OPEC Announced Its Global Oil Demand Forecast

OPEC announced its global oil demand forecast. OPEC predicted that oil demand will increase by about 6 million daily.

The Organization of Petroleum Exporting Countries (OPEC) reported that global oil demand will be 96 million 500 thousand barrels this year, an increase of approximately 6 million barrels on a daily basis compared to last year. According to the organization's oil market report for March, the reason for the forecast increase in demand was the stronger economic recovery prospects. Fuel consumption is expected to be the main factor in the recovery in demand with the start of the summer season, where vehicle use is predicted to increase. In addition, it is stated in the markets that the risk will remain high until the end of the year, depending on the course of the epidemic and the speed of achieving herd immunity targets. In the light of these expectations, the demand for OPEC crude oil is expected to increase by 4 million 900 thousand barrels per day compared to the previous year, to be approximately 27 million 400 thousand. It is predicted that global oil demand will increase by 6 million barrels (6.58 percent) on a daily basis in this period and reach approximately 96 million 500 thousand barrels.

OPEC's Oil Production Rises in March

According to OPEC's report, the global oil supply reached approximately 93 million 230 thousand barrels with an increase of 1 million 220 thousand barrels per day compared to the previous month. OPEC's daily crude oil production was recorded at the level of approximately 25 million 40 thousand barrels with an increase of 200 thousand barrels per day in the said period. With this increase, OPEC's share in global oil production was 26.9 percent in March. During this period, crude oil production within OPEC increased the most in Iran, while the biggest decrease was observed in Saudi Arabia. Daily production increased by 137 thousand barrels in Iran last month compared to the previous month, and decreased 33 thousand barrels in Saudi Arabia. Daily oil production in non-OPEC countries increased by 1 million 20 thousand barrels in the same period, reaching the level of 68 million 190 thousand barrels. On the other hand, the number of drilling rigs worldwide decreased by 42 to 1339 in March compared to the previous month. 355 of these towers are located in OPEC member countries.