Session of Minister of Energy at the International Petroleum Technology Conference 2024

[M136-02] · سمو وزير الطاقة (HRH the Minister of Energy) · التوقيت 00:00:39 · Session of Minister of Energy at the International Petroleum Technology Conference 2024 · 2024-02-12 · مشاهدة عند هذا التوقيت

I had so many funny moments in my life life is not that bad!

[M136-04] · سمو وزير الطاقة (HRH the Minister of Energy) · التوقيت 00:00:42 · Session of Minister of Energy at the International Petroleum Technology Conference 2024 · 2024-02-12 · مشاهدة عند هذا التوقيت

No, what's more correct when you have a Saudi You would always have a buzz. we're becoming so hyped, so energetic. You know the real energy of this country is not what is laying down underground the true energy of this country is the people of this country there is no doubt in my mind, you know I was very moved with the last movie that we saw before the Royal Highness finished the inauguration of the event but I think with all what we have seen in the inauguration I think this last line of the last movie will always be with me and I would ask all of our friends, colleagues, female and male in the sector to uphold that last sentence. "we are the ones who are going to make it happen"!

[M136-06] · سمو وزير الطاقة (HRH the Minister of Energy) · التوقيت 00:03:39 · Session of Minister of Energy at the International Petroleum Technology Conference 2024 · 2024-02-12 · مشاهدة عند هذا التوقيت

Well, as you have alluded to last night It was just a an occasion to welcome our guests here. I was asked by Amin to to share with him the platform to to give again that welcome short, precise, short concise, whatever it is statement of welcoming but Amin triggered me because he talked about what's happening to demand what's happening to Aramco you know when you hear these things you really become mobilized Invigorated but simply said ,you know, we've been watching what is coming out from every Outlet there is and it seems to be that everybody took these things into completely different directions It's it's very simple. I think we have postponed this investment simply to what I have tried to demonstrate last night that we're transitioning and transitioning means that even our oil company which used to be an oil company became a hydrocarbon company now it's becoming an energy company.

[M136-07] · سمو وزير الطاقة (HRH the Minister of Energy) · التوقيت 00:05:10 · Session of Minister of Energy at the International Petroleum Technology Conference 2024 · 2024-02-12 · مشاهدة عند هذا التوقيت

it has lots of Investments to do. It has oil. It has gas. It has even geothermal very soon. It is going to go into oil chemicall; It is something that we really want to put lots of money on. We're going to chemicals. We of course are going to Renewables. We are going to be as we have been saying all along, that we are going to be the the country that produce every source of energy. Aramco will be involved in quite a few of these things including Downstream and what have you but also we are the one who created that word transitioning, and last night I did allude to the fact that ever since you were there in Abu Dhabi September 2019, we had a big space that was mainly dedicated to showcase how Saudi Arabia will be transitioning. I think even I have to give it to our leadership over the last nine years we've been transitioning to things that not even ourselves as saudis would have thought that we will be able to achieve those changes that have taking place in this country. As you have just mentioned, there are those who just came into Saudi Arabia couldn't believe that this is the difference between the imagined Saudi Arabia and what they are seeing today is happening in Saudi Arabia. So, you have a choice. The way we see it and by the way, and I'm not responding but actually I'm just giving you, you know it's a good opportunity who said that we make decisions and sit on? No, we go as a government as a Ministry that attends to the concession to the regulatory framework with regard to the hydrocarbon sector, we are in continuous mode of reviewing and reviewing and reviewing simply because we have to deal with the realities. One of the things that people need to understand is that in this world you cannot sit on these things. you will have to be continuously engaged, involved and assuring yourself that you're doing the right things and you do have within your capability and your system the flexibility to manage your way in and to reprioritize as you go along. The fact is that we have now around 33.2 million barrels of capacity. They will come a bit of 100,000 from the divided zone and what have you and the fact is we are transitioning which is a good thing. We're going to be saving approximately around 950 to a million barrel of consumed crude, diesel and fuel oil. In fact most of it was imported fuel oil simply because we're transitioning to renewable and gas. The fact is that we're getting so much gas out of Jafurah even actually we're going to get around 650,000 barrels of of of condensates NGLs and if you aggregate the net effect of these savings of even the million, if you assume that you will be consuming somewhere around 250 to 300,000 barrels over the next few years as an additional demand, you still have you still have the 700/ 750 and you still have the 650 of liquids that will come out actually out of gas. So, between the two numbers you're talking about 1.3 to 1.4 million. You still have 100 as I said in Khafji and you aggregate it with the 3.2, you're talking about I don't know 4.6/ 4.7. There is huge cushion for that but more important as you have just said, we have postponed which means unlike what you saw in some of these outlets, we never had a pipeline that was laid down there but then we abandon it. We postponed holistic two projects Safanyia and Manifa, period. That doesn't mean we're abandoning things that doesn't mean that we are not going to use the rigs that Aramco commission. It's not the haphazardness that people would like to attribute it to that it was a decision that was was made in haste. No. It's been reviewed; actually we had underwent the biggest review in our capacity which is something that was not announced in 21. We underwent 8 month of elaborate reviews and reviews and we kept it going in 22 in 23. Even these projects, they were supposed to handed out few months back but we kept working on them just to make sure that we're doing the right thing.

[M136-08] · سمو وزير الطاقة (HRH the Minister of Energy) · التوقيت 00:11:00 · Session of Minister of Energy at the International Petroleum Technology Conference 2024 · 2024-02-12 · مشاهدة عند هذا التوقيت

What we want to do also is to make sure that people understand that we also used to maintain what you have rightly said 1.5 to 2 million because energy security in the 70s in 80s and 90 was more dependent on oil. Now, look at what happened last year 22 I mean, it was gas that is the problem. The future problem on energy security it will not be oil, it would be renewables and the materials and the mines and the mining industry and who is going to be the source of these materials that will constitute the the very essence of the new energy of the world. Therefore, we are also and it's should be said that if emergency stocks were utilized for commercial services in 22 because they were not used for attending to shortages of supply, why should we be the last country to hold energy capacity or emergency capacities when it is not appreciated and when it is not recognized I think we owe it to the oil market, to the stability of the markets that we have to manage our capacity in a way that enable us to continue continue again our first and foremost endeavor of sustainable stability of the market; that's what we owe actually to ourselves to start with and to the rest of our colleagues in OPEC and OPEC plus and we really believe that we are doing an remarkable job attending to this task because not only we're helping ourselves but we are helping the industry be it in the US Patrick is here is enjoying what we are doing I hope so, but also we believe that we are helping the world economy because there is nothing as we have seen it happening in 22, there is nothing that can be ruinous to the world economy more than not stable energy market.

[M136-10] · سمو وزير الطاقة (HRH the Minister of Energy) · التوقيت 00:13:50 · Session of Minister of Energy at the International Petroleum Technology Conference 2024 · 2024-02-12 · مشاهدة عند هذا التوقيت

Well, I don't talk about prices but our task as Saudi Arabia with OPEC and OPEC plus countries collectively, we have to ensure that we have as I said our endeavor is sustainable stability of market. That works as actually what you have just said. It tells you a lot about how much time effort we've been placing to achieve that with the going concern but the going concern was even worse. Let's not forget in September 14th, 2019 this country went through a serious energy crisis that was mitigated in 2 days and a half that tells you a lot about the resilience, the capability, the competence and the commitment but again I ask you, Was it recognized? And that's why the big question pops up seriously if energy security will start from now has been now and will be in the future it will be broader in a bigger context, Why should we be the guardian of something that we hold a bit of it? but certainly the quest is way much bigger than us and that's why I've been lately saying energy security is not just a responsibility of Saudi Arabia, it's the responsibility of all energy producers and energy consumers.

[M136-12] · سمو وزير الطاقة (HRH the Minister of Energy) · التوقيت 00:16:08 · Session of Minister of Energy at the International Petroleum Technology Conference 2024 · 2024-02-12 · مشاهدة عند هذا التوقيت

Not only myself but the job of all of us in this sector is not to be comfortable. Our job is to be attentative.

[M136-13] · سمو وزير الطاقة (HRH the Minister of Energy) · التوقيت 00:16:18 · Session of Minister of Energy at the International Petroleum Technology Conference 2024 · 2024-02-12 · مشاهدة عند هذا التوقيت

Now, I am not, you know, a fortune teller. I keep telling people although I will give it to OPEC by record, if you compare what they have been doing as secretariat over the last three years and compare it with others which we did and I would be more than happy to share it with anybody, just look at how consistently OPEC secretariat has been on the spot and how much others keep backpedaling which is they issue numbers at the early part of the year which are uh low and disgustingly, you know, pessimistic and then, they you know in a shying way they come back and you know, they keep chasing the can by saying oh we've got it wrong and then at the end after the fact they say sorry, we've got it wrong. Now, we are going to be reassessing and then the real and true number is way much bigger. Consistently, they have been doing that and I would ask you John and those who are interested check the record, especially the revisions that they do after the year after the fact but by that time the market would have been impacted with this negativity and then when they do the backpedaling, it would have been an exposed fact to think; and they get away with it. Because nobody again is going to look at what they have done in the beginning of the year and how they fared at the end or the beginning of the first quarter of the year after.

[M136-15] · سمو وزير الطاقة (HRH the Minister of Energy) · التوقيت 00:18:17 · Session of Minister of Energy at the International Petroleum Technology Conference 2024 · 2024-02-12 · مشاهدة عند هذا التوقيت

We at the Ministry, we look at all the numbers. We put the contours of what is possible and that's why we've been consistently attending to this market by having regularly, you know, every two months gmmc meeting. That's why we are we have kept saying to everybody in the market knows it that we're ready to meet at any time and we're ready to tweak be it upward, downward, whatever the market necessity dictates we will be attending to it.

[M136-17] · سمو وزير الطاقة (HRH the Minister of Energy) · التوقيت 00:19:29 · Session of Minister of Energy at the International Petroleum Technology Conference 2024 · 2024-02-12 · مشاهدة عند هذا التوقيت

Well, I think we owe to ourselves to say we are the one who changed the vocabulary so ever since Cop 29 nobody's going to talk about phasing out and phasing down. Everybody's talking about our word which is transitioning. That's one, the other thing with regard to I still call it the "A la carte menu" that we have agreed in Cop 29. It talks about quite a few choices. One of them is achieving three times the current renewable energy. Now, the the jury is still out, is it global, if it is global who's going to spend to make sure that happen? If it is individual choice which is what we have agreed in Cop 29 because it said explicitly in Article 28, it says "nationally determined in accordance to national circumstances in accordance to Paris agreement". The way we see the threefold thing is a joke for us.

[M136-18] · سمو وزير الطاقة (HRH the Minister of Energy) · التوقيت 00:20:41 · Session of Minister of Energy at the International Petroleum Technology Conference 2024 · 2024-02-12 · مشاهدة عند هذا التوقيت

It's a doodle in using the cockney English. It is truly a doodle, which is by way we are going to do at 25 times at least 25 times what we are doing today. So for us it's a cup of tea. we're going this year, we are tendering 20Giga to put it in perspective. 20 Giga is almost as similar what Germany is doing this year. We're going to carry on doing that for the next few years, Our hope is our economic growth continues and continues fast and furious. If we do so, we can go up to 130, 140, 150 Giga. We have the place. We have the Sun. We have the wind. We have the national champions.Aramco is working hard and laborious in terms of bringing more gas. We need that gas. We need that renewable. We will have the electricity to energize our economy; not only that we're venturing and we're reaching out to everybody by saying we want to supply you with green electricity with green hydrogen with clean hydrogen; so not only we're going to be the producer of all energies but we want to become also exporter of every energy if there is any willing party to come. This is the kind of transition in my judgment responsible transition that we're doing. We are also hosting this event which is talking about technology. I joined this sector from Academia June 87 and two days ago last night or the night before I was just checking, how much technology evolved from June 87 till today. What if these technologies did not come our way? And if people did not spend the money to get it done, where would we be today when it comes to energy security or availability even of energy? The fact is that technology comes our way and people spend money on attending through developing technologies on addressing questions and queries and the process of maintaining innovation creation and technology evolution will happen now, even as we are being given many different sources of technologies that are enhancing our computing capabilities, you know, science technology they evolve they are usually created for different purposes but then they convolute into uses that nobody would have thought that they would be used for. Unless if we want to forfeit what the world underwent in terms of technology evolution to the extent that we would lose faith that that we we all in the next 30 Years will lose the chance to create the technologies that will be addressing all the questions and problems that we have but I fail to see especially in the energy sector, How much money is being spent to become more efficient producer? How much money is being sent spent to create solutions to a bottleneck here or a a bottleneck there? The bigger question, why people had lost faith in their ability to be creative and to still continuously attending to this issue which is the quest of debottelenecking the issues that are pertinent to this issue of our dilemma. Be aware of the fact that we're not sitting in our hands as policy, as regulators, or as company. We have our national champions. We're excelling on carbon sequestration for example at all type of carbon sequestration. We're doing all of the above in renewables. We will be doing all of the above in batteries. We will be doing all of the above and everything. I ask everybody what is it about being so pessimistic that we can all transition to an energy system which is one word also we added in that Cop "Energy System" that can give us the best of all words, sustainable energy, sustainable economies and affordable energy. It's not easy but again I will go back to that line in that movie "we are the ones who are going to make it happen" and demonstrate it for people that we will do make it happen.