“Every data-driven forecast I’ve seen shows that oil is irreplaceable for the foreseeable future,” he told the Energy Asia meeting in Kuala Lumpur.
He said projections show that the world will “need more, not less, oil” in the future, as well as the need to keep emissions down.
“A massive expansion of energy is needed as we see the world economy more than double and the world population by 2045.” will reach 9.5 billion In addition, as we all know, there remains a critical need to provide modern energy services to the billions who remain without access to basic energy in many parts of the world.
Calling for “unprecedented investment and collaboration” to meet projected future demand while reducing global emissions, he said this would require incorporating global best practices and cutting-edge, best-in-class technologies, including carbon capture and storage. , clean hydrogen technologies and the circular carbon economy.
Al Ghais said that “chronic underinvestment” in all energy sources has put the viability of the entire energy system at risk, with between now and 2045. the oil industry alone needs $12.1 trillion.
“Recently, annual levels have been significantly lower due to the industry downturn, the pandemic and the increasing focus on environmental, social and governance issues,” he said.
Industry policymakers and stakeholders needed to work together to ensure a long-term investment-friendly environment with sufficient funds to benefit producers and consumers, as well as developed and developing countries, Al Ghais said.
He said efforts were severely hampered by persistent calls to halt all investment in new oil projects, and said clarity on energy policy was essential if a “just, inclusive and realistic transition” was to be achieved.
But Al Ghais’ comments contradicted the International Energy Agency, which predicted demand for “peak oil” in the coming year of 2028 would “virtually grind to a halt” as the so-called energy transition, a move away from fossil fuels, accelerates.