Russia–Africa Forum Participants Address Natural Resources

This report by OPEC was presented at the Russian Energy Week — 2018 international forum and gives a forecast for the prospects of the global oil market up to 2040. The report also provides a detailed analysis of various factors affecting the market, explores potential changes, and studies the interrelation of the oil market with markets for other fossil fuels.

Already grappling with a supply glut in liquefied natural gas (LNG), global gas companies face fresh challenges due to two seismic events: the COVID-19 pandemic and the global oil price shocks. Together, these developments are set to deepen and lengthen the current imbalance between supply and demand in LNG markets, leading to a lower-for-longer price environment. As a result, up to 8% of global LNG demand could be at risk (more than 25 million tonnes per annum, or MTPA) in the near term while the low-price environment could last another one to two years.

COVID-19 has created a demand shock in the oil market as social distancing reduces movement and daily travel for more and more of us each day. At present, most of the reporting agencies expect oil demand growth this year to be largely flat, well below the 1.2 million barrels/day (mmb/d) expected just a few months ago. And this demand growth forecast will likely be revised down further as large gatherings are cancelled, schools shut their doors, and companies implement policies to encourage or mandate working from home.

On the Roscongress Foundation portal ‘Anticrisis Plan. Global Best Practices’ and in the ROSCONGRESS.ORG Information and Analytical System a report has been posted on the impact of the COVID-19 coronavirus pandemic on the economies of African countries.