IEA: Crude Market to Rebalance

IEA: Crude Market to Rebalance IEA: Crude Market to Rebalance

The global oil market is expected to rebalance in the second half of 2017, but further output increases among key producers such as Nigeria and Libya could hamper this process, International Energy Agency chief, Fatih Birol, said on Tuesday. He said some key producers, including Libya and Nigeria, had significantly increased output in recent months. "In the current context, we see the market rebalancing in the second half of the year. But if production increases in some of the key producers, this may change the picture," Birol told Reuters on the sidelines of an Energy Institute event. "Whatever OPEC does, if the prices go up, there will be a response from shale oil producers," he said. Oil ministers from five countries monitoring the deal plus Saudi Arabia, as OPEC president, are scheduled to meet in Russia on July 24. They could make a recommendation to the wider group, which holds its next meeting in November, on adjusting the pact. Oil has fallen sharply since then, as a result of rising production from the US, Nigeria and Libya.


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