Outlook 2024: Oil pricing in a post-peak-demand world
The carbon intensity of oil may bring a change to pricing long-term
The latest views from the IEA indicate that coal, oil and natural gas demand will peak by 2030, just a handful of years away. Regardless of the date, it is useful to understand how the oil market may change as demand begins to decline. Should demand fall near the natural rate of production decline, as the IEA points out is necessary for the world to reach net zero by 2050, we will see a disruption in the long-term price-setting mechanism for oil. This shift could be as seminal as the switch from posted prices to market prices in the 1970s or the financialisation of oil. The long-term price will fall sharply, placing intense pressure on oil-producing firms seeking to compete to retain a marke
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6 March 2026
The March 2026 issue of Petroleum Economist is out now!
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After Europe’s rapid buildout of floating LNG import capacity, Exmar CEO Carl-Antoine Saverys says future growth in floating gas infrastructure will increasingly be driven by developing markets as lower prices, rising energy demand and the need to replace coal unlock new opportunities for unconventional and tailor-made solutions
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Gas is a central pillar of Colombia’s energy system, but declining production poses a significant challenge, and LNG will be increasingly needed as a stopgap. A recent major offshore gas discovery offers hope, but policy improvements are also required, Camilo Morales, secretary general of Naturgas, the Colombian gas association, tells Petroleum Economist
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