Analysts Debate: Can Saudi Arabia Continue to Meet Oil Demands?

One quarter of the world’s proven oil reserves are in one country — the Kingdom of Saudi Arabia. Most energy forecasts assume not only a continuation of Saudi production in the coming decades, but an increase to meet rising demand. But some analysts fear that the Saudis may be reaching the end of their ability to increase production, that is, their fields may soon go into decline.

Houston investment banker Matt Simmons says Saudi secrecy about oil field data makes the situation worse. He says, “We have to have the data, because we have to have some ability to gauge when the end is likely to come.”

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But in a recent visit to Houston’s Rice University, Abdullah Jum’ah, the president of Saudi Aramco, the state-owned oil company, dismissed the concerns expressed by Mr. Simmons and others.

Voice of America