Oil Prices Climb On Shocking OPEC Report

Hamilton Nwosa
Writer

Ad

2027: Reaction as Kachikwu Says Jonathan Has Offered Obi Key Role to Quit Presidential Race

By Abiola Olawale Dumebi Kachikwu, the 2023 presidential candidate of the African Democratic Congress (ADC), has claimed that former President Goodluck Jonathan is allegedly attempting to sway Peter Obi, the Labour Party’s 2023 presidential candidate, to abandon his 2027 presidential ambition. According to Kachikwu, Jonathan has allegedly dangled the position of Coordinating Minister of the…

Tears as Ex-minister, Audu Ogbeh, Dies at 78

By Abiola Olawale A former Minister of Agriculture and Rural Development, Chief Audu Ogbeh, is dead. Ogbeh, who was also a former National Chairman of the Peoples Democratic Party (PDP), was said to have passed away peacefully on Saturday, August 9, 2025, at the age of 78. This was contained in a statement released on…

How Obasanjo Got Angry at Me Over Diesel Deregulation – Otedola Opens Up

By Abiola Olawale Nigerian billionaire businessman, Mr Femi Otedola has shared a dramatic encounter with former President Olusegun Obasanjo over the 2004 diesel deregulation policy. This was detailed in his upcoming memoir, Making It Big: Lessons from a Life in Business, set for release on August 18, 2025, by FO Books. Otedola, then chairman of…

Ad

The surge of the Delta variant around the globe is set to partially delay oil demand recovery into the next year when robust economic growth and stronger recovery in fuel consumption will see global oil demand averaging 100.8 million barrels per day (bpd) and exceeding pre-COVID levels, OPEC said on Monday, raising its 2022 demand forecast by a shocking 900,000 bpd.

Next year, oil demand worldwide is now expected to jump by around 4.2 million bpd compared to 2021, an upward revision of 900,000 bpd compared to last month’s assessment, OPEC said in its closely-watched Monthly Oil Market Report (MOMR) today.

This year, total global oil demand remains unchanged at 96.7 million bpd for the whole of 2021. But the fourth-quarter demand was revised slightly down, by 110,000 bpd from the August estimate of 99.82 million bpd to 99.7 million bpd now, OPEC said in its September report.

“Oil demand in 3Q21 has proved to be resilient, supported by rising mobility and traveling activities, particularly in the OECD. At the same time, the increased risk of COVID-19 cases primarily fuelled by the Delta variant is clouding oil demand prospects going into the final quarter of the year, resulting in downward adjustments to 4Q21 estimates,” the cartel noted.

The lower estimates for the last quarter of 2021 mean that some of the demand recovery will be pushed into the first half of 2022, according to OPEC.
Related: The Major Problem With EVs No One Is Talking About

“As vaccination rates rise, the COVID-19 pandemic is expected to be better managed and economic activities and mobility will firmly return to pre-COVID-19 levels. The revisions are based in both the OECD and non-OECD regions, with steady economic developments expected to support the partially delayed recovery in oil demand in various sectors,” OPEC said in its 2022 forecast.

Demand for 2022 was revised up by 300,000 bpd for OECD and by 600,000 bpd for non-OECD countries compared to last month’s outlook.

Last week, reports emerged that OPEC could cut its 2022 demand forecast, but the organization now says it believes that the Q4 2021 weakness in demand would only delay the recovery to next year.

NB: Tsvetana Paraskova wrote this article for Oilprice.com

Ad

X whatsapp