IEA expects moderate growth in world oil supply in 2023

Economy Materials 16 February 2023 12:14 (UTC +04:00)
Maryana Ahmadova
Maryana Ahmadova
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BAKU, Azerbaijan, February 16. Global oil supply is forecast to increase by 1.2 million barrels per day (mb/d) to reach 101.3 mb/d, Trend reports citing the latest oil market outlook from the International Energy Agency (IEA).

According to the forecast, the growth will be mainly due to increased production from non-OPEC+, namely, from the US, Brazil, Norway, Canada and Guyana.

However, as the IEA noted, this is a significant slow down, compared to 2022 growth of 4.7 mb/d, when OPEC+ slowly recovered from its supply cut in 2020.

"An overall non-OPEC+ increase of 1.8 mb/d will be tempered by an OPEC+ decline of 590,000 b/d with Russia pressured by sanctions. Output from the bloc, excluding Russia, could rise by 460,000 b/d - as Libya stabilizes and Nigeria recovers," the report added.

Meanwhile, the IEA noted that world liquids supply in January 2023 increased slightly by just 10,000 b/d month-on-month to 100.8 mb/d.

"The January pause followed a steep 1.2 mb/d loss at the tail end of 2022 led by the US and Saudi Arabia – reversing growth that spurred a post-pandemic peak in October. In January, OPEC+ volumes fell by 130 kb/d but were offset by gains of 140 kb/d from producers outside the bloc (non-OPEC+)," the report added.