Global oil stock build to start in December: Barkindo

Global oil stock build to start in December: Barkindo

London, 16 November (Argus) — Global oil inventories could begin to build before the end of this year, Opec secretary-general Mohammed Barkindo said today, reinforcing an Opec+ forecast of oversupply in the first quarter.

"The surplus is already beginning in December," Barkindo said on the sidelines of the Adipec conference in Abu Dhabi. "The projections, not only from Opec, but from the IEA and others, show throughout the quarters of next year that there would be oversupply in the market, using the metric of the OECD stocks."

The prospect of a surplus at the start 2022 was a key argument invoked by the Opec+ alliance on 4 November, when it confirmed a 400,000 b/d December increase in coalition quotas in the face of key buyers' calls for more.