Amin Nasser, chief executive of Saudi oil giant Aramco, expressed on Tuesday optimism regarding the oil market, stating that he anticipates an increase in demand of an additional 1.3 million barrels per day this year.
Nasser addressed inquiries regarding the implications of U.S. President Donald Trump’s energy policies, which may lead to a rise in U.S. hydrocarbon production. He indicated during a conversation with Reuters at the World Economic Forum in Davos, that oil demand in 2025 is projected to reach nearly 106 million barrels per day, building on an average of approximately 104.6 million barrels per day in 2024.
“We still think the market is healthy … last year we averaged around 104.6 million barrels (per day), this year, we’re expecting an additional demand of about 1.3 million barrels … so there is growth in the market,” Nasser remarked.
When questioned about the ramifications of U.S. sanctions on Russian crude tankers, he noted that the situation remains in its early stages.
“If you look at the impacted barrels, you’re talking about more than 2 million barrels,” he explained. “We will wait and see how that translates into tightness in the market; it is still in the early stage.”
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Market stability and production targets
Regarding whether China and India have requested greater oil supplies from Saudi Arabia due to the sanctions, Nasser clarified that Aramco operates within the production limits set by the Kingdom’s energy ministry. Currently, Saudi Arabia is producing at approximately three-quarters of its capacity, adhering to agreements with OPEC+ to maintain market stability.
“The Kingdom and the Ministry of Energy are always looking at balancing the market. They consider this when they set our production targets,” he stated.
In addition, Aramco is collaborating with MidOcean, an LNG company in which it holds a 51 percent stake, and is “looking at expanding our position globally in LNG,” though Nasser did not provide further specifics.
