OPEC Secretary General to Participate in Transformations in the Energy Sector Session at SPIEF 2018
Mohammed
Sanusi Barkindo, Secretary General of the Organization of Petroleum Exporting
Countries (OPEC), will take part in the Transformations in the Energy Sector
panel session, which is scheduled for 25 May at the St. Petersburg
International Economic Forum.
This discussion will focus on the growing transformations of
the world economy and the role of energy in this process. The revolution in
cooperation between business and consumers means we all need to either adapt or
hopelessly fall behind. Meanwhile, the
importance of energy sector in global economy is on the rise: a significant
part of the global GDP is achieved through involving new consumers and the
service sector, which presumes available and secure energy supply. The source
is not that important anymore. What matters is its competitive performance and
availability, since energy is consumed in the form of electricity. The choice between the socket and
the gas station becomes more pressing and has a direct impact on long-term
solutions in the fuel and energy sector.
Mohammed
Barkindo, together with Royal Dutch Shell Plc Chief Executive Officer Ben van
Beurden, BP Chief Executive Officer Bob Dudley and IHS Markit Vice Chairman
Daniel Yergin will discuss ways to reduce uncertainty and ensure sufficient
fuel and energy sector attractiveness for investors, in order to avoid
volatility in the future, while maintaining the guaranteed energy supply of the
world economy in 20 years from now. Alexander Novak, Acting Energy Minister of
the Russian Federation, will also attend the panel session. CNN’s Emerging
Markets Editor John Defterios will moderate the session.
“Cooperation with the Organization of Petroleum Exporting Countries is of great importance to us. Tough times of the global economic crisis call for joint efforts to improve the market situation. The session at the St. Petersburg International Economic Forum will help find solutions for existing challenges,” said Alexander Novak.
The issues of further development of the energy sector as well as international cooperation in this sphere will be discussed at a number of key sessions of the upcoming International Forum Russian Energy Week that will take place in Moscow on 3–6 October 2018.
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Alexander Novak, Minister
of Energy of the Russian Federation, co-chaired the 9th meeting of the OPEC/Non-OPEC
Joint Ministerial Monitoring Committee.
The participants
reviewed the situation on the oil market and discussed possible further steps under
the agreement. The discussion touched upon the issue of allowed production
growth, as well as proposed regulating principles for OPEC/non-OPEC countries
cooperation after 2018.
The Head of the
Ministry of Energy outlined the main indicators of the Vienna Agreement
implementation success. According to the Minister, the Agreement execution by
OPEC and non-OPEC countries reached 147% in May. Since early 2017, OPEC+
members have managed to reduce the surplus of oil reserves by 380 million
barrels. “The market sees the success of our joint efforts to reduce the volume
of stocks and reacts positively,” emphasized the Minister.
According to
Alexander Novak, today we see the signs of a steady market balance, but it is
very important not to allow ‘overheating’ of potential petroleum shortage. “The
declaration we adopted in 2016 implies flexibility and aims to stabilize the
market. This means possible actions both in case of surplus and deficit,” the
Head of the Energy Ministry noted.
Following the
meeting of the extended monitoring committee, most of its participants received
recommendations to consider at an upcoming ministerial meeting of OPEC and the
subsequent ministerial meeting with the participation of non-OPEC
petroleum-exporting countries an increase of production of 1 million barrels
per day (from the current level), distributing this amount among the parties to
the agreement.
Source: minenergo.gov.ru
