Secretary-General of the Organization of the Petroleum Exporting Countries, OPEC, Mohammad Barkindo has said that the upstream, midstream and downstream sector of global oil sector will require a total of $12.6 trillion investments between now and 2045.

He who gave the estimate according to the Organization’s World Oil Outlook, WOO 2021, said the huge sum was reached following proof that upstream capital expenditure fell more than 30 percent as a result of the 2020 pandemic.

”Putting this in some context, OPEC’s World Oil Outlook (WOO) 2020 shows that $12.6 trillion will be required between now and 2045 in the upstream, midstream and downstream oil sectors, and this comes on the back of current assessments showing that upstream capital expenditure could have fallen by more than 30 per cent in 2020, beyond the 23 per cent losses experienced in both 2015 and 2016”, he said.

Barkindo emphasized that if the investment deficit is not rectified; it could leave long-term scars, not only for producers, but consumers too.

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Source: SweetCrudeReports