Classifieds | Archives | Jobs | About TGT | Contact | Subscribe
 | 
Last updated 15 minutes ago
Printer Friendly Version | TGT@Twitter | RSS Feed |
HOME LOCAL MIDEAST ASIA WORLD BUSINESS SPORT OPINION WRITERS
Oil industry needs increasing investment, says BP official
November 17, 2017
 Print    Send to Friend

ABU DHABI: The oil and gas industry needs a significant increase in investment over the coming years, according to a senior BP official.

“Oil supply, as opposed to oil demand, will be the big game changer in the future as the world shifts away from the resource scarcity view,” said Spencer Dale, BP’s Group Chief Economist, who was speaking at a panel on the sidelines of the Abu Dhabi International Petroleum Exhibition and Conference, ADIPEC, which concludes on Thursday.

Saying that there will be substantial consumption of oil for decades to come, he added, “If you look forward for the next 20-30 years, the combination of improving energy efficiency and technological progress means that supply will significantly outstrip demand as a result of increasing energy abundance.” “As new discoveries are made, perceptions have moved from one of energy scarcity to one of energy abundance,” he added, noting that this is having a significant impact on resource owners, many of whom are in the Middle East.

“A considerable amount of investment is likely to be needed for decades to come,” Dale predicted, adding, “However, previously driven by the sense of resource scarcity, (this) meant that investment went into any type of oil resource. If you look at (it) now, investors are becoming increasingly choosy about which type of oil in which to invest. BP’s view is to carry on investing in oil as long as there is an advantage to it. The market is increasingly competitive,” he said.

Investment now, he suggested, would be committed either because of the intrinsic low-cost of development or because costs could be driven down because of factors such as existing infrastructure and supply flow.

Meanwhile, Adnoc Drilling, an Abu Dhabi National Oil Company, Adnoc, subsidiary, today held the 13th Rig Owners Seminar on the sidelines of the Abu Dhabi International Petroleum Exhibition and Conference, ADIPEC.

The expert seminar focused on advancing operational efficiency, resource optimisation, and cost-effectiveness in the regional drilling industry. It was attended by more than 200 professionals from the oil and gas wells drilling sector.

WAM

Add this page to your favorite Social Bookmarking websites
Comments
 
Post a comment
 
Name:
Country:
City:
Email:
Comment:
 
    
    
Related Stories
Oil rallies as IEA warns of output limits
LONDON: Oil prices rallied on Thursday, recouping some ground after sharp losses the previous session when Libya said it would resume oil exports. The rally received a..
Our goal is to rebalance oil market: Mazrouei
VIENNA: Fluctuations in oil prices do not serve producers and consumers alike, stated Suhail Bin Mohammed Faraj Faris Al Mazrouei, UAE Minister of Energy and Industry and..
Oil and gas future is bright: Al Jaber
ABU DHABI: Dr Sultan Ahmed Al Jaber, UAE Minister of State and Adnoc Group CEO, said that the oil and gas industry stands on the threshold of an historic step change in t..
Oil rises on expected stockpile drop
SEOUL: Oil prices rebounded on Tuesday on expectations that inventories in the United States may decline, but increasing US production and concerns that Opec may raise ou..
Oil rises to $76 as tight current supply in focus
LONDON: Oil climbed to $76 a barrel on Wednesday, supported by tight supplies despite expectations Opec and its allies will pump more in the second half of 2018 and helpe..
FRONTPAGE
 
GALLERY
 
PANORAMA
 
TIME OUT
 
SPORT
 
 
Advertise | Copyright