BP says world oil reserves edge 0.6% higher in 2005

BP says world oil reserves edge 0.6% higher in 2005

London (Platts)--14Jun2006

The world's remaining oil reserves rose by just 0.6% to 1.209-trillion
barrels at the end of 2005, enough to last another 40.6 years at current
consumption levels, down from 40.7 years at the end of 2004, BP said Wednesday
in its latest statistical review of world energy.
Global oil consumption last year averaged 82.5 million b/d, up 1.3% from
a year earlier, while output climbed 889,000 b/d, or 1% to 81.1 million b/d,
BP said.
"This was lower than expected for a number of reasons - many OPEC
producers had reached or were close to full capacity, security problems in
Iraq, hurricanes in the US, declines in both the UK and Norwegian North Sea, a
slowdown in Russian production, a number of accidents and disruptions to
production and rising cost inflation which reflected constraints in the
contracting and engineering sectors, leading to delays," BP said.
Despite, consumption rising faster than demand, BP said demand growth
fell by 1.8 million b/d to 1 million b/d due mainly to slowdowns in the US
and China and weakness in developing Asia Pacific, BP said.
"Capacity in most segments of the energy industry remains constrained and
perceptions of geopolitical risk have increased," BP's CEO John Browne said in
his forward to the review, adding that, despite recent oil prices, "there has
been no physical shortage of either oil or gas."
Saudi Arabia continued to be the world's largest producer and holder of
oil reserves, accounting for 22% of the world's total reserves.
The country's proved reserves at end-2005 were little changed from a year
earlier at 262.2 billion barrels, while it produced an average of 11.04
million b/d of crude and NGLs, BP said. The biggest increase in proved
reserves came from Iran and Russia, which saw a jump from 132.7 billion
barrels to 137.5 billion barrels and 72.4 billion barrels to 74.4 billion
barrels respectively.
In production, Russia was ranked second behind Saudi Arabia as it
increased output by 2.7% to 9.55 million b/d. Other notable increases were
seen from Angola (up 26.0% to 1.24 million b/d), Azerbaijan (up 43% to 452,000
b/d), Thailand (up 25.2% to 276,000 b/d).
The largest declines in production came from the UK (down 11% to 1.8
million b/d) and Syria (down 11.4% to 469,000 b/d).
US oil output fell 5.5% 6.83 million b/d. Growth in demand was dominated
by Singapore, where consumption rose by 11% to average 826,000 b/d, BP said.
Other sizeable rises in demand were seen from Kazakhstan (up 1.4% to 208,000
b/d), Azerbaijan (up 11.3% to 103,000 b/d), and Qatar (17.1% to 98,000 b/d).

For similar stories, request a free trial to Platts Oilgram News at
http://www.platts.com/Request%20More%20Information/

Please visit: www.platts.com

Their coverage of energy matters is extensive!!.