This news has been received from: New York Post

All trademarks, copyrights, videos, photos and logos are owned by respective news sources. News stories, videos and live streams are from trusted sources.

More On: oil BlackRock’s ‘No. 1’ goal in ‘woke’ investing: Huge ESG-funds haul Interior Dept. reportedly will halt Arctic leases sold by Trump How a hedge fund named Engine No. 1 delivered a massive blow to Exxon Mobil Oil drillers and Bitcoin miners bond over natural gas

Demand for oil will surpass pre-pandemic levels by the end of next year as the global economy recovers, the International Energy Agency said on Friday, rejecting analysts’ predictions that the world’s oil usage has already peaked.

 

“Global oil demand is set to return to pre-pandemic levels by the end of 2022,” the IEA said in its monthly oil market report, predicting that demand will rise by 5.4 million barrels per day this year and an additional 3.1 million barrels next year to an average of 99.5 million barrels per day in 2022. 

Oil demand plunged by a record 8.6 million barrels per day in 2020 as coronavirus lockdowns and travel bans destroyed demand. 

Faced with this collapse, petroleum giant BP said in a September report that the world had reached “peak oil,” meaning that oil usage would never return to pre-pandemic levels. And in December, Bloomberg News declared, “Peak Oil Is Suddenly Upon Us.” 

But Paris-based IEA, which is an intergovernmental organization that includes the US, European Union and Japan, believes proponents of the peak oil theory spoke too soon. 

Oil demand plunged by a historic 8.6 million barrels per day in 2020 as coronavirus lockdowns and travel bans destroyed demand. Getty Images

In the coming years, global demand for plastics will boost sales of petrochemicals, while the recovery of the travel sector will increase jet fuel usage, the IEA said. 

However, the increasing popularity of remote work and the rise of electric and fuel-efficient vehicles will suppress some demand for gasoline, according to the organization. 

In addition, the lopsided global distribution of vaccines toward wealthy countries means that oil demand in poorer countries will recover more slowly, the IEA predicted. 

Meeting global oil demand is “unlikely to be a problem” due to increased production by countries including Saudi Arabia, the IEA said.Bloomberg via Getty Images

Despite these trends, the group insisted that demand should surpass pre-COVID levels by the end of 2022. 

“The recovery will be uneven not only amongst regions but across sectors and products,” said the IEA, which is led by Turkish energy economist Fatih Birol. 

The IEA said that meeting growing global oil demand is “unlikely to be a problem” due to increased production by OPEC+ countries like Saudi Arabia, as well as further output by the US, Canada, Brazil and Norway. 

The recovery of the travel sector will increase jet fuel usage, the IEA said.Los Angeles Times via Getty Imag The rise of remote work and the popularity of energy-efficient vehicles will suppress some demand for gasoline, however.Bloomberg via Getty Images

If sanctions on Iran were lifted, an additional 1.4 million barrels per day would hit the global oil market, the IEA said.

In May, US gas prices hit a seven-year high as the Colonial Pipeline hack shut down America’s largest pipeline. 

Filed under economy ,  gas prices ,  global economy ,  oil ,  saudi arabia ,  6/11/21

News Source: New York Post

Tags: search oil economy gas prices global economy oil saudi arabia return to pre pandemic levels remote work global oil demand pre covid levels global economy an additional popularity saudi arabia the rise demand that demand the rise

Jake Sullivan says administration will take no immediate action on China until there is 'international consensus'

Next News:

Qatar to require fans at 2022 World Cup to be vaccinated

Qatar will require spectators at the 2022 World Cup to have received coronavirus vaccines to get into games, the government has announced.

Prime Minister Sheikh Khalid bin Khalifa bin Abdulaziz Al Thani told Qatar newspaper editors that the Gulf nation is trying to secure a million vaccine doses to immunize fans wanting to watch the tournament.

CLICK HERE FOR MORE SPORTS COVERAGE ON FOXNEWS.COM

"When the date of the FIFA World Cup Qatar 2022 comes, most countries of the world will have vaccinated and immunized their citizens," Sheikh Khaled was quoted as saying by state media on Sunday. "Due to the possibility that some countries will not be able to vaccinate all their citizens, Qatar will not allow fans to enter stadiums without receiving a full vaccination against the virus."

Qatar has recorded 585 deaths and 220,800 cases during the pandemic. The Middle East's first World Cup is due to start Nov. 21, 2022.

CLICK HERE TO GET THE FOX NEWS APP

"We are currently negotiating with a company to provide one million vaccine doses against the coronavirus for the immunization of those coming to the FIFA World Cup Qatar," Sheikh Khaled said. "Our primary goal in vaccinating the unvaccinated is to protect the public health of citizens and residents."

FIFA and Qatar World Cup organizers had no immediate comment expanding on the prime minister’s remarks.

Other News

  • Change Ad Consent Do not sell my data Petition: Demand Retail Council of Canada Stick to Its Animal Welfare Promises
  • Change Ad Consent Do not sell my data Petition: Demand Corporations Clean Up the Plastic Waste They Create
  • DoorDash and Albertsons partner on same-day grocery delivery from nearly 2,000 stores
  • Teachers, Staff Demand More Discipline For CT Principal Accused Of Using Racial Slur
  • Spike In Demand, Staffing Issues Forces American Airlines To Cancels Hundreds Of Flights
  • Russian man arraigned on murder charge in killing of ex-US Marine Catherine Serou
  • 3 former Lakers players LA should bring back in free agency
  • Man Utd star Fred has become a key man Brazil in Copa America but it would be massive step up to 2022 World Cup
  • Few Cops We Found Using Force on George Floyd Protesters are Known to Have Faced Discipline
  • The US could be facing its worst drought in 1,200 years, and summer hasn't even reached its peak yet.
  • US borders with Mexico and Canada to remain closed for another month
  • American Airlines cancels 303 flights this weekend because of staff who phoned in sick - and warns another 3,000 could be axed before July is out, amid claims sudden post-COVID surge in demand has left firm with huge shortage of pilots
  • 2022 Toyota Tundra revealed in full after being leaked on the Internet
  • Heats Most Sought-After Free Agent Discusses Future in Miami
  • Scientists unlock secret of how people die from a broken heart after tests reveal stressful life events increase levels of two key molecules in heart cells
  • Verdict from Meghan Markle’s bullying investigation could be delayed to 2022: report
  • Store offers color-coded bracelets to show social distancing comfort levels
  • 56 House Republicans Demand Joe Biden Replace Kamala Harris for Failing to Secure Southern Border
  • Teen Mom Farrah Abraham opens up about being the ‘fun mom’ while having the ‘sex talk’ with tween daughter Sophia