Last month at the George R. Brown Convention Center in Houston, NAPE 2023 celebrated 30 years of bringing together projects and opportunities from around the world. The show preserved its core format — aisle after aisle of booths with maps, seismic surveys and droves of homogenous businessmen seeking the next deal.
Over the last several years, NAPE has endured considerable headwinds, with the combination of depressed attendance due to the pandemic, a harsh spotlight focused by the ESG community on the perception of the oil and gas sector, and a strict directive from the capital markets to deliver fiscal returns to investors after years of failing to reward stakeholders.
“Capital discipline! Produce green energy! Lower my consumer cost for energy!” And please, respect my personal space.
The 2023 show featured an energy and vibrancy that was tangible. And why not? Commodity prices have enjoyed a two-year stretch, thanks to capital discipline, that has provided an opportunity for companies to generate profits. Those profits were used to repay debt, fund new projects, distribute cash to investors and compensate management. Cash has an amazing ability to transform cloudy skies into rainbows.
The NAPE resurgence wasn’t only fueled by the abundance of cash in the crowd. Fresh thoughts and fresh faces made their presence known inside and outside the walls of NAPE. There was a myriad of sleek new booths promoting technology and professional services catered to the modern oil and gas executive seeking best in class solutions. (Did you visit the PetroLedger booth?) And there were exponentially more students on the floor this year. It was exciting to see that the oil and gas industry is regaining much needed interest as a potential career.
With “deals” still the endgame, the GRB floor isn’t the only place to pitch potential business. The downtown Houston restaurant and bar scene was awash with engineers, geologists, bankers, lawyers, accountants and investors working on the most crucial ingredient in the modern day energy sector — solid relationships. NAPE attendees bonded over many a steak and cocktail over the course of the week. More than ever, deals are driven by a desire to work with counterparties you trust and enjoy working with.
NAPE is no longer just an oversized convention floor to pitch projects, but a coming together of minds, ideas and relationships that will carry this industry forward for a long time.
Chad Smith is a Partner with Avisto Capital Partners, LLC. Chad is responsible for business development, strategic relationships, valuation, and operational execution. He brings more than 20 years of experience to the firm.
PetroLedger Financial Services, LLC. (“PetroLedger”) today announced the acquisition of Oklahoma City-based oil and gas land management and accounting firm, Associated Resources, Inc. (“ARI”), as an expansion of its strategic transactional accounting services for the energy market. "We are thrilled to welcome Associated Resources to the PetroLedger family," said Chad Smith, Partner at PetroLedger. "The combination of their high-quality land services and our premier transaction accounting creates a full-service offering for our current and potential clients. This acquisition is a natural extension of our current business and will enable us to better serve our existing clients and continue to grow our business.”
Each year, the NAPE Expo in Houston is a microcosm of the state of the oil and gas industry. This year, despite some pre-convention jitters about the Omicron variant of COVID, the show went on without a hitch. And what a show it was. To my eyes and ears, the theme around NAPE this year was GREEN.
Each year, the NAPE Expo in Houston is a microcosm of the state of the oil and gas industry. This year, despite some pre-convention jitters about the Omicron variant of COVID, the show went on without a hitch. And what a show it was. To My eyes and ears, the theme around NAPE this year was GREEN.
I was in Houston last week for the NAPE Summit (this was the winter version rescheduled for August and replacing the summer NAPE). The industry had big plans and high hopes for a back-to-normal mega-convention after a year pivoting and adjusting with countless virtual chats and online forums of which we are all quite tired. NAPE has always been a place to see and be seen in the flesh, a place “where deals happen”. Six months ago, PetroLedger committed to a booth and in-person presence to promote our fresh rebrand, connect with our strategic partners and push to continue our year of strong customer growth with newly formed relationships. That was our plan…