Barkindo: Calls for divestment in oil and gas industry irresponsible

Mohammed Barkindo, secretary-general of the Organisation of Petroleum Exporting Countries (OPEC), has described calls to withdraw investments from the oil and gas industry as “irresponsible” and unrealistic”.

In January, Barkindo had said divesting from the oil sector will not end global carbon emissions.

Barkindo spoke on Tuesday while delivering a keynote address on the topic, ‘Global oil market dynamics in a decarbonizing world’, at the 20th edition of the Nigeria Oil and Gas Conference and Exhibition.

On energy poverty, he underscored the need to ensure energy access for all around the world as part of a fair, inclusive and equitable energy transition.

Barkindo, who pointed out that all forms of energy will be required to meet current and future energy demands, said recent calls for oil and gas industry divestment are irresponsible and unrealistic.

He underlined the key role of innovation, technology and science in the energy industry, which has resulted in cutting-edge solutions such as carbon capture, utilization and storage (CCUS), and hydrogen.

“These will be viable options for reducing the global carbon footprint,” he added.

The OPEC secretary-general lauded Nigeria’s contributions to sustainable stability in the global oil market and its influential role in the OPEC and non-OPEC Declaration of Cooperation (DoC).

“OPEC is deeply indebted to HE Muhammadu Buhari, President of Nigeria, for the leading role he has played and continues to play in support of the Declaration of Cooperation process. This historic achievement has ushered in a new era in global energy cooperation,” Barkindo said.

“Over the last five decades, OPEC and Nigeria have sown the seeds of friendship to build a highly fruitful and mutually beneficial relationship, forging strong ties that will last forever.”

He noted that Nigeria would mark its 50 years of membership in OPEC on July 12.

To commemorate the milestone, the OPEC secretariat has produced a special issue of the OPEC Bulletin, which takes a retrospective look at Nigeria’s journey as an OPEC member from 1971 till date.

The secretariat has also produced a documentary film to mark the occasion, Barkindo added.

Last week, Vice President Yemi Osinbajo said Nigeria would move against plans to defund gas projects.