Demand For Oil Will Rise In 2018 Due To Rising Global Consumption – OPEC Report

by Ike Obudulu Last updated on August 26th, 2017,

‎VIENNA, AUSTRIA. The Organization of the Petroleum Exporting Countries (OPEC) in its monthly report on Thursday projected higher demand for its crude in 2018 due to rising global consumption. The report project global demand for OPEC oil at around 32.42 million barrels per day (bpd), up 220,000 bpd from the previous forecast.

The cartel also said oil markets in Europe and West Africa had firmed and that the recent increase in the price of Brent crude oil indicated the glut was easing.

Just as OPEC raised its forecasts for global oil demand growth in 2017 and 2018, saying consumption would rise next year, It was also upbeat about the global economy.

“World economic growth has gained momentum,” OPEC said. “With the ongoing growth momentum and an expected continued dynamic in second-half 2017, there is still some room to the upside.”


OPEC

The report showed the 14-country group’s oil output in July rose above the demand forecast.

According to the report, crude oil output increased mostly in Libya, Nigeria two members exempt from the OPEC’s output cuts and Saudi Arabia, while production showed declines in Iraq, Angola and Venezuela.

Supply is rising outside the group as well, although not quite as fast as OPEC thought.

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Ike Obudulu

Ike Obudulu

Versatile Certified Fraud Examiner, Chartered Accountant, Certified Internal Auditor with an MBA in Finance And Investments who has both worked for and consulted with some of the world's largest companies on main street and wall street in over 20 countries, Ike brings his extensive reporting and investigations experience to bear on his role as Chief Editor.
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