Supply of oil at record highs, at 100 million barrels a day for the “first time ever”; expected to grow

Not only did oil supply reach a new record, at 100 million barrels a day, but demand is also expected to increase through 2019, according to the International Energy Agency. Despite moves into greener energy solutions, oil continues to surge in production, particularly in OPEC nations and the U.S.

The agency indicated that production will only moderate because of bottlenecks in supply, not reduction in demand. OPEC (Organization of Petroleum Exporting Countries) still represents at least 33 per cent of production.

Although there were declines in Iran — who face U.S. sanctions — output increased in other countries, such as Saudi Arabia, Nigeria, Iraq and Libya. There may be pressure on prices due to reduced Iranian and Venezuela exports.

 

 

Although demand slowed, especially in Europe and Asia, the forecast from the agency remains steady, with demand projected to increase by another 1.4 million barrels a day in 2018 and 1.5 million in 2019. Long-term forecasts do project an overall peaking demand by 2036, in part due to the growing shift towards electric vehicles and hybrid.

 

Other Popular Stories

  • Russian leasing company orders 42 CSeries jets from Bombardier
  • BC refinery close to financing deal
  • Bombardier nearly ready to flight test CSeries
  • Canadian oil production up; producers turning to railways for shipment
  • GM investing $250 million at Ingersoll plant
  • Skilled labour shortage in world oil industry: report
  • Bombardier holds update on CSeries aircraft
  • Volkswagen to produce super-efficient hybrid
  • Miners struggling with higher costs, lower prices
  • Pratt & Whitney Canada announces helicopter engine contracts
  • Manufacturing the sole industry showing job losses in February
  • Japex to buy into west coast LNG development
  • FTG Aerospace to supply avionics to Rockwell Collins
  • SPPCA's new landing gear facility opening in Mississauga
  • Clean energy expected to surge as pv costs drop
  • DART Aerospace re-branding itself to reach wider markets
  • Canadian business, except energy, had profitable Q4: Statistics Canada
  • Economy managed slight growth in Q4, but shrank in December
  • RV industry has growing role in Canada's economy: study
  • Canada keeping up pressure on US for Keystone XL approval
Scroll to Top