In its monthly oil market report released by the International Energy Agency (IEA) on Thursday, the agency underscored concerns over dwindling oil demand outlook amid growing economic risks.
The IEA also said that the US has briefly outpaced Saudi Arabia as the world’s No. 1 oil exporter.
With oil prices currently about 20% lower than a year ago, there will be support for consumers.
Booming shale production has allowed the U.S. to close in on, and briefly overtake, Saudi Arabia as the world’s top oil exporter … in June, after crude exports surged above 3 million barrels per day (bpd).
IEA maintained its estimate for growth in global oil demand during 2019 at 1.1 million bpd and 1.3 million bpd for next year, assuming no further breakdown in U.S.-China trade talks and citing an easing of tensions around Iran.
Non-OPEC production growth is seen rising to 2.3 million bpd in 2020, up 400,000 from this year.
Meanwhile, demand for OPEC crude is set to reach 28.3 million bpd in the first half of 2020, 1.4 million bpd less than the group produced in August.
Russia, Iraq and Nigeria in August produced 600,000 bpd more than their quotas in the supply pact.
Saudi Arabia cut by more than it had pledged, keeping the overall agreement intact.”