Falih visited the software company Infosys. Also in Okinawa, Japan, he attended a customer retreat, where he met with Japanese and Taiwanese partners and customers. His visit to Asia marks a new reality for the oil industry, where, due to population growth and economic development, the economic center of gravity is shifting toward the East. “The developing economics of the world … are at the heart of the International Energy Agency's forecast that world primary-energy demand will increase,” Al-Falih said. “The forecast estimates demand will grow by 40 percent by 2030 - roughly 1.5 percent per year. And (the IEA forecast estimates that) oil will remain the single largest fuel in the energy mix.” The company's maximum sustainable production capacity is now at 12 million barrels per day - a figure that will ensure reliability of supply to meet this forecast increase in demand. Even though oil and gas will be around for some time, the energy environment has changed and companies need to be prepared, Al-Falih said. As the world's energy demands increase and suppliers work to meet them, unconventional sources of oil, such as natural gas liquids, heavy oils and oils located in difficult environments, will need to be tapped, he said. --MORE
