Global oil demand at highest since pandemic

Oil consumption exceeds its pre-pandemic level according to Opec. Despite growing concerns about climate change, global demand for oil is not waning. Developing countries will drive growth, while China is expected to support demand in 2023.

Partagez:

According to the Organization of the Petroleum Exporting Countries (Opec), global oil demand has not only returned to pre-pandemic levels, but even exceeded them by the end of 2022. In the last quarter of 2022, global oil demand passed the 100 million barrel per day mark at 101.17 million barrels per day. Opec also expects further demand growth in 2023, mainly driven by China.

 

Fossil fuel consumption does not decrease despite climate change

Despite the increased awareness of the effects of climate change, the consumption of fossil fuels does not seem to be decreasing. Instead, carbon emissions from fossil fuels, including oil, are expected to continue to rise until about 2025 before beginning to decline.

 

China, Asia and the Middle East are the main growth drivers

Non-OECD oil demand is expected to increase by 2 mb/d and exceed pre-pandemic levels for the second year in a row, driven mainly by China, Asia and the Middle East. In China, annual oil requirements fell last year, but the end of the zero Covid policy in December should support demand in 2023, according to Opec.

Demand growth slows in developed OECD countries

In the developed OECD countries, oil demand growth is expected to slow to about 0.4 mb/d in 2023, following a 1.3 mb/d increase in 2022. Demand from the Americas is expected to drive growth, while demand from Europe and Asia-Pacific is expected to stagnate, according to Opec.

  • Populaires ​
Cheniere Energy Approves Expansion of Corpus Christi LNG Terminal for 2029
Emeren Group signs definitive merger agreement to go private
Eni, BP and TotalEnergies partially evacuate Iraq; Lukoil maintains operations
Russia ready to deliver liquefied natural gas to Mexico
Seoul freezes electricity rates amid LNG supply risk concerns
Chinese independent refiners poised to increase fuel oil imports
The anticipated increase in the tax deduction rate may encourage independent refineries in Shandong to restart fuel oil imports, compensating for limited crude oil import quotas.
Petro-Victory launches fully-funded drilling campaign in Brazil
Petro-Victory Energy Corp. starts drilling of the AND-5 well in the Potiguar Basin, Brazil, as the first phase of an operation financed through its strategic partnership with Azevedo & Travassos Energia.
Port of Corpus Christi expands capacity for large oil tankers
The Texan Port of Corpus Christi has completed major widening and deepening work designed to accommodate more supertankers, thus strengthening its strategic position in the US market for crude oil and liquefied natural gas exports.
BP Prudhoe Bay Royalty Trust puts Prudhoe Bay royalty up for sale
BP Prudhoe Bay Royalty Trust is offering its interest in Prudhoe Bay, North America’s largest oil field, as part of its planned dissolution, assisted by RedOaks Energy Advisors for this strategic asset transaction.
CNOOC partners with KazMunayGas to explore the Zhylyoi subsoil area
CNOOC Limited’s Hong Kong subsidiary and KazMunayGas have concluded a nine-year exploration and production contract covering nine hundred and fifty-eight square kilometres in Kazakhstan, sharing investment and operations equally.
Trump authorizes China to buy Iranian oil, shaking global oil markets
Donald Trump announced that the United States will no longer oppose Chinese purchases of Iranian oil, immediately triggering a drop in global crude oil prices and profoundly reshaping international energy trade partnerships.
Canadian oil sands production poised to reach record high
Research firm S&P Global Commodity Insights lifts its outlook for the fourth straight year, betting on three point five mn barrels per day from 2025 despite lower prices.
Enbridge Considers Adding Capacity to Export More Oil to Gulf Coast
Enbridge plans to expand its infrastructure to increase oil transportation from the American Midwest to the Gulf Coast, anticipating rising exports and addressing current market logistical constraints.
US oil stocks fall by 3.1 mn barrels, surprising markets
US commercial crude inventories significantly decline by 3.1 million barrels, widely surpassing initial forecasts and immediately pushing international oil prices higher.
UK reserves underestimated, GBP 165 billion opportunity according to Offshore Energies UK
The UK could have hydrocarbon reserves twice as large as current official estimates, according to Offshore Energies UK, highlighting the impact of fiscal policies on forecasts and the economic future of the North Sea.
Chinese Refineries Cautious Amid Iran-Israel Tensions Threatening Oil Supply
Chinese independent refineries remain cautious amid rising Iranian crude prices driven by escalating Iran-Israel tensions, potentially threatening access to the strategic Strait of Hormuz.
Gazprom offers Pakistani company Nigerian assets to boost Asian expansion
Gazprom, affected by a historic $6.9bn loss in 2023, is offering Pakistani state-owned firm OGDCL its petroleum assets in Nigeria to strengthen its presence in Asia’s energy market, according to Pakistani sources.
Trump Warns of Oil Price Surge Following Strikes Against Iran
Donald Trump urges control of oil prices following U.S. military action against Iranian nuclear facilities, amid escalating tensions around the strategic Strait of Hormuz, threatening to significantly impact global markets.
PermRock Royalty Trust distributes $539,693 following decline in oil sales
PermRock Royalty Trust announces a monthly distribution of $539,693 to unit holders, impacted by reduced oil volumes and prices in April, partly offset by increased natural gas sales.
Permian Basin Royalty reduces June distribution due to high costs
Permian Basin Royalty Trust announces a reduced distribution for June due to ongoing excess costs at Waddell Ranch properties and lower volumes from Texas Royalty Properties.
Norway: Johan Castberg oil field reaches full capacity in three months
Three months after starting production, Norway’s Johan Castberg oil field, located in the Barents Sea, reaches its full capacity of 220,000 barrels per day, significantly increasing energy supplies to Europe.
Iraq Suspends Oil Projects Amid Regional Conflict and Strained Logistics
The Middle East conflict forces Iraq to delay certain oil developments, disrupting field operations despite temporary stability in production and exports amid growing logistical tensions.
United States Identifies 29 Billion Barrels Untapped Through New Technologies
New U.S. estimates reveal nearly 29 billion barrels of oil and 392 Tcf of technically recoverable natural gas on federal lands, marking significant progress since the last assessment in 1998.
UK Sanctions 20 “Shadow Fleet” Tankers and Rosneft Marine
The United Kingdom tightens sanctions against Russia's oil sector by targeting twenty tankers operating in the "shadow fleet" and Rosneft Marine, amid rising crude prices exceeding the G7-imposed price cap.
Vallourec secures $50mn OCTG contract for drilling operations in Qatar
French manufacturer Vallourec will supply Qatar with premium OCTG tubes in a contract worth an estimated $50 million, supporting the planned expansion of oil and gas operations by 2030.

LEGAL

FOSSILS

POLICY

RENEWABLE

PLUS

© XMARKET PUBLISHING

Welcome

Your subscription

Included in this subscription:

COMMUNICATE ON ENERGYNEWS