Baku, Azerbaijan, Dec.14
By Leman Zeynalova – Trend:
Non-OPEC oil supply growth for 2017 now stands at 0.81 million barrels per day (mb/d), said OPEC in its December Oil Market Report.
It represents an upward revision of 0.15 mb/d from the previous OPEC report.
“Non-OPEC oil supply growth in 2017 performed well above initial market expectations to now stand at
0.81 mb/d. Higher-than-expected supply growth in the US, Canada and Kazakhstan have been the key
contributors to the upward revisions, particularly US tight oil. As a result, US oil output is now expected to grow at 0.61 mb/d this year,” said the report.
The cartel expects that the momentum seen this year is expected to continue in 2018 on the back of increased investment in US tight oil and improved well efficiency.
Higher output from Canada, due to already sanctioned oil sands projects, will also contribute to next year’s growth, said OPEC.
“As a result, for 2018, the forecast for non-OPEC supply growth has been revised up by 0.12 mb/d to now stand at 0.99 mb/d. The forecast is associated with considerable uncertainties, particularly regarding US tight oil developments,” said the report.
---
Follow the author on Twitter: @Lyaman_Zeyn