OPEC reveals forecast for oil demand growth this year unchanged for fourth month in row

Growth in global oil demand in 2023 may reach 2.3 million barrels per day (b/d), reads the June report of the Organization of the Petroleum Exporting Countries (OPEC), Report informs referring to TASS.

Thus, the indicator has remained unchanged for four months in a row.

In absolute terms, oil demand may average 101.9 million b/d in 2023. At the same time, the countries of the Organization for Economic Co-operation and Development (OECD) will account for only 0.05 million bpd of the total growth in demand, OPEC expects. At the same time, non-OECD countries will increase oil demand by almost 2.3 million b/d.

The organization also maintained its forecast for non-OPEC oil supply growth in 2023 at 1.4 million b/d. This indicator doesn’t change for the fourth month in a row, either. In absolute terms, it can reach 67.2 million bpd.

As expected in OPEC, the main drivers of the increase in supply will be the US, Brazil, Norway, Canada, Kazakhstan and Guyana. At the same time, a decrease in production is expected primarily in Russia. The organization also notes that in March 2023, the production of oil and condensate in the US reached the highest level since March 2020, and for the whole year, the growth rate could reach 1.1 million bpd.