Exxon Mobil, the multinational oil and gas corporation, has presented its long-term outlook for the global energy market, projecting sustained demand for oil and gas despite the expected growth of renewables. According to the company’s recent forecast, oil and gas will continue to satisfy more than 50% of the world’s energy requirements.
Exxon Mobil’s projection is rooted in its belief that energy demand is closely tied to economic development. The company foresees that by 2050, an additional 1.5 billion individuals will ascend to the global middle class. This increase in middle-class population is anticipated to drive higher consumption of goods like automobiles, air conditioners, and refrigerators, leading to a corresponding surge in energy demand.
The company draws parallels from China’s experience, where per capita energy consumption increased substantially during its economic growth phase, suggesting that a similar trend could unfold in Africa over the coming decades. Exxon Mobil also predicts an 80% growth in global electricity consumption by 2050.
Challenging the prevailing notion that Electric Vehicles (EVs) could lead to a peak in oil demand, Exxon Mobil argues that even if all vehicles sold from 2035 onward are EVs, it would only reduce global oil demand to around 85 million barrels per day, a level comparable to that of 2010. Consequently, Exxon Mobil asserts that all forms of energy, including oil and gas, are indispensable to support future growth.
In summary, Exxon Mobil’s outlook for the period until 2050 indicates a continual increase in energy demand, with oil and gas retaining their vital roles in the global economy.