The Organization of Petroleum Exporting Countries raised its forecast for crude oil demand, adding that production by members rose by nearly 90,000 b/d in September despite production-cut targets by OPEC members and some other major producers.
The statistics came in OPEC’s latest Monthly Oil Market Report, which analysts say complicates efforts by the cartel and other major producers to limit output and reduce world oil supplies. The September production was 32.75 million b/d, which was about 100,000 b/d higher than the average in 2016.
OPEC also noted an increase of 31,000 b/d by non-OPEC countries in September, which it attributed to rising US production.
OPEC raised its forecast for world oil demand growth to 1.5 million b/d in 2017 and 1.4 million b/d in 2018.
Regarding oil prices, OPEC expects Brent will remain at $50-55/bbl next year. Brent traded higher near $57/bbl on Oct. 11.