• Tuesday, June 25, 2024
businessday logo


Barkindo pegs OPEC crude demand forecast in 2022 at 28.8mb/d

Barkindo’s death snuffs out cheer at NOG 2022

Mohammad Barkindo, secretary general, Organisation of the Petroleum Exporting Countries (OPEC), says forecast for demand for OPEC crude in 2022 stands at 28.8 million barrels per day.

The News Agency of Nigeria reports that Barkindo spoke on Tuesday at the 24th OPEC and non-OPEC Ministerial Meeting (Video conference) in Vienna, Austria

He said: “Demand for OPEC crude in 2021 stands at 27.8mb/d, around 4.9mb/d higher than in 2020. The forecast for demand for OPEC crude in 2022 stands at 28.8 mb/d, around 1.0 mb/d higher than in 2021.

“The potential implications of large uncertainties on global oil demand and supply during 2022 are highlighted in the scenario analysis and will be further elaborated in the presentation given by the Research Division.”

Read also: OPEC+ likely to stick with scheduled Feb output increase, sources say

Barkindo said the dawning of a new year was usually cause for hope and optimism for the 12 months ahead, noting that in the case of 2022, this outlook correlates with a generally positive trajectory with regards to market fundamentals.

According to Barkindo, while there are some uncertainties, particularly related to mutations of the coronavirus, there are signs that the global economy will recover.

He said this was supported by the contribution of the ‘Declaration of Cooperation’ Participating Countries to oil market stability, could continue in the year ahead.

He said: “The global Gross Domestic Product growth forecasts for 2021 and 2022 are 5.5 per cent and 4.2 per cent, respectively. World oil demand is estimated to have grown 5.7mb/d in 2021 and to grow by 4.2mb/d in 2022.

“Non-OPEC liquids supply growth in 2021 is forecast at 0.7mb/d year-on-year to average 63.7mb/d. The non-OPEC supply growth forecast for 2022 remains around 3.0mb/d, to average 66.7mb/d.

“OPEC crude oil production increased by 275 tb/d in November month-on-month to average 27.72 mb/d, according to secondary sources.”