• 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
  • 4 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 7 hours Solving The Space Problem For America’s Solar Industry
  • 9 hours Russian Officials Voice Concerns About Chinese-Funded Rail Line
  • 4 hours How Far Have We Really Gotten With Alternative Energy
  • 3 days Investment in renewables tanking
  • 7 days If hydrogen is the answer, you're asking the wrong question
  • 7 days "Mexico Plans to Become an Export Hub With US-Drilled Natural Gas" - Bloomberg - (See image)

Breaking News:

U.S. Solar Installations Jump 47% In Q1

OPEC+ Discussing 1 Million Bpd Output Cut

OPEC+ Discussing 1 Million Bpd Output Cut

Oil prices were trading up…

R&D Spending Surges In GCC’s Chemical Sector

R&D Spending Surges In GCC’s Chemical Sector

GCC countries are leveraging their…

EIA Cuts Global Oil Demand Forecast, But Modestly

The Energy Information Administration forecasts global oil demand to grow by 1.44 million barrels per day this year on average, which is down by 10,000 bpd from its previous projection according to its monthly report issued on Tuesday.

At the same time, however, the EIA revised up its 2017 global oil demand growth forecast to 1.49 million bpd, an increase of 20,000 bpd.

The agency’s administrator, Adam Sieminski, said that this growth – both this year and next – will be driven mainly by China and India, while European demand could weaken after Britain’s exit from the European Union.

U.S. demand, on the other hand, is set for a 160,000-barrel-a-day growth this year, according to EIA estimates. That’s down from a rate of 220,000 bpd projected earlier. Next year, demand in the world’s top consumer of crude should grow by 120,000 bpd, up from an earlier estimate of 60,000 bpd.

In 2017, the U.S. will consume an average of 19.68 million bpd, the EIA also said, with Sieminski explaining that low oil prices, robust gasoline production, and piling up fuel stockpiles will spur greater demand among motorists.

Related: The Bears Are Back – Oil Slides On Negative Sentiment

While demand rises, U.S. crude output is expected to continue its decline. In the current year, the EIA expects crude output to drop to 8.61 million bpd, which is a slight increase on the previous forecast of an average 8.6 million bpd. Next year, this will fall further to 8.2 million bpd, up from a previous forecast of 8.19 million bpd.

Also today, the International Energy Agency warned that demand for crude is slowing down while stockpiles are staying at record highs. Even though the agency acknowledged that the superglut from the start of the year has begun to subside, there were warning signs of potential instability, namely abundant stockpiles that could threaten the market’s rebalancing.

By Irina Slav for Oilprice.com

ADVERTISEMENT

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage



Leave a comment

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