IEA OMR: Lowers 2022 global oil demand estimate by 260k BPD on COVID in China and lower OECD demand. February global stocks 714mln/bbl below the end-2020 level, OECD accounts for 70% of the decline
Important
SourceNewsquawk
SectionEnergy & Power
General Commentary
- Lower demand, and increased output from OPEC+ and beyond alongside IEA stock releases should prevent a sharp deficit.
- OPEC+ countries have insisted that no supply shortages exist.
- OECD industry stocks fell by 42.5mln/bbl to 2.611bln/bbl in February, almost double the seasonal trend.
Russia-related Commentary
- Russian oil supply is expected to fall by 1.5mln BPD in April and by around 3mln BPD from May.
- Roughly 700k BPD of Russian oil production has been shut in this far in April, according to reports.
- Expect Russian refiners to extend run cuts in April, as more buyers shun barrels and Russian storage fills.
- Traditional Russian customers cutting back, no sign of increased volumes going to China.