OPEC forecast remains unchanged for global oil demand in 2022, with growth of 4.2 million barrels per day, due to recent developments
Global oil supply in February increased by around 960,000 barrels per day (bpd) compared to the previous month to average 99.50 million bpd, marking an 8.99 million bpd rise year on year, the Organization of the Petroleum Exporting Countries (OPEC) said on Tuesday.
The organization’s monthly oil market report shows that OPEC crude oil production averaged 28.47 million bpd in February for an increase of about 440,000 bpd month on month. Crude oil output rose mainly in Saudi Arabia and Libya, while production in Nigeria and Equatorial Guinea declined.
Production increased by 141,000 bpd to 10.19 million bpd in Saudi Arabia and by 105,000 bpd to nearly 1.11 million bpd in Libya. Meanwhile, oil output in Nigeria decreased by 10,000 bpd to around 1.42 million bpd and fell by 9,000 bpd to 84,000 bpd in Equatorial Guinea.
The share of OPEC crude out of total global production increased by 0.2% to 28.6% in February compared with the previous month.
Non-OPEC liquids production, including OPEC natural gas liquids, grew by about 520,000 bpd in February compared to the previous month to average 71.03 million bpd,representing a year-on-year increase of 5.38 million bpd.
“Preliminary estimated increases in production during February were mainly driven from Canada and Norway by 34,000 bpd, due to the outages removal and better weather conditions,” the report said.
Oil demand forecasts remain unchanged
OPEC kept its global oil demand forecast for 2022 unchanged compared to its assessment in the previous month, due to the “high uncertainty” and “extreme fluidity” of developments in recent weeks.
“Looking ahead, challenges to the global economy especially regarding the slowdown of economic growth, rising inflation and the ongoing geopolitical turmoil will impact oil demand in various regions,” OPEC said.
Total world oil demand is anticipated to reach nearly 100.9 million bpd in 2022, with a growth of 4.2 million bpd.
Demand growth for the OECD is forecast at 1.9 million bpd, while non-OECD is projected to grow by 2.3 million bpd.
“However, this forecast is subject to change and will be adjusted when there is more clarity on the far-reaching impact of the geopolitical turmoil,” the report added.