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2 things you should know about Saudi Arabia: the oil will end up with us

2 things you should know about Saudi Arabia: the oil will end up with us

Saudi Arabia: The oil will end with us
2 things you should know about Saudi Arabia: the oil will end up with us

One of the largest oil producers in the world believes that global demand for oil will continue until at least 2040.

"Saudi Arabia will get the last barrel of oil in the world, but that will not happen in the next decade or decades.

"I don't think we will see a peak in the search for oil in the next 10 years, or even by 2040," Amin Nasser, president, and chief executive officer of Saudi Aramco told CNN at the World Economic Forum in Davos.

"We are the least expensive producer in the world and the last barrel of oil in the world will come from our region."

In the past few years, Nasser shared the view that he does not see how we will see a decline in oil demand in the foreseeable future, and that companies in the petrochemical industry will increase consumption by 2050.

Saudi Arabia recently announced that its oil reserves are larger than the data available to the world so far, but the country is already considering diversifying its economy, which today depends heavily on the oil industry.

In the coming years, Saudi Arabia has two major advantages that will continue to be at the forefront of the world's largest oil producers - low costs and high reserves.

A number of organizations, including OPEC, believe that by 2020 the United States will reach its shale oil production ceiling, which means that more crude is needed in the coming years, most of which will come from OPEC, especially from Saudi Arabia.

Earlier this month, Saudi Arabia announced independent estimates for DeGolyer and MacNaughton that the country has 268.5 billion barrels compared with 266 billion barrels, according to previous estimates.

The 2018 BP report places Saudi Arabia second among the world's largest reserves, with Venezuela ranked first with 303.2 billion barrels.

Oil prices managed to rise to $ 86 a barrel in October, after which prices fell again. Today, US crude oil is trading at $ 52.40 per barrel and the Brent Group is trading at $ 60.78.

According to the latest OPEC data, the United States is ahead of Russia and Saudi Arabia as the largest oil producer, after production reached 12 million barrels per day.