Strategically Moving Forward in Multiple Energy Segments Creates Value on All Fronts
At B&W Energy Services, we find insights from experts extremely valuable to us and our partners. McKinsey & Company’s article about changing strategies for oil-field-services-and-equipment (OFSE) companies was insightful. In the last 10 years, the world has seen a significant increase in interest in the energy sector. The global business community is making energy consumption a factor in major decisions and consumers are paying more attention to who they’re putting their buying power behind. People are making changes towards sustainability in their everyday lives, and the ripples are impacting the OFSE industry. B&W worked in multiple energy markets long before creating solutions for alternative energy sectors was popular. We believe in the industry’s future, and we are excited to be a part of what is to come.
With Oil Demand Shifting, Business Strategies Are Changing
“As OFSE companies pursue new avenues of growth, emerging energy segments will be prime candidates.”
The oil and gas industry is upon a new frontier. Instead of planning, building and drilling new oil wells into an untapped territory, the oil and gas industry is determining how they can better produce with what they have. National oil companies no longer need outside contractor support to keep expanding due to the decades of learning and expertise they’ve gained from the massive amount of new wells they’ve created. Now, they need outside contractors in the OFSE industry for a wide range of new ways to drill and turn crude oil into petroleum products. This is where OFSE companies excel. At B&W, we have adapted to the growing energy and utility work market while maintaining a significant presence as an industry leader in the refinery sector. EPC contractors use us because of our expertise and experience in projects of all scales across multiple industries, whereas our competitors tend to stick to one focus.
Investment Is Coming for Newer Energy Sectors
“OFSE companies have an opportunity to make up for the decline in spending by core customers operating in traditional markets: they can follow these companies into new and rapidly growing markets.”
Emerging renewable energy sectors that are having a positive impact on the environment are rapidly expanding. Investment dollars are coming in, and technology is advancing. For example, windmills are popping up in rural spaces in droves, and harnessing that energy requires power plants to convert wind into viable electricity. The truth is that even alternative energy uses petroleum products to make many of their machines run. This creates a different use and demand for the oil and gas industry. OFSE companies are shifting to enter these markets because their services are often required. At B&W, we’ve seen how quickly these industries are growing, and the demand for our services is expanding. We’re excited to be a part of the global push to work towards a more sustainable planet while providing services that make our clients successful.
Diversifying Energy Bets Is Giving OFSE Companies An Edge
“These emerging energy segments represent attractive new value pools that could provide the OFSE industry with its biggest growth opportunity going forward.”
It is now more important than ever not to have all of your eggs in one basket. Meaning companies should be open to the new and changing markets in the energy sector where their service solutions can be valuable. Strategically deciding what industries are optimal for OFSE businesses to enter is crucial for their long-term success. While oil and gas will likely always be a massive arena in business, the world is diversifying with different energy sources. At B&W Energy Services, we’re acutely aware of our capabilities and how to serve our customers best. We have been working in emerging markets for years. Our service portfolio was created to tailor to multiple business types while still delivering the same degree of excellence in everything we do.
Ready or not, the future is coming, and change is coming with it. The oil and gas industry will always be a space where we at B&W thrive. We continue to do business at petrochemical plants worldwide and are thankful for that major market sector. We’re also proud to work on some leading utility and energy projects. Our services are essential for multiple sectors and aid in pre-commissioning and commissioning for diverse customers. We can’t wait to watch the energy sector’s growth and be a part of a bright future.