In a Fox News’ Opening Bell program on June 27, Shell Oil Company’s, a subsidiary of Royal Dutch Shell plc (ADR) (NYSE:RDS.A), President, Marvin Odum, talked about the current energy industry situation. Mr. Odum said that they are worried about raising oil prices, but, at the same time, they also understand that geopolitical events and other dynamics across the industry.
Talking about oil supply, Mr. Odum stated that there is no production impact as a result of what is going on in Iraq, and hopefully it will never happen. He also noted that “energy demand is doing nothing but increasing. And that’s even with tremendous efforts around efficiency, alternative fuels and everything else.”
“We are operating in 40 countries. [...] And a company like Shell Oil Company what we have to think about, particularly given the current geopolitical dynamics, we have to have a diversified portfolio,” Mr. Odum said.
Mr. Odum added that the subsidiary of Royal Dutch Shell plc (ADR) (NYSE:RDS.A) he leads expects growth in all sectors. However, he said, natural gas will be the primary focus of Shell Oil Company. “Natural gas is a critically important story,” he said.
Natural gas is a cleaner source of energy and now there is technology to move gas around the world. It is cleaner fuel and less emitter, he said. At the same time, the CEO of Shell Oil considers that the United States has a big potential of becoming an oil and natural gas exporter.
”I think it’s going to start happening. We are starting to see that permit system has moved a bit, and we see a lot of energy project getting built right now.”
North America’s gas market is the one very large market, Mr. Odum said, adding that projects are being built on Gulf Coast of U.S., and also there are projects on West Coast of Georgia, and also on West Coast of Canada. “We can see start of export from that area,” Mr. Odum added.