More Oil Is Going To Be Needed in The Third Quarter -- Not Next Year, This Year, Starting Next Month

Link here.

In its report IEA discussed last month’s coordinated release of 60 million bbl of strategic oil stocks among its members as a response to the ongoing Libyan crisis. The so-called “Libya collective action” aimed to provide a bridge between rising oil demand in the third quarter and extra supplies made available by major producers in the Organization of Petroleum Exporting Countries, the agency said.

As a result of higher non-OECD demand—despite OECD weakness—and some supply outages in addition to Libya’s, the market looks tighter to IEA than it did a month ago. So the call on OPEC crude and stock change is now 31.3 million b/d for this year’s third quarter, with a sizeable but still unquantifiable portion of this demand to be met by the Libya collective action, according to the report.

Yup.