Demand for oil based products is RELENTLESS. Demand growth has slowed, but still going up despite all the gloom & doom talk about a slowing global economy. Why??? because the world's population keeps growing and each new human is an energy consumer.
> Oil consumption among the top 18 consuming countries, each using more than 1 million barrels per day, rose by just 0.9% in the second quarter compared with the same period in 2018.
> Oil consumption by the top consumers was growing below the trend rate of 1.5% per year that prevailed between 1998 and 2018, data from the Joint Organisations Data Initiative showed.
Today: Global demand for oil based products exceeds supply.
> Saudi Arabia crude oil inventories (its ability to meet the demands of their customers) has declined from over 325 million barrels in Q3 2015 to under 190 million barrels today AND the rate of decline will accelerate into year-end.
> OECD oil inventories peaked at 32 days of supply in Q2 2016 and they have declined to 27 days of supply today. Europe is very dependent on a steady supply of oil from the Persian Gulf.
Demand for oil update - Sept 24
Demand for oil update - Sept 24
Dan Steffens
Energy Prospectus Group
Energy Prospectus Group