29 August 2016, Vienna — International crude oil prices hovered at $45 a barrel amid falling demand and an excess of supply according to the latest report by the International Energy Agency writes JOHN SAMBO.
‘Crude oil prices eased to around $45 per barrel in August as a global supply overhang weighed and demand growth weakened.
‘Global oil demand growth is expected to slow from 1.4 million barrels per day (mb/d) in 2016 to 1.2 mb/d in 2017, as underlying support from low oil prices wanes. The 2017 forecast – though still above-trend – is 0.1 mb/d below our previous expectations due to a dimmer macroeconomic outlook. The 2016 outlook is unchanged from last month’s report,’ the report issued last week states.
The United States Energy Information Administration (EIA) estimates that Organisation of Petroleum Exporting Countries (OPEC) revenues have dropped by $341 billion this year.
The Oil Market Report (OMR) is a monthly IEA publication which provides a view of the state of the international oil market and projections for oil supply and demand 12 to 18 months ahead. Same period last year, the price was $50.
- East Africa Business Week