World will struggle to meet oil demand

Output from the world’s oilfields is declining faster than
previously thought, the first authoritative public study of the biggest
fields shows.

Without extra investment to raise production, the
natural annual rate of output decline is 9.1 per cent, the
International Energy Agency says in its annual report, the World Energy
Outlook, a draft of which has been obtained by the Financial Times.

The findings suggest the world will struggle to produce enough oil to
make up for steep declines in existing fields, such as those in the
North Sea, Russia and Alaska, and meet long-term de­mand. The effort
will become even more acute as prices fall and investment decisions are
delayed.

This from the Financial Times Published: October 28 2008 23:32

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