$275 billion to expand Middle East energy sectors
Market specialists recently evaluated that approximately $275 billion would be invested in the energy sector of the Arab world over the next 20 years, reports London based Al-Sharq Al-Awsat daily.
The same source attributes the anticipated influx of funds to recent initiatives taken by Arabian oil producing nations to open their doors to foreign oil companies wishing to excavate the region.
The Chief Executive of the Arab Petroleum Corporation (Apicorp), Rashid Mearaj, stated that the oil and gas sectors in the Arab states are in need of these investments in order to increase their production capacity and meet growing global oil demands.
Mearaj added that it is proven that Arab countries possess 645 billion barrels oil reserves, accounting for 60 percent of the world’s total oil reserves. In addition, a proven 33.6 trillion cubic meters of natural gas reserves, constituting 21.9 percent of the world’s total natural gas reserves are situated in the region.
Moreover, Arab oil countries possess 46 oil refineries with a total output of 5.7 million barrels per day. Of this volume, 45 percent is locally consumed while the rest is exported.
Oil production grew from 18.56 million barrels per day in 1999, to 23.45 million barrels in 2000. Output increase is expected to continue, and reach 27.33 million barrels per day by 2005. –(MENA Report)
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