ADNOC has a disciplined focus on operational efficiency and enhanced performance
Investments, collaboration, strategic partnerships and smart funding are key to meeting nation’s rising energy demand
Cairo, Abu Dhabi, 15 February 2017: His Excellency Dr. Sultan Ahmad Al Jaber, UAE Minister of State and ADNOC Group CEO said, today, the UAE is well prepared to meet future energy challenges and maintain its position as a reliable source of oil and gas, in support of the country’s socio-economic and human development goals.
In line with the UAE leadership’s strategic goals, H.E. Dr Al Jaber said ADNOC is balancing a disciplined focus on operational efficiency and enhanced performance with the imperative to maintain targeted, investments in exploration, petrochemicals, technology and people, while maintaining an emphasis on long term, value driven partnerships.
H.E. Dr Al Jaber made his comments during his keynote address to the inaugural Egypt Petroleum Show, held in Cairo under the patronage of His Excellency President of the Arab Republic of Egypt Abdul Fattah El Sisi; His Excellency Engineer Shareef Ismail, Egyptian Prime Minister, and His Excellency Engineer Tarik El Mulla, Minister of Petroleum and Mining.
Speaking to an audience of international and regional energy industry leaders, H.E. Dr Al Jaber said global energy demand is forecast to rise by 25% by 2040 - equivalent to adding the current energy demand of North and South America combined. Much of this demand, he said, would come from non-OECD countries, which will account for two thirds of the world’s energy consumption.
“The International Energy Agency estimates that some 25 trillion dollars in investment will be needed over this period to keep pace with demand,” H.E. Dr Al Jaber said. “That is a level of funding only possible through creative, productive partnerships between governments and the energy industry.”
Despite increased interest in renewables, H.E. Dr Al Jaber said nearly 60 percent of the energy demand, in 2040, would be met by the oil and gas industry.
H.E. Dr Al Jaber praised Egypt’s economic and energy policies and regulatory frameworks which had made it easier for multinational companies, such as BP, ENI, Shell and Dana Gas to invest.
“These wise policies are now paying off, as Egypt has entered a golden age of hydrocarbon discovery,” H.E. Dr Al Jaber said.
He highlighted the discovery, in Egyptian territorial waters, of the largest deposit of gas ever found in the Mediterranean Sea with estimated reserves of 30 Trillion cubic feet. This, together with significant finds in the Nile Delta and the Western Desert, has the potential to make Egypt not just energy independent, but eventually a net exporter of natural gas.
H.E. Dr Al Jaber said the significant 76% growth witnessed by Egypt’s stock market last year, and last month’s over-subscribed bond sale, were powerful evidence of Egypt’s strengthening economy, that is underpinning growing confidence, in international markets and institutions, such as the IMF, and in Egypt’s future as an anchor of stability in the region.
Referring to PWC’s latest global growth report, which forecasts Egypt could become the world’s 16th largest economy by 2050, H.E. Dr Al Jaber said: “All this points to one conclusion - now is an excellent time to invest in Egypt.”