Oil Markets Face New Glut As OPEC Prepares To Open The Taps

The upcoming partial return of curtailed OPEC+ oil production from August is set to create a new four-month supply glut of around 170 million barrels, a Rystad Energy analysis reveals. The analysis is based on the assumption that oil demand will not rebound as quickly as previously thought due to the persistent expansion of the Covid-19 pandemic in key markets, or what we call a mild second wave of the virus. After the first five months of 2020, which all registered excess global oil production compared to market demand, June was a month when global…