Energy Giant Shell Says Oil Demand Could Peak in Just Five Years
- Shell focusing on long term with renewables and gas, CFO says
- Demand to top out in 5-15 years, before supply peaks
What's Driving the Drop in Oil Prices?
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Royal Dutch Shell Plc, the world’s second-biggest energy company by market value, thinks demand for oil could peak in as little as five years, a rare statement in an industry that commonly forecasts decades of growth.
“We’ve long been of the opinion that demand will peak before supply,” Chief Financial Officer Simon Henry said on a conference call on Tuesday. “And that peak may be somewhere between 5 and 15 years hence, and it will be driven by efficiency and substitution, more than offsetting the new demand for transport.”