The chief economist of the International Energy Agency, Fatih Birol, is confident that the global energy market undergoes a transition that will make the United States and Brazil emerge as major powers. With the U.S. poised to become an exporter of energy surplus and Brazil increasing production on the oil fields in deep waters, Fatih, the person responsible for the “World Energy Outlook “, an annual publication which is considered the main source of policy analysis of the sector and whose edition of 2013, which gave prominence to Brazil, was released in early December – talked about the changes in the competitive landscape of the area to an audience of businessmen and journalists at the Council on Foreign Relations in New York. Despite these new features, says Birol, the low cost oil from the Middle East will continue to have a central role in the near future.
Birol draws attention to the Middle East, which influences the global oil market as a producer, but as a consumer is already causing effects too. The demand in the Middle East is going to increase soon.
Fatih Birol points that they put a huge weight on Petrobras back
According to the “World Energy Outlook”, in 2035 oil production in Brazil will triple, reaching six million barrels per day. Despite the estimate, the chief economist of the International Energy Agency, criticized the Brazilian government:
– Our numbers are lower than the government’s because investors will have to align to government regulations. I think they put a huge weight on the back of Petrobras. Brazil will have to invest about U$$ 1.6 trillion in 20 years. To compare, the Middle East needs $ 1.1 trillion.
To me that seems like an impossible task for Petrobras given its current situation.