Baku, Azerbaijan, April 26
By Leman Zeynalova - Trend:
For 2018, non-OPEC supply is projected to increase by 1.8 million barrels per day, the World Bank (WB) said in its Commodity Markets Outlook.
Most of the growth is expected in the United States (1.5 million barrels per day), according to the report.
“Small increases in Brazil, Canada, Kazakhstan, and the United Kingdom are expected to be partly offset by large decreases in China, Mexico and Norway. The International Energy Agency (IEA) is projecting an even larger gain in non-OPEC supply for 2019, with US output climbing by more than 1 million barrels per day,” said the WB experts.
Non-OPEC production returned to growth in 2017, increasing by almost 0.8 million barrels per day relative to 2016, said the WB.
“Output gains in the United States and Canada totaled 1 million barrels per day, while additional increases in Africa, Brazil, and Kazakhstan were more than offset by large declines in Asia and Mexico. In the second half of the year, total non-OPEC production accelerated, and averaged 1.3 million barrels per day in the first quarter of 2018. Gains this year were led by a jump of 1.5 million barrels per day in the United States,” said the report.
In December 2016, at a meeting of oil producers in Vienna, 11 non-OPEC member countries (including Azerbaijan) agreed to cut the oil production by a total of 558,000 barrels a day. The agreement was concluded for the first half of 2017 and was extended until the end of the first quarter of 2018 at a meeting on May 25, 2017.
At the last OPEC meeting in Vienna, the agreement was again extended until the end of 2018.
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