Economics

Discussion of the use of energy and oil in the economy and per capita. Discussion of investment cycles in oil and gas in monetary terms, and discussion of the physical behaviour of different type of oil fields requiring different type of investments. Discussion of financial returns over the cycles for oil companies, using return on capital employed as a proxy as well as free cash flow generation. Discussion of oil price cycles and economic performance and central bank policy. Discussion of value versus growth strategies of oil companies and their impact on the investment cycles. Discussion of potential impact of current environmental policy and energy transition strategy on investment behaviour. Participant will gain new perspectives of what it means to face business challenges in a
rapidly changing environment faced with resource and political/societal constraints.