Demand for oil worldwide remains resilient and there are visible signs of optimism, but producers need to focus on costs, Dr. Sultan Ahmed Al Jaber, UAE Minister of Industry and Advanced Technology and Group CEO of the Abu Dhabi National Oil Company (ADNOC), said at an economy forum.
“If we take oil demand as a proxy for economic activity, for example, even at the height of the lockdowns of March and April, the world still consumed 75 million barrels of oil per day, and demand only dropped below 90 million for 12 weeks,” Al Jaber said during a panel session at the Bloomberg New Economy Forum.
“If you look at the different regions, Europe for example, their growth is slowing down due to new COVID restrictions. Having said that, the U.S. recovery is extraordinarily robust, despite the pandemic. And if we look at Asia, the market is recovering very well,” he added.
“So, yes, we need to remain cautious, but there is very good reason for us to be optimistic, and I truly believe that we will get through this much stronger and also in a much healthier manner. What I think we need to do is to remain resilient and to stay focused on what we can control,” Al Jaber said.
He went on to explain how the UAE continues to attract partners and investors despite the tough economic situation.
“Basically, what we leverage in the UAE is simply our natural assets like for example our abundant feedstock of oil and gas, the world-class infrastructure, the very sophisticated logistics, the strategic geographic location, the well-established regulatory framework and the financial security of our economy. All of these acts as a unique and attractive value proposition that helps attract world-class, strategic long-term investors to the UAE.
(Writing by Seban Scaria; editing by Daniel Luiz)
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