OPEC will likely make downward revisions of supply from the non-OPEC states in 2020, Report informs citing Bloomberg.
"We are likely to see sharp revisions of non-OPEC supply going into 2020 particularly from the shale basins in the United States,” OPEC Secretary General Mohammad Barkindo said.
All the same, the demand for oil is expected to grow, especially if the United States and China sign a preliminary trade agreement.
Under OPEC's long-term outlook, demand for oil in 2019 is expected at 99.9 mln barrels daily, and in 2020 it will reach 101 mln barrels. The demand will gradually grow, to settle at 103.9 mln barrels daily in 2023.
OPEC earlier said the developed countries will see their demand for oil drop to 9.6 mln barrels daily by 2040, while the developing countries will demonstrate a growth to 21.4 mln barrels daily.
OPEC expects the demand growth rates to slowdown from 1.4 mln barrels daily in 2018 to 0.5 mln barrels daily towards the end of the next decade. All the same, the growth may stop by 2040, according to OPEC's forecasts. Its experts exlain the dynamics by the slower growth rates of the world population and global GDP. Tougher norms of power efficiency and technological progress will also be responsible for the slowdown.