Saudi Oil Industry Security Market – $14 billion over next 6 years
Sky-high oil prices have propelled the global economy into an era of high energy prices. Concurrently, the security of energy infrastructure has become one of the foremost concerns of governments everywhere. Producers and users alike know that terrorists around the world could not fail to notice the vulnerability of the global markets, and the destructive impact that any disruption in energy supplies will have on many national economies. The recognition of this vulnerability, in turn, drives the infrastructure security markets.
Securing the flow of oil from producers to consumers is a crucial global concern. Saudi Arabia, the world’s largest oil exporter, understand the importance of uninterrupted flow of oil, and they know that one successful terror attack on the Saudi oil industry will send oil prices to a new record high, resulting in a deep global recession, a losing proposition for all involved. To head off such an eventuality, the Saudis are forecasted to procure $14 billion of security systems and services over the next 6 years, to harden the kingdom oil infrastructure security.
With a forecasted cumulative 2008-2014 oil industry security market of $14 billion, Saudi Arabia oil industry Security market become the world’s largest, national energy security market . This is one of the main conclusions of HSRC’s latest market research report Saudi Oil industry Security Market 2009-2014.
Here are major report highlights:
- The Saudi government will invest “whatever it takes” in the security of its oil industry ,the lifeline of the kingdom
- The security of the Saudi oil industry is considered by world governments as “the Achilles heel of the global economy”
- A major interruption of Saudi oil supply [10% of global supply] or it’s oil fields [24% of global reserves] is forecasted by governments worldwide to send the global economy into a major recession
- The Saudi government embarked recently on a major investment of $129Billion to expand the country oil exports and security
One successful terrorist attack on the oil & gas infrastructure can quickly spiral the world into a painful global recession. With such dire consequences and more than $3 Trillion global Oil & Gas revenues, less than 0.15% seems only a trivial amount allocated to protect the world’s most vital asset. That seemingly small fraction translates into a cumulative $30B global 2009-2014 market.