“For now the risk of a major threat to oil supplies appears to have receded,” the Paris-based IEA said in a monthly report.
The IEA said it expected production to outstrip demand for crude from the Organisation of the Petroleum Exporting Countries even if members comply fully with a pact with Russia and other non-OPEC allies to curb output. It estimated OPEC crude production at 29.3 million barrels per day in January, 700,000 bpd above the projected demand for it.
Demand growth in China and India was up sharply but was flat in the United States for 2019, and the IEA kept its global demand growth forecast steady at 1.2 million bpd.
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