BAKU (Commodity Online) : Fossil fuels continued to play a big role in world's energy demand, according to participants at the 17th International Caspian Oil and Gas Conference.
'The age of oil and gas is not dead', says an United Arab Emirates (UAE) cabinet minister, citing the Oil and Petroleum Exporting Countries (OPEC) prediction for growing energy demand.
'In the world of energy, there is one certainty, namely that the age of oil and gas
is not dead! Indeed, it has a long life ahead of it,' Energy Minister Mohammed bin Dhaen Al Hameli said.
.'OPEC's Reference Case Scenario sees total energy demand growing by 42 percent between 2007 and 2030. On the back of this, demand for oil will continue growing strongly; rising from the 2009 level of 84.3 million barrels per day to 106 million barrels per day in 2030,' he said.
Al Hameli said that recent weeks saw renewed volatility in international oil markets with prices peaking to about $87 and then falling below $70.
'For producers and consumers alike, maintaining stability is critical so that we can plan the long term investments that are required to develop existing and new hydrocarbon resources.'
In addition to conventional oil, there is also a vast resource base of non-conventional oil - such as tar sands, oil shales, gas-to-liquids, coal-to-liquids and bio fuels. Major investments are needed to turn these reserves into a steady and sustainable supply of hydrocarbons.
These investments can be realised only if price levels sufficient to produce from these sources commercially are maintained, he said.