Statoil CEO Calls OECD Conventional Oil Peak As Early As 2010 - "No Safe Haven" For Industry

CALGARY - Production of conventional oil in OECD countries will peak as soon as in 2010, increasing the world's dependence on the OPEC cartel and Russia, and continuing the rush to non-conventional deposits such as Alberta's oilsands, the chief executive of Norway's Statoil ASA predicted yesterday.

Helge Lund, in Calgary to talk about Statoil's oilsands strategy, said he expects to see continued international interest in Alberta's resources, regardless of its high development costs and human resources challenges.

"We see cost challenges all over the world -- in Norway, North Africa, West Africa, the Gulf of Mexico," the 44-year-old economist and former McKinsey & Co. consultant said during a wide-ranging discussion with reporters. "I don't think there is any safe haven in the global oil-and-gas industry." On the other hand, "the most important challenge for this industry is access to new projects."

Oslo-based Statoil, which is expected to complete a US$32-billion merger with Norsk Hydro on Oct. 1, is one of the world's top 12 oil companies, with operations in 35 countries. The merged companies, which were motivated to become a national champion able to grow internationally as their North Sea oilfields mature, will have production of 1.7 million barrels of oil equivalent daily. While other global companies are reluctant to offer predictions on when oil production might peak, Mr. Lund said Statoil's view is that it will come between 2010 and 2015 for the 30 countries in the Organization for Economic Co-operation and Development.

EDIT

http://www.canada.com/nationalpost/financialpost/story.html?id=9f2eb7c3-6665-4053-a65b-f49d8f2c15d5&k=25597

What would he know about oil supplies, anyway?

:sarcasm: