Introduction
Over the last decade, the renaissance in the oil and gas industry has been remarkable. Technological advancements made it possible for new resources to be unlocked, and this brought about significant changes in the global energy market. Particularly for oil, the security of energy largely depends on the prices that are set based on global market conditions (Lambrechts & Blomquist, 2016) . Sudden disruptions in supply, such as hurricanes and terrorist attacks, have been preceded with massive disruptions in the supply of domestic energy. In the same period, there has been a shift in the above-ground risk landscape requiring oil and gas firms to keep abreast of their risk exposure actively. The confluence political, economic, security, and environmental drivers have resulted in oil and gas firms trying to get ahead of these risks as they emerge as it is the first vital step in identifying ways to mitigate these dynamic challenges (Tichý, 2019) . Irrespective of the social and political systems, attacks on critical infrastructure in the oil and gas industry has become the primary weapon of choice for internal terrorism. This paper looks at the underlying political-security risks regarding terrorism and the risks caused to individual interactions; businesses, people and institutions, and the preparedness of the oil and gas industry in risk management and mitigation.
The Purpose of the Article
Recent events reveal how the age of abundance and growing production in OPEC countries are shifting the balance of power in oil and gas markets. Lambrechts & Blomquist’s (2016) article examines the impacts of political-security risks on OPEC countries as they are the main targets of terrorists who may attack oil infrastructure and facilities, thus causing a more significant impact and harm to multinational firms with overseas interests. Because of the increased complexity in political-security issues across different operating environments, the paper also examines the preparedness of the oil and gas firms in risk management and mitigation based on the In Amenas attacks of 2013.
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The Importance of the Investigation and Subject Matter of the Article
In an increasingly blended world economy, globalized markets resonate with civil strife and uprisings, intra- and inter-state conflicts, as well as mega terrorist attacks. According to research, such events do not only affect the political-security sphere of a country but also affect the economy either directly or indirectly depending on the type of event (Tichý, 2019) . Of today’s current top twenty OPEC countries, seven are in the Middle East and the North African region, which has become a hotbed for terrorism. Given the magnitude of terrorist attacks in the oil and gas industry, and the determination and sophistication in both planning and execution that terrorists have become. The free society that acts as an enabler to terrorist activities while at the same time hindering the ability to predict, prevent and mitigate the reverberations or terrorists’ acts, it is imperative for the oil and gas industry to develop a comprehensive approach to protect critical infrastructure and critical assets (Tichý, 2019) .
The risk requirements for oil and gas firms are not uniform, and they vary between organizations and internal departments. The oil and gas industry is also facing increasingly complex political-security issues across different operating environments, thus prompting the need to improve organizational resilience and agility in response to terrorist attacks (Lambrechts & Blomquist, 2016) . Also, political-security events can never be fully anticipated and controlled, but they can be adequately prepared for, and their impacts mitigated to some extent. Applying a political-security risk approach in the core business functions and strategic challenges, as well as turning industry data into insights, oil and gas firms will be better equipped to respond quickly to changing circumstances by taking actionable steps that protect and increase shareholder value (Tichý, 2019) .
Research Methodologies Used and their Importance
Lambrechts & Blomquist (2016) employ the use of qualitative methodology coupled with a single case study design – the Amenas attack in 2013. The qualitative case study methodology is used by researchers to study intricate incidents within their contexts. The article used a single case study design in examining the events that led to the Amenas incident before and after the attack. The researchers also examined the attack through the lens of a political-security risk from a financial and political perspective that led to the attack (Tichý, 2019) . The implications of the research by the article appropriate and adequate to the task using a single case study with embedded units. The purpose of the case study was to examine how political-security risks affect the oil and gas industry, and the preparedness of the industry in managing and mitigating risks in the event of a terrorist attack. The qualitative case study approach provided answers to the "How" and "Why"- political-security risks questions that resulted in the Amenas incident while taking into consideration how an incident affects the preparedness of firms in the oil and gas industry (Tichý, 2019) .
The Findings
Lambrechts & Blomquist (2016) found out that Statoil had conducted political risks and assessments on the profitability of the venture when the political situation in Algeria was much more stable. Lambrechts & Blomquist (2016) also state that, although Statoil and BP knew about the regional security risks posed to the Algerian government, they never implemented robust security measures at the facility that could have helped mitigate the attack. The study also indicated how dynamic the political-security risks of a region can change and how the firms in the oil and gas industry must be aware of their geopolitical surroundings in order to be prepared better in the incidence of a terrorist attack (Lambrechts & Blomquist, 2016) . The findings of the research are clearly stated in the article as well as their implications in the oil and gas industry.
Advancement of Knowledge in the Oil and Gas Industry
Lambrechts & Blomquist (2016) research highlights the complexities and often unstructured in the political-security risks on a global scale rather than the study of the country and the implications of foreign policy. This advances the knowledge in OPEC countries on the need to assess the global landscape on the balance of power, political-security analysis of businesses and people rather than the analysis of governments alone (Tichý, 2019) . It is also essential for oil and gas firms to understand the deep-rooted psychological, social, and historical values of political-security risk actors. The analysis of the civil unrest in Libya and Mali would have helped Statoil and BP analyze the unfolding events – both seen and unseen that could have helped mitigate the threat.
Conclusion
Political and security contexts are complex to understand in a rapidly changing global economy. Many oil and gas firms in the world lack the capabilities of political-security events and trends appropriately, thus missing the opportunity to mitigate and manage potential risks before they happen as well as the value attached to operational costs and future projects. Isolating the dynamic events and interactions involved in global and regional political and security events helps oil and gas firms to make smarter decisions that are tailored to the local environment. This can be achieved through data from historical events, which result in better organizational intelligence and preparedness. Therefore, oil and gas firms to confront the challenges that the unstable global world presents so that they can protect the value that they create through making the right strategic, tactical, and operational decisions.
References
Lambrechts, D., & Blomquist, L. (2016). Political–security risk in the oil and gas industry: the impact of terrorism on risk management and mitigation. Journal of Risk Research , 20 (10), 1320-1337. doi: 10.1080/13669877.2016.1153502
Tichý, L. (2019). The Islamic State oil and gas strategy in North Africa. Energy Strategy Reviews , 24 , 254-260. doi: 10.1016/j.esr.2019.04.001
