18 Congress at a Critical Time for Petroleum

Dr. E.M.Q. Røren

WPC President

Oslo SPE 6th Sept.2005

What is the World Petroleum Council (WPC)?

• International organisation

• Secretariat in London

• Established in 1933 - 72 years young

• 62 national member countries

• OPEC and Non-OPEC members

• Congress is held every three years – 4-5000 delegates and up to 90 countries involved

• Regional meetings /work shops in between

WPC Member CountriesWPC Member Countries Algeria

Angola

Argentina

Australia

Austria

Belgium

Bolivia

Brazil

Canada

China

Colombia

Croatia

Cuba

Czech Republic

Denmark

Egypt

Finland

France

Gabon

Germany

Hungary

India

Indonesia

Iran

Israel

Kazakhstan

Korea

Kuwait

Libya

Lithuania

Mexico

Mozambique

Netherlands

Nigeria

Norway

Pakistan

Papua New Guinea

Peru

Philippines

Poland

Qatar

Romania

Russia

Saudi Arabia

Serbia

Slovenia

South Africa

Spain

Sweden

Turkey

UK

Ukraine

Uruguay

USA

Uzbekistan

Venezuela

Vietnam

• Representing• World Oil Production >90%• World Oil Consumption >90%• World Gas Production >90%• World Gas Consumption >90%

WPC Membership

Purpose of WPC:

To promote the management of the world’s petroleum resources for the benefit of mankind.

It aims to encourage the application of scientific and technological advances and the study of economic, financial, managerial, environmental and social issues relating to the petroleum industry .

History of WPC Congresses

2005 - 2005 - JohannesburgJohannesburg2002 – Rio2002 – Rio 2000 – Calgary 2000 – Calgary 1997 – Beijing1997 – Beijing1994 – Stavanger 1994 – Stavanger 1991 – Buenos Aires 1991 – Buenos Aires 1987 – Houston 1987 – Houston 1983 – London 1983 – London 1979 – Bucharest1979 – Bucharest

1975 – Tokyo1975 – Tokyo1971 – Moscow 1971 – Moscow 1967 – Mexico 1967 – Mexico 1963 – Frankfurt 1963 – Frankfurt 1959 – New York1959 – New York1955 – Rome1955 – Rome1951 – The Hague 1951 – The Hague 1937 – Paris 1937 – Paris 1933 – London1933 – London

Congress Theme

Shaping the Energy Future:Partners in Sustainable Solutions

This theme reflects the continuing efforts of the petroleum industry to meet consumers growing demand for cleaner, reliable and efficient energy supply. It also recognizes that in addressing the challenges of the future, the petroleum industry must continue to take action in partnership with its key stakeholders as they jointly seek solutions that are consistent with the principles of sustainability: affordable,

environmentally sound and socially acceptable.

•International Petroleum Industry Environmental Conservation Association (IPIECA)

•United Nations – UNEP, UNFCC,UNECE

• World Energy Council (WEC)

• International Union of producers and distributors of electrical energy (UNIPEDE)

• The Uranium Institute (UI)

• World Coal Institute (WCI)

• Forum and International Chamber of Commerce (ICC)

• International Gas Union (IGU)

• International Association of Energy Economists (IAEE)

•Organisation for Petroleum Exporting Countries (OPEC)

•International Energy Agency (IEA)

•Oil and Gas Producers Association (OGP)

Liaison with other organisationsLiaison with other organisations

18th Structure• Block 1: Upstream• Block 2: Downstream and Petrochemicals• Block 3:Natural Gas and Renewables• Block 4: Managing the Industry• Africa Session• Special Roundtable Sessions• Country Presentations• Lunches

Blocks• Plenary addresses

• CEO-level Roundtables

• Review and Forecast Papers(RFP)

• Forums (F)

• Poster Sessions

Africa Session• Key topics relevant to the industry in the

African continent

• E&P

• Infrastructure and refining

• Resources and reserves

• Corporate Governance

Special Roundtable Sessions• Recruiting and retaining young people• Global impact of intl. E&P standards• Revenue transparency initiatives• Climate change initiatives• Distribution and transporation of gas• Role of service providers• Reserves and Resources

(SPE/WPC/AAPG/UNFC)

Luncheons• WPC Excellence Awards 26th (tech.&soc.)

• Social Responsibility 27th

• OPEC/IEA 28th

• Africa 29th.

Totals• About 320 papers• About 500 speakers and panel members• Key people from the industry and orgs.• Dewhurst lecture: Lord John Browne• Two plenaries from Norway:

Eivind Reiten and Øystein Dahle• One RFP Norway: Prof. Anders Holmen• One RTB Norway: Sigurd Heiberg, Stl

Social• Opening : President Mbeki.25th Sept.

• Africa Night 27th

• Closing 29th.

• Tours.

History

1850 1900 1950 2003

Nuclear

Oil

Trad. renewables

Coal

Gas

Hydro

12

0

Gto

e

Reserves

Future

• Increased Exploitation of oil and gas

• New applications of oil and gas

• Carbon dioxide Sequestration

• No Footprint – improving environ. quality

• Be Good global citizens

EconomicEconomic SocialSocial EnvironmentalEnvironmental

• Gradual transition to other

energy sources

Carbon Hydro- Carbon

Hydrogen

CO2-Emissions

•Supply and demand – social scientists/economists/environmentalists

•Laws of thermodynamics - scientists

•Life Cycle Analysis

The Petroleum Industry (as part of WPC) is:

• Developing solutions and responses

that are socially, economically and environmentally acceptable, by:

• Developing partnerships with UN bodies, global organisations (OPEC,IEA)and other industry associations (IGU,SPE,WEC,IPIECA)

• Searching for cost effective solutions based on sound science and technology, and

• Conducting consultations with key stakeholders

Social Concerns. Sustainability.

“Meeting the needs of the present generation without compromising the ability of future generations to meet their

own needs.” Gro Harlem Brundtland

Business concerns. A sustainable company is one that will last;

that has embraced sustainable development

Sustainable business: one that enhances long-term shareholder value by addressing the needs of all relevant stakeholders and adding economic, environmental and social value through its core business functions.

Conclusions

• The cold war is history, but the world is uneasy

• For business, there are financial, environmental and social pressures

• Limits on what the industry can do, or ought to do

• Petroleum is very central to cover energy needs

• Science and technology has been, and will remain essential to future progress

• The future is more oil and gas, but with cleaner production, processes, products and usage.

• The future is also more energy efficiency

www.world-petroleum.orgwww.world-petroleum.org