Geopolitical Risk + Energy Transition + Climate Change = The Trifecta
BLUF Usually, we talk about ships transiting through the Panama Canal. But a robust ecosystem of multimodal transshipment options explodes from the area around the canal, making this 50-mile (80 km) strip of land even more strategically important than many realize. The Panama Neutrality Treaty helps maintain the status quo.…
BLUF Panama Canal’s port concessionaire is 80% owned by a Hong Kong company with ties to the PRC for decades. Law #5 gives the concessionaire significant authority that puts the port’s neutrality at risk. The geopolitical risk presented by PRC’s ability to exert significant influence over Panama Canal operations…
BLUF Let me be clear. This post does not advocate increased shipping in the Arctic region or minimize the myriad geopolitical challenges involved. It explores an under-represented advantage of Arctic shipping routes – avoidance of some geographic chokepoints that are geopolitical hot spots. Houthi attacks on maritime vessels in…
BLUF While implementing the National Security Strategy, the government leverages instruments of national power to pursue objectives and engage throughout the world. Why does this matter? Whether or not energy companies realize it, they play an integral role in the US government’s ability to pursue the national vision outlined…
BLUF If you don’t understand what geopolitical risk means, allow Putin’s actions against commercial companies and nationalized industries to teach you. Since invading Ukraine in February 2022, Putin has done things “you just can’t do” and yet, he acted largely with impunity. Part of doing business internationally is overcoming…
BLUF Challenging the rules-based international order is a key feature of strategic competition. PRC’s new map shows an example of Chairman Xi’s efforts to define the world to his advantage, despite international norms. The map’s significance lies in the leader’s mindset, not the unoriginal claims. Like “build it and…
BLUF The national security strategies (NSS) reflect three distinct phases of energy security since the first NSS in 1987. While each President approached energy security differently, the common threads and overarching national interests permeated every NSS iteration. The NSS is a critical document that outlines the country’s approach to safeguarding…
Let’s start with the bottom-line up front (BLUF): Energy companies must incorporate geopolitical risk into operations and investments to increase resiliency and propagate the energy transition. The developing and complex global geopolitical situation affects energy companies in ways it never has before. These geopolitical risks are also likely to affect…
