Yahoo Finance OPEC+ Unlikely to Raise Oil Output in 2024, Energy Aspects Says
(Bloomberg) -- OPEC+ plus countries probably will not need to raise oil output later this year without a ramp-up in world demand, a founder of Energy Aspects said.
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Led by Saudi Arabia, the Organization of Petroleum Exporting Countries and its partners unveiled a plan earlier this month to gradually start restoring roughly 2 million barrels a day of shuttered production from October. Those plans depend on market conditions, Amrita Sen said at a conference in Calgary. At this point, the group probably doesn’t need to restore output, she said.
“If the market doesn’t need the oil, they are not going to bring that oil back.” she said. “If demand picks up, yes. If demand doesn’t pick up, I don’t think they will bring it back.”
World oil demand will grow by 1.1 million barrels a day this year, Sen said. China and US demand has been weak, but it could could pick up in China starting at the end of this year into next year, she said.
US crude oil production will increase 400,000 barrels a day by year-end and by similar amounts next year, she said. Including other liquid hydrocarbons, the amount increases to 700,000 barrels a day, she said.
Growth will be slow after a series of recent oil company takeovers in the US energy patch. “You’ve got consolidation,” she said. “You are going to see slower but steady growth” through 2030.
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