VIENNA, 16th November 2017 (WAM) – World oil demand growth is expected to rise by 1.53 million barrels per day (mb/d) in 2017 after an upward adjustment of 74,000 barrels per day (b/d) to account for the better-than-expected performance of China in the third quarter of 2017, according to OPEC Monthly Oil Market Report for November 2017.
''For 2018, global oil demand growth is expected at around 1.51 mb/d, revised up by 0.13 mb/d from the previous month’s expectations reflecting the improved expectations from OECD Europe, OECD Asia Pacific, China, India and some African countries. Total oil demand is projected to average 98.45 mb/d in 2018,'' the
For 2017, the report added, Middle East oil demand is expected to rise by 96 tb/d, while oil demand in 2018 is projected to increase by similar levels to 2017.
On the balance of supply and demand, it added OPEC crude oil production in 2017 is estimated at 33.0 mb/d, around 0.71 mb/d higher than in 2016. OPEC crude in 2018 is estimated at 33.4 mb/d, about 0.46 mb/d higher than in 2017.
The OPEC Reference Basket averaged $55.50/b in October, gaining $2.06 over the previous month and reaching the highest value in more than two-and-a-half years, with a year-to-date average of $50.68/b, the report noted.
''Throughout the month, prices were supported by rising global demand and expectations that OPEC and other participating non-OPEC producing countries would extend the agreement to adjust output and bring forward the oil market rebalance,'' it added.