SECRETARY-General of the Organization of Petroleum Exporting countries, OPEC, Mohammed Barkindo, has disclosed that the global oil and gasoline industry lost over $300 billion between 2015 and 2016 because of fall in oil and fuel exploration and manufacturing spending.
Barkindo, who revealed this in London, said the gravity of the keen contraction in oil enterprise investment got underscored by using the truth that, in each 2015 and 2016, a dramatic rationalisation of projects became witnessed, adding that international oil funding might require approximately $10 trillion by 2040.
In line with him, the international oil enterprise can’t have enough money to uphold investment levels fall for a 3rd year in a row, pointing out that worldwide oil and gas exploration and production spending fell via around 26 percent in 2015 and a similarly 22 percent in 2016.
“Combined, this equates to above $300 billion. This has impacted new projects coming on-stream and new discoveries too. This will require significant investments. And new barrels are needed to not only increase production, but also to accommodate for decline rates from existing fields,” he said.