EIA forecasts world oil prices unpredictable movements in 2021

EIA forecasts world oil prices unpredictable movements in 2021

The US Energy Information Administration (EIA) warns of erratic oil prices as the COVID-19 epidemic response measures continue to affect oil demand.

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In its December Short-Term Energy Outlook report, the EIA said that the economic slowdowns caused by COVID-19 changed energy supply and demand in 2020 and would continue to have an impact in the future.

In terms of crude oil prices, EIA forecasts Brent oil prices will average 49 USD / barrel in 2021, up from the forecast of 43 USD / barrel in the fourth quarter of 2020. The EIA raised its forecast for oil prices next year based on the expectation that world oil demand would increase while oil exporting countries and partners continued to reduce production.

The EIA forecasts global gasoline and liquid fuel consumption for the whole 2020 to average 92.4 million barrels / day, down 8.8 million barrels / day compared to 2019. Forecast consumption will increase further. 5.8 million barrels / day in 2021. For the US market, the EIA forecasts that US crude oil production will drop below 11 million barrels / day in March 2021 and will rise again to 11.4 million barrels / day. date on December 2021. Year-to-year, the EIA forecasts crude oil production in the US will decline from 12.2 million barrels a day in 2019 to 11.3 million barrels a day in 2020 and 11.1 million barrels a day in 2021.

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