OPEC Countries Fulfill 144% Vienna Agreement in July
At the same time, 11 OPEC countries participating in the Vienna agreement to reduce production in July reduced production by 1.173 million barrels per day to the base level adopted in the agreement. Thus, in July their total daily production amounted to 25.57 million barrels compared to 26.75 million barrels in October 2018. Under the terms of the agreement, they were supposed to reduce production by 812 thousand barrels per day. Consequently, in July, obligations were fulfilled by 144%.
The Organization of Petroleum Exporting Countries lowered its forecast for growth in global oil demand in 2019 by 40 thousand barrels per day compared with the July estimate to 1.1 million barrels per day against the background of weaker oil consumption in the Americas, Asia and countries The Middle East.
At the same time, the forecast for demand growth in 2020 was maintained at the same level - 1.14 million barrels per day. However, OPEC sees the likelihood that this forecast will be lowered against the background of geopolitical difficulties and uncertainties in the global economy. The forecast for growth in oil supplies from non-OPEC countries in 2019 also underwent a decrease. The estimate is reduced by 72 thousand barrels per day, to 1.97 million barrels per day due to falling production in the USA, Brazil, Thailand and Norway.
According to the results of 2019, oil production in Russia may reach 11.39 million barrels per day, which is 50 thousand barrels per day more than in 2018, and in 2020. production can reach 11.49 million barrels per day, the organization’s report said.