Just a few years back, there were many articles discussing “Peak Oil” and whether the world had already passed the peak. A typical headline was one in Fortune Magazine in 2008 with a headline predicting a dramatic increase in oil prices – “Here comes $500 oil.”
At the recent HIS CERA Week, it was reported that “Peak Oil” was already a distant thought for most presenters, and that much of the talk was about growth in natural gas and oil from unconventional shale resources in the U.S.
According to the U.S. Energy Information Administration (EIA), crude oil production in the U.S. exceeded an average seven million barrels per day (bbl/d) in November and December of 2012, the highest volume since December 1992.
The International Energy Agency (IEA) predicts that the United States will overtake Saudi Arabia and Russia to become the world’s leading oil producer by 2017.
The WSJ MarketBeat Blog notes we are only at the beginning. “U.S. tinkerers discovered a way to extract oil and gas from shale, the source rock for oil and gas that was previously deemed uneconomical. That has boosted U.S. production to levels not seen in two decades, and that’s only the beginning: shale recovery factors could improve, and vast shale formations in Argentina, China, Russia and other countries are yet to be tapped. If technology ever allows the industry to recover 70% of oil from conventional reservoirs and to double or triple the current recovery rate from unconventional resources, the world could almost quadruple the reserves of global liquids.”
In addition, Iraq passed a critical milestone last year by producing three million barrels a day of crude oil for the first time since before the Persian Gulf War, reaching a high of 3.4 million bbl/d in December. Given its access to vast reserves at low costs, Iraq could play a significant role in the growth of energy supply. Of course, in Iraq there is much geopolitical risk attached to supply.
Even with increased production, there was still not enough oil to meet demand in the beginning of 2013. The EIA estimates a 1.3 million bbl/d average draw-down in global oil stocks for January and February.
There are numerous uncertainties as we move forward including the rate of technology advancements, geopolitical risk in many energy rich nations, growth in demand as the world continues its economic recovery, etc. Perhaps the only certainty is continued volatility and the need for oil trading risk management software to manage the volatility.
As Jim Rogers, Chairman, President, and CEO of Duke Energy has been known to express in speeches, “Ben Franklin said there are two certainties in life: death and taxes. To that, I would add the price volatility of natural gas.”
The future of energy is going to be quite interesting!
Oracle’s annual OpenWorld conference was held in San Francisco last week, and Triple Point’s chief technology officer, Doug Daugherty, took center stage to unveil the results of Triple Point’s Oracle Exadata benchmark study. The study took place over a two-week period in Oracle’s Exastack Lab and demonstrated Triple Point’s record performance levels for the near real-time valuation of massively large and complex commodity trade portfolios.
The Q&A session that Daugherty took part in was mediated by Judson Althoff, SVP of worldwide alliances & channels and embedded sales, Oracle. As one of three featured Oracle Exastack Ready partners, Daugherty described Triple Point’s two-week performance trial with Exadata to an audience of over 4,500 Oracle stakeholders.
Doug reports that there was a lot of buzz at the conference about the newly launched Oracle Exastack Program. Triple Point is excited to be one of the key inaugural members of the program.
• The Oracle Exastack Program helps enable ISVs and other OPN members to rapidly build and deliver faster, more reliable applications.
• Since the Oracle Exastack Program was launched just over three months ago, partners have achieved over 150 Oracle Exastack Ready milestones for Oracle Solaris, Oracle Linux, Oracle Database or Oracle WebLogic Server. This rapid adoption of the program is a testament to the importance and value both partners and Oracle place on these kinds of enablement resources.
• Partners include ADP, Beijing Teamsun, cVydia, Essatto, F5, GoldenSource, INFOPRO, IBIS, Informatica™, I-ON, Lingotek, Neusoft, PhinCon, Smart Developer, Solix, Teleran and Triple Point, among others.
• By deploying their applications on Oracle Exadata Database Machine and Oracle Exalogic Elastic Cloud, ISVs can reduce the cost, time and support complexities typically associated with building and maintaining a disparate application infrastructure – enabling them to focus more on their core competencies, accelerating
By achieving Oracle Exastack Ready status, Triple Point can use available Oracle Partner Network (OPN) resources to optimize its applications to run faster and more efficiently — providing increased performance and value to its customers.
The charge to achieve Exastack Ready status was lead by Triple Point’s Emerging Technolgies Group. The ETG is responsbile with staying abreast of the fast-moving and dynamic technology markets to guarantee that Triple Point maintains its significant leadership position in the use of technology to solve critical business problems. They conceive, design, and prove — with lab-based experiments and scenario simulation — next generation advancements to Triple Point’s Commodity XL™ technology architecture for continued excellence in scalability, high concurrency, and processing performance.
As Doug recently said in a press release regarding the conference, “Triple Point has always prided itself on having the most advanced technical architecture and delivering the best performance and reliability. Achieving Oracle Exastack Ready status is another example of Triple Point’s commitment to maintaining its technological leadership.”
I look forward to seeing how the Oracle Exastack program grows. If the response it received at OpenWorld is any indicator, it looks like it is going to be huge success. Triple Point is proud to be a part of the program and looks forward to OracleWorld 2012.