Investments required in the oil sector by 2040 are expected to total USD 10.6 trillion, according to a new report by OPEC. In the latest edition of its annual publication, the 2025 World Oil Outlook (WOO), OPEC Secretary General Haitham Al-Ghais noted that the sector would need around USD 18.2 trillion in investments through to 2050 to maintain market stability and satisfy the energy needs of both developing and advanced economies, as reported by the Kuwait News Agency.
He underscored the need to reduce emissions and intensify efforts toward adopting low-carbon solutions. Al-Ghais highlighted the growing focus on carbon capture and storage technologies within the framework of a circular economy strategy. He stressed that achieving both energy security and climate goals requires balanced policies that incorporate diverse energy sources and technologies, underpinned by transparency and collaboration. He also urged a realistic acknowledgement of the existing conditions in the energy landscape.
Al-Ghais said the report would act as a valuable reference for policymakers and industry professionals as they navigate future challenges and aim to sustain global economic momentum. Offering projections up to 2040, the report anticipates rising oil demand predominantly from non-OECD countries, particularly in Asia, with China likely at the forefront. The global daily oil demand is forecast to rise by an average of 21.4 million barrels by 2040. The petrochemical and aviation sectors are expected to be the main drivers of this growth, while consumption in industrialised nations is projected to remain stable or decline.
The WOO further analyses various climate, geopolitical, and technological developments. It notes an increase in oil output from non-OPEC producers, especially from U.S. shale operations, which are anticipated to peak mid-decade before entering a decline—thereby enabling conventional producers to regain market prominence. Despite a rapid global shift towards renewables, oil is expected to continue playing a significant role in the world’s energy mix.
