PetroChina: Last Year's Energy Transition Accelerated in The Game, The Proportion Of Fossil Energy Consumption Fell Below 80% For The First Time

PetroChina Economic and Technical Research Institute (hereinafter referred to as PetroChina Economic and Technical Research Institute) released in Beijing on February 28, 2023 Oil and Gas Industry Development Report predicts that China's economy continues to rebound to support the growth of oil demand, domestic oil demand in 2024 will rise steadily, and the demand for refined oil products may be raised to 2025 before the point of the peak.

In 2023, the global oil and gas market and the oil and gas industry will gradually recover amidst adjustment and reshaping, presenting the characteristics of overall price decline, basic balance of supply and demand, and steady advancement of transformation. Zhang Hualin, assistant general manager and director of the Policy Research Office of China National Petroleum Corporation, said at the conference that last year, the global economic growth momentum is insufficient, vulnerability highlights, the mismatch between supply and demand in the international energy market, market volatility intensifies, countries around the world continue to face the problem of imbalance between energy supply and demand, to ensure energy security and enhance the resilience of the energy system has become a priority issue for energy development in all countries.

The industry report analyzed that in 2023, the global energy development is in the international pattern of turbulence and change, the frequency of extreme climate disasters, low-carbon transformation of the energy industry and the outbreak of a new round of technological revolution, "four-phase superposition" of the complex environment. The overall decline in global energy prices, oil prices fell nearly 20%, natural gas and coal prices fell more than 50%, lithium carbonate, photovoltaic module prices fell more than 50%, the global economy to maintain growth, especially in controlling inflation has played an important role.

At the same time, the trade pattern is deeply adjusted, two parallel markets are emerging, camping and fragmentation are intensifying, and global energy governance has entered a big change. Energy transformation is accelerating in the game, and the proportion of fossil energy consumption has fallen below 80% for the first time. International big oil companies are re-enforcing their upstream business, oil and gas assets mergers and acquisitions continue to heat up, and peer-to-peer and cross-border mergers and acquisitions may become a new trend.
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