UAE to increase oil production capacity
13 Jan 2015
(MENAFN) The UAE’s Ministry of Energy said the government is dedicated to its plan of increasing gas production and will produce 3.5 million barrels per day of oil by 2017, Gulf News reported.
‘In a time of unstable oil prices, we remain dedicated to reaching our long-term production goals and our investments will remain there. We will use this production output that we are building to continue our journey in stabilizing the market. However, we are also pursuing the strategy of increasing the availability of natural gas within the UAE,’ the country’s Minister of Energy said.
These comments come after the country’s new USD10 billion worth Shah Gas project, which was developed by Abu Dhabi Gas Development Company Ltd (Al Hosn Gas) in cooperation with US-based energy company Occidental Petroleum, began operations this week, with expectations that it will reach full capacity by year end
The Ministry added that its decision to increase its capacity is due to the increasing in demand of natural gas and increase in gas prices, as well as its previous decision in diversifying its sources of power generation to nuclear and renewable energy to reduce the future import of gas volumes.