India | UK | US

Oil market to tighten again after 2009/10: IEA

ALGIERS (Reuters) - Oil markets are expected to tighten again after easing in 2009/10 so producer countries should increase investments, the head of the International Energy Agency (IEA) said on Tuesday.
Posted : Tue, 15 Jul 2008 11:35:10 GMT
By : Reuters
Category : US (Business)
News Alerts by Email ( click here )
US Business News | Home
ALGIERS (Reuters) - Oil markets are expected to tighten again after easing in 2009/10 so producer countries should increase investments, the head of the International Energy Agency (IEA) said on Tuesday.

"The situation could be better in 2009/2010 but after that the situation will be getting tighter again," IEA executive director Nobuo Tanaka told reporters on a visit to OPEC member Algeria.

"We want producing countries to increase investment."

The agency, a Paris-based adviser to 27 industrialized countries, said this month that world oil demand growth would grow at a rate of 860,000 barrels per day (bpd) in 2009, reaching a total of 87.7 million bpd, down from growth of 890,000 bpd this year.

Demand for oil by China, India and the Middle East has been cited as a factor behind crude's almost sevenfold surge from $20 six years ago to a record high of more than $140 a barrel.

Tanaka said that oil prices remained very high and overall world consumption would continue to grow despite declining demand in major industrialized countries, but the situation would improve by 2009 thanks to new investment in production.

Thereafter they would tighten again, he said.

Asked by reporters for his evaluation of the market, Tanaka said: "It is very very tight...Spare capacity is very low."

He added: "Prices are very high but the situation will improve by 2009 thanks to new investments."

He added: "Current demand is very strong because of China, India, Latin America as well as the Middle East. There is a decline in major consumer countries but the emerging economies are very strong. We expect demand to continue to grow, as a whole."

(Reporting by Hamid OuldAhmed, Writing by William Maclean, editing by Anthony Barker)


(c) Reuters 2008. All rights reserved. Republication or redistribution of Reuters content, including by caching, framing or similar means, is expressly prohibited without the prior written consent of Reuters. Reuters and the Reuters sphere logo are registered trademarks and trademarks of the Reuters group of companies around the world.

Share/Save/Bookmark

Article : Oil market to tighten again after 2009/10: IEA
Print this article
Email this article

Stay Updated
News gadget on your Google homepage
Subscribe to a news feed in Google Reader


Related News

Five more US bank failures bring total for 2009 to 120
New York - Bank failures in the United States have risen to 120 this year as five more regional institutions were added to the list, the US agency that guarantees the safety of bank deposits said. United Commercial Bank in San Francisco with assets o...

US stocks climb slightly despite double-digit jobless rate
New York - US stocks posted mild gains Friday to end the week as investors shrugged off government figures that put the unemployment rate above 10 per cent. The Labour Department said the jobless rate hit 10.2 per cent in the month of October, the hi...

US joblessness hits 10.2 per cent, highest in 26 years - Summary
Washington - The US unemployment rate surged to 10.2 per cent in October, the highest in 26 years as another 190,000 people lost their jobs, the Labour Department reported Friday. The figure comes after a 9.8-per-cent jobless rate in September and wa...

US joblessness jumps to 10.2 per cent, highest since 1983 - Update
Washington - The US unemployment rate surged to 10.2 per cent in October, the highest in 26 years, as another 190,000 people lost their jobs during the month, the US reported Friday. The figure reported by US Labour Department came after the 9.8 per ...

US jobless rate jumps to 10.2 per cent
Washington - The US unemployment rate surged to 10.2 per cent in October as another 190,000 people lost their jobs, according to US Labour Department figures released Friday. The jobless rate stood at 9.8 per cent in September. Unemployment had been ...

Bulls stop James, edge Cavs - Summary
Los Angeles - The King couldn't deliver in the clutch. Luol Deng and Joakim Noah combined to deny LeBron James a potential game-winning drive in the final seconds as and the visiting Chicago Bulls snapped the Cleveland Cavaliers' three-game winning...

Mortgage lender Fannie Mae posts nearly 19-billion-dollar loss
Washington - US mortgage lender Fannie Mae said Thursday that it would seek 15 billion dollars in federal aid, after posting its ninth consecutive quarterly loss. Fannie Mae reported a net loss of 18.9 billion dollars in the third quarter of 2009, co...

Have your Say
Name
Email
Subject
Your Comment

Enter Verification code
 
  

 

 

More US (Business) News click here
Follow The Earth Times
Subscribe to RSS Follow Earth Times on TwitterNews by email
Share/Save/Bookmark

 
 



 
Subscribe to free Earthtimes
News Alerts by Email Click here
For RSS Feeds Click here
or Create your own RSS

Add to Google Toolbar
Breaking News
Press Releases

 


The Earth Times
News Category

© 2009 www.earthtimes.org, The Earth Times, All Rights Reserved | Privacy Policy
Earth Times accept no responsibility or liability either directly or indirectly for views or opinions expressed in articles or comments.