognised on the world stage as a genuine competitor.
"Challenges that impedes us is the backdrop of the industry's social license to operate - which is ever increasing in its complexity - and our ability to communicate in everyday language how and why we as an industry are a positive force in the world. However you can implement solutions to that as early as this weekend over a barbeque or a cup of coffee when the conversation moves to the relevance of our industry,” summarised Mr Utsler.
View the presentation handout here.
The Petroleum Club of WA's September industry dinner was held at the Duxton Hotel thanks to sponsors: Civmec, Flour, SNC Lavalin and Momentum Engineering.