Falih spoke of the investment requirements facing the global petroleum industry, saying that conventional upstream investments will continue due to projected future demand growth. He added that “projects that require a high price environment … are likely to be deferred or reexamined.” Likewise, downstream investments will “come under greater scrutiny” due to the challenging position of this sector. In this situation, Al-Falih said, “we could see a new round of underinvestment, … of overstretched capacities and high prices — repeating a vicious cycle, damaging the interests of both producers and consumers.” Presenting the outlook for Saudi Aramco's investment project portfolio in view of the global economic crisis, Al-Falih said that “despite the substantial market volatility and changing economic dynamics in the short-term, our long-term direction continues to be driven by three key strategies: a focused but flexible investment program, the further development of the Saudi economy, … and operational excellence.” --MORE
