IEA: Oil Demand Will Grow by 5.5 million bpd to 96.5 million in 2021

The International Energy Agency said that oil prices are unlikely to rise sharply and continuously, despite the expectation that demand will be supported by vaccines later in the year, as the world is still awash with oil.

She added in her monthly report, “The great rise of oil to close to $70 a barrel sparked talk of a new super-cycle and a shortage of supply looming on the horizon. Our data and our analysis indicate otherwise.”

“For a start, oil stocks still appear to be plentiful compared to historical levels, despite a steady decline.”

“In addition to the reserves, a large amount of surplus production capacity is being accumulated as a result of OPEC+ supply restrictions,” IEA added.