Category: IEA

Oil markets rallied in mid-January as bitterly cold weather in the US pushed up demand for heating fuels, but on average benchmark prices weakened month-on-month (m-o-m). Upcoming seasonal refinery maintenance later put downward pressure on markets before prices rebounded in early February, with ICE Brent futures last trading at $109.25/bbl and NYMEX WTI at $101.25/bbl. Total OECD industry stocks plummeted by a further 56.8 mb in December, taking 4Q13 OECD stock draws to 1.5 mb/d, the steepest quarterly decline since 4Q99. At 2 559 mb, total OECD oil stocks stood 103 mb below their five year average at the end of December, while product stocks covered 28.8 days of forward demand. Global supplies fell by 290 kb/d in January, to 92.1 mb/d, on lower non-OPEC output . Supplies were up 1.50 mb/d year-on-year (y-o-y), however, as steep growth of 1.90 mb/d in non‐OPEC output and OPEC NGLs surpassed a drop of 390 kb/d in OPEC […]

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Oil inventories in advanced economies tumbled in the fourth quarter by the most since 1999 because of “surprising robustness” of demand in the U.S. and other developed nations, the International Energy Agency said. The IEA, a Paris-based adviser to oil-consuming nations, also boosted forecasts for global fuel demand this year and the amount of crude that will be required from the Organization of Petroleum Exporting Countries. Stockpiles of crude and refined products shrank by 1.5 million barrels a day in the last three months of 2013 to end the year at 2.6 billion, their lowest level since 2008, the IEA said. “Far from drowning in oil, markets have had to dig deeply into inventories to meet unexpectedly strong demand,” the agency said. “A glut is looking increasingly elusive. U.S. demand strength likely reflects in part a structural response to the country’s supply bounty,” as surging shale oil output lowers […]

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Global oil consumption during fourth-quarter 2013 was adjusted to 92.1 million b/d, according to the International Energy Agency’s most recent Oil Market Report. The total, which marks a 135,000-b/d upward revision from last month’s OMR report, was adjusted because of exceptionally strong US demand since October, partly offset by reduced Chinese fourth-quarter 2013 demand. Global demand for 2014 is expected to rise by 1.3 million b/d to 92.5 million b/d from the 1.2 million b/d rise now envisaged for 2013, to 91.2 million b/d, “an acceleration supported by the likelihood of stronger macroeconomic momentum as the year progresses, IEA said. Led by Saudi Arabia and the UAE, crude oil supply from the Organization of the Petroleum Exporting Countries rebounded by 310,000 b/d to 29.82 million b/d in December, reversing 4 months of declines. Iraq was the only member to post a decline. Non-OPEC supplies for the month fell by […]

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  Crude oil markets firmed in December on seasonally stronger winter demand in the Atlantic basin. Brent prices were supported by continued supply outages in Libya while WTI reflected a surge in domestic refinery throughputs. Prices eased in January, though, with WTI last trading at $93.70/bbl and Brent at $106.35/bbl. The estimate of 4Q13 global oil demand was raised by 135 kb/d on unexpectedly strong US deliveries, partly offset by curtailments in China and elsewhere. For 2013 as a whole, growth is estimated at around 1.2 mb/d, accelerating to 1.3 mb/d in 2014 as the economy continues to recover. Global supplies inched down by 25 kb/d month-on-month in December to 92.23 mb/d, with a seasonal fall in […]

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Global oil demand will increase more this year than previously forecast, the International Energy Agency said. A ban on U.S. crude exports may crimp output growth, the Paris-based group said. World consumption will climb by 1.3 million barrels a day, or 1.4 percent, to 92.5 million barrels a day, the IEA said today in its Oil Market Report. The increase of 90,000 barrels a day from last month is the first year of annual demand growth in developed nations since 2010, it said. U.S. restrictions on exports may mean its surging domestic production hits a “crude wall” that curbs further expansion, the IEA said. “Upside risks to oil demand growth are much more relevant this year than the same period last year, where concerns were for downside risks to materialize,” Miswin Mahesh, an analyst at Barclays Plc in London , said by e-mail yesterday. “Demand-supply metrics in the oil […]

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Surging U.S. oil production could hit a wall in the coming years if the country maintains its ban on crude exports, the International Energy Agency said. America’s crude output has surged in recent years, driven by a boom in shale oil production. Last year, the country’s oil production rose 15%, the fastest absolute annual growth in any country in 20 years. By next year, the IEA estimates imported oil of a similar quality to the crude produced from shale could be almost entirely backed out of U.S. coastal refineries. However, the U.S. tightly regulates exports of its oil, limiting the market for its new oil supply. "The growing volumes of light tight oil that cannot leave North America are increasingly posing a challenge to industry, putting the spotlight on the U.S. crude oil export ban," the IEA said in its monthly oil market report. For now, refinery, pipeline and […]

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Shale Gas Costing 2/3 Less Than OPEC Oil Converges With U.S. US demand for oil grew by more than China’s last year for the first time since 1999 according to the International Energy Agency, in a startling indication of how abundant energy supplies are driving an economic resurgence in the US. The IEA – the rich world’s energy club whose forecasts are the gold standard for the energy market – said US oil demand grew by 390,000 barrels a day or 2 per cent last year, reversing years of steady decline. Chinese demand grew by 295,000 b/d, the weakest in at least six years. Oil demand figures are closely followed as indicators of economic growth, because use of fuels such as gasoline and diesel indicate the strength of industrial and consumer activity.  As China’s economy has boomed over the past decade its oil demand has surged, while US consumption […]

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The International Energy Agency said Wednesday from Paris it expected crude oil demand to increase at the same time production from non-OPEC members rises. The IEA published its oil market report for December. It raised its estimate of global crude oil demand for 2013 because economies in the 34-member Organization for Economic Cooperation and Development performed well during the third quarter of the year. OECD members include the United States and Canada, two countries leading in terms of oil production from states outside the Organization of Petroleum Exporting Countries. OPEC, in its monthly market report for December, said it expected OECD economies to grow 1.9 percent next year, compared to the 1.2 percent growth rate for 2013. World economic growth is expected to increase from 2.9 percent in 2013 to 3.5 percent next year. Economic growth typically translates to a higher demand for petroleum […]

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