MOLLY DETERMAN, President, Energy Workforce & Technology Council
Oil and gas is uniquely positioned to keep AI online and America in the lead.
The robots have arrived. They speak in code, think in milliseconds, and live in vast data centers that span from West Texas to Northern Virginia. They don’t eat, sleep or breathe…but they sure burn through megawatts. Behind every byte they process is a simple truth: AI runs on energy. And that energy still comes, overwhelmingly, from oil and gas.
Meeting the AI challenge with natural gas. For the past several years, we’ve been talking about the increasing power demand, and it’s no surprise that the energy industry has risen to the challenge. Every chatbot reply, image generator, and predictive model has an invisible energy cost. Data centers that were once quiet backrooms of the digital age are now power-hungry giants consuming about 2% of global electricity. With electricity demand from AI projected to more than triple by 2030, according to the International Energy Agency, the grid is already showing signs of strain. America faces a stark choice: Build fast or fall behind. There’s no scalable future for AI without oil and gas.
Natural gas powers about 40% of the U.S. electric grid today. As AI drives energy demand to unpredictable highs, easily dispatchable power, especially from dual-fuel and peaker plants (providing nearly 90% of the flexible capacity needed to meet sudden spikes in electricity demand), becomes critical. Renewables, alone, can’t handle the load spikes that AI generates. You can’t spin up wind on demand or force the sun to shine. But you can fire up a gas turbine in minutes. That’s why natural gas remains the keystone of a modern grid. It’s fast, flexible and abundant; exactly what the AI economy demands.
AI transformation in the fields. What’s more, we’re not just powering the AI economy. We’re using AI to transform our own oil fields. In the field, machine learning is already optimizing well placement, preventing equipment failures before they happen, and cutting emissions across operations. In fact, one of our OFS members’ drilling optimization systems solutions has been shown to reduce non‑productive drilling time by 20% to 30%, cutting overall costs and boosting efficiency. Generative AI is bridging the experience gap, enabling new workers to perform like seasoned veterans.
From the frac site to the refinery floor, real-time analytics are saving time and money. Artificial intelligence is streamlining every link in the energy value chain, from supply logistics to contract compliance. AI systems now parse through complex technical specs, interpret inspection data, and even assist with semi-automated welding; improving precision and reducing operator hours. These advancements aren’t bells and whistles; they’re essential tools for staying competitive in today's industrialized oil economy.
The implementation of AI is no longer theoretical. According to a recent study by McKinsey, across the industry, AI platforms are simulating millions of optimization scenarios daily, with predictive maintenance applications reducing unplanned downtime by as much as 36% and significantly cutting energy waste. Large language models are now automatically generating engineering reports, analyzing failure summaries, and flagging equipment issues, such as valve leaks, before they escalate into costly shutdowns.
According to the EIA, U.S. LNG exports hit a record 12.1 Bcfd in 2023 and are projected to rise another 25% by 2027. Behind the scenes, AI is also rewriting how LNG is produced and exported. Smart controls in LNG facilities are streamlining load management and improving cooling efficiency, which is critical as global allies look to U.S. exports to move away from adversarial supply chains steeped in geopolitical conflict. These advances depend on the technologies and expertise that oilfield service companies bring to the systems that keep U.S. LNG moving.
But with this evolution comes urgency. AI systems, especially in the cloud, are a prime target for cyberattacks. That’s why the industry is building resilience into its digital infrastructure. With zero-trust architecture and cloud-native platforms, we’re fortifying both the data and the infrastructure behind it.
Machines may be learning fast, but human expertise still writes the playbook. As such, the workforce is evolving. One in three roles in energy companies didn’t exist a decade ago. According to Deloitte, over 60% of energy employers now prioritize digital skills in hiring — up from just 25% five years ago. Upskilling, not just hiring, is how we stay competitive. AI is helping us preserve institutional knowledge, transfer expertise, and future-proof our talent pipeline.
And yes, we’re competing with Silicon Valley, not just for talent, but for purpose as well. Our message to the next generation is simple: You can write code anywhere. But if you want to form the future, do it where the power is. The data center doesn’t run on ideology. It runs on energy.
Oil and gas built the foundation of modern life. In the AI age, we’re still at the core of what makes progress possible. The robots may have arrived, but they’re not self-sustaining. They don’t think without electricity. And that electricity, for the foreseeable future, still comes from oil and gas.
As the AI era unfolds, our industry isn’t just keeping pace; we’re powering the entire revolution. The world may see code and circuits. We see turbines, rigs and crews making it all possible. WO
MOLLY DETERMAN is President of Energy Workforce & Technology Council, the national trade association for the global energy technology and services sector, representing more than 650,000 U.S. jobs in the technology-driven energy value chain. Ms. Determan advocates on behalf of the energy workforce and speaks frequently on workforce, culture, leadership, HSE and supply chain.