Oil Demand Forecast Raised Again

One month ago, October 13, 2010:

OPEC now sees world oil demand growth of 1.32 million b/d or 1.6% to 85.78 million b/d for 2010, compared with 1.3% previously, while demand growth will increase by a further 1.17 million b/d or 1.4% to 86.95 million b/d in 2011, instead of by 1.2% as earlier expected.

Today, just one month later:

The IEA said in its monthly report that oil demand next year will reach 88.2 million barrels a day, up from its forecast last month of 87.9 million barrels a day, based on the latest economic forecast from the International Monetary Fund earlier this month.

Yup.

World Energy Outlook 2010 -- International Energy Agency

International Energy Agency has released its World Energy Outlook 2010.

When you get to that site, click on two links, just below the icon:

• Key Graphs; and, 
• Fact Sheets.

Each will take you to a PDF.

Take a look at the pdf for "world oil production by type" -- the seventh (7th) slide. Development of known oil fields is critical starting this year. In addition, natural gas is the obvious bridge to alternative energy sources twenty years from now.

The pdf fact sheets are very, very interesting. Even if you just read the first page, you will see that it is oil, coal, and natural gas in our investing lifetimes, regardless of where you are on your investment time line.

For Traders / Investors

The sell-off on Friday may or may not continue, but some great Bakken stocks dropped back significantly.

US set record in March for gasoline production.

IEA predicts a new record for oil demand in 2010.

Venezuela (Chavez) outsourcing oil fields to Russia and China.

Somehow, whatever happens with the folks on Wall Street, the above three facts are not going to change.

Just saying.