Boris Ivanov of Gazprom Explains the Effects of COVID-19 On The Energy Sector
Boris Ivanov is the managing director of GPB Global Resources. He previously worked at Gazprom, where he significantly improved the Russian chief energy producer’s global portfolio. Boris Ivanov steered the Amsterdam based firm to venture in regions that their competitors considered as challenging. The company has also felt the effect that the COVID-19 pandemic has brought to the sector. The good news is that few countries have begun lifting the lockdown and curfews.
The companies would control the development of renewable energy and present machinery to reduce the pandemic’s level of destruction. This is to say that the pandemic caught most companies off-guard; therefore, they have to formulate resuming methods from where they left. The oil industry was greatly affected by the lockdowns since the temporary closure of airports and other transport avenues, making crude oil price decline to the lowest point ever in historic times.
Companies that extract oil had to weigh between the unsteady capital markets and the employees’ security during the pandemic. The Saudi Arabian oil manufacturers worsened the situation starting price wars, which saw the drastic fall of the oil prices. The United States was hit the hardest since its unrefined oil per container plunged below zero. As a result of this, several workers have lost their jobs, while some have been subjected to unpaid leaves by their employers.
According to Boris Ivanov, the energy sector’s future hangs on the speedy decline in coronavirus effects. The GPB Global Resources CEO explains that companies should adapt to fuel products’ high demands through economic recovery. Therefore, companies must use technology to carry out their operations since they now have stronger competition from other sources of energy. They also have to expand the renewable sources of energy comprising of solar and wind. The former Gazprom Vice president says that those companies should work with local governments to prosper in restoring their investments. Boris Ivanov has concentrated his efforts to ensure that GPB Global Resources become the world’s chief oil producer.