Asian countries should cooperate in energy diplomacy to jointly cope with challengesfacing the oil and gas industry, Malaysian Prime Minister Abdullah Ahmad Badawi said Monday.

Badawi made the remarks in the keynote address at the 10th Asia Oil and Gas Conference (AOGC), which was opened here.

For oil importing countries, the purpose of such energy diplomacy would be to lessen reliance on external sources fromoutside Asia, while net oil exporting countries should deepen commercial ties across the energy sector including development of natural gas, solar and geothermal power, Badawi said.

By 2020, Asia would need up to 33 million barrels of oil per day, or 30 percent of the total oil consumption, making the race to secure energy in the region more intense and competitive, Badawi said.

Badawi urged all national oil firms in Asia to conduct more meaningful collaboration, cooperation and alliances, noting that high oil and gas prices were a common threat to all Asian consumers and securing future energy resources was a common objective for all national oil firms.

The time has come for Asian national oil companies to pursue more joint investments in vertically integrated production sharing ventures across Asia to secure upstream resources and provide secure long-term energy supply, Badawi said.

"It is imperative that we come to the realization that we are all interdependent on each other, and cooperation can only benefitus all," Badawi stressed.

More than 1,000 delegates from 47 countries are attending the two-day meeting with the theme "Coping with a New World Order: Challenges for the Oil and Gas Industry."

The AOGC, launched in 1996, has evolved an annual meeting held in Kuala Lumpur, which offers a venue for industry leaders, specialists and decision-makers to discuss issues and challenges confronting the oil and gas industry. 

Editor: Yan