A tightening oil market could prompt higher prices in the second half of the year, the head of the International Energy Agency, Fatih Birol, has said.
Oil markets have rallied since OPEC+ announced that it will reduce its output further, by some 1.66 million barrels per day, bringing the cartel’s total output reduction to 3.66 million barrels daily, or 3.7% of global oil demand.
Crude oil prices changed little today after the Energy Information Administration estimated a modest inventory increase of 600,000 barrels for the week to April 7.
Canadian oil producers have repeatedly pushed for new oil transportation links and pipeline expansion projects in recent years without much avail. The massive Keystone XL pipeline project was halted by President Biden in 2021, leading Canada to be more pessimistic about its North American oil potential. However, the Trans Mountain conduit, which is set to start up next year, is expected to help Canada overcome its constrained pipeline capacity and open new markets.
After a successful 2022, Iraq’s oil and gas industry has faced challenges this year following the closure of an export pipeline in the north of the country. Conflict over the semi-autonomous Kurdistan region has made it complicated to export the crude that provides most of the country’s income.
The Chairman of the Civil Society Platform on Oil and Gas (CSPOG), Dr. Steve Manteaw, has criticised the country’s Energy Transition (ET) plan for failing to outline practical steps to take hold of opportunities which come along with achieving the net zero goal.
The Ghana Upstream Petroleum Chamber has hosted a seminar for its members with the Ghana Revenue Authority Petroleum Unit, at which they discussed industry tax concerns and how best to resolve them. The concerns revolved around legal and administrative processes.
President Vladimir Putin said Russia would see higher oil and gas revenues by the end of the second quarter and that “positive trends” across the economy were gathering pace due to rising global oil prices.
The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) says oil output dropped to an average of 1,268,202 barrels per day (bpd) in March 2022.
Despite OPEC+’s surprise production cut, the global oil market will remain in surplus this year and next as demand growth could be hurt by lower-than-expected economic growth in the coming months, the U.S. Energy Information Administration (EIA) said in its latest Short-Term Energy Outlook (STEO).