OPEC said it was revising its forecast of world oil demand growth in 2016 downwards by 50,000 barrels/day and now expects the demand to grow by around 1.2 million barrels a day in comparison with 2015.
“For 2016, global oil demand growth is anticipated to be around 1.20 mb/d, representing a minor downward revision of 50 tb/d from previous expectations, mainly reflecting the slower economic momentum in Latin America,” it said in its monthly report for April.
The report said that in 2015, oil demand totalled 92.98 mb/d, which was 1.54 million barrels/day more than a year earlier. Non-OPEC supply growth in 2015 has been revised up slightly to stand at 1.46 million barrels/day to average 57.13 mb/d.
At the same time, the organisation lowered its forecast for oil production by non-OPEC countries by 30,000 barrels a day. OPEC experts the decline in oil production by 730,000 barrels a day to 56.39 million barrels/day.
According to the report, Demand for OPEC crude in 2015 is estimated at 29.7 million barrels/day, unchanged from the previous month and 0.1 million barrels/day lower than the year before.
In 2016, demand for OPEC crude is projected at 31.5 million barrels/day, broadly unchanged from the previous report and 1.8 million barrels/day higher than last year.
OPEC said OECD commercial oil stocks fell in February to stand at 3,026 million barrels. At this level, OECD commercial oil stocks are around 351.8 million barrels above the latest five-year average, with crude and products indicating a surplus of 240.7 million barrels and 111.1 million barrels, respectively. In terms of days of forward cover,
OECD commercial stocks stood at 66.4 days, some 7.4 days higher than the latest five-year average, the OPEC report said.