'Oil era is far from over,' says IEA's annual report

15 November 2017, 12:20 | Andres Norman

US oil and gas 'resurgence' expected as global demand grows

The Best ETF To Buy To Capitalize On Higher Oil Prices (OIH)

Both benchmarks early in the previous week hit highs last seen in 2015, but traders said the market had lost some momentum since then.

The largest contribution to demand growth - nearly 30 per cent -would come from India, whose share of global energy would rise to 11 per cent by 2040, it says.

IEA said that if current levels of OPEC production were maintained, the oil market would face a "difficult challenge" during the first quarter of 2018 on the back of supply exceeding demand by 600,000 bbl/day followed by another, smaller, surplus of 200,000 bbl/day in the second quarter of the year.

In what could come as grim news for officials attending global climate talks in Bonn, Germany, the IEA expects oil demand to keep rising until 2040.

Global oil supply rose by 100,000 bpd in October to 97.5m bpd on higher production from non-Opec countries, and non-Opec oil supply is expected to rise by 700,000 bpd this year and 1.4m bpd next year, led by stronger output in the US.

IEA said it had cut its longer-term oil price projections from previous year, partly because of the falling cost of both renewable and conventional sources of energy, the worldwide push to tackle climate change and improve air quality and the boom in USA shale oil and gas output.

Legionnaires' disease outbreak in Anaheim, possible links to Disneyland
On Nov. 1, more testing and disinfection was performed and the towers were brought back into service on Nov. 5. Nine people have contracted Legionnaire's disease after visiting Disneyland in Anaheim, Calif .

Kevin Spacey's Scenes Are Being Totally Replaced In A Just-Finished Movie
All the Money in the World , directed by Ridley Scott and produced by Sony, isn't the first to cut ties with the actor. The actor has since been accused by more than dozen men of either sexually harassing or assaulting them.

Trump's 'extreme vetting' has already been 'enhanced'
However, the website notes, the president's responses seem more subdued when it comes to attacks involving non-Muslims. Trump has previously talked about his extreme vetting process following a major terrorist attack.

While the IEA's base-case scenario projects oil prices reaching US$83 per barrel by 2025 and as high as US$111 by 2040, a low oil-price scenario could see prices stuck in the US$50 to US$70s if electric passenger cars take off, USA tight oil production continues to rise and upstream costs decline.

In fact, the monthly report published by IEA on Tuesday would back that theory up as it lowered its crude demand forecast for the whole of 2017 and 2018, by 50,000 bbl/day and 190,000 bbl/day respectively.

In Abu Dhabi on Monday, the UAE Minister of Energy and Industry Suhail bin Mohammed Faraj Faris Al Mazrouei, said that oil producers were expected to unanimously extend a production cut accord later this month, but its duration was still under discussion. But stringent fuel-efficiency measures for cars and trucks, and a shift that sees one-in-four cars being electric by 2040, mean that China is no longer the main driving force behind global oil use - demand growth is larger in India post-2025.

However, even rapid growth in the electric vehicle fleet would be unlikely to have a substantial impact on oil consumption for passenger transport until the mid-2020s, it said.

In addition, analysts said oil prices were pressured by a global commodities selloff, led by base metals like nickel and copper, due to weaker-than-expected economic data from China.



Other News

Trending Now

Russia Tried to Pass off a Video Game as Combat Footage
Instead, it said, American forces interfered with Russian air operations, allowing ISIS to recover and redeploy. This isn't the first time the Russian government has been caught distributing fake or misattributed video.

Argentina squander two-goal lead and lose to Nigeria
Nigeria reduced the tally as Iheanacho scored from a free kick in the 44th minute to put Gernot Rohr side back into the game. Manchester city's forward, Kun Aguero, increased the tally to 2-0 in the 37th minute.

Ruben Loftus-Cheek had 'vision' to leave Chelsea and accelerate career
England manager Gareth Southgate hailed debutant Ruben Loftus-Cheek following his man-of-the-match performance against Germany . He will gain huge confidence from his display.

Google Pixel 2: Burn-In Display Is Not LG's Fault!
This is an issue beyond just phone calls, though, as things such as voice recognition use the same microphones. The smaller, HTC developed Pixel 2 handset has experienced problems of its own, but to a much lesser degree.

Facebook to use naked images to combat revenge porn
This has led some security experts to warn that more needs to be done to combat revenge porn , particularly in terms of education. Sexually explicit photos, and the threat of publishing them for the world to see, can then be used for blackmail.

Syrian army encircles last IS stronghold-al-Manar
Baghdadi took control of what was then known as the Islamic State of Iraq in 2010 after the death of its former leader. Sana news agency said Syrian and Iraqi forces had met on the border and the town had been surrounded.

United States only country to reject climate deal after Syria signs up
President Donald Trump said in June that the U.S. would withdraw from the accord, saying it put the country at a disadvantage. On Oct. 23, Nicaragua announced it would join the Paris accord, despite its previous reservations.

TJ Dillashaw KO's Cody Garbrandt to win UFC Bantamweight Title
Garbrandt would unleash a flurry of strikes with just over two minutes remaining in the first, putting Dillashaw in trouble. As T.J. escaped, Garbrandt would try to wave him in, but Dillashaw refused to take the bait.

Lebanon economy, pound not in danger from Hariri exit
Hariri was appointed prime minister in late 2016, leading a 30-member government that included Hezbollah. It remains unclear who will succeed Hariri as prime minister in Lebanon.

Estee Lauder gains after China expansion helps lift forecast
Stevens Capital Management LP purchased a new position in Estee Lauder Companies, Inc . (The) by 16.0% during the third quarter. Putnam Invests Ltd Liability Corporation holds 0% of its portfolio in Estee Lauder Companies Inc (NYSE:EL) for 4,379 shares.