Rio Oil and Gas 2022: challenges and paths of the oil and gas industry

Written by: Rafael Souza

Director of Risk and Insurance for Oil and Gas at Horiens

The strategic role of the oil and gas sector for global development is indisputable. However, despite its strength and relevance, it is a sector that is highly affected by crises and geopolitical instabilities. In addition, the economy’s decarbonization goals being taken on by companies and governments around the world put energy at the center of the global debate and challenges, making it one of the most pressed to advance ESG practices.

This scenario brings important discussions to the sector’s agenda, all of them addressed in the panels and roundtables of the 20th edition of Rio Oil & Gas, held in September, in Rio de Janeiro, with 58 thousand participants, more than 260 hours of face-to-face content, and 450 hours of online content.

Energy security was one of the most visible agendas, given the supply-related risks and pressure on fuel prices, generated in large part by the war between Russia and Ukraine. The climate of uncertainty reaffirms the strategic importance of investments to meet the growing demand for consumption in the world.

In Brazil, which is one of the world’s largest oil producers and an attractive country for new business in the oil and gas area, investments in the oil and gas industry should reach about $24 billion per year by 2025, according to the Brazilian Association of Petroleum Services (ABESPetro). By 2030, the approved projects already add up to total investments of $156 billion.

In another agenda highlighted in the event, the energy transition, which is one of the great challenges of the sector, there are a number of opportunities for Brazil. When we talk about offshore wind energy, for example, considered today one of the most promising renewable energy sources, expected to grow eightfold by 2050, the country is an extremely fertile territory.  We know that regulatory advances are important, but we have room to move forward, so a well-articulated and consistent performance in this direction can put us in a prominent position in the global scenario.

Overall, in the face of these two major challenges, the energy industry is seeking to position itself in a balanced way considering the importance of evolving both the energy security and energy transition agendas. There is a consensual view that production must move steadily in a cleaner direction, betting on the diversification of energy sources and, at the same time, must preserve energy security with the maintenance of investments in oil and gas, a crucial factor for the economy and development.

We left yet another edition of Rio Oil & Gas stronger than we entered. Let the next ones come!