Speaking at the 3rd Saudi Arabia International Oil and Gas Exhibition, Jeroen van der Veer, former CEO of Royal Dutch Shell; Lord Digby Jones Kt, former UK minister of state for trade and investment; James B. Smith, US ambassador to Saudi Arabia; and Roddy Drummond, deputy head of mission at the British Embassy in Riyadh, said the region is viewed as key when considering solutions to global energy supply matters. This is simply because an estimated 65 to 70 percent of the world’s oil reserves are found in the Gulf states, they said

The opening session reviewed the exploration potential for oil and gas industry in the Middle East as well as global and regional trends. “The demand for oil is going to increase because of the massive expansion of the Chinese and Indian economies,” said Lord Digby. “India has just begun to industrialize and it will needs massive energy supplies. Where will this energy come from? This region, the Middle East.”

Van der Veer said during his time as CEO of Royal Dutch Shell, he experienced how challenging and interesting the oil and gas sector can be. “I continue to observe how the industry is evolving and changing as it adapts to global demands,” he said.

He was delighted with the massive response to SAOGE 2010. “With the majority of the world’s petroleum resources based in the Middle East, it makes immense sense for key events like this one to be hosted in Saudi Arabia … it is encouraging to see the industry support and grow these forums,” said van der Veer.

Some of the speakers also considered the regional and international outlook for 2010/2011. “Although global oil demand is expected to show growth after the decline in 2009 due to the financial crisis, the impact of a worldwide economic downturn has presented a more challenging business environment for the oil and gas sector,” the added.

Earlier, Eastern Province Undersecretary Zareeb bin Saeed Al-Qahtani opened the exhibition in the presence of a large number of local and foreign businesspeople and top oil and gas industry executives.

The exhibition plays host to several multinational companies such as Abdullah Fouad, Al-Tamimi Group, Sinopec, TAQA, GE Oil & Gas, Siemens and Qatar Petroleum.

Adel A. Aloumi, director general of Dhahran International Exhibitions Co. (DIEC), said: “This is the third time we’re organizing SAOGE with our partner International Exhibition Services (IES), and year on year we have increased both the quality and capacity of the event. This year we had to expand the exhibition space by 10 percent to accommodate demand in spite of dire predictions about the contraction of the oil sector.”

IES President Piero Zipoli said: “We pay special attention to SAOGE and have realized that there is a continuous demand from multinational companies to participate and be at the heart of the industry. SAOGE clearly offers them platforms for more insight on the possibilities for new investments, development and technology aimed to serve the petroleum industry worldwide.”

The exhibition runs for two more days. On Monday there will be a series of technical presentations. “The event is a great opportunity to network and to explore joint venture possibilities,” added US ambassador James Smith. “Even if you keep oil out, this is still the biggest economy in the region.”