1. Skip to content
  2. Skip to main menu
  3. Skip to more DW sites
In focus
German election 2025Middle East crisisRussia's war in Ukraine
Latest audioLatest videos
Live TV

IEA expects oil price pickup

February 10, 2015

Presenting its latest Medium Term Oil Market report, the International Energy Agency (IEA) has said it expects oil prices to increase moderately. But it warned old highs would not nearly be reached in the years to come.

https://p.dw.com/p/1EYy3
Oil extraction in Albania REUTERS/Arben Celi
Image: Reuters

IEA officials said Tuesday oil prices were bound to recover at a fast pace, but the agency's Medium term Oil Market report hastened to add that big leaps were not to be expected.

"The market rebalancing will likely occur relatively swiftly, but will be comparatively limited in scope," the document said.

The US benchmark oil contract fell from nearly $110 (97 euros) a barrel last summer to under $45 this year before a recovery to around $53 per barrel in recent days.

Global demand revised down

The IEA noted the current price recovery was unlike those of the past because of the sharp increase in production by non-OPEC countries, especially the United States.

It said the US would remain the world's top source of oil supply growth up to 2020 even after the recent collapse in prices.

"Russia for its part - facing a storm of collapsing prices, international sanctions and currency depreciation, will likely emerge as the industry's top loser," the report said, forecasting production there looked set to contract by 560,000 barrels per day from 2014 to 2020.

The IEA now predicted global oil demand to reach 93.3 million barrels a day in 2015, well below the 94.2 million barrels per day as forecast in its previous report.

hg/uhe (Reuters, AP)