Reuters quoted an OPEC + source that the Joint Technical Committee expects inventories to be below media for the years 2015-2019 until May 2022 and not January 2022.
A document seen by Reuters showed that the OPEC + Joint Technical Committee expects the oil market to remain in a deficit of 0.9 million barrels per day questyear, but will record a surplus of 2.5 million barrels per day in 2022 as the group increases production.
The committee predicts that world oil demand will grow by 5.95 million barrels per day quest’year, in in line with previous forecasts, and 3.28 million barrels per day next year.
The OPEC + group, which includes member states of the Organization of the Petroleum Exporting Countries (OPEC) and its allies, will meet tomorrow, Wednesday at 15:00 GMT, to determine policy.
Sources told Reuters Wednesday’s meeting will likely keep the plan unchanged despite US pressure to pump more oil.
The Joint Technical Committee, which advises the meeting on market fundamentals, predicts that commercial oil stocks in OECD countries will remain below their media for 2015-2019 until January next year, but they will exceed tale media for the remainder of 2022, he revealed. document.
Oil is set to record its largest monthly loss since October as investors consider the possibility of further OPEC + production and a resumption of US crude oil production following Hurricane Ida.
US West Texas Intermediate crude futures fell five cents, or 0.07%, to $ 69.16 a barrel. It’s down about 7% this month. While crude oil producers in the Gulf of Mexico are expected to gradually resume service after Hurricane Ida in Louisiana, local refineries may be slower to return. Meanwhile, economic data from China showed the impact of a variable delta outbreak in August.
Regarding Brent crude oil futures contracts for delivery in October, in expiry today, Tuesday, they too fell by 3 cents, or 0.04%, to 73.38 dollars a barrel, after having increased yesterday, Monday, by about 1%. The most active November contracts fell 3 cents, or 0.4%, to $ 72.20.
Prices have come under pressure from the possibility that a prolonged closure of refineries would reduce oil demand.
Hurricane Ida has stopped or reduced production in six Louisiana refineries processing 1.92 million barrels per day of crude oil, or about 12% of the US refining capacity.
Hundreds of oil production facilities were evacuated before the storm and nearly all of the US oil production from the Gulf of Mexico, or 1.72 million barrels per day, was shut down.