Arab Today, arab today ieaoil supply risks offset higher output capacity
Last Updated : GMT 16:04:17
Arab Today, arab today
Arab Today, arab today

IEA : Oil supply risks offset higher output capacity

Arab Today, arab today

Arab Today, arab today IEA : Oil supply risks offset higher output capacity

Paris - AFP

Growth of global thirst for oil should slow to 2016, the IEA said on Friday, but Middle East tension and supply risks might prevent prices from falling. The International Energy Agency now expects global demand for oil to grow by half a million barrels a day less than previously estimated. It stressed uncertainty on every front and said that the oil market was now at a \"crossroads\". But global thirst for oil will still increase by 1.2 percent or 1.1 mbd per year over the next five years, to 95.7 mbd from 89.0 mbd in 2011, a statement said. The IEA spoke cautiously of a \"seemingly more benign medium-term market outlook,\"based in part on increased OPEC output. The agency set its outlook \"against the backdrop of sluggish economic growth and increasing energy efficiency,\" particularly in advanced economies. There was great uncertainty over the trend of prices, which remained firm because of potential threats to Gulf supplies, the agency said, a result of sanctions on Iran related to Tehran\'s nuclear ambitions. \"The reality of Middle Eastern and North African geopolitical risk\" has become \"a concrete and immediate possibility,\" the IEA said. Last year, a \"string of supply disruptions, in Syria, Yemen, Sudan, the North Sea, Brazil and the Gulf of Mexico, illustrated the possibility of a ‘perfect storm’ of coincidental disruptions in many oil provinces,\" it added. The agency highlighted a major shift in energy production owing to the development of North American resources which have resulted in \"some of the lowest energy costs on the planet in the form of cheap natural gas.\" The IEA, which was set up to help establish energy policies in major oil consuming nations, nonetheless said in a separate report that \"oil prices in general remain elevated, and in parts of North America retail product prices are spiking near record highs.\" On the demand side, that from non-OECD economies is expected to overtake OECD members as early as 2014, led by Asia, the former Soviet Union and the Middle East. IEA executive director Marioa van der Hoeven said: \"The oil market is at a crossroads. On each and every front - technology, geopolitics, the economy - potentially game-changing developments are taking place.\" Estimated consumption rates both now and in coming years were adjusted downwards meanwhile, and the IEA noted that \"even China, the main engine of demand growth in the last decade, is showing signs of slowing down.\" On Monday, the Organisaton for Economic Cooperation and Development said it expected that \"most major economies will continue to see weakening growth in coming quarters.\" The International Monetary Fund has also cut its global economic growth forecasts for 2012 and 2013 while the World Bank has slashed its growth estimates for developing countries in East Asia and the Pacific. Oil fuels economic growth and the demand trend and prices are often good indicators of how economies are performing and where they are heading. Looking at oil production, the IEA highlighted in its medium-term oil market report increasing output from Libya and Iraq, along with a surge in North America that it said was \"redrawing the oil map.\" The agency forecast that production of biofuels would grow by half a million barrels per day over the medium term, \"with volumes rising from 1.9 mbd in 2011 to 2.4 mbd in 2017.\" The Organization of Petroleum Exporting Countries, which accounts for most of the world\'s oil supply, was rebuilding spare capacity and the IEA said that this \"could be said to signal a return to more ‘normal‘ market conditions than we had become accustomed to.\" But it stressed that while the world was witnessing a rebalancing of supply and demand, it \"will be accompanied with such sweeping changes in regional balances that it is more likely to feel like uncharted territory than familiar ground.\"

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today ieaoil supply risks offset higher output capacity Arab Today, arab today ieaoil supply risks offset higher output capacity

 



Arab Today, arab today

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today ieaoil supply risks offset higher output capacity Arab Today, arab today ieaoil supply risks offset higher output capacity

 



Arab Today, arab today France defies terrorism through tourism

GMT 15:18 2017 Saturday ,20 May

France defies terrorism through tourism
Arab Today, arab today Mai Al-Jeddawi presents décor ideas for Ramadan

GMT 06:08 2017 Sunday ,18 June

Lower oil prices set to test US shale driller

GMT 05:10 2017 Wednesday ,14 June

Oil prices edge down

GMT 05:22 2017 Tuesday ,13 June

Oil rises as investors buy into US crude

GMT 15:11 2017 Saturday ,10 June

Oil prices steady despite supply glut

GMT 14:28 2017 Sunday ,04 June

Kuwait oil price down 52 cents to USD47.83 pb
View News in Arabic - Business: نفط وبتروكيماويات
Arab Today, arab today
Arab Today, arab today

GMT 09:49 2017 Tuesday ,02 May

Girl barred from Malaysia chess competition

GMT 08:48 2017 Saturday ,06 May

Climate science: Bad news gets worse

GMT 16:25 2017 Sunday ,04 June

“Suhoor” is basic meal for fasting

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons

GMT 11:09 2017 Sunday ,25 June

HUAWEI P10 the ‘guru’ of portrait shots
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday