Abu Dhabi: Shut-in production, or lowering the production cap of oil, in the Middle East stands at over 3 million barrels of oil per day as a result of geopolitical instability, Badr Jafar, president of Crescent Petroleum and Grant Porter and chairman of Global Natural Resources at Barclays Capital, said in a statement on Wednesday.
Production has dropped “in Libya, Iran, Syria, Sudan and Nigeria”, Jafar said.
Jafar was speaking at the St. Petersburg International Economic Forum in Abu Dhabi, where government officials and energy CEOs discussed the changing global demand for energy and the technical innovation that could transform the global energy market and create opportunities for suppliers and customers.
“Both demand-side and supply-side factors could overhaul the market”, he said. “Energy demand is rising in China, Asia and the Middle East, but falling or flat in the traditionally major markets of the US and Europe.”
Innovation in the energy market presents many opportunities, and producers that incorporate new technology into their energy systems will benefit, according to Jafar.
“A country like the UAE, with large oil and gas resource bases and disproportionately smaller levels of production, has considerable potential to grow using these new techniques,” Jafar said.
