CAIRO: In attempts to assume a leading role in the international petroleum domain and to foster global cooperation about common concerns, Egypt will host the EU-African-Middle East Regional Energy Conference in November.
Seventy-three countries including the Gulf Cooperation Council (GCC), as well as the World Bank, the European Investment Bank, the African Union and African Energy Ministers Forum, are expected to participate in the conference.
“Egypt is exerting efforts to bolster dialogue and continuous cooperation with the European Union, both on the bilateral and regional levels in Euro-Mediterranean and Euro-Mashreq meetings, due to the interest to secure energy supplies worldwide, Minister of Petroleum Sameh Fahmi announced during last week’s 145th Ministerial Conference of the Organization of Petroleum Exporting Countries (Opec) held in Vienna, Austria.
Fahmi attended the Opec meeting last week to represent Egypt, a non-Opec member occupying observer status.
In his speech, the Egyptian minister forecasted a continuous growth in demand for oil and gas as major resources to satisfy the increasing world energy demand in the future. This increasing demand comes with several challenges that affect the market – challenges which must be addressed in a timely manner, he said.
“The limited refining capacities worldwide, scarcity of qualified contractors for oil and gas projects, the inability to cope with growing requirements of oil and gas equipment for planned projects in a timely manner and with reasonable costs, over-priced offshore and onshore rig rates, and inaccuracy of supply and demand data are some of these challenges, the minister’s office told Daily News Egypt.
Fahmi also discussed energy security, which has been in the spotlight for the past few years. He also reviewed the factors affecting energy security, represented in the rate of oil and gas discoveries, development programs, production rates, transmission and required investments.
According to the minister’s office, international studies and forecasts indicate that the world’s energy resources are adequate to meet the projected growth in energy demand in the coming three decades. About $20 trillion worth of investments in the energy sector are needed over the coming 25 years, 50 percent of which are in developing countries.
“Funding these investments is the biggest challenge to ensure that the current production rate does not decline, Fahmi said.
Opec faced a tough challenge last week as oil prices surged to a record $80 per barrel. Following their meeting, the 12-member countries decided to pump an extra 500,000 barrels per day from the start of November, as a response to supply fears in consumer countries.
November’s energy conference in Egypt will discuss these global concerns, ways to combat them and further cooperation efforts, the minister’s office said.
