> reporter: if you want to understand the mood of the oil and gas business right now, investor charlie lakam sums it up this way. >> this is unquestionably, i think, one of the most, you know, devastating periods in the industry. this will be the first time since the mid 1980s where you've had 2 successive declines in most commodity prices as well as activity. >> that pretty much sums it up, as the mood in major oil and gas conference here in houston remains tough, the reality of lower for longer oil prices sets in. but ceos aren't paid to complain. they're paid to manage through difficult situations. and the ceo of pioneer natural resources says the industry is going to use this time to try to get smarter. >> industry always does best in the downturns. we draw better prospects. we have our best people working on them. we cut expenses. service costs are down 35%, 40%. and eventually we all know the oil price is going to go back up. that's when the best time to be drilling is during a downturn. so you get your best return on equity. you get your best return. >> that may be cold comfort, thoug