Goodbye - Hello - Staying in touch, Huge Turnout for Dr. Don Paul presentation, LNG - Oil - Hydrogen
Dear Colleagues,
You are reading my final Chair’s message as the Section Chair for the LA Basin SPE. I am filled with gratitude for the opportunity to serve and inform the LA Basin for the past four years. Starting after our summer break, Mr. Ian Johnecheck will assume the role of Section Chair. Ian has previously contributed as Vice Chair and chair of the Young Professionals committee. Professionally, he has been extensively involved in local projects with SoCalGas and other oil & gas companies, bringing a wealth of experience and dedication to his new role.
This week, we enjoyed a presentation by Dr. Don Paul on "The Future of the California Oil Industry," which drew 35 attendees—a turnout we haven’t seen in years for an in-person technical luncheon event. Additionally, our annual board appreciation lunch was well-attended by almost the entire board, reflecting the strong commitment and unity of our team.
As I move on from this role, I invite you to stay connected and follow my ongoing contributions to our industry through my LinkedIn profile: Andrew S. López on LinkedIn. I will continue to engage with the energy industry’s evolving landscape and plan similar monthly summaries on my LinkedIn page. Now, let's turn our attention to some of the latest global dynamics affecting our industry.
Recent reports highlight a dynamic shift in the oil markets. Egypt is actively tapping the market for LNG to mitigate the impacts of extreme summer heat. Meanwhile, the International Energy Agency reports that the global oil markets are heading toward a significant surplus due to slowing demand growth and surging supply, supported by Citigroup's bearish outlook on global crude oil prices.
Matador Resources Company has strategically expanded its footprint with a new acquisition in the Delaware Basin, indicating robust interest and continued investment in North American oil plays.
The hydrogen market, currently in a lull, is expected to bounce back, with Thyssenkrupp Nucera viewing this as a temporary setback. Excitingly, explorers are working towards making natural hydrogen economically viable, which could revolutionize the market as the next shale phenomenon. On the environmental front, carbon capture technologies are advancing towards capacities needed for net-zero emissions by 2030, with significant contributions expected from initiatives highlighted by BNamericas.
As we navigate these exciting yet challenging times, the insights gained from global trends and innovative technologies will be crucial in shaping our strategies and operations.
Thank you for your continued dedication to excellence and innovation. Let’s stay engaged as we explore these opportunities and challenges together under the new leadership of Ian Johnecheck.
Sincerely,
Andrew López
SPE LA Basin Section Chair 2020-2024
aslopez@burnsmcd.com