OPEC+ technical committee increases forecast for oil market surplus in 2022

The OPEC+ Technical Committee expects a surplus in the oil market to average 1.9 million barrels per day in 2022, while a supply surplus was forecast at 1.3 million barrels a month ago, Report informs citing TASS.

The estimate has been increased by 600,000 barrels per day, according to the report of the OPEC+ technical committee.

According to the document, the technical committee decreased the daily demand growth forecast by 500,000 barrels, which in absolute terms means consumption of 100.5 million barrels. The daily increase in oil supply will be 7.2 million barrels (+100,000 to the previous estimate) - up to 102.4 million barrels.

The largest surplus is expected in May and June - 3.7 million and 3.58 million barrels per day, respectively. At the same time, oil reserves will increase by 698 million barrels - up to 2.93 billion barrels against 2.64 billion barrels at the end of 2021.