OPEC cuts its forecast of growth in global oil demand in 2019


February 12, Fineko/abc.az. In its February’s report OPEC lowered the forecast of growth of world oil demand in 2019 by 50,000 bpd to 1.24 million barrels.

The reduction is linked with the expected slowdown in economic growth in countries of the American continent, Europe and the Middle East.

Production is expected to increase mainly in the U.S., Brazil, Russia, the UK, Kazakhstan and Ghana, while Mexico, Canada, Norway and Indonesia are projected to see a marked decline in production.

According to the report, OPEC countries reduced oil production in January by 797,000 bpd to 30.8 million barrels, mainly at the expense of Saudi Arabia and the UAE.

Thus, according to OPEC secondary sources, Saudi production for January fell by 350,000 bpd to 10.2 million barrels. Average daily production in the UAE fell by 146,000 bpd to 3.1 million bpd and in Kuwait by 90,000 to 2.7 million bpd. At the same time, Saudi Arabia itself notified OPEC that its January’s production decreased by 400,000 bpd.

According to preliminary data, oil and gas condensate production in Russia for January 2019 decreased by 50,000 bpd versus October 2018 (from which production cuts by OPEC+ countries is calculated) to 11.56 million.