Following four decades of war, sanctions, nationalization and unrest, oil and gas producers are gradually adjusting to rely less on the Middle East.
(John Kemp is a Reuters market analyst. The views expressed are his own)
LONDON, Aug 15 (Reuters) - Following four decades of war, sanctions, nationalisation and unrest, oil and gas producers are gradually adjusting to rely less on the Middle East.
The countries around the Persian Gulf and on the Arabian Peninsula still contain the greatest concentration of giant and super-giant fields anywhere in the world and have some of the most attractive oil and gas geology.
But the increasingly hostile political environment above ground has forced oil and gas companies to hunt for new reserves in other parts of the world where the geology is tougher but political conditions are much easier.
Diversification away from the Middle East is one of the main reasons why oil prices have remained virtually unchanged as unrest has spread across much of the region since 2011.
Output And Reserves
The region's importance has been declining in terms of both production and share of proved reserves in recent years
In 2013, the countries of the Gulf and the Arabian Peninsula, which the BP Statistical Review of World Energy terms "the Middle East", accounted for almost 33 percent of global oil production and 17 percent of gas output.
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