By: Adam Ferrari, CEO — Phoenix Energy
Mapping the Future of Oil & Gas: Technical and Market Challenges in an Evolving Global Energy Landscape
In the oil and gas industry, the most important developments aren’t always the most visible. While public debate focuses on policy and long-term goals, the real work of meeting global energy demand safely, efficiently, and responsibly happens every day in the field. Operators are adapting in real-time to geological, regulatory, and market changes, often with limited resources and shifting targets.
I’ve spent my career at the intersection of technical operations and capital markets — engineering wells in the Gulf and later structuring financing strategies on Wall Street. Today, I lead a company where those two worlds intersect, bringing together field-level execution and capital strategy in a way that responds to both operational demands and regulatory realities.
There’s no question that American energy still holds extraordinary potential, but realizing that potential isn’t just about access to resources. It’s about how you execute in the real world.
In this article, I draw on my experience in the petroleum industry and insights from current field operations to examine how real-world energy businesses are navigating the practical challenges shaping the next phase of U.S. development.
The Energy Transition: Real Pressures
There’s no question that the global energy mix is evolving. Wind, solar, and batteries are expanding their footprint. However, what is often missing from the public dialogue is a practical understanding of what fuels the transition itself: hydrocarbons.
Without oil and gas, you can’t build a solar panel or an electric vehicle (EV) battery. From mining to manufacturing to logistics, the full lifecycle of “green” energy relies heavily on fossil fuels.
That’s not a talking point — it’s reality. Oil remains one of the most energy-dense, versatile commodities on Earth, second only to nuclear power.
It’s not a contradiction to support innovation in renewables while also recognizing the continued importance of oil and gas. As long as hydrocarbons remain essential to global manufacturing and supply chains, operators who prioritize efficiency and responsible development will remain central to the energy landscape. In regions like the Williston Basin, the focus today is on drilling smarter, minimizing waste, and maximizing uptime — not just for profitability but to stay relevant in a world that demands both growth and realism.
Budget Discipline and Regulatory Drag
Even as global energy demand remains strong, oil and gas development continues to face pressure. Exploration budgets have declined, permitting timelines have lengthened, and in many basins, the most attractive acreage was drilled long ago.
In the Bakken and other mature basins, operators are increasingly working in areas that were passed over a decade ago. Success in these zones requires precision geosteering, disciplined planning, and flexible strategy. Innovative companies are responding by combining operated wells, non-operated positions, and mineral ownership across different jurisdictions. This diversified approach helps companies allocate capital where the economics are strongest.
The New Geography of Demand
While oil demand has plateaued in North America, global consumption data indicate that it continues to rise across parts of Asia, Africa, and Latin America. For operators navigating today’s landscape, understanding not just where oil is produced but where it’s headed has become a core part of project evaluation.
Leaning into data-driven decision-making — using analytics to evaluate minerals, benchmark working interests, and move faster on high-potential opportunities — is key. The pace of execution increasingly depends not just on geology but on how well companies adapt to external forces like policy shifts, trade dynamics, and infrastructure constraints.
In today’s environment, flexibility matters. Operators with diverse asset structures — spanning operated wells, non-operated interests, and mineral positions — are often better positioned to reallocate capital quickly and pursue projects where the economics are strongest.
AI and Oil: Built on Data, Driven by People
In the oil and gas industry, especially upstream, companies are working to make faster, smarter decisions by leveraging data more effectively. The best teams are breaking down traditional barriers — getting drilling, completions, and production teams to work more closely together and respond quickly to what’s happening in the field.
In our early projects, even small changes like adjusting how we manage well flowback led to real cost savings without compromising safety or performance. Improvements like these only happen when people are encouraged to share ideas freely, regardless of their title or role.
AI and data tools are becoming increasingly common, but they only create real value when people know how to utilize them effectively. The real advantage lies in acting quickly and turning insights into results.
The Future of Oil, Gas, and Energy
The oil and gas industry is, and always has been, capital-intensive. Success isn’t about chasing commodity price spikes; it’s about making disciplined investments, applying technical expertise, and managing time and cost pressures.
Alternative business models are emerging. Some companies are raising capital independently, running leaner operations, and focusing on projects where returns are clearest. This approach can offer greater flexibility, faster decision-making, and the ability to reinvest efficiently.
As the energy landscape evolves, those who succeed will balance risk with discipline and ambition with responsibility. The road ahead won’t be easy, but for those who adapt and act with clarity, the opportunities are real.
Author Bio
— Adam Ferrari leverages nearly 20 years of experience in the oil and gas industry as a leader at Phoenix Energy, focusing on key initiatives for the company’s growth. Raised in an Illinois farm town, he earned his Chemical Engineering degree from the University of Illinois at Urbana-Champaign.
