• 4 minutes Ten Years of Plunging Solar Prices
  • 7 minutes Hydrogen Capable Natural Gas Turbines
  • 10 minutes World looks on in horror as Trump flails over pandemic despite claims US leads way
  • 13 minutes Large gas belt discovered in China
  • 21 mins Thugs in Trumpistan
  • 11 mins Model 3 cheaper to buy than BMW 3 series.
  • 57 mins Would bashing China solve all the problems of the United States
  • 4 hours Pompeo's Hong Kong
  • 35 mins Renewables Overtake Coal, But Lag Far Behind Oil And Natural Gas
  • 20 hours China To Boost Oil & Gas Exploration, As EU Prepares To Commit Suicide
  • 2 hours Natural gas is crushing wind and solar power
  • 12 hours China’s Oil Thirst Draws an Armada of Tankers
  • 2 hours Coronavirus hype biggest political hoax in history
  • 4 hours Chicago Threatens To Condemn - Possibly Demolish - Churches Defying Lockdown
  • 11 hours Yale University Epidemiologist Publishes Paper on Major Benefits of Hydroxchloroquine for High-risk Outpatients. Quacksalvers like Fauci should put lives ahead of Politics
  • 6 hours Michael Moore's Controversial "Planet of the Humans" Movie
  • 7 hours The CDC confirms remarkably low coronavirus death rate. Where is the media?
Russia To Expand Influence In Iraq’s Oil Heartland

Russia To Expand Influence In Iraq’s Oil Heartland

Russia has once again signalled…

Will U.S. Shale Survive If Oil Hits $40?

Will U.S. Shale Survive If Oil Hits $40?

The oil price collapse is…

Rystad Energy

Rystad Energy

Rystad Energy is an independent oil and gas consulting services and business intelligence data firm offering global databases, strategy consulting and research products. Rystad Energy’s…

More Info

Oil And Fuel Demand Set To Plummet In April

Global oil demand:

In another consecutive revision of our weekly estimates, our newest forecast for oil demand now projects a decrease of 6.4 percent for 2020, or 6.4 million barrels per day (bpd) year-on-year. Our estimates show that total oil demand in 2019 was approximately 99.9 million bpd, which is now projected to decline to 93.5 million bpd in 2020. To put the number into context, last week we projected a decrease of 4.9 million bpd.

At the moment we expect the month of April to take the biggest hit, with demand for oil estimated at 77.6 million bpd, falling by 22.8 million bpd year on year, a 22.7 percent drop from our pre-coronavirus forecast.

This downgrade takes into account developments that have occurred up to and including Tuesday, March 31.

demand
Road fuel demand:

We believe that global total demand for road fuels will fall by 5.5 percent, or 2.6 million bpd year-on-year, a downgrade from last week’s report, where road fuels were expected to decline by just 4.6 percent.

Road fuel demand in 2019 is estimated to have reached 47.7 million bpd. We now see it reaching only about 45.1 million bpd in 2020.

Most of this reduction will also take effect in April, which will see its road fuel demand limited to just 34.7 million bpd globally, from 47.6 million bpd a year ago.

Jet fuel demand:

Among the various fuel sectors, we expect jet fuel to be hit the hardest. We expect global commercial air traffic will fall by at least 21 percent this year versus the levels seen in 2019, which we estimate stood at around 99,700 flights per day. This number will be revised as operators continue to cut routes.

Many distressed airlines are now facing heavy cost cuts, laying-off unprecedented numbers of employees as many non-essential routes are closed.

As a base case, we now assume that the common summer air travel peak will not occur at all this year. We now see jet fuel demand falling by almost 26 percent year-on-year, or by at least 1.9 million bpd. Last year’s demand for jet fuel was seen at about 7.2 million bpd.

By Rystad Energy

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage



Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News