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OPEC Secretary general: Oil demand will continue to grow, but there is no peak in sight

Haitham Al Ghais, OPEC secretary general, said that the growth in oil demand will continue to be robust for the next 25 years as the global population continues to grow.

The organization predicts that the global energy demand will increase by 24% between now and 2050. Oil consumption is expected to exceed 120 million barrels of oil per day during this time period.

This estimate is consistent with the World Oil Outlook 2024.

Al Ghais, who spoke at the Global Energy Show, held in Calgary, Alberta, said that there was no imminent peak in oil demand.

He said OPEC admired the efforts made by Canada's oil industry to increase its output of oil in recent years.

OPEC has unwinded its production cuts faster than initially anticipated. Production for May, July and June increased by 411,000 barrels a day. Oil prices have been pushed up by the increases and concerns about President Donald Trump’s trade war affecting the global economy.

On Tuesday, global Brent futures traded at $67.28 per barrel.

The U.S. Energy Information Administration said on Tuesday that it expects Brent oil prices to drop near $60 per barrel by the end the year and to average $59 per barrel next year. This will affect U.S. production of oil.

Al Ghais said on Tuesday that OPEC also welcomed recent pushbacks against what he called unrealistic climate goals. He stressed the need to reduce emission but not to pick and choose energy sources.

(source: Reuters)