OPEC said that global oil demand will rebound strongly in the second half of 2021

The head of the Organization of the Petroleum Exporting Countries (OPEC) and experts said that global oil demand will rebound strongly in the second half of 2021 and oil inventories will be reduced, but at the same time they warned that the coronavirus variant poses a risk to the economic recovery.

OPEC+, which is made up of the Organization of the Petroleum Exporting Countries (OPEC) and allies led by Russia, will meet on Thursday. Sources and market watchers have previously said they expect the alliance to discuss further gradual easing of existing oil production restrictions starting in August.

According to the report, OPEC observers have previously said that the group could increase output by more than 1 million b/d, or more modestly by 500,000 b/d, or even keep the output level unchanged. OPEC+ sources said there was no unanimous decision or recommendation at the OPEC+ expert meeting held on Tuesday.

According to the report, a letter seen earlier showed that OPEC+ will hold a meeting of the Joint Ministerial Monitoring Committee (JMMC) on July 1, one day later than previously planned.

OPEC Secretary-General Barkindu said at a meeting of the Joint Technical Committee on Tuesday that oil demand in 2021 is expected to increase by 6 million barrels per day, including 5 million barrels per day in the second half of the year, the report said. In his speech, he mentioned that "the current 'uncertain' factor is the 'Delta+' strain of the pandemic, which has led to an increase in cases in many regions and the reintroduction of restrictions. ”

Even after taking uncertainty and associated risks into account, oil demand growth in the second half of the year will be "significant," according to the report, with preliminary data in May showing that oil inventories in OECD industrialized economies fell below 2015-2019 levels, according to the report.

The report also pointed out that bringing oil inventories to a five-year average is one of OPEC+'s main goals.