Editor's note: This article first appeared in the 2024 Offshore Business Strategies Special Report, which published within the May/June 2024 issue of Offshore magazine.
By Molly Determan, Energy Workforce & Technology Council
With worldwide demand for oil and gas continuing to rise, the offshore industry stands as a critical player at a pivotal juncture. The global population hinges on the reliable supply of energy for daily tasks often taken for granted, underscoring the indispensable nature of the sector. This rise in demand underscores the urgent need for a skilled workforce, particularly as the mainstream narrative calls for the industry to make fundamental changes in offshore extraction practices. As always, the energy services sector has risen to the challenge, prioritizing the development of skills and leadership among crews. The industry's proactive approach allows it to make a significant impact on shaping the energy workforce of the future.
As offshore energy is experiencing a resurgence, Evercore ISI's projections paint a picture of substantial growth in global final investment decisions, with estimates exceeding $500 billion from 2022 through 2025. These projections signal a robust resurgence in offshore energy projects. Momentum has been demonstrated across various regions, from Canada to Africa, Latin America, the Middle East and Asia. Notably, the Gulf of Mexico stands out with its sustained production levels, defying expectations for a mature basin. Recent high-value auctions, including those on federal lands, underscore the basin’s continued prosperity, leading to a surge in high-paying energy jobs in the region.
From captivating social media portrayals of offshore life in the North Sea to increased visibility of day-to-day operations, interest in offshore production has never been higher. Yet, challenges persist as the industry grapples with the need for a skilled workforce proficient in various roles, from engineering to logistics. Similar to challenges faced by the onshore sector, offshore oil and gas production faces hurdles in attracting and retaining talent, exacerbated by demographic shifts. To entice the next generation, the allure of the industry must be articulated—complex challenges to conquer, opportunities for growth, and a culture of mentorship and collaboration.
As an industry, investing in STEM education and establishing internship and apprenticeship programs to introduce the next generation of talent to the industry emerge as imperatives. Without a concerted effort to pass on the specialized skills required for offshore operations, there is a risk of losing invaluable expertise and institutional knowledge. The message to the upcoming generation of talent must be one of inspiration and a reinvigorated energy landscape. Those entering the industry are attracted by the doors opened by the energy sector, the unbeatable network and the opportunity to travel the world while making a considerable impact.
However, the offshore energy industry does not exist in isolation. The competition for skilled labor extends beyond the confines of this industry, with sectors like technology and automotive vying for the same pool of professionals, intensifying the struggle to secure and retain talent. So, how can such competition be countered? To stand out, the industry should emphasize not only the career prospects but also the intangible rewards—the balance between professional fulfillment and personal well-being, and the profound societal impact of the industry's endeavors. This is an industry that is truly leading the implementation of cutting-edge technology, fostering inclusive cultures and powering global economies.
Further, the industry has taken incredible steps toward modernizing offshore operations, aiming to improve efficiency, reduce costs and enhance safety. The offshore industry stands on the brink of transformative change, fueled by renewed investment and burgeoning opportunities. Embracing collaboration, innovation and proactive engagement will be paramount in overcoming workforce recruitment challenges and ensuring the sustained growth of offshore energy production.
