The Zhitong Finance App learned that energy industry executives said at the largest industry conference in the Middle East that energy companies need to view interruptions as a permanent feature of their business to plan, build production capacity for equipment, diversify supply routes, and refocus investments on safety.
Alessandro Priti, CEO of Saipem SpA (Saipem SpA), which provides services to large energy producers, said: “Disruptions are no longer a black swan. It's something we need to include in our plans.”
At the Adipec conference in Abu Dhabi, executives described the scale of the challenges posed to them by the US-Iran war, from ships stranded outside the port to finding alternative suppliers for critical equipment. Pritti said that logistics issues such as these, which were rarely on the CEO's desk in the past, have now become the biggest concern.
Executives say the need to improve supply security is becoming a greater driver of energy infrastructure spending.
For Lorenzo Simonelli, CEO of Baker Hughes (BKR.US), dealing with the current situation requires a broader expansion of the energy system, including increasing inventories to cushion future shocks.
He anticipates that entering 2027 and 2028, there will also be more challenges, including rising energy demand brought about by artificial intelligence, which will require a larger and more resilient system to comprehensively utilize all energy sources and make greater use of regional resources.
Simonelli said, “What we need is not only 'punctuality, 'but also 'just in case.'”
Businesses and governments must ensure that once the immediate disruptions are over, they don't lose their commitment to being proactive. Simonelli said, “Let's not forget and make good use of this crisis.”
Baker Hughes has been continuously testing weak points in the supply chain and finding alternative suppliers to reduce reliance on key throat channels, he said. It also delegates more authority to regional teams and rewards employees who make decisions during disruptions.
“Sometimes the worst thing you can do is not make a decision,” he said.
Fatma Al Nouaimi, CEO of Abu Dhabi National Petroleum Corporation's gas division, said that scenario planning alone cannot prepare for every crisis; companies also need to be willing to invest money.
Al Nouamy said, “The future belongs not only to those who anticipate every possible scenario, but also to those who establish sufficient flexibility in their own systems to mitigate any situation they face.”