Iran, Venezuela’s oil prices could push up
Power Transfer to Capital Search, Filtering Investments
BPCL to promote renewable energy business
The future of crude oil remains bright until 2030, when Devi Mamadou, CEO, International Trade, Barat Petroleum Corporation is a limited liability company or BPCL.
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“The Covide-19 epidemic has brought this high demand for five years or more. The way we go [ahead] To the energy transition stage, it can move forward [further] In a few years or more, ”Mamadou spoke during the panel discussion at the 37th Asia Pacific Petroleum Conference or APPEC 2021 on September 27-29 at C and P Global Platforms.
He said the world is in a bad climate due to the overuse of fossil fuels, which has led the industry to shift its focus to high-tech and capital investments such as wind, solar and even green hydrogen. .
He said that despite the rapid pace of development in developed countries, developing and underdeveloped countries may find it difficult to drive this decommissioning process for technological reasons.
“So the oil stays with us,” he said.
Meanwhile, despite the obstacles posed by the COVID-19 outbreak, demand has begun to recede around the world. It is expected to increase US production as the raw material is over $ 65 / US.
“There is some pressure on OPEC + countries that are oppressing production and trying to maintain prices,” he said. He also said that Iran and Venezuela’s oil are also likely to be operational.
OPEC and its partners agreed on September 1 to increase their total crude production by 400,000 b / d, in line with the initial agreement reached in July to increase the same amount every month from the end of August to 2022.
According to APPEC’s first day of eight major Asian refineries and marketing companies, including APEEC, BPCL, SK Innovation, Chinaoil, Pertamina and PTT, OPEC + should increase its supply of at least 700,000-800,000 B / d as oil. Prices appear to be high and Asian consumers are feeling the effects of high prices.
Meanwhile, Platts analysts say the United States and Iran could reach an agreement in the first quarter of 2022 after lengthy nuclear talks and negotiations, with Iranian barrels likely to return to international markets in April 2022.
Overall, I feel that by 2022 oil prices could fall, perhaps around $ 65-70 / b [on average], ”Said Mamadou.
Click here for our full APPEC 2021 coverage
Investments in the industry come mostly from exploration and oil companies invest there to produce, he said. But oil will be around 2030 or so. So that means a lot of investment will not come in search.
In fact, no major investment will be made beyond 2025. After that, if demand rises, refineries will have a better chance of improving their refining operations and making “good money,” he said.
“As for BPCL, we do not want to invest in our factories in any of our big screening plans. However, we are investing in our filters. [to the extent that we] We have easy access to other products, such as petrochemicals, chemicals or other products, to help us make money in the refining sector. ”
BPCL continues to expand its reach as a renewable energy source to expand its business. BPCL also aims to boost the gas business to some extent. Mamopa is also looking at electric vehicles to cut off CO2 emissions.
A.D. In 2020-21 (April-March), BPCL filter production decreased by 17% to 26.6 million meters per year and sales by 10% per year to 38.74 million meters. 2020