OPEC downgraded the forecast for the fall in oil demand in 20g to 90.2 million barrels per day

OPEC downgraded the forecast for the fall in oil demand in 20g to 90.2 million barrels per day

OPEC downgraded the forecast for the fall in oil demand in 20g to 90.2 million barrels per day

MOSCOW (Reuters) – The Organization of the Petroleum Exporting Countries (OPEC) has again lowered its forecast for global oil demand in 2020 and now expects it to fall by 9.46 million barrels per day from last year's level to 90.23 million barrels per day, according to the September OPEC report.

In August, OPEC expected a decrease in demand in 2020 by 9.06 million barrels per day to 90.63 million barrels per day.

Demand forecast was downgraded due to weaker-than-expected recovery in consumption in Asia, mostly in India.

OPEC predicts that in 2021 world oil demand will grow by 6.62 million barrels per day to 96.86 million barrels per day. In August, the cartel expected demand to rise by 7 million barrels per day to 97.63 million barrels per day.

In addition to the further possible negative impact on the market of the COVID-19 pandemic, OPEC in its forecast for 2021 takes into account the risk of a slowdown in the recovery of demand in Asia.

OPEC has reduced expectations for oil demand in the third quarter of this year to 91.45 million barrels per day from previous estimates of 92.10 million barrels per day, in the fourth – to 95.08 million barrels per day from 95.83 million barrels per day …

On average, in 2019, global oil demand was 99.69 million barrels per day.

OPEC expects non-OPEC countries' production of liquid hydrocarbons in 2020 to fall by 2.7 million barrels per day in annual terms to 62.5 million barrels per day.

The current forecast was revised upwards by 0.36 million barrels per day on the back of faster-than-expected growth in US production in June, when the country added 1 million barrels per day in liquid hydrocarbons production compared to the previous month. In addition to the United States, recovery of raw materials production is taking place in Canada and Latin America, OPEC said.

OPEC does not give a forecast for its own oil production in 2020, but notes that in August, production of 13 cartel member countries increased by 0.76 million barrels per day compared to July to 24.05 million barrels per day.

The main growth was in Saudi Arabia, UAE, Kuwait, Algeria and Angola.

In 2019, the OPEC cartel produced 29.34 million barrels per day, according to the results of the first quarter of this year – 28.28 million barrels per day, in the second quarter – 25.61 million barrels per day, follows from the organization's data.

At the same time, OPEC predicts a drop in oil and gas condensate production in Russia in 2020 by 1.1 million barrels per day compared to 2019 to 10.3 million barrels per day.

(Olesya Astakhova. Editor Anastasia Lyrchikova.)

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