Global oil production falls by 0.19% in April: Int. Energy Agency

- Maintenance work lowers Canadian output while Russia partially implements OPEC+ production cuts leading to lower global output last month

World oil production declined by 0.19%, or around 200,000 barrels per day (bpd), to 102.05 million bpd in April, mainly due to lower Canadian output and Russia partially implementing OPEC+ production cuts, according to the International Energy Agency's (IEA) latest report on Wednesday.

According to the Oil Market Report for April, crude oil production by the Organization of Petroleum Exporting Countries (OPEC) increased by approximately 120,000 bpd to 26.97 million bpd.

Combined with condensates and oil from non-conventional sources, the group's total oil production reached approximately 32.50 million bpd over the same period.

Daily oil production in non-OPEC countries fell by 310,000 bpd in April to an estimated 69.56 million bpd as Canadian oil sands maintenance took 330,000 bpd offline during the month.

Russia lowered output by 160,000 bpd to 10.74 million bpd last month, partially influenced by its OPEC+ pledge.

The US’ and Guyanese supplies rebounded by 90,000 bpd and 80,000 bpd, respectively, 'as the former regained lost output from the severe January winter storm and the latter saw production return after a brief respite in March,' the report said.

Global oil supply is projected to increase by 580,000 bpd this year to a record 102.7 million bpd 'as non-OPEC+ output rises by 1.4 million bpd while OPEC+ production falls 840,000 bpd, assuming that voluntary cuts are maintained,' the IEA said.

Global gains of 1.8 million bpd are expected in 2025 as non-OPEC+ adds a further 1.4 million bpd.

- IEA lowers demand growth projection

According to the report, global oil demand is set to rise by 1.1 million bpd this year to 103.20 million bpd, 140,000 bpd less than projected in last month's report.

The drop in demand projection is attributed to weak demand from OECD countries, 'which came in 400,000 bpd below forecast,' and especially Europe, in the first quarter of the year.

'This underperformance was concentrated in Europe and shifted first-quarter OECD demand into contraction by 70,000 bpd year-on-year,' the IEA said.

It is estimated that oil demand in OECD countries will decrease by 200,000 bpd this year, reaching 45.60 million bpd.

The outlook for 2025 is comparatively unchanged, with the pace of growth now marginally surpassing 2024 at 1.2 million bpd to 104.30 million bpd.

By Zeynep Beyza Kilic

Anadolu Agency

energy@aa.com.tr