UAE's oil and gas industry strengthens national economy

UAE's oil and gas industry strengthens national economy

The UAE planned to increase its crude oil production capacity to 3.5 million barrels per day (bpd) by 2017 to contribute to the stability of global markets and to ensure long-term obligations with consumers, as world oil demand is expected by the national oil industry leaders to increase to 105 million bpd by 2030 and even up to 112 million bpd according to optimistic scenarios.
Ways to reach this target were explained by senior officials from the national oil industry at the 21st Annual Middle East Petroleum and Gas, which was held in Abu Dhabi on April 22nd, 2013.
The Minister of Energy, Suhail bin Mohammed Faraj Faris Al Mazrouei, in his speech at the conference, said: “the UAE is seeking to increase its production capacity to 3.5 million barrels per day of crude oil to contribute to the stability of global markets and ensure the long-term obligations to consumers.” The recent events, he added, have proven that focusing on the security of energy is necessary in order to address natural disasters and geopolitical tensions as well as other unanticipated situations which occur periodically in the world, the minister noted.
“In this regard the government of the UAE undertook to construct an oil pipeline connecting Habshan-Fujairah to guarantee crude oil supplied to the world market.” According to him, success in the application of these technologies has generated new horizons in oil and gas production. As a consequence hydrocarbon reserves in difficult and complex reservoirs can be calculated and gas and oil shale are being produced from unconventional sources, according to the minister.
“In the UAE we are utilising the opportunities afforded to us by these new technologies to the utmost degree. There is no doubt that the days of easy discoveries are over and future exploration for oil could be difficult and costly. The optimal path forward is rooted in the employment of best international practices to improve Enhanced Oil Recovery.” Affirming that “this is the opportune moment for investment in the hydrocarbon industry’, he said some scenarios stipulate that world oil demand will increase to 105 million bpd by 2030. Other more optimistic scenarios stipulate the rise in demand to reach 112 million bpd. Nonetheless, as a consequence of the fact that many oil fields in the world have reached maturity many oil producing countries will not be in a position to significantly increase their production.” Global economic and population growth results in continual increase in the demand for energy. Within this context I would like to draw attention to the economic growth evidenced within the emerging markets of Asia and South America leading to the rise in energy demands in the region.
Source: WAM

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