Middle East oil production accounted for 40 percent of global oil production, exports accounted for 50 percent of the world. 60 percent of Asia's daily oil imports from the Middle East.
Simon expected future oil prices may continue to rise. For oil-producing countries in the Middle East, a barrel of oil extraction and transportation costs only $ 10, regardless of oil prices at $ 90 a barrel or rise to $ 100, $ 115, during which the profits are sufficient to stimulate local economic development. Oil prices in the above range is the world's economic development acceptable level.
Simon Williams, chief economist of HSBC Middle East and North Africa regionWorld Steel Pipe , said in an interview on the 24th, the economic development in Asia has brought huge energy demand growth momentum in the next 50 years, demand in Asia will support energy prices.
Simon believes that the future role of the center of Middle East oil will become increasingly strong. He expects that with the growth in oil revenues to promote domestic public expenditure growth, the economies of scale of the Middle East region is expected this year to reach $ 2.7 trillion, the size is 4.5 times a decade ago.
Simon pointed out that, despite concerns about the political situation in the Middle East prompted the rise in oil prices, market supply and demand side is still more important factor. Very slow growth in Western economies, but emerging market countries, economic growth is still faster, the demand for oil is still rising, for many years to maintain this momentum World Steel Pipe News .