OPEC Boss: IEA Must Be Careful About Undermining Oil Investments

Haitham Al-Ghais, the secretary general of the oil cartel OPEC, warns the International Energy Agency (IEA): it should be “cautious about further undermining” investments in the oil industry.

The IEA previously proposed to achieve the climate goals by suspending investments in new oil projects.

But precisely stopping investment leads to fluctuations in the price of oil, according to Al-Ghais. “All evidence suggests that the need for this precious resource will increase to drive global economic growth and prosperity in the coming decades,” said OPEC’s senior official.

OPEC and its allies and OPEC+ announced in early April that it would cut production by more than 1 million barrels per day. The IEA previously criticized that decision, which could fuel inflation.

But Al-Ghais does not agree with that either. “The IEA is well aware that there is a confluence of factors that influence markets.” He mentions, for example, monetary policy, commodity trade and geopolitics as factors. “Just to name a few,” says Al-Ghais.

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