Thursday, August 21, 2014   

IEA raises oil demand forecast
(05-15 17:00)

Demand for oil this year will be slightly higher than expected, the IEA forecast on Thursday, even though a weaker outlook for global economic growth will weigh on consumption.
Oil prices are expected to remain high, and the IEA said that OPEC should raise production sharply to keep world oil markets well supplied in the face of what would be record global demand, AFP reports.
The International Energy Agency raised its forecast by 65,000 barrels per day to 92.8 million barrels, largely because of unexpectedly strong demand in the first quarter, driven by consumption in the US economy.
The agency said that despite a usual easing of demand in April, "crude prices remain elevated'' and said signs indicated there should be a "significant rise in OPEC production from current levels in the second half of the year''.
While the Organization of Petroleum Exporting Countries ``has more than enough capacity'' to raise output, the IEA said the group of the world's top oil producers would be affected by problems that "have plagued some of its member countries recently''.
Unrest in OPEC member Libya, for example, meant that it was unclear whether the country "can keep its ports open and unlock its exports,'' the IEA said.
The agency also pointed to evidence that the world's second-largest economy China may have begun pumping oil into a recently completed expansion of its strategic reserve facilities.
"While that would benefit energy security not just in China but globally, crude exports of that scale might also support oil markets,'' the IEA said.
But it warned: "While OPEC production gains of around 400,000 barrels per day went some ways towards easing markets last month, that gain will be insufficient to meet market needs in the second half of the year, when consumption bounces back seasonally.''
This meant that "in order to balance forecast demand, OPEC countries would need to hike third-quarter production by another 900,000 barrels per day from April levels.''   
Other World breaking news:
Clashes kill 34 civilians in Ukraine's Donetsk region: official (08-20 18:30)
Two charged in Malaysia with stealing from MH370 victims (08-20 18:06)
Fighting outside key Ukrainian city kills 9 troops (08-20 17:37)
Hollande says to propose 'initiative' against IS (08-20 17:29)
Qatar financing IS jihadists: German minister (08-20 16:32)
Indian soldier's body found in Kashmir after 18 years (08-20 16:23)
Egypt urges Israelis, Palestinians to resume Gaza talks (08-20 16:11)
Body of tourist found in Bali suitcase flown back to US: police (08-20 16:05)
Police say 47 arrested in latest Ferguson protest (08-20 15:53)
Japanese 111-year-old becomes oldest man (08-20 14:41)

More breaking news >>

© 2014 The Standard, The Standard Newspapers Publishing Ltd.
Contact Us | About Us | Newsfeeds | Subscriptions | Print Ad. | Online Ad. | Street Pts

 


Home | Top News | Local | Business | China | ViewPoint | CityTalk | World | Sports | People | Central Station | Spree | Features

The Standard

Trademark and Copyright Notice: Copyright 2014, The Standard Newspaper Publishing Ltd., and its related entities. All rights reserved.  Use in whole or part of this site's content is prohibited.   Use of this Web site assumes acceptance of the
Terms of Use, Privacy Policy Statement and Copyright Policy.  Please also read our Ethics Statement.