Mohammad Sanusi Barkindo, OPEC Secretary-General, delivered the introductory remarks at the 7th IEA-IEF-OPEC Symposium on Energy Outlooks today in Riyadh, Saudi Arabia.

Barkindo first acknowledged his deep appreciation to Prince Abdulaziz bin Salman Al Saud for his ongoing support and leadership, not only within OPEC but also in connection with the important meetings of the International Energy Forum. This is Barkindo's first symposium since taking office as OPEC Secretary-General in August, 2016.

The Secretary-General said, "Saudi Arabia holds the Presidency of the OPEC Conference, and therefore we are fortunate to benefit from the leadership of Khalid Al-Falih, Minister of Energy, Industry and Mineral Resources, who will lead OPEC’s efforts in the crucial months ahead as we continue to promote stability in the global oil market.

"The market has continued to recover from the price crash that occurred in mid-2014, when we witnessed prices plummet by a stunning 80 percent. The effects of this dramatic event sent shock waves throughout the oil and gas industry, and indeed the global economy. Thousands upon thousands of jobs were lost, budgets were slashed, projects were cancelled or deferred, investments were frozen or discontinued, and some companies went into bankruptcy," said Barkindo.

"Global spending on exploration and production dropped by around 26 percent in 2015, and decreased by an additional 22 percent in 2016. Altogether, this amounts to more than US$300 billion in lost investment. Three years of continued contraction of investments in the oil industry is unprecedented. This is a worrisome scenario when you consider that a massive $10 trillion in oil-related investments is estimated to be required in the period to 2040 in order to meet future world energy demand," he added.

An intensive round of shuttle diplomacy came to a head in September 2016, when the Algiers Accord was adopted at the 170th Meeting of the OPEC Conference in the Algerian capital. The Algiers Accord addressed the urgent need to accelerate the drawdown of the stock overhang in order to expedite the market rebalancing process and reinstate the required investment levels in the industry.

Barkindo stressed that such efforts "should not merely be viewed through a short-term lens, but rather with a long-term perspective. The oil and gas industry depends on massive long-term investments in research, development and production to ensure its future."

The Secretary-General also highlighted research published in 2016, on the 10th anniversary edition of the World Oil Outlook, WOO. "2016 was a milestone year for the WOO, so to mark the occasion, we launched it for the first time ever in an OPEC Member Country, at the 2016 Abu Dhabi International Petroleum Exhibition and Conference, ADIPEC, in the UAE, as part of OPEC's quest to clearly identify market drivers, challenges and uncertainties, and to better understand the potential impact of policies, technology and environmental concerns," he said.

Mr. Barkindo emphasised the importance of ongoing dialogue and cooperation with various international stakeholders. He concluded by extending an invitation to key industry stakeholders in the United States, "to join us for a new era of collaboration and dialogue, so that we can work together towards our mutually beneficial goal of ensuring stability in the world energy markets, in the interest of producers, consumers and the global oil industry."