Global oil sector needs $20 trillion investments over 25 years says Saudi Aramco CEO
Houston (Reuters): The global oil and gas industry needs to put in more than $20 trillion over the next 25 years to meet estimated growth in demand and recompense for the natural decline in developed fields, Saudi Aramco Chief Executive Officer Amin Nasser said on Tuesday.
Speaking, Nasser at the CERAWeek conference in Houston said the industry has already lost $1 trillion of investments from the time when the oil price downturn from 2014 to 2016.
Future investments needed Nasser told, “will only come if investors are convinced that oil will be allowed to compete on a level playing field, that oil is worth so much more, and that oil is here for the foreseeable future,”
“That is why we must push back on the idea that the world can do without proven and reliable sources. We must challenge mistaken assumptions about the speed with which alternatives will penetrate markets.”
He also said that he was in no doubt that oil market fundamentals and future demand growth would be healthy, despite significant oil price instability and forecasts of rising shale oil production.