Saudi Arabia’s Energy Minister Prince Abdulaziz bin Salman al Saud said that global crude oil output could tumble 30% this decade due to dwindling investment in fossil fuels. The minister warned that without enough spending, the oil industry is heading toward a dangerous phase that could result in an “energy crisis.’ He also urged energy firms and investors to brush off “scary messages” about oil and gas.
Abdulaziz’s view contrasts that of the International Energy Agency, which has called for the cessation of new fossil fuel investments if the world is to cut carbon emissions to net-zero by 2050. Saudi Arabia plans to spend billions of dollars to expand its oil production capacity by 1 million bpd to 13 million bpd by 2027. According to the International Energy Forum, spending on oil and gas projects dropped 30% globally to $309 billion in 2020 and had recovered only slightly this year.
