Global oil sector needs $ 20 trln investments over 25 years

Baku. 7 March. REPORT.AZ/ “The global oil and gas industry needs to invest more than $ 20 trillion over the next 25 years to meet expected growth in demand and compensate for the natural decline in the developed fields”.

Report informs citing the Bloomberg, Saudi Aramco Chief Executive Officer Amin Nasser said.

Speaking at the CERAWeek conference in Houston, Nasser said the industry has already lost $1 trillion of investments since the oil price downturn from 2014 to 2016.

Nasser said that even with the growth of electric vehicles, increased demand from petrochemical markets over the next two decades will necessitate additional investment and need for crude oil. He noted "even conservative estimates" suggest the need for about 20 million barrels per day of new capacity in the next five years.

Nasser only briefly referenced the plans for Saudi Aramco to go public, saying it is "proceeding very well," but the company's shareholder, the Saudi government, will ultimately decide when and where it will be listed.

The company is expected to list the IPO domestically. It is planned to sell 5% of the company for $ 100 billion. If this happens, Saudi Aramco will be the most expensive company in the world with value of $ 2 trillion. The world's most valuable company is now "Apple" ($ 900 billion).