A Panorama of Current World Energy Trends

An analysis of the most recent figures show that current world energy trends are complex and continuously evolving.

In 2010 oil demand reached around 87.9 million barrels per day, which, thanks to the economic recovery, represents an increase of +3.4% on the previous year. The non-OCSE area was largely responsible for sustaining the global increase in consumption, the result of demographic growth, increase in per capita income and government subsidies on the price of petroleum products.
The United States remained the world's biggest consumer of oil, followed by China.
In 2010 demand in China reached an all time high at 9.4 million barrels per day, an increase of over 12% compared with 2009.
Oil reserves also confirmed the positive trend of the last decade (+1.9% m.a).
More than half of such reserves are located in the Middle East, in particular in the OPEC group of countries (72% of world oil reserves). There was also growth in oil reserves on the American continent, thanks to the contribution of unconventional resources.  There was a renewed increase in oil production around the world in 2010 (+2.3%), with the exception of Europe where a fall was recorded due to the decline of reservoirs (-8.1%).
The share of production of OPEC remained unchanged (stable at 40% since 1995). And it was precisely the countries of the cartel that made the biggest contribution to the growth in supply over the last year (+3% against +1.8% for non-OPEC countries).

Gas consumption in 2010 grew by 7.5 percentage points, as a result of increased consumption in both emerging countries (+9%) and industrialised countries (+5.8%).
Russia once again became the world's largest producer (with 624.61 billion cubic metres) after being overtaken last year by the United States. The US production nevertheless reached a new historic high (600.15 billion cubic metres), confirming an extraordinary growth trend (+194% in the period 2005-2010), above all thanks to shale gas (gas that accumulated in clay-based rock that is characterised by very low permeability). In this sector, Qatar was the country that recorded the highest rate of growth, with production rising by more than 150% between 2005 and 2010, thanks to the commercial opportunities provide by the LNG industry.

In terms of the qualitative evolution of crude production (i.e. API levels and sulphur content), 2010 saw the confirmation in first place for the production of "medium & sour" crude, followed by "light & sweet".

Meanwhile trends over the last five years in the refining industry, the intersection between supply and demand in the oil market, show how the increase in conversion capacity of over 16% - the result of the introduction of new complex refineries – has led to increased competition in a market in which the supply of medium-heavy crude has not kept pace with demand.
Moreover, the increased refining capacity in the period of economic downturn between 2008 and 2009, led to a fall in the use of refining capacity. On a global basis, the rate of use fell from 85% in 2005 to 80% in 2010, in particular in industrialised countries. However, in India new refineries are operating at a rate of almost 100% of capacity.

Figures are taken from the World Oil and Gas Review , Eni's annual statistical review.