Oil's crew change, revisited

Sept. 16, 2013
It's happening. The scene is unfolding exactly as oil and gas industry-watchers had feared.

It's happening. The scene is unfolding exactly as oil and gas industry-watchers had feared. Thousands of Baby Boomers are reaching retirement age and vacating the workforce. Meanwhile, the pool of up-and-coming workers rising to fill the void left behind appears only knee-deep.

In thinking about the industry's developing "crew change" crisis, this editor's curiosity turned to finding out more about the incoming relief players. Considering petroleum engineers, for example, I wondered: Why did they choose PE as a major? How optimistic are they entering the workforce? And what challenges lie ahead for them?

Then, turning to social media—in this case, soliciting volunteers among OGJ's 45,000 Twitter followers (@OGJOnline)—a mini-survey was sent out to those nearing the start of their careers. What follows are just a few of their thoughts.

Why PE?

Most respondents eagerly answered the question of why they chose to pursue a PE degree. One senior PE student attending Colorado School of Mines (CSM) said, "It seemed like a large and exciting industry that had a lot of jobs, and something available for every type of personality," adding, "Geology and fluid mechanics were some of my favorite subjects and I did not particularly enjoy studying other engineering disciplines."

A second CSM senior PE major student admitted, "I chose petroleum mainly for the money, but I also enjoy geology, and it is an area where there is constant innovation."

Meanwhile, a sophomore PE major student at the University of North Dakota (UND) explained, "I chose to study [PE] because I live in North Dakota just east of the oil outreach. I have seen the impact, both positive and negative, that the oil field has on a community. Being so close to the formation and having people I know working there had piqued my interest."

Optimism abounds

An overwhelming number of respondents said they felt optimistic about entering the workforce. The first CSM student mentioned above said, "I'm a little worried because I don't have any real job prospects at the moment, but I am confident I will have a job when I graduate [in May 2014]."

Meanwhile, the aforementioned UND student noted, "I do feel optimistic. The main reason for that is the amount of petroleum engineers nearing retirement age, creating job openings for current students. The second reason is that I enjoy what I am doing and I feel that if I can find a job, I will enjoy what I do for a long time."

A senior PE major student attending West Virginia University had this view: "I am very optimistic about entering the workforce. During my internship, I caught a glimpse of the economic prosperity that the shale industry could bring to the Appalachian region. Another reason for my optimism in the fact that many major oil and gas companies are hiring engineers while they are still in school. It shows that petroleum engineers are in high demand."

At the other end of the spectrum, the second aforementioned CSM student lamented: "I am pessimistic. The petroleum classes get better every year and I was never given a second glance for internships. I'm afraid I will be forced to take a job below my qualifications, or worse, not find a job at all."

Challenges ahead

Students were asked to name the top three challenges as they prepare to enter the workforce.

One respondent's three obstacles were: "Translating technical knowledge into practical knowledge, managing work life with home and family life, and possibly travelling a lot or living abroad."

A second student's concerns were: "Being able to secure a job without having had an internship, being introduced to the field with little experience with current equipment and software, and relocating to a city where I don't know anyone."

A third respondent summed up his challenges thusly: "Adapting conventional oil and gas principals to work with shale, tight sand, and coal bed methane reservoirs; standing out among the many engineers that will be entering the workforce at the same time; and choosing the right discipline of PE...that will play to my strengths and give me the best opportunities to use my talents."

Only one survey-taker named "the stress of the job" as a challenge. It would seem that crews can, in fact, change, but some things stay the same.