by Natalie Grover and Alex Lawler
LONDON (Reuters) – The extension of voluntary oil production cuts by OPEC+ until the end of the year will lead to a significant deficit on the market during the fourth quarter, the International Oil Agency estimated on Wednesday. Energy (IEA) by maintaining its demand growth forecast for this year and next year.
OPEC and its allies, united under the name OPEC+, have started to reduce their supply in 2022 to support crude prices. The barrel of Brent this week exceeded the threshold of 90 dollars for the first time this year after the announcement of an extension of production cuts by Saudi Arabia and Russia until the end of 2023.
So far, the reduction in supply from OPEC+ members of more than 2.5 million barrels per day since the start of the year has been offset by higher production from other non-OPEC producing countries. alliance, including the United States, Brazil and Iran, underlines the IEA in its monthly report.
“But starting in September, the loss of OPEC+ production will lead to a significant supply deficit during the fourth quarter,” the agency said.
(Reporting by Natalie Grover and Alex Lawler in London; Blandine Hénault for the )
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