International Energy Agency: 2004-year world oil demand has reached the 16-year high
International Energy Agency: 2004-year world oil demand has reached the 16-year high, and the reason is rapid global economic expansion.
In IEA?s monthly Oil Market Report incremental oil demand is forecasted in 2004 by 270,000 bpd to 1.95 million bpd on the 80.6 million bpd world market.
The IEA also said non-OPEC oil supply is failing to meet growth expectations, despite rising volumes from Russia, raising the requirement on OPEC for extra crude.
Consumption of energy among industrialized nations is stronger than it was expected, which is backing by explosive demand growth in China.
The report comes with U.S. oil prices setting a fresh 13-year high of $40.38 a barrel on Wednesday, despite proposals from leading OPEC producers for higher output limits.
The IEA said it had reduced its forecast for incremental supply this year from non-OPEC nations, despite strong growth from Russia.
