The Organization of the Petroleum Exporting Countries (OPEC) is expecting supplies from other producers to increase by the most in five years in 2019, with the increasing in the United States’ production alone sufficient to meet the growth in global demand.
The economic crisis in Venezuela and the renewed sanctions against Iran continue to represent a challenge for the international organization, OPEC noted in its outlook report for next year, as reported by Bloomberg.
“If the world economy performs better than expected, leading to higher growth in crude demand, OPEC will continue to have sufficient supply to support oil-market stability,” the report stated.
OPEC’s 15 members will need to provide an average of just 32.2 million barrels per day next year, slightly below the 32.3 million bpd they pumped in June.
Saudi Arabia, the United Arab Emirates and Kuwait are already boosting supplies, the report showed.
Other non-OPEC producers are also increasing production, especially Russia and the US.