LONDON (Reuters) - The global oil market will struggle this year to absorb fast-growing crude supply from outside OPEC, even with the group’s production cuts and U.S. sanctions on Venezuela and Iran, the International Energy Agency said in a report on Wednesday. Global oil supply will outpace demand throughout 2019, the International Energy Agency forecasted in its latest Oil Market Report. Since midyear, oil supply had increased sharply with gains in the Middle East, Russia, and the US more than compensating for falls in production in Iran, Venezuela, and elsewhere, IEA said. Global Oil Supply & Demand Outlook to 2035 “If demand growth stays healthy and OPEC+ maintains discipline over production levels, we could see market fundamentals resulting in average prices in the USD60-70/bbl range until 2020” Oil being a global primary energy source is on high demand and its demand is expected to increase due to the rising world population, increasing levels of industrialisation, among other factors. Oil producing countries such as the OPEC member states are the leading suppliers of oil in the world market,
The outlook for long-term demand estimates that the total global demand for oil will amount to nearly 140 million barrels per day in the year 2040. Of that amount, developing countries are expected to account for a demand of nearly 67 million barrels per day,
Firmer demand growth as the global economy strengthens and slower supply growth will contribute to balanced markets in the fourth quarter of 2020 and global oil inventory draws in 2021. EIA expects global liquid fuels inventories will decline by 0.4 million b/d in 2021. LONDON (Reuters) - The global oil market will struggle this year to absorb fast-growing crude supply from outside OPEC, even with the group’s production cuts and U.S. sanctions on Venezuela and Iran, the International Energy Agency said in a report on Wednesday. Global oil supply will outpace demand throughout 2019, the International Energy Agency forecasted in its latest Oil Market Report. Since midyear, oil supply had increased sharply with gains in the Middle East, Russia, and the US more than compensating for falls in production in Iran, Venezuela, and elsewhere, IEA said. Global Oil Supply & Demand Outlook to 2035 “If demand growth stays healthy and OPEC+ maintains discipline over production levels, we could see market fundamentals resulting in average prices in the USD60-70/bbl range until 2020”
Oil prices are volatile in the short run because demand and supply are inelastic. This is due to the fact that there is a limited supply of oil which means any disruption to supply will shift the supply curve to the left, resulting in a sharp increase in price.
Oil is not a diamond or caviar, luxury items of limited utility that most of us can live without. Oil is abundant and in great demand, making its price largely a function of market forces. Global Oil Demand and Supply. The current and expected balance of oil supply and demand fundamentals are a significant factor influencing the price of oil and in turn the health of the oil and gas industry. By clicking the drop box above, you can switch from Supply to Demand or show both at once. Because oil is such a crucial source of energy worldwide, rapid rises in price spark recurrent debates about the accessibility of global supplies, the extent to which producers will be able to meet demand in decades to come, and the potential for alternative sources of energy to mitigate concerns about energy supply.
Since its inception in 1983, the IEA's Oil Market Report (OMR) has become recognised as one of the world’s most authoritative and timely sources of data, forecasts and analysis on the global oil market – including detailed statistics and commentary on oil supply, demand, inventories, prices and refining activity, as well as oil trade for OECD and selected non-OECD countries.
13 Feb 2020 The amount of oil needed to run the global economy will decline sharply in the to close in China, snarls transportation and hits supply chains. 28 Jan 2020 The move comes despite a loss of supplies from Libya, where outages caused by the 2011 revolution helped propel crude above $120 a barrel. Crude Oil Supply and Demand Analysis (for 2020 and 2030) The main econometric model used to estimate the worldwide oil demand in this study is made up 10 Mar 2020 Covid-19 (coronavirus) has spread beyond China and our 2020 base case global oil demand forecast is cut by 1.1 mb/d. For the first time since Petroleum - Petroleum - Status of the world oil supply: On several of global supplies, the extent to which producers will be able to meet demand in the decades The current and expected balance of oil supply and demand fundamentals are a significant factor influencing the price of oil and in turn the health of the oil and
Because oil is such a crucial source of energy worldwide, rapid rises in price spark recurrent debates about the accessibility of global supplies, the extent to which producers will be able to meet demand in decades to come, and the potential for alternative sources of energy to mitigate concerns about energy supply.
LONDON (Reuters) - The global oil market will struggle this year to absorb fast-growing crude supply from outside OPEC, even with the group’s production cuts and U.S. sanctions on Venezuela and Iran, the International Energy Agency said in a report on Wednesday.