Tight global energy supplies will keep prices high in 2008 - EIA

Dubai: Tight global energy supplies are expected to keep energy prices high through 2008 that will throw up an entirely new set of challenges and constraints for the world's energy industry, according to the US Government's Energy Information Administration.

Oil prices, measured in West Texas crude oil, are expected to average $67 per barrel in 2007 and $71 in 2008, while natural gas prices are expected to average $7.30 per thousand cubic feet this year and just over $8 next year.

Rising oil prices impact upon the economies of the Middle East, especially the Gulf region, often by increasing revenue streams in the immediate term.

In contrast, exploration and development of new reserves by expert professionals can provide long-term and stable sources of prosperity.

In December, representatives from the world's energy industry will gather in Dubai for the International Petroleum Technology Conference (IPTC) 2007 to assess many of the market's constraints and suggest how some industry actors and organisations can best respond to them.

Strategies

The event will see major industry leaders debate strategies for challenging the constraints they face, from human resources and safety to the security of supply and sustainable development.

"The tight global energy market we have witnessed over the last 18 months has major implications for the industry.

Former issues of concern have now taken on an entirely new, heightened level of importance, and they urgently require high-level, international discussion and debate," said Mark Rubin, IPTC executive manager and SPE executive director.

The International Petroleum Technology Conference will take place from December 4-6 at Dubai International Convention and Exhibition Centre.