• 3 minutes e-car sales collapse
  • 6 minutes America Is Exceptional in Its Political Divide
  • 11 minutes Perovskites, a ‘dirt cheap’ alternative to silicon, just got a lot more efficient
  • 8 days The United States produced more crude oil than any nation, at any time.
  • 12 hours Could Someone Give Me Insights on the Future of Renewable Energy?
  • 5 hours How Far Have We Really Gotten With Alternative Energy
Coal Continues to Thrive Despite Pledges for Clean Energy

Coal Continues to Thrive Despite Pledges for Clean Energy

Despite global commitments to clean…

LNG Bunkering Sales Off to a Strong Start in 2024

LNG Bunkering Sales Off to a Strong Start in 2024

LNG maintains its dominance as…

Brent Soars Past $85 As IEA Recalculates Supply, Demand

Crude oil prices hit a four-month high on Thursday, with the U.S. benchmark crossing over the $80 mark and Brent passing $85 per barrel after changes in supply and demand predictions that bring OPEC+ and International Energy Agency (IEA) forecasts into closer alignment. 

After gaining nearly $3 on Wednesday, at 3:43 p.m. ET on Thursday, Brent crude was trading at $85.23, up 1.43% on the day. West Texas Intermediate (WTI) was trading at $81.13, up 1.77% on the day. 

Earlier on Thursday, the IEA tweaked its forecasts for this year, predicting a tighter market and higher demand growth than previously anticipated, primarily due to disruption from Houthi attacks on Red Sea shipping lanes. 

Since November last year, the IEA has upwardly revised its oil demand growth forecasts for 2024 four times–each time primarily as a result of Red Sea-related supply disruption potential, noting that the “global economic slowdown acts as an additional headwind to oil use”. 

The IEA’s forecasts have contradicted OPEC+ forecasts for some time, with the international energy agency in May 2021 saying there was no need for new oil and gas exploration any longer due to the pace of the energy transition. February 2024 oil demand forecasts from the IEA and OPEC+ diverged by over 1 million bpd

The IEA has now slashed its 2024 supply forecast to 102.9 million bpd this year. 

In its Oil Market Report for March, the IEA now assumes that OPEC+ would continue with the voluntary cuts through 2024, which prompted the agency to change its view on the supply-demand balance this year.

"Demand is staying high, while supplies are getting tighter, particularly on the fuel side. The refining margins are also very strong and a positive for crude demand," Reuters quoted Dennis Kissler, senior vice president of trading at BOK Financial, as saying on Thursday, noting that near-six-month-high crack spreads were prompting refiners to process more crude.


By Tom Kool for Oilprice.com

More Top Reads From Oilprice.com:

Join the discussion | Back to homepage

Leave a comment
  • George Doolittle on March 14 2024 said:
    The expense of shipping oil is starting to become enormous as well. Premiums on diesel engines are incredibly high going on many Years now. Long $ge general electric strong buy

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News