The era of cheap energy is over as oil production is not rising fast enough to meet demand amid a lack of spending, BP Plc Chief Executive Officer Tony Hayward said, Bloomberg reports. The energy industry is facing the challenges of climate change and ways of increasing supplies, Hayward said at the Asia Oil and Gas Conference in Kuala Lumpur.
US ENERGY INFORMATION AGENCY PUTS UP OIL PRICES FORECAST ALMOST BY 11%
The Energy Information Agency (EIA) of the United States has put up the forecast of the American WTI oil prices by $12 a barrel up to $122 for 2008, as a result of the increase in the oil demand by 1mln barrels a day worldwide. The further high demand for energy and unstable supplies by some oil producing regions will further contribute to the price rise, EIA said to TrendCapital on 11 June. The worldwide demand for oil in 2008 will total 86.38mln barrel a day, and 87.7mln a barrel a day in 2009. According to EIA, in 2009, the average prices of WTI oil can increase by $4 a barrel up to $126 a barrel against $122 for barrel in 2008.
