![]() ![]() ![]() ![]() Further downward revisions in 2015 will intensify the need to cutback supply growth. Several months ago the outlook for 2015 was for oil demand to grow well over 1 million bpd but with developments such as the recent recession in Japan, expected gains in demand have been scaled back. Total world oil supply in 2015 will continue to outpace oil demand growth as has been the case recently in 2014.Wood Mackenzie has assessed the implications of OPEC’s decision: In the last year, world oil demand growth has slowed markedly and increased the difficulty in absorbing non-OPEC production growth”. OPEC held its biannual meeting in Vienna on 27 November 2014, and has retained the current production ceiling of 30 million bpd effective to its next meeting in 2015.Īnn-Louise Hittle, Head of Macro Oils research for Wood Mackenzie, commented: “Oil prices have declined by approximately 36% since June 2014, due to a weakening demand outlook in China and Europe combined with steady growth in US oil production levels clearly puts the outlook for oil demand growth as the continued focus of crude oil pricing and, in its absence, tight oil breakeven economics. ![]()
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |