Oil companies are seeking to boost their petrochemicals production to help them meet the looming U.S. energy crisis.
The industry’s top executives say they’re willing to buy petrogas at $US150 per million British thermal units (MMBtu), the current global benchmark, to boost the supply of biofuels.
The demand for petrofuels has been falling rapidly since the start of the U.K. oil price rout in 2015.
Now, there is no end in sight, with prices of some petroecosystems at record lows.
The World Health Organization (WHO) said in a report on Thursday that over a decade, the U and U.N. have cut global emissions of greenhouse gases from petroleum by half.
But it is unclear whether the current supply of oil is enough to meet the needs of the world’s growing population and growing economy.
The oil industry’s main concerns are not just how much the market can handle, but how to ramp up production and how to maintain supply at a price that meets consumer demands.
The U.B.K.’s Petrol Research Institute (PRI), a think-tank that advises the industry, estimates that over the next decade, petrofuel production will grow by nearly 30 percent to 1.3 million barrels per day (bpd), or 8.6 percent of global oil production.
But the world is unlikely to reach the 1.7 million bpd target anytime soon.
Oil companies and the government of Venezuela have been struggling to find a solution to meet growing demand for their products, and are increasingly relying on imports from China and Russia.
The Petrol Institute forecasts that in the next three to five years, the number of imports will grow from 8.2 million bpds to 15.6 million bpsd.
It predicts that by 2030, Venezuela’s oil imports will exceed those of Canada, Germany and the United States combined.
And in January, Petrobras said it was going to cut the price of oil in Venezuela from $US70 a barrel to $US53.
Petrol is the world supply of fuel and the most abundant fuel source, accounting for more than 70 percent of world production.
The International Energy Agency (IEA) expects demand to peak in 2030, but that demand will gradually decline over the decade, to a level not exceeding 100 million bph in 2030.