Exxon Mobil (NYSE: XOM) predicts global energy demand will increase 30 percent between 2010 and 2040. A steady rise in demand over the next 30 years calls for obligatory increases in investment spending.
Short-term, Exxon expects to shell out close to $185 billion over the next five years to develop new energy supplies to meet growing demand.
The global oil and gas company is among those that assert natural gas is the energy source of tomorrow. Oil and natural gas are predicted to meet 60 percent of global energy needs over the next three decades.
“An unprecedented level of investment will be needed to develop new energy technologies to expand supply of traditional fuels and advance new energy sources,” Exxon Chairman and CEO Rex Tillerson said today in a presentation at the New York Stock Exchange.
At Exxon Mobil’s 10th annual analyst presentation at the NYSE, the company revealed its future development plans for 2012 through 2014.
The estimated $37 billion per year in annual spending will in part fund a total of 21 major oil and gas exploration projects around the globe including West Africa, Kazakhstan, and Canada, set to boost production by over 1 million barrels of oil equivalent per day.
But prior to commencing production operations, the industry needs to cultivate “an unprecedented level” of capital investments to fund these development projects in order to meet the anticipated 30 percent growth in global energy demand over the next three decades.
That’s all for now,