ABSTRACT
In January 2005 an unprecedented meeting between major Persian Gulf oil producers and Asian oil consumers was held in the Indian capital New Delhi. Energy ministers from Iran, Kuwait, Oman, Qatar, Saudi Arabia, the United Arab Emirates, China, India, Japan, and South Korea discussed different proposals to consolidate oil and gas cooperation between the two sides. These included the development of an Asian petroleum market, mutual investments in upstream and downstream sectors, and building strategic petroleum storages. This gathering underscores a fundamental characteristic of the global oil market – the Persian Gulf states are the major centre of gravity on the supply side while Pacific Asian nations have become the major centre of gravity on the demand side of the equation.
