The Organization of the Petroleum Exporting Countries (OPEC) saw a decline in its oil production in January, with output dropping by 121,000 barrels per day (bpd). This represents a 0.4% decrease, bringing the total average daily production to 26.68 million barrels, according to OPEC’s latest monthly oil market report......CONTINUE READING THE ARTICLE FROM THE SOURCE>>>>>
The decline in production was mainly due to lower output from the United Arab Emirates (UAE), Nigeria, and Venezuela. In contrast, some countries, including Libya, Gabon, and Congo, recorded slight increases in their oil production.
The UAE saw the biggest drop, producing 37,000 barrels per day less than before, bringing its total output to about 2.93 million barrels per day.
Nigeria’s oil production decreased by 29,000 barrels per day.
Venezuela also experienced a reduction, producing 17,000 barrels per day less than in the previous month.
On the other hand, some OPEC member countries increased their production:
Libya’s oil production rose by 17,000 barrels per day, reaching 1.27 million barrels per day.
Both Gabon and Congo recorded minor increases of 1,000 barrels per day each.
When considering the broader OPEC+ alliance—which includes OPEC members along with other oil-producing countries such as Russia—the overall crude oil production in January dropped by 118,000 barrels per day, bringing the total output of the group to 40.62 million barrels per day.
Despite the drop in production, oil drilling activity picked up worldwide. The number of active oil drilling rigs increased by 36, reaching a total of 1,767. In OPEC countries alone, the number of drilling rigs increased by 13, bringing the total to 442.
Meanwhile, OPEC maintained its forecast for global oil demand growth in 2025. According to its report, the organization expects the world’s oil consumption to rise by 1.45 million barrels per day this year, reaching a total demand of 105.2 million barrels per day.
Looking further ahead to 2025, oil demand is expected to grow as follows:
In developed countries, also known as OECD nations (which include the U.S., Canada, Europe, and other high-income economies), demand is predicted to rise by about 110,000 barrels per day.
In developing and emerging economies, referred to as non-OECD nations, oil demand is forecast to grow by a much larger 1.34 million barrels per day.
For now, OPEC estimates that the average daily global oil demand in 2024 is around 103.75 million barrels per day, which is in line with previous projections.