Last week, the Resource Development Council (RDC) hosted its 39th Annual Resources Conference in Anchorage. The event is the chance for leaders from the tourism, fishery, oil and gas, mining, and forestry industries to come together and share highlights and frustrations from the past year and look forward to the coming year.
There was clear optimism throughout the conference as many in the room had worked hard on the campaign to defeat Ballot Measure 1. Many of the industry leaders expressed their gratitude to volunteers, donors and voters who helped defeat the initiative.
This is the third year where presenters were optimistic about the future of resource development in Alaska. This year’s optimism was even stronger, especially in oil and gas, mining, and tourism. Fishing is still a bit cautious because of the uncertainty around tariffs and imports/exports with China. The timber industry still has a lot of challenges with federal regulations. There are opportunities for timber, but it will take time to sort those out.
Each year, Neal Fried presents his look at the past year and a look forward to the year ahead for the State’s economy. He looks at all aspects of Alaska’s economy and provides a great overview for conference attendees. Alaska is still in a recession, and while this is the longest recession that the state has faced, it is not the worst. Employment continues to fall, but it is moderating and many believe that 2019 will be the end of the recession. Fried’s presentation has a lot of valuable data and is worth watching if you missed the conference.
Dr. Ian Mead, Assistant Administrator for Energy Analysis with the US Energy Information Administration shared global energy trends and where Alaska fits in. His presentation outlined that global energy consumption continues to rise, especially throughout non-OECD Asia. Fossil fuels remain dominant and will supply 77% of the world’s energy consumption in 2040.
Governor-Elect Dunleavy wrapped up the first day with remarks to the crowd regarding his administration’s focus on bringing business to Alaska and his desire to work with the resource development industry to grow Alaska’s economy. He also announced the Corey Feige would be the Commissioner for the Department of Natural Resources. The Governor-Elect made it clear that he wanted to work with industry as a partner not as an adversary.
Keith Meyer highlighted the work that was being done to move the Alaska Gasline forward. He noted that the project has momentum and Alaska should get ready for the mega-project to kick into high gear. The focus for 2019 is accelerate. His slides show the progress that has been made to date and how Alaska has a competitive advantage over global competition when it comes to the natural gas market. Meyer noted that the gasline would be beneficial for not only the oil and gas industry, but other resource development sectors throughout Alaska. Gas will power Alaska’s growth.
This year’s conference was much more optimistic than the recent past and industry leaders are working hard to make sure that all resources are safely and responsibly utilized throughout Alaska. There was a lot to celebrate a week after the election and presenters and attendees seemed to be reenergized to move forward with projects that have been on hold or slowed because of the recession and uncertainty around Ballot Measure 1. There will always be areas of concern for the resource development industries, but you could feel a sense of relief moving into 2019.
All presentations, including videos of each session, are located on RDC’s website.
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