ADIPEC 2019 – Three key take aways
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Apparently, the visitor numbers for ADIPEC this year were up by 7% compared to last year. The Abu Dhabi oil & gas exhibition and conference keeps growing. We were there as part of the Scottish Development International delegation and thanks go to their fantastic team and tireless support for Scottish businesses.
It is always interesting to see how things are changing and there are three things that jumped out to me.
1. Energy industry. Not oil industry
First of all, the oil industry is turning into the energy industry. There is now a real contribution from companies active in installing and maintaining wind turbines and other renewable technologies. This was a trickle over the past few years and it struck me this year that a lot more of the video displays were showcasing videos on wind turbines and similar projects being carried out. The realities are that the world is requiring a different energy mix going forward and it is good to see that being reflected at a tradeshow. The oil industry has phenomenally good engineers and ability to construct highly complex installations in demanding environments. The world is going to need this expertise.
2. Regulations not recovery
For many years the work we have done in reducing waste with our unique chemistry and expertise has centred around the value of the oil our clients recover from the oil sludge or drilling waste. There is a real trend now where the driver for enquiries and new projects is first of all regulations on the disposal of oil waste. This is a very good thing. Clear and strong regulations on oil waste and other hazardous waste levels the playing field and protects communities from the potentially negative side effects of oil exploration and production. Governments around the world are stepping up and demanding higher standards from companies working to find and produce oil. The oil industry has to work within the greater global community and the work often impacts locally. The technologies and management approaches to minimise environmental impact are available and well proven. There is no excuse to leave a mess. We may work in the oil industry, we also live on this planet with everybody else. I know many, many people and companies who are working hard to do the right things. Stronger regulations give those who care and who wish to do it right a level playing field to be successful.
3. Carbon, carbon everywhere. Or is it?
There is no doubt that the oil industry and the resulting CO2 and other greenhouse gas emissions is in the news. A theme in conversations was the potential to reduce carbon emissions from operations. There is a lot that can be achieved here. Some of those solutions were visible at ADIPEC. These include using renewable energy to run offshore and remote oil installations and rigs. From our perspective the minimisation of drilling waste using our unique process reduces waste by over 80%. At least. This reduces transport and treatment requirements. In addition, our process is low energy and so has a 2/3 lower carbon footprint compared to traditional treatment such as thermal cuttings treatment. What was missing for me at ADIPEC (possibly because I missed it! Comment or email to correct please) were companies active in carbon capture and storage or conversion of hydrocarbons to hydrogen. These are areas where the oil industry should be taking the lead and where the oil industry is perfectly positioned to capture a market that is at an early stage and which is likely to grow massively. The next mega corporations will be in this field.
The coming few decades are likely to see major changes to the global energy mix and there are going to be big winners in the new energy industry. I am curious to see which organisations will have the courage, focus and, let’s face it, luck to be at the top in 20 years time.
We will continue to push for doing the right things and educate the industry on the enormous savings that can be made by implementing proven, available and robust solutions.