14 October 2017, Sweetcrude, Lagos – Secretary General of the Organisation of the Petroleum Exporting Countries, OPEC, Mohammed Barkindo, has warned investors against expecting oil to hit peak demand before 2040.
Speaking at an Abu Dhabi conference on Monday, Barkindo said OPEC’s predictions did not see oil demand reaching high soon.
According to the OPEC chief, an increase in global population would lead to more people living without access to electricity, cooking gas or heating.
“These parameters suggest there will not be peak oil demand before this time 2040,” he said.
Meanwhile, OPEC on Monday forecast higher demand for its oil in 2018 and said its production-cutting deal with Non-OPEC producers was reducing excess oil in storage, pointing to an even tighter global market next year.
In the group’s 2017 World Oil Outlook, WOO titled ‘World Oil Outlook 2040’ launched in Vienna last week, OPEC had said it share of global liquids supply will increase to 46 percent by 2040.
The group currently supplies 40 percent of world’s liquids demand.
Explaining how it arrived at an increase of 6 percent, OPEC said total non-OPEC liquids in the medium-term are estimated to grow by 5 million barrels per day, mb/d, from 57 mb/d in 2016 to 62 mb/d in 2022, a higher level than in the WOO 2016.