Financially Self-sustainable Oil Projects Underway to Grow Bahrain's Economy
Minister of Oil reflects on positive long-term impact of recent economic changes implemented in the Kingdom
Manama, Bahrain – Sunday, 4th February 2018:
Bahrain’s Minister of Oil His Excellency Shaikh Mohammed Bin Khalifa Al Khalifa participated at the Falak Consulting quarterly Power Lunch as the guest of honor. The lunch event gathered Bahrain’s business leaders, government officials, entrepreneurs and top industry names to discuss the Kingdom’s shifting business climate. As part of the dialogue established at the event, HE Shaikh Mohammed shed light on the recent economic changes implemented within the Kingdom and their long-term benefit to the citizens of Bahrain and its economy.
His Excellency highlighted the importance of sustainability and its role protecting Bahrain’s economy for present and future generations: “All decisions taken related to subsidization, are made with the long-term protection of Bahrain’s citizens in mind and allows for sustainable prosperity for future generations.”
Additionally, His Excellency discussed the launch of five new projects, designed to be financially self-sustainable and will add to the Kingdom’s natural resources versus subtracting from them. His Excellency emphasized that due to their strength and long-term financial appeal, the projects have gained substantial investment by local, regional and global banks. Key projects include:
The Exploration of Deep Gas Zones in the Bahrain Oil Field with its 44,000 and 45,000 production output capacity
Banagas’ 600 million square feet of APG attracting investment by local banks totaling $515 million and is set to yield high rate of return
Bahrain LNG Import Terminal, first of its kind in the Kingdom with its ability to dock, transport and store LNG. Financed by a collection of international banks totaling $741 million
Bapco’s Modernization Program: the single largest investment in Bapco’s history, set to increase refinery competitiveness, improve energy efficiency and meet environmental compliance, valued at $5 billion
Shedding light on the benefit to citizens as well as the context of recent economic changes, His Excellency, said: “Bahrain’s citizens and society are the foremost priority following the country’s recent economic changes. This time is crucial to educate ourselves about our consumption as a nation and to look to the positive impact these changes will achieve for everyone in the future; the return on subsidization yields better economic growth and allows Bahrain the opportunity to keep pace with other Gulf countries with a proven record of success.”
“As the investment of past generations are still being reaped in the present, we too must look to long-term profitability, which will safeguard the Kingdom’s continued economic flourishment and will ensure a better standard of living and quality of life for its society for future generations.”
Commenting on the successful event, Mr. Suhail Algosaibi, CEO of Falak Consulting said: “At Falak Consulting, our priority is the betterment of Bahrain’s economy and potential. A crucial step in achieving this is by engaging key opinion leaders and policy makers at our quarterly Power Lunch and to establish constructive dialogue around topics such as the country’s dynamic economy and changes to the business environment. The lunch event provides an ideal platform and candid setting to facilitate dialogue with key individuals and change makers in attendance. To that end we are honored by the vital contribution of HE Shaikh Mohammed Bin Khalifa Al Khalifa as he sheds valuable insight on Bahrain’s future as it relates to our oil industry and business-friendly outlook.”
Launched in April 2015 and in its dedication to building a stronger economy and prosperous society by unlocking business and human potential, the successful Falak Consulting Power Lunch is designed to bridge the gap between policy makers and business affected by the policies. This year’s first Power Lunch took place at the prestigious Capital Club in the Bahrain Financial Harbour and was attended by members of the business community. The successful initiative continues to engage private and public-sector leaders in the Kingdom to facilitate economic dialogue.