The Organization of Petroleum Exporting Countries (OPEC) today released its report for June today, keeping expectations for oil demand growth to 3.4 million barrels per day in 2022, but forecasts that the pace of growth in oil demand will decline until the next six months, with inflation control and conflict over the international economy.
OPEC raised its forecast for oil demand in the third and fourth quarters, while lowered it for the second quarter by quest’year. The organization expects oil demand to increase by 3.1 million barrels per day in the second half of 2022, stating that daily demand will reach 101.8 million barrels in the second half of the year, and confirming its expectations. that oil demand in 2022 will exceed pre-Crown levels.
And according to what an OPEC delegate reported by “Bloomberg”, world oil consumption should increase by 1.8 million barrels per day next year, in down from the 3.4 million barrels per day forecast for quest’year. The forecasts will be reviewed by representatives of the group’s member states next week.
OPEC production fell by 176,000 barrels per day in May compared to April, and the OPEC report attributed this to decreased production from Iran, Iraq, Libya, Nigeria and Gabon. While world oil production fell to 98.75 million barrels per day in May.
The report indicated that Russian production decreased by 930,000 barrels per day in the second quarter on a quarterly basis.
OPEC and its allies surprised energy markets earlier this month by agreeing to accelerate the return of production interrupted during the pandemic, but spare production capacities are limited to Saudi Arabia, the United Arab Emirates, Iraq. and Kuwait.
The Organization for Economic Co-operation and Development said last week that the global economy will pay a heavy price for war in Ukraine, which includes weaker growth, stronger inflation and potential long-term damage to supply chains.
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