Halliburton, one of the largest oilfield services firms, on Monday said the world is headed for a period of oil scarcity following years of underinvestment in fossil fuel development.
"I think that for the first time, in a long time, we will see a buyer looking for a barrel of oil, as opposed to a barrel of oil looking for a buyer," the Reuters news agency cites the Halliburton Chief Executive Officer Jeff Miller as saying at an oil and gas conference in Houston.
Halliburton has seen spending by crude explorers outside the U.S. and Canada cut by roughly half compared with historical norms, Miller said, adding that producers have sought to return profits to investors rather than boost spending.
It could take about a decade to ease the supply crunch, Miller stated.
Last week, JP Morgan bank said it expects oil prices to reach $125 a barrel next year and $150 in 2023.
