Saudi Arabia has adequate oil reserves to meet its energy requirements for 80 years, Asharq Al-Awsat daily reported, quoting a member of the International Association of Energy Economies (IAEE). It also quoted energy experts as saying that Saudi Arabia has developed new technologies to make use of its solid oil reserves worth more than 265 billion barrels.
Experts said the Kingdom reduced oil production during last months of 2012 due to a fall in demand in the global market, especially in China as a result of economic depression. However, Saudi Arabia is capable of increasing oil output to 12.5 million daily whenever required, the experts said. Abdul Wahab Al-Saadoun, secretary-general of Gulf Petrochemicals Association, said Saudi Arabia is capable of tapping most of its oil reserves thanks to modern technological advancement.
Fahd bin Juma, a member of the Shoura Council and member of IAEE, said Saudi Arabia plays a big role in international oil market stability. "Saudi Arabia has the capability to stabilize the market by increasing or reducing production whenever required," Juma said. He added: "Estimates show that Saudi Arabia will have enough oil for 170 years as long as it produces nine million barrels daily. Greater output will naturally reduce this period." Juma predicted oil price would stable at $ 110 for Brent, $ 108 for Arabian light crude and $ 95 for US crude this year.
"The price will ultimately depend on market fluctuations," he added. The report refutes a recent Citibank revelation that mushrooming energy use would make Saudi Arabia an oil importer within 20 years. "If nothing changes, Saudi may have no available oil for export by 2030," wrote Citi analyst Heidy Rehman in the Telegraph.