Exclusive outtakes from industry leaders
Policitians are often scared to use the “R” word, because a recession makes them unpopular. Investment bankers dislike the “R” word too, but in this case it stands for regulation.
Regulation and lots of it is being cooked up in Washington and Brussels in response to the excessive risk-taking that helped bring on the credit crisis.
Credit derivatives are in the firing line as the bad guys of the credit crisis and derivatives in energy and commodities could get caught in the cross-fire.
Oil could also take a hit after rampant speculation was blamed for driving the price to a record of nearly $150 a barrel last year.
Although the quest to get rid of excesses is driven by good intentions, industry insiders say there will be unintended consequences and argue the regulators could have underestimated the difficulty of their task.
“It’s not easy to bring back the genie into the bottle,” Libya’s top oil official Shokri Ghanem told the Reuters Global Energy Summit.
from LEGACY Reuters Summits:
Tullow Oil is the Manchester United of the energy world -- at least when it comes to recruiting the finest talent.
The oil industry has long complained of the difficulty of recruiting enough highly-qualified staff, but as Europe's largest independent oil explorer by market value, Tullow says it is a magnet for all those geologists ambitious to add discovering a new field to their CVs.
"If you are successful, you will always attract... like everyone wants to play for Manchester United," Aidan Heavey, chief executive of Tullow Oil, told the Reuters Global Energy Summit.
Many oil companies, he said, have ceased exploring, partly because of a difficult financial climate, partly because of a lack of opportunities.
Tullow's exploration successes include major finds in Uganda and offshore Ghana.
Apart from snapping up the finest geologists, Tullow has also been busy grabbing credit. Heavey said banks had made available $2 billion in credit in March this year.
"It's a huge achievement in the current market," Heavey said. "It's probably soaked up most of the credit available for small oil companies."
The United States may fondly dream of independence from imported oil, but it would do well to remember that the traffic is not one way.
OPEC Secretary General Abdullah al-Badri told the Reuters Global Energy Summit he had been hearing for years that the world’s biggest oil consumer was seeking ways to avoid importing OPEC oil, but he was confident it would carry on burning fossil fuel for years to come.
“I am of an age when I can tell you I have been hearing this for the last 40 years,” Badri said. “We will see another president, with two terms, before we see any change.”
He also warned the U.S. it should be careful what it wished for.
“We would like to tell them they buy most of the resources of our member countries. We are sending them back more than 50 percent of that income to OECD countries, and the U.S. is one of them, to buy medicine, equipment, aeroplanes, spare parts, clothes.”
“Don’t forget the medicine,” he added.
Jesse Draper, formerly of the short-lived Nickelodeon series “Naked Brothers Band”, and Sharon Lee are the brains, and the feather boas, behind “Valley Girl”: a 60 minutes-meets-MTV online chat show that in just one season has hosted some of the biggest names in Silicon Valley on its pink satin sofa. Or, as Jesse herself puts it: “Where Silicon Valley’s Best meet Hollywood”. Totally.
The PC giant’s head of enterprise sales was quick to point out flaws in the stripped-down, no-frills mini-computers that have garnered rave reiews for their ultra-portability and anywhere-connectivity.
Texas Instruments says the rest of 2009 “looks pretty bad” but the chip maker is excited about green technology that it is developing which will be a part of the upgraded energy grid. Listen to what CEO Rich Templeton had to say by clicking below:
What’s it like to run a public company majority owned by Larry Ellison, Oracle’s founder and the world’s 4th richest person? Fairly hands-off, NetSuite CEO Zach Nelson said at the Reuters Global Technology Summit on Wednesday. SaaS provider NetSuite, seeded with Ellison’s cash when it was private, went public in December of 2007.
“As we got larger and larger, the relationship changed from him calling me to me calling him,” Nelson said. “So today he rarely calls me, although I will pick up the phone once a quarter, once every six months if I have a question about strategy or what we’re doing in the business to get his pulse on it, and so obviously that’s very valuable access to him.”
If you’re losing the game, time to change the playing field. Yahoo is counting on exactly that.
The chief financial officer of Corning glass, James Flaws, told the Reuters Global Technology Summit in New York that he read from the 158-year-old company’s official history and drew on his own experience to explain to younger managers what these downturns mean.
Verizon Communications Chief Financial Officer John Killian had a lot to say about how well his company’s smartphone and data business is doing, but skirted the elephant in the room at the Reuters Global Technology Summit: Is his company going to strike an iPhone deal with Apple?
Killian refused to comment on whether Verizon is talking to Apple about selling the iPhone once rival AT&T’s exclusive contract with the iPhone maker ends next year.