Ali Obaid Al Yabhouni, U.A.E. Governor for OPEC, and Chairman of the Board and Chief Executive Officer of ADNATCO and NGSCO, has said that U.A.E. has taken its lead in widening its own energy mix to include nuclear, renewable energy to ensure that the country's carbon foot print is reduced.
"While at the same time more crude oil and petroleum products are made available for export, we also recognise the importance of protecting environment mitigating the climate change," he said while speaking at a session on the Energy Security, Market Supply and Demand on the third day of the Abu Dhabi International Petroleum Exhibition and Conference (ADIPEC 2014) at Abu Dhabi National Exhibition Centre (ADNEC).
Al Yabhouni said that U.A.E.'s policy of introducing new energy sources is complemented by the focus on energy efficiency and other demand production measures. Clearly this goes hand in hand with energy security and provides a sustainable energy guaranteed for the future generations.
Addressing the audience on the same occasion, Musabbeh Al Kaabi, CEO of Mubadala Petroleum, said that oil demand for the foreseeable future is expected to grow at rate of one percent on annual basis, so currently the total demand which is around 90 to 91 million bpd will increase by the year 2035 to 150 million bpd.
He explained that the demand will primarily come from China besides there is also increase in the demand from the Middle East region. For the supply side, he said that most of the supply will come from the Middle East, America and South America. "The implication of the Middle East, the growth of demand will slightly be higher than the growth of the supply. Therefore the percentage wise we will see less export of oil from the region. In terms of demand and supply of the gas the story is almost similar." He said, "In 2018, hopefully we will have Emirates LNG," adding that the revolution in the shale gas in USA will have an impact on the LNG prices and we will see lower ranges in the foreseeable future. There is also an iconic deal done recently by Russia and China, that will have some implications in the future on the LNG prices.
Speaking on the GCC, he said, "In the GCC, we have one of the highest per capita consumption, let me correct that, we have the highest per capita consumption in the world, we have also an heterogeneous outlook in terms of gas balance , the cost of gas is expected to remain relatively cheap, the reason for that is the rated average cost of gas, the current and historic production was very cheap, however the future gas will be relatively more expense, but the rated average cost in the region will remain low." Other panellists Yasushi Yoshikai, Managing Officer, Chief Operating Officer, Energy Business Unit2 Mitsui & Co., Ltd, Rohan lobo from Siemens and Helle Kristoffersen from Total also spoke on the occasion and shared their thoughts on the subject.
Source: WAM