The UAE face a tricky challenge on Friday in what could be a rain-interrupted qualifying game against Vanuatu
cricket2 hours ago
Opec has stuck with its forecast that world oil demand will exceed pre-pandemic levels in 2022, although the producer group said Russia’s invasion of Ukraine and developments around the coronavirus pandemic pose a considerable risk.
In a monthly report released on Tuesday, the Organisation of the Petroleum Exporting Countries (Opec) maintained its forecast that world oil demand would rise by 3.36 million barrels per day (bpd) in 2022, extending a recovery from 2020’s slump.
The Ukraine war sent oil briefly above $139 a barrel in March, the highest since 2008, worsening inflationary pressures. Covid lockdowns in China, where a Beijing outbreak has prompted the resumption of mass testing, have curbed oil demand.
“Looking ahead, current geopolitical developments and the uncertain roll-out of the pandemic toward the end of the second half of the year continue to pose a considerable risk to the forecast recovery to pre-pandemic levels,” Opec said in the report.
“Inflationary pressures are likely to persist and it remains highly uncertain as to when geopolitical issues may be resolved. Nevertheless, oil demand is forecast at healthy levels in the second half of this year.”
The report expects world consumption to surpass the 100 million bpd mark in the third quarter, in line with earlier projections, and for the 2022 average to reach 100.29 million bpd, just above the pre-pandemic rate in 2019.
Opec kept this year’s global economic growth forecast at 3.5 per cent, adding the downside “remains significant” and the upside potential “quite limited”.
Oil extended an earlier gain after the report was released, trading further above $123.
Opec output falling
Opec and its allies, which include Russia, known as Opec+, are ramping up output in monthly increments after record cuts put in place during the worst of the pandemic in 2020.
At its last meeting on June 2, Opec+ brought forward oil production rises to offset Russian losses and smooth the way for a visit to Saudi Arabia by US President Joe Biden.
Still, Opec+ has been undershooting the increases due to underinvestment in oilfields by some Opec members and, more recently, losses in Russian output as a result of sanctions and buyer avoidance.
Opec’s report showed that trend continued in May and said Opec output fell by 176,000bpd to 28.51 million bpd due to losses in Libya, Nigeria and other countries.
The growth forecast for non-Opec supply in 2022 was reduced by 300,000bpd to 2.1 million bpd. Opec cut its forecast for Russian output by 250,000bpd and left its US output growth estimate steady.
Opec expects supply of US tight oil, another term for shale, to rise by 880,000bpd in 2022, unchanged from last month, despite high prices that in previous years have encouraged growth. — Reuters
The UAE face a tricky challenge on Friday in what could be a rain-interrupted qualifying game against Vanuatu
cricket2 hours ago
The daughter of Sheikh Mohammed married Sheikh Mana in a grand ceremony last year
uae2 hours ago
Authorities also apprehended 179 suspects across 196 operations worldwide
crime3 hours ago
The mission titled ICUBE-Q will be launched on board China's Chang'E6 from Hainan
world3 hours ago
Notable Speech and Tarifa lead an army of contenders in major Classic contests at Newmarket, England and Churchill Downs, America
sports3 hours ago
GCSE and A level board exams take place over several weeks in April, May and June for thousands of students across the world
education4 hours ago
Global Healthcare Week to host ministers, policymakers, innovators, researchers, investors, and entrepreneurs
uae4 hours ago
Shares opened at Dh1.48 a share at ADX against a trading reference price of Dh0.37
markets4 hours ago