The oil supply in the non-OPEC countries is expected to fall by 3 million bpd in 2020, while next year it is forecast to experience "a modest recovery" of 0.7 million bpd, the International Energy Agency (IEA) said on Friday
MOSCOW (Pakistan Point News / Sputnik - 10th July, 2020) The oil supply in the non-OPEC countries is expected to fall by 3 million bpd in 2020, while next year it is forecast to experience "a modest recovery" of 0.7 million bpd, the International Energy Agency (IEA) said on Friday.
"If [the OPEC+] cuts stay in place as agreed through April 2022 and full compliance is met, global oil supply could fall by as much as 7.1 mb/d on average in 2020 before seeing a modest recovery of 1.7 mb/d in 2021. Non-OPEC supply looks on track to decline by 3 mb/d on average in 2020 and by as much as 5.4 mb/d by 4Q20, before posting a modest recovery in 2021 of around 0.7 mb/d," the report read.
The OPEC+ countries have introduced oil output cuts in May in order to stabilize the oil market, which suffers from a massive crisis due to the COVID-19 pandemic. The OPEC+ was joined by the United States, Canada and Norway, among others, who have voluntarily cut their production as well in an effort to keep the oil prices afloat.
