Speaking at the Canadian Global Energy Show this week, Al Ghais dismissed the idea that global oil demand is nearing a peak. He projected a 24% increase in cumulative demand by 2050, driven largely by global population growth and economic expansion.
“There is no peak in oil demand on the horizon,” Al Ghais declared, according to Reuters.
$17.4 Trillion Needed for Oil and Gas Investments
Al Ghais emphasized the urgent need for robust investment in new oil and gas projects. He pegged the required investment at $17.4 trillion over the next 25 years, warning that underinvestment could destabilize energy markets and disrupt economic growth.
The OPEC chief also criticized the growing influence of anti-oil lobbyists in developed economies. He argued that their push for an accelerated energy transition has discouraged funding for traditional energy sources.
By contrast, the estimated cost to achieve a net-zero global economy stands at $110 trillion between 2021 and 2050, a figure that has been revised upward multiple times in recent years.
OPEC, IEA at Odds Over Demand Forecasts
OPEC remains bullish on oil consumption, predicting a daily demand increase of 1.3 million barrels in both 2025 and 2026. That outlook stands in stark contrast with the International Energy Agency (IEA), which forecasts less than 1 million barrels per day in demand growth for 2025.
While the IEA acknowledges a strong first quarter, where demand rose by 990,000 barrels per day, it expects the rest of 2025 to slow significantly to just 650,000 barrels per day.
Non-OPEC Supply Faces Headwinds
OPEC has also sounded the alarm on declining investments among non-OPEC oil producers. In its May 2025 Oil Market Report, the group noted that falling oil prices and reduced upstream spending will likely slow production growth outside the OPEC+ alliance this year and next.
This trend, according to OPEC, could tighten supply and increase market volatility if demand continues on its upward trajectory.
