IEA: Global oil demand revised upward on stronger data

Global oil demand in 2013 rose by 1.3 million b/d year-over-year to 91.3 million b/d, according to the latest, near-complete set of demand data for the year, the International Energy Agency said in its most recent monthly Oil Market Report. This estimate is 45,000 b/d above last month’s estimate, as December demand exceeded expectations.

Global oil consumption is set to rise by 1.4 million b/d (+1.5%) in 2014 to 92.7 million b/d, 90,000 b/d higher than the agency’s previous report, with all of the growth coming from countries outside the Organization for Economic Cooperation and Development. However, the gain of non-OECD demand reflects a slower growth rate than seen in recent years.

The International Monetary Fund’s World Economic Outlook updated in January forecasts growth of 3.7% this year, rising to 3.9% in 2015, compared with 3% seen in 2013.

IEA said US demand growth continues to show signs of strengthening. The December demand data has been revised downward by 115,000 b/d since last month’s report, based on the latest official monthly data. Despite the downward revision, US demand jumped by a steep 950,000 b/d (+5.2%) in December year-over-year.

The forecast for Chinese growth has been modestly curtailed, due to a reduced first-quarter 2014 estimate. The estimate for January has been adjusted downward by 80,000 b/d to 10 million b/d, reflecting stronger-than-expected product stock builds.

OECD countries’ January demand declined after rising in both November and December, due to unseasonably warm weather outside of the Americas, and the continued frailness of the OECD economic momentum, IEA said.

Oil supply

Global oil supply increased by 600,000 b/d to average 92.89 million b/d in February, up 2.03 million b/d from a year earlier, thanks to a significant rise in crude production in the Organization of Petroleum Exporting Countries. Higher supplies from Iraq, Saudi Arabia, and Nigeria lifted OPEC production by 500,000 b/d to 30.49 million b/d, according to IEA.

“Iraqi crude oil production in February surged to the highest level in 35 years, up around 15% over January levels, to 3.62 million b/d. After a protracted delay, one of the major bottlenecks at Iraq’s southern export terminals was removed, allowing shipments to rise more than half a million b/d,” IEA said.

IEA’s “call on OPEC crude and stock change” was lowered by 100,000 b/d to 28.9 million b/d for this year’s first quarter but was raised by 250,000 b/d to 30.2 million b/d for the second quarter on higher forecast demand and reduced OPEC NGL.

Meanwhile, the agency’s figures show that non-OPEC supply has increased by 100,000 b/d to 55.9 million b/d in February from a month earlier, led by higher output in North America. As adverse weather hampered production in the US Midcontinent and Texas, growth in North American supplies was somewhat lower than recent average, EIA said.

Non-OPEC supplies are expected to grow by 1.7 million b/d year-over-year to 56.45 million b/d in 2014, relatively unchanged from last month’s estimate. Relentless growth in US and Canadian supplies will lead the increase. Production is also forecast to grow in Russia, China, and Brazil.

Related Articles

PHMSA proposes pipeline accident notification regulations

07/02/2015 The US Pipeline and Hazardous Materials Safety Administration has proposed new federal oil and gas pipeline accident and notification regulations. ...

FourPoint Energy to acquire Anadarko basin assets from Chesapeake

07/02/2015 FourPoint Energy LLC, a privately owned Denver company, plans to acquire oil and gas assets from Chesapeake Energy Corp. subsidiaries Chesapeake Ex...

Puma Energy completes purchase of Murco’s UK refinery, terminals

07/02/2015 Singapore-based Puma Energy Group Pte. has completed its purchase of UK midstream and downstream assets from Murco Petroleum Ltd., a subsidiary of ...

BP to settle federal, state Deepwater Horizon claims for $18.7 billion

07/02/2015 BP Exploration & Production Inc. has agreed in principle to settle all federal and state claims arising from the 2010 Deepwater Horizon inciden...

MARKET WATCH: NYMEX oil prices plummet on crude inventory build, Iran deadline extension

07/02/2015 Oil prices plummeted more than $2/bbl July 1 to settle at a 2-month low on the New York market after a weekly government report showed the first ri...

API to issue recommended practice to address pipeline safety

07/01/2015 The American Petroleum Institute expects to issue a new recommended practice in another few weeks that addresses pipeline safety issues, but the tr...

Shell Midstream Partners takes interest in Poseidon oil pipeline

07/01/2015 Shell Midstream Partners LP has completed its acquisition of 36% equity interest in Poseidon Oil Pipeline Co. LLC from Equilon Enterprises LLC, a s...

MARKET WATCH: Oil prices decline as US crude inventories post first gain in 9 weeks

07/01/2015 Oil prices on July 1 surrendered much of their gains from the day before after the release of a government report showing the first rise in US crud...

FWS issues Shell letter of authorization on Chukchi Sea lease

07/01/2015 The US Fish & Wildlife Service issued Shell Gulf of Mexico Inc. a letter of authorization (LOA) related to the potential disturbance of polar b...
White Papers

2015 Global Engineering Information Management Solutions Competitive Strategy Innovation and Leadership Award

The Frost & Sullivan Best Practices Awards recognise companies in a variety of regional and global...
Sponsored by

Three Tips to Improve Safety in the Oil Field

Working oil fields will always be tough work with inherent risks. There’s no getting around that. Ther...
Sponsored by

Pipeline Integrity: Best Practices to Prevent, Detect, and Mitigate Commodity Releases

Commodity releases can have catastrophic consequences, so ensuring pipeline integrity is crucial for p...
Sponsored by

AVEVA’s Digital Asset Approach - Defining a new era of collaboration in capital projects and asset operations

There is constant, intensive change in the capital projects and asset life cycle management. New chall...
Sponsored by

Transforming the Oil and Gas Industry with EPPM

With budgets in the billions, timelines spanning years, and life cycles extending over decades, oil an...
Sponsored by

Asset Decommissioning in Oil & Gas: Transforming Business

Asset intensive organizations like Oil and Gas have their own industry specific challenges when it com...
Sponsored by

Squeezing the Green: How to Cut Petroleum Downstream Costs and Optimize Processing Efficiencies with Enterprise Project Portfolio Management Solutions

As the downstream petroleum industry grapples with change in every sector and at every level, includin...
Sponsored by

7 Steps to Improve Oil & Gas Asset Decommissioning

Global competition and volatile markets are creating a challenging business climate for project based ...
Sponsored by
Available Webcasts

On Demand

OGJ's Midyear Forecast 2015

Fri, Jul 10, 2015

This webcast is to be presented by OGJ Editor Bob Tippee and Senior Economic Editor Conglin Xu.  They will summarize the Midyear Forecast projections in key categories, note important changes from January’s forecasts, and examine reasons for the adjustments.

register:WEBCAST


Predictive Analytics in your digital oilfield - Optimize Production Yield and Reduce Operational Costs

Tue, Jul 7, 2015

Putting predictive analytics to work in your oilfield can help you anticipate failures, plan and schedule work in advance, eliminate emergency work and catastrophic failures, and at the same time you can optimize working capital and improve resource utilization.  When you apply analytic capabilities to critical production assets it is possible to reduce non-productive time and increase your yield.

Learn how IBM's analytics capabilities can be applied to critical production assets with the goal of reducing non-productive time, increasing yield and reducing operations costs.

register:WEBCAST


Cognitive Solutions for Upstream Oil and Gas

Fri, Jun 12, 2015

The oil & gas sector is under pressure on all sides. Reserves are limited and it’s becoming increasingly expensive to find and extract new resources. Margins are already being squeezed in an industry where one wrong decision can cost millions. Analyzing data used in energy exploration can save millions of dollars as we develop ways to predict where and how to extract the world’s massive energy reserves.

This session with IBM Subject Matter Experts will discuss how IBM Cognitive Solutions contribute to the oil and gas industry using predictive analytics and cognitive computing, as well as real time streaming for exploration and drilling.

register:WEBCAST


The Alternative Fuel Movement: Four Need-to-Know Excise Tax Complexities

Thu, Jun 4, 2015

Discussion on how to approach, and ultimately embrace, the alternative fuel market by pulling back the veil on excise tax complexities. Taxes may be an aggravating part of daily operations, but their accuracy is crucial in your path towards business success.

register:WEBCAST


Emerson Micro Motion Videos

Careers at TOTAL

Careers at TOTAL - Videos

More than 600 job openings are now online, watch videos and learn more!

 

Click Here to Watch

Other Oil & Gas Industry Jobs

Search More Job Listings >>
Stay Connected