A Review of the Nigerian Energy Industry

OPEC says world oil demand steady

12 April 2012, Sweetcrude, VIENNA – The Organisation of the Petroleum Exporting Countries (OPEC) has left its forecast for global oil demand growth for this year unchanged for a second month.

It said in its latest market report that there were signs that a slowdown in global economic activity is easing and that global oil demand would rise by 860,000 barrels per day in the year, same figure as previous prediction.
OPEC, which pumps more than a third of the world’s oil, had cut its growth forecast from an initial estimate 1.3 million barrels per day due to a weaker economic outlook.

It said on Thursday the outlook was levelling off, according to Reuters report.
The market report, which is written by economists from the Vienna, Austria-based organisation, said: “Some encouraging signs have pointed at a stabilisation of the slowdown in economic activity.

“The US is at present experiencing better-than-expected momentum and, along with the recovery in Japan and higher exports from Germany, this should provide some support for the global economic recovery.”

The group also reported higher supply from its members as Libya’s oil industry recovers, with production rising to 31.31 million barrels per day in March, 1.31 million barrels per day above target levels according to secondary sources, despite lower Iranian production.

In a new development, OPEC began issuing production figures as reported to OPEC headquarters by member countries. Ten members, all except Algerian and Ecuador, provided March figures.

OPEC has for many years used secondary sources to monitor its output, a legacy of past disputes about how much oil members said they were pumping.

According to the “direct communication” figures, Iran has told OPEC its output was steady in March at 3.76 million barrels per day and has risen so far in 2012, effectively denying that supply has suffered due to sanctions on Tehran.

Venezuela, which has long argued its production is higher than secondary sources say, told OPEC it pumped 2.82 million barrels per day in March, while secondary sources estimated Venezuelan production at 2.38 million barrels per day.

OPEC’s report is the third of three closely-watched forecasts on oil demand after those of the International Energy Agency and the US Energy Information Administration released in the past two days.

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  • Scott,Sure I can blame the unions . They have lost memsirbhep because the industries they used to dominate could not compete in the new world . That is why they moved into the public sector . Even there , finally they tax payers are electing governors who are reigning them in . Even Democrat governors who owe their souls to them are telling them they can no longer pillage state budgets . Their response in places like Wisconsin is similar to the Greek mobs rioting over their handouts being cut .But let us speak of BP, now that you raised it as a topic . I follow history . I tend to remember things . Up until the gulf spill BP was the Liberals favorite Big oil company . They had more green projects than almost any other evil corporation . I believe they had a Butanol plant in Britain . I can’t recall the others . That most of these never panned out is not the point . It was all about being green and buying the love of the green Marxists .Well BP forgot that they are an oil company . Producing and transporting oil is serious business. Safety and the environment has to have the top attention of upper management .At BP those guys were distracted . The Gulf spill was only the latest and greatest of BPs troubles .Their Texas refinery has had a troubled history . Their Alaska pipeline has had leaks over the years . These are not just the inevitable screw ups that happen to all big companies .Back to Germany. Do not look at the current German labor state and believe this has always been the case . Labor and management have been at each others throats in the past . This latest incarnation is very recent and is the result of past hard times . After a long period of prosperity , I will be surprised if the unions fail to remember what got them here and raise their demands . I am just the opposite on Obama and Boehner because I understand their power bases . Naturally I am biased . Boehner is perceived by his Tea Partyers as having been snookered by Obama on those last phony cuts . If it happens again Boehner will lose control of his guys ,so he won’t cave . Obama has made the political calculation that if the US defaults , the first victims , like last time , will be military families and SS receivers . He will blame Boehner . That will turn the country against Republicans and he will hold his job . This is not what is good for the country . It is about what is best for holding onto power .