Saudi Energy Minister: An oil supercycle likely due to lack of new investments

“A supercycle in oil prices could be seen on the back of the absence of new investments in exploration,” Saudi Arabia’s Energy Minister Prince Abdulaziz bin Salman said at the Robin Hood Investors Conference on Wednesday.

Key quotes

“I think it’s my job, and others’ jobs, to make sure this super-cycle doesn’t happen.”

“There is a risk of a supercycle due to “lack of investing.”

The Energy Minister remains worried that the reductions in the drilling budgets may have gone too far and lead to a tightening of crude supplies as demand rebounds.