The Department of Energy (DoE) has raised its projection for the Brent crude oil barrel price in 2023 to $79.54. The U.S. Department of Energy’s Energy Information Administration (EIA) increased the average price forecast for the Brent crude oil barrel in 2023 from $78.65 to $79.54. For 2024, the department raised the projection from $74.47 in the previous forecast to $83.51 per barrel.
On Tuesday, June 6, the projections were published in the Short-Term Energy Outlook (Steo) report, which is released monthly by the DoE. The report predicts that global oil inventories will decrease slightly in each of the next five quarters. The DoE now expects the production of the Organization of the Petroleum Exporting Countries (OPEC) to be 33.5 million barrels per day (bpd) in 2023, a 0.7% decrease from the previous projection. For 2024, the cut in the projection is 1.8%, with production estimated at 33.8 million bpd.
The DoE also assesses that global liquid fuel consumption will increase by 1.6 million barrels per day in 2023, and it will further grow by an additional 1.7 million bpd in 2024. Most of this growth will come from non-Organization for Economic Cooperation and Development (OECD) countries.
