Global oil prices slump is only temporary

  • 25 November 2015

The current slump in world oil prices is temporary and can't last for a long time, Dr. Matar Al Neyadi, Undersecretary, Ministry of Energy of the United Arab Emirates (UAE), has affirmed at an international conference on GCC oil.

Delivering the keynote speech at the 21st Annual Energy Conference of the Emirates Center for Strategic Studies and Research (ECSSR) titled "GCC Oil in World Energy Markets: Continuity and Change", Al Neyadi said fossil fuel and oil will remain the key sources for energy, according to UAE News Agency (WAM).

''The UAE is seeking to build solid relations with both, oil producers and consumers, to ensure stability in the world oil market,'' he said, and noted that liberation of energy sources has sharpened the UAE's competitiveness globally.

It was a step that would contribute to preserving resources and reducing carbon dioxide emissions by the transport sector, he added.

The opening session was attended by H.H. Sheikh Hamed bin Zayed Al Nahyan, Chief of the Abu Dhabi Crown Prince's Court, Sheikh Dr. Khaled bin Sultan bin Zayed Al Nahyan, Sheikh Faisal bin Sadr Al Qasimi, Chairman of Gulf Pharmaceutical Industries (Sulphur), Dr. Jamal Sanad Al Suwaidi, Director General, Emirates Center for Strategic Studies and Research (ECSSR), and a crowd of diplomats, and local and international energy and oil leaders, experts and researchers.

In his welcoming remarks, Dr. Al Suwaidi said this year’s conference will examine several pertinent topics, including the reality and future of oil in the GCC countries; the impact of global economic change upon the oil industry; key technological developments; and the impact of geostrategic factors on GCC oil.

The ECSSR, he stated, has since its inception in March 1994, notably endeavoured to organise numerous conferences, events and various activities that aim to shed light on a number of important domestic, regional and international issues that are directly relevant to the United Arab Emirates.

The conference will comprise distinct panels over the course of two days. The first panel, "GCC Oil in World Energy Markets: Present and Future," examined key energy market trends from a regional perspective. A number of relevant topics were covered during the opening panel, such as, the global demand for GCC oil, the production and export capabilities of the GCC countries, as well as current oil prices.

The second panel, "Global Economic Change and GCC Oil," evaluated the impact of the return of traditional oil powers to the world energy market, in addition to discussing the effect that American and Russian oil policies are having on the Gulf oil industry, the key mechanisms of the global oil market and the role of GCC oil.

The second day of the 21st Annual Energy Conference (Wednesday, November 25) will begin with the convening of the third panel, "Technological Development and the Future of GCC Oil," which will analyse recent technological developments in the field of clean and renewable energy technology, the exploitation of unconventional sources of oil and future energy consumption.

The final panel, "The Impact of Geostrategic Factors on GCC Oil," will focus on oil transportation routes and the nature and extent to which these routes are under threat. The level of global energy competition and its effect on GCC oil will also be assessed, in addition to the repercussions of disputes between oil producers concerning rates of production and oil prices, WAM reported.