Global oil demand will increase 5.4 million barrels
IEA Global oil demand will increase by 5.4 million barrels per day in 2021.
It estimated that global oil demand would regain 60 per cent of the volume lost due to the new type of coronavirus (Kovid-19) epidemic. This year will reach 96 million 440 thousand barrels with an increase of approximately 5.4 million barrels per day compared to last year.
According to the International Energy Agency’s (IEA) oil market report for January, the possible impact of Kovid-19 mutations, especially on social mobility and activities, requires caution in the oil demand forecasts in the first quarter of the year.
Is predicted that the start of large-scale vaccination studies in developed countries will support more robust growth in demand in the second half of the year.
Strong recovery in production and more robust economic growth prospects for the US, the world’s largest oil consumer, will help compensate for short-term demand weakness.
It was estimated that global oil demand would regain 60 per cent of the volume lost due to the epidemic. This year will reach the level of 96 million 440 thousand barrels per day with an increase of approximately 5.4 million barrels/day (6 per cent) compared to last year.
In 2021, the Asia Pacific region expected to lead with 35 million 800 thousand oil barrels per day, followed by the Americas with 30 million barrels and Europe with 14 million barrels.
GLOBAL OIL SUPPLY REACHES THE HIGHEST LEVEL IN JANUARY APRIL 2020
According to the report, the global oil supply reached 93 million 630 thousand barrels per day, with an increase of approximately 580 thousand barrels/day compared to the previous month. The figure in question was recorded as the highest level since April 2020.
The fact that the Organization of Petroleum Exporting Countries (OPEC) and the OPEC + group consists of some non-OPEC producer countries eased production cuts, and other producer countries made more products were influential in the increase in oil supply.
OPEC’s crude oil production reached 25 million 450 thousand barrels per day with an increase of 240 thousand barrels/day compared to the previous month.
Other unconventional OPEC production except crude oil was recorded as 5 million 240 thousand barrels per day during this period. Thus, OPEC’s total oil production amounted to approximately 30 million 690 thousand barrels per day last month.
The oil production of non-OPEC countries, on the other hand, increased by 320 thousand barrels/day to 62 million 940 thousand barrels per day.
US oil production increased
The USA’s commercial crude oil stocks decreased by 6 million 600 thousand barrels last week compared to the previous week. The country’s daily crude oil production increased by 99 thousand barrels in the week of January 30 – February 5, reaching approximately 11 million 507 thousand barrels.
The US Energy Information Administration (EIA) announced that commercial crude oil stocks in the country fell by 6 million 600 thousand barrels (1.4 per cent) last week to about 469 million barrels.
The market expectation was that the stocks would increase by approximately 1 million 340 thousand barrels.
Strategic crude oil stocks, which are not included in commercial crude oil stocks, decreased to 637 million 900 thousand barrels.
In the said period, the USA’s gasoline stocks increased by 4 million 300 thousand barrels (1.7 per cent) to 256 million 400 thousand barrels.
OIL PRODUCTION INCREASED
The USA’s crude oil imports decreased by approximately 5 million 857 thousand barrels per day compared to the previous week, and oil exports fell by an average of 866 thousand barrels per day to 2 million 617 thousand barrels.
The country’s daily crude oil production increased by 99 thousand barrels in the week of January 30 – February 5, reaching approximately 11 million 507 thousand barrels.
According to the EIA’s February 2021 Short-Term Energy Outlook Report, the US’s average daily crude oil production is expected to be 11 million barrels this year and 11 million 530 thousand barrels next year.
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