MARKET UPDATE: US, Brazil, Norway, Canada, Kazakhstan, Guyana to drive oil supply in 2023
By Eyo Nsima
The Organisation of Petroleum Exporting Countries, OPEC, has predicted that the United States, Brazil, Norway, Canada, Kazakhstan and Guyana will drive oil supply in 2023.
In its oil market report obtained by The Daily, www.thedaily-ng.com, OPEC, stated: “For 2023, non-OPEC liquids production growth remains unchanged from last month’s assessment, at 1.4 mb/d, y-o-y.
“The main drivers of liquids supply growth are expected to be the US, Brazil, Norway, Canada, Kazakhstan and Guyana, while declines are expected primarily from Russia. Uncertainties remain related to US shale oil output potential and unplanned maintenance in 2023. OPEC NGLs and non-conventional liquids are forecast to grow by 0.1 mb/d in 2022 to an average of 5.39 mb/d and by 50 tb/d to an average of 5.44 mb/d in 2023.
“OPEC-13 crude oil production in May decreased by 464 tb/d m-o-m to average 28.06 mb/d, according to available secondary sources.”
Commenting on downstream operations, it maintained that, “Refinery margins in the US Gulf Coast (USGC) declined for the second-consecutive month in May to their lowest level this year. This downturn – attributable to rising refinery product output levels – was considerably more limited than that seen in April, with most of the decline driven by transport fuels. In Rotterdam, margins showed solid gains backed by stronger gasoline and fuel oil markets. Lower feedstock prices provided further support and led to mild gains for Asian refining economics.”
