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Oil prices rally amid IEA forecast

Xinhua,March 06, 2018 Adjust font size:

NEW YORK, March 5 (Xinhua) -- Oil prices rebounded on Monday as the International Energy Agency (IEA) said that global oil demand will increase by 6.9 million barrels per day (mb/d) by 2023 to 104.7 mb/d.

Boosted by economic growth in Asia and a resurgent petrochemicals industry in the United States, global oil demand will increase to 104.7 mb/d by 2023, according to the IEA on Monday.

However, oil production growth from the United States, Brazil, Canada and Norway can keep the world well supplied, more than meeting global oil demand growth through 2020, but more investment will be needed to boost output after that.

"Global oil production capacity is forecast to grow by 6.4 mb/d to reach 107 mb/d by 2023. Thanks to the shale revolution, the United States leads the picture, with total liquids production reaching nearly 17 mb/d in 2023, up from 13.2 mb/d in 2017," the IEA said in an annual report.

The West Texas Intermediate for April delivery increased 1.32 U.S. dollars to settle at 62.57 dollars a barrel on the New York Mercantile Exchange, while Brent crude for May delivery added 1.17 dollars to close at 65.54 dollars a barrel on the London ICE Futures Exchange. Enditem