IEA retains forecast for global oil demand in 2021

The International Energy Agency (IEA) retained its forecast for global oil demand in 2021 and still expects its growth by 5.4 million barrels per day and another 3 million barrels daily increase in 2022, Report informs with reference to the agency.

The rise in COVID cases in several countries remains a critical risk for the outlook deterioration.

The IEA notes that robust global economic growth, increased pace of vaccinations and mitigation of restrictive measures will jointly support stronger global oil demand for the remainder of the year.

The IEA also provided statistics on global oil production in June. According to the agency, it increased by 1.1 million barrels per day compared to May, to 95.6 million barrels per day.

Production is expected to pick up substantially in July as Saudi Arabia and other OPEC + members continue to ease cuts under the deal, and Canada and the UK resume production after repairs.

When it comes to developed markets, commercial reserves of oil and petroleum products in OECD countries rose by 18.1 million barrels in May versus April, but fell below the 5-year average by 75.8 million barrels, the energy agency said in the July report.

Total reserves in May were 2,945 million barrels, 75.8 million barrels below the 2016-2020 average and 10.8 million barrels below the pre-COVID-19 average for 2015-2019.