Demand for oil in 2022 will grow by 3.3 million barrels per day, the market will be in short supply – IEA

21:18 19.01.2022 3567

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 Demand for oil in 2021 increased by 5.5 million barrels per day, and in 2022 it will increase by 3.3 million bpd, Interfax and Bloomberg report citing a report by the International Energy Agency (IEA).

 The agency sees a tighter market than previously thought as demand has been hit surprisingly little by the omicron strain of COVID-19 while supply has been held back by disruptions.

 Global market surpluses are shrinking this year, and oil demand, up slightly from last month, is approaching a pre-pandemic level of 99.7 million b/d, the IEA said in a monthly report.  At the same time, supplies have been tight as the OPEC+ coalition struggles to restore stalled production, and producers elsewhere suffer from a series of disruptions, reducing spare capacity.

 As the number of omicron cases rises worldwide, demand for oil exceeded all expectations in the fourth quarter, the report says.  2021, an increase of 1.1 million b/d to 99 million b/d.

 “A seasonal decline in demand is expected in 1 quarter of 2022, exacerbated by more remote work and less air travel. We have raised our estimates of global demand by 200 kb/d for 2021 and 2022, leading to an increase of 5.5 million b/d  c and 3.3 million b/d, respectively, due to softer COVID restrictions,” the IEA writes.

 According to analysts, in 2021 the demand for oil will be 96.4 million b/d, and in 2022 – 99.7 million b/d.

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