The EIA highlights supply/demand balances from the June Short Term Energy Outlook (released last week) which is worth repeating:
”In the June Short-Term Energy Outlook (STEO), we forecast that rising global production of petroleum and other liquid fuels (driven by OPEC, Russia, and the United States) will limit price increases for global crude oil benchmarks Brent and West Texas Intermediate (WTI). We forecast production will increase more rapidly than consumption, ending the large global stock draws seen in the first two quarters of 2021 and limiting upward crude oil price movement.
At its June 1 meeting, OPEC+ (which includes OPEC members and several non-member countries) reaffirmed its commitment to continued production increases in the coming months. We forecast OPEC’s annual production to average 26.9 million barrels per day (b/d) in 2021 and 28.7 million b/d in 2022. We also forecast that production of petroleum and other liquids in Russia, an OPEC+ participant, will increase and that annual production will average 10.7 million b/d in 2021 and 11.5 million b/d in 2022.”
Leave a Reply