BP has predicted a strong recovery in global crude demand which is also expected to last for some time, according to BP CEO Bernard Looney
Speaking with Bloomberg News in St Petersburg, Russia, BP’s CEO said that there is much evidence to suggest that demand will be strong, and the shale seems to be remaining disciplined.
Many other industry experts also see a robust rebound from the COVID-19 impact in the USA, China and Europe. For example, Igor Sechin, CEO of Russia’s Rosneft PJSC, stated that the energy demand will continue to grow. In addition, Mike Muller, head of Asia at Vitol Group, added that economic growth in China is also set to accelerate this demand, bringing down crude stockpiles, the source has further reported.
A Standard Chartered Plc report has stated that the oil’s demand recovery will be at the point of maximum velocity in June and July, and it is expected to reach 100 mmbbl a day by December.
A traditional approach is being followed by the Organization of Petroleum Exporting Countries (OPEC) and its allies. As reported in the source, it is suggested that the OPEC+ should manage the risk of the potential return of Iran barrels, while also managing any instances of the COVID-19 cases.