The Middle East Doubles Down on Oil and Gas As the UN Warns of “Climate Emergency”

by T. Doshi, Dec 31, 2020 in WUWT


At the virtual “Climate Ambition Summit” co-hosted by the UN and UK and attended by over 70 world leaders on December 12th, Secretary-General António Guterres issued a stark warning: the world is facing a catastrophe ahead as it is on track to warm by more than 30 C by the end of the century “unless all countries declare climate emergency”. He expressed disappointment at the summit that the G-20 countries are “spending 50% more in their stimulus and rescue packages on sectors linked to fossil fuel production and consumption than on low carbon energy…This is unacceptable”.

The Secretary-General asked earnestly “Can anybody still deny we are facing a dramatic emergency”? The question poses the vast gulf between the policy positions of key Western governments and the oil and gas producers in the Middle East. For the Middle East hydrocarbon producers hit by the ‘double whammy’ of sharply reduced oil and gas price – the mainstay of government revenues — and the impact of Covid-19 lockdowns on domestic economic activity, the strategy for national survival is clear and could not be more opposed to the UN Secretary-General’s: sharply increasing the pace of monetizing the oil and gas reserves that their countries are blessed with.

Middle East To Supply More Oil And Gas

Within two weeks of the UN summit, Saudi Arabia’s energy minister announced on December 27th  the discovery of four new oil and gas fields, including unconventional resources. The discoveries will boost the country’s plans to increase its maximum sustained crude production capacity from the current 12 million b/d to 13 million b/d as well as developing its gas resources to free up more oil for export instead of burning it for power generation.