Caspian Energy Journal Caspian European Club
Thursday, 13 December 2018 15:00

Oil-price forecasts revised downward for 2019

Oil-price forecasts revised downward for 2019

In its latest Short-Term Energy Outlook (STEO), the US Energy Information Administration has revised its 2019 price forecasts for Brent and West Texas Intermediate to $61/bbl and $54/bbl, respectively, which are both $11/bbl lower than forecast in the STEO for November, Caspian Energy News ( reports with reference to Oil & Gas Journal.

Meanwhile, EIA expects that the magnitude of the recent price declines combined with the Organization of Petroleum Exporting Countries’ production cuts will bring 2019 supply and demand numbers largely into balance, which EIA forecasts will keep prices near current levels in the coming months.

Global liquid fuels production is forecast to increase by 1.4 million b/d in 2019. EIA expects US production growth to be partially offset by declining production elsewhere, notably within OPEC, where EIA forecasts that liquid fuels production will decline by 900,000 b/d in 2019.

EIA expects global liquid fuels consumption to increase by 1.5 million b/d in 2019, with growth largely coming from China, US, and India.

Crude oil prices declined markedly in November but increased during the first week in December amid heightened price volatility. WTI prices experienced three rare and large price declines (each between -6% and -8%) within the span of 10 days in mid-November, and WTI prices were down by more than 33% from the 4-year highs set in early October by the end of November.

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Person in charge of the newsline: Olga Nagiyeva 


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