Conversations surrounding the world’s energy resources have become exceptionally controversial. Global consumers have a desire for clean, cheap, on-demand energy to fuel growth — and energy markets will get there one day, just later than many pundits expect, in our view. The expectation that renewables, such as wind and solar, are ready to fully meet the world’s rising energy demands on their own is premature at this stage. At the same time, the demise of traditional, carbon-intensive energy, such as crude oil and natural gas, has been greatly exaggerated. Renewable energy — thanks to technology and policy support, such as the recently enacted Inflation Reduction Act (IRA) in the United States — has taken center stage and will be the key growth driver going forward. Yet, we believe traditional energy sources will continue to dominate market share in the next 20 years given the benefits of in-place infrastructure and reliability of these assets.

Global energy consump