Igor Sechin Presents Keynote Speech at SPIEF's Global Energy Transformation Panel
PR89940
MOSCOW, June 7, 2021 /PRNewswire=KYODO JBN/ --
Igor Sechin, Chief Executive Officer of Rosneft, delivered a keynote speech at
the Energy Panel "Transformation of the Global Energy Sector" at the XXIV St.
Petersburg International Economic Forum.
The event, sponsored by Rosneft, was attended by BP CEO Bernard Looney,
ExxonMobil Senior Vice President Neil Chapman, CNPC Chairman and PetroChina
Chairman Dai Houliang, OGCI Oil & Gas Climate Initiative Chairman Robert
Dudley, ONGC Videsh Managing Director and CEO Alok Kumar Gupta and other
industry representatives.
The head of Rosneft presented a detailed analysis of the global economy in the
context of the pandemic and drew the attention of the energy panel to the
underestimation by market participants of the risks of global instability.
With the growing scale of vaccination and reducing impact of the pandemic on
the global economy, the demand for oil will recover and we have to be prepared
for that, Igor Sechin said in his report.
The energy demand will keep growing, and new waves of virus disease can only
slow down this process, but these cannot stop it, Rosneft CEO said.
Nevertheless, the long-term stability of oil supplies is at risk due to
underinvestment. This is due to both requirements of various stakeholders to
completely cease investments in the petroleum sector and the aspirations of
majors to increase shareholder value and shareholder returns through stronger
dividend payout and share buyback.
As a result, oil and gas reserves additions have been at their historical
minimum over the past years, so that certain deficit of resources can already
be forecast. "This trend may become a "new norm" for global majors and result
in resource base depletion. The world runs the risk of facing an acute deficit
of oil and gas," Igor Sechin said.
According to him, the cornerstone of balanced energy development should be
healthy, market-based competition of all types of generation, ensuring a stable
supply of clean and affordable energy to consumers with minimal impact on the
environment.
The reduction of oil and gas production by the majors, coupled with the failure
to deliver enough solar and wind energy to the market, could lead to a new wave
of mergers. Consolidation of the majors would allow them to increase
investments in the energy transformation, strengthen their competitive position
and improve their investment attractiveness, says the head of Rosneft.
"Possible energy shortages could be a significant barrier to economic
recovery," said Jeremy Weir, chairman and chief executive of Trafigura.
The head of Rosneft recalled that the investment community praised the Vostok
Oil project.
Jeremy Weir, Chairman and CEO of Trafigura also said: "Investment in oil
production has fallen to the point where existing reserves, far from being
replaceable, are being depleted. In this context, Rosneft's investment in
Vostok Oil, the largest mainland oil and gas production project, is
particularly significant. We at Trafigura are proud and honoured to be part of
it. Vostok Oil is already producing low-cost, low-carbon, high-quality oil that
will be in demand for years to come. Rosneft plans to reduce its carbon
footprint and this will certainly guarantee demand for Vostok Oil's products,"
says the Trafigura executive.
In line with the highest environmental standards, Rosneft is implementing a
number of first-class oil and gas projects with low unit production costs of
USD 2.6 per barrel of oil equivalent.
"We are ready to share the success story and welcome Western and Eastern
partners, equipment and service providers with their best practices," said Igor
Sechin.
SOURCE: Rosneft
本プレスリリースは発表元が入力した原稿をそのまま掲載しております。また、プレスリリースへのお問い合わせは発表元に直接お願いいたします。
このプレスリリースには、報道機関向けの情報があります。
プレス会員登録を行うと、広報担当者の連絡先や、イベント・記者会見の情報など、報道機関だけに公開する情報が閲覧できるようになります。