Oil Market Report
Highlights (19 January 2016) Markets were routed in December as persistent oversupply, bloated inventories and a slew of negative economic news pressured prices so that by mid-January crude oil touched Continue Reading
IEA says oil market to remain oversupplied until late 2016
Unseasonably warm weather and rising supply will keep the crude oil market oversupplied until at least late 2016, the International Energy Agency said in its monthly report on Tuesday. Warm Continue Reading
IEA Sees Risk of World Drowning in Oil
The IEA trimmed 2016 estimates for global oil demand as China’s economic expansion weakens and raised forecasts for supplies outside the Organization of Petroleum Exporting Countries. While non-OPEC supply is Continue Reading
IEA Says Oil Market Could ‘Drown in Oversupply’
Oil prices could fall further this year as the market faces an “enormous strain” on its ability to absorb new supplies from producers such as Iran, a top world energy Continue Reading
IEA warns oil market could ‘drown in oversupply’
The oil market “could drown in oversupply” as Iran’s return offsets production cuts, paving the way for a further slide in prices, the world’s leading energy forecaster said on Tuesday. Continue Reading
Oil Market Report
Benchmark crudes approached seven-year lows in early December after OPEC opted to continue producing at will to defend market share. Unrelenting oversupply in world markets had already weakened benchmarks during Continue Reading
IEA sees oil glut worsening as demand growth slows
Global oil markets will remain oversupplied at least until the end of 2016 as demand growth slows and OPEC output booms, putting oil prices under further pressure, the International Energy Continue Reading
Mexico asks to join IEA
Mexico submits request to join the International Energy Agency, saying doing so would advance energy security interests. Photo by tcly/Shutterstock PARIS, Nov. 17 (UPI) — Mexico’s secretary of energy said from Paris his country submitted a formal request to join the Western-backed International Energy Agency. Founded in the wake of an Arab oil embargo in the 1970s, Mexican Energy Secretary Joaquin Coldwell said joining the Paris-based IEA would advance regional interests . "The IEA offers a forum to develop joint answers and global co-operation schemes to guarantee energy security, promote economic development and foster environmental sustainability worldwide," the secretary said in a statement. Mexico is the second-largest economy in Latin America and the fourth-largest producer in the region, after the United States, Canada and Brazil, respectively. The government recently auctioned off rights to 14 tracts covering an estimated 2,600 square miles with reserve estimates of around 686 million barrels […]
IEA sees bear oil market as stocks balloon
A drop of diesel is seen at the tip of a nozzle after a fuel station customer fills her car’s tank in Sint Pieters Leeuw December 5, 2014. The world is awash with oil having built record stockpiles in recent months and slowing demand growth combined with resilient non-OPEC supply could worsen the glut well into next year, the International Energy Agency (IEA) said on Friday. "Stockpiles of oil at a record 3 billion barrels are providing world markets with a degree of comfort," the IEA said in a monthly report, adding brimming stocks offer an unprecedented buffer against geopolitical shocks or unexpected supply disruptions. Oil prices have more than halved in the past 18 months with supply bolstered by U.S. shale oil output and OPEC’s refusal to cede market share. [O/R] The IEA said global oil supplies breached 97 million barrels per day in October, up 2.0 million […]
IEA Sees No Oil Price Rebound For Years
Oil prices are likely to stay below $80 per barrel for another five years, according to a closely watched energy report. The International Energy Agency released its 2015 World Energy Outlook (WEO), with predictions for energy markets out to 2040. Although there are no shortage of caveats, the IEA projects that oil prices will only rebound slowly and intermittently, and the supply overhang will slowly ease through the rest of the decade. In its “central” scenario, it sees oil prices rebalancing in 2020 at $80 per barrel, with increases in the years following. At issue, as always, is supply and demand dynamics. The IEA estimates that the oil industry will slash upstream investment by 20 percent in 2015, which will cut into long-term supply figures. Non-OPEC supply will peak before 2020 as a result of much lower investment, topping off at 55 million barrels per day. U.S. shale will […]