Saudi Arabia said global oil production could drop 30% by the end of the decade due to falling investment in fossil fuels.
“We’re heading towards a phase that could be dangerous if there’s not enough spending on energy,” Saudi oil minister Abdulaziz bin Salman said in Riyadh. The result could be an “energy crisis,” he said.
The minister said daily oil output may fall by 30 million barrels by 2030. He urged energy firms and investors to ignore “scary messages” about oil and gas. Prince Abdulaziz’s comments came shortly after the Saudi finance minister made a similar warning.
Saudi Arabia is among the few countries still spending billions of dollars to raise production. It’s trying to raise its capacity to 13 million barrels a day from 12 million by 2027.
Global expenditure on oil and gas projects slumped 30% to $309 billion in 2020 and
had only recovered slightly
this year, according to Riyadh-based think tank the
International Energy Forum.