Meet the Industry - 29 February, 2016
Meet the Industry - February 29, 2016 - Eykon Energy with Heiðar Már Guðjónsson
On Monday, the 29th of February, the Icelandic School of Energy held a Meet the Energy Industry talk featuring Heiðar Már Guðjónsson, Chairman of Vodafone IS, Eykon Energy and Deputy Chair of HS Veitna.. This week's speaker is an economist with significant experience in managing equity and hedge funds. Mr. Guðjónsson´s presentation focused on Eykon Energy.
Eykon Energy is an Icelandic company that specializes in oil exploration and production with a primary focus on Icelandic offshore oil exploration. Their current projects involve cooperation with several Norwegian oil firms and the China National Offshore Oil Corporation.
During the discussion, Mr. Guðjónsson explained the boom and bust cycles of oil markets and the potential benefits of temporarily low prices in regards to acquiring cheaper exploration contracts. The competitiveness of offshore oil drilling compared to new developments in fracking and renewable energy was also discussed. Mr. Guðjónsson argued that even though offshore drilling has high initial costs, low variable costs for large reservoir discoveries can make them more price competitive then smaller fracking or other alternative energy competitors.
In regards to the future of offshore oil drilling in Iceland, initial findings are promising and clear multinational licensing agreements have been established. Mr. Guðjónsson argued that if significant oil is discovered, it can be feasibly extracted and has the potential to provide Iceland with a large economic boost.