In this issue
Issue 84 • August 2021
Welcome to the new edition of Offshore Technology Focus.
The resource curse, or the paradox of plenty, is the phenomenon whereby countries underperform economically despite an abundance of natural resources. The curse has been observed in numerous countries, with the prospect of lucrative resource wealth variously leading to corruption or conflict, or an all-in focus on exploiting resources for economic growth leading to imbalance and underdevelopment in other parts of the economy. We map the resource rich countries that have fallen victim to the resource curse.
Elsewhere, in 2020, oil majors implemented cuts and freezes to their dividends in a way never seen before. This saved them millions at a time when spending was tight. Recently, Chesapeake Energy started paying dividends to shareholders again, after a short bout of severe bankruptcy. As the functions of these companies changes, and one industry morphs into another, can these companies actually afford to continue paying dividends? Or will they bring dividend culture into the renewable industry?
Lastly, after the US Colonial Pipeline, which carries 3 million barrels of hydrocarbons per day between Texas and New York, was hit by a ransomware attack, it exposed the vulnerability of the O&G industry to cyber threats. We consult with cybersecurity experts ExtraHop to learn more about the seriousness of cyberattacks in the industry and how to prevent them.
For all this and more, read on.
Callum Tyndall, editor